The tightening of monetary policy by central banks around the globe is fueling increased volatility in financial markets, as countries continue their efforts to quell the post-pandemic inflationary spike.
We believe the broad-based economic resilience felt so far in 2023 will likely give way to weakness in 2024.
In this environment, bonds yields have spiked and starting yield levels, which are historically strongly correlated with returns, are extremely attractive. We look to emphasize global investment opportunities and to diversify sources of interest rate exposure across debt maturities and countries.
The PIMCO GIS Income Fund taps into multiple areas of the global bond market, which offers the potential for equity-like returns with less risk. We are targeting resilient income and capital appreciation without sacrificing stability.