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Is PSLDX a Strong Bond Fund Right Now?

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If you have been looking for Mutual Fund Bond funds, a place to start could be PIMCO StockPlus Long Duration Institutional (PSLDX - Free Report) . PSLDX carries a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.

History of Fund/Manager

PSLDX is a part of the PIMCO Funds family of funds, a company based out of Newport Beach, CA. Since PIMCO StockPlus Long Duration Institutional made its debut in August of 2007, PSLDX has garnered more than $1.32 billion in assets. The fund's current manager is a team of investment professionals.

Performance

Obviously, what investors are looking for in these funds is strong performance relative to their peers. PSLDX has a 5-year annualized total return of 24.62% and it sits in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 33.8%, which places it in the top third during this time-frame.

When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 18.94%, the standard deviation of PSLDX over the past three years is 22.02%. Over the past 5 years, the standard deviation of the fund is 18.77% compared to the category average of 15.15%. This makes the fund more volatile than its peers over the past half-decade.

Expenses

As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, PSLDX is a no load fund. It has an expense ratio of 0.59% compared to the category average of 0.84%. So, PSLDX is actually cheaper than its peers from a cost perspective.

Investors need to be aware that with this product, the minimum initial investment is $1 million; each subsequent investment has no minimum amount.

Bottom Line

Overall, PIMCO StockPlus Long Duration Institutional ( PSLDX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, PIMCO StockPlus Long Duration Institutional ( PSLDX ) looks like a good potential choice for investors right now.

Want even more information about PSLDX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.


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