During the 2013 financial year, PIMCO/EQT’s fixed income funds in Australia experienced net inflows of over $1 billion, including almost $236 million of net inflows in the last quarter of the year.
There have been inflows into PIMCO’s Australian and global bond funds, emerging markets bond fund, diversified fixed income fund, and credit and real return funds.
“The strong inflows into the funds suggests that Australian investors continue to recognise the valuable long-term role that bonds play in their portfolio – providing the potential for the preservation of capital, income and growth, relative steadiness and typically low to negative correlations with equities,” said Peter Dorrian, head of global wealth management at PIMCO Australia.
“The rise in equity markets in the last 12 months, coupled with volatility in bonds markets and declining yields, had led many to assume that investor interest in bond funds is declining, but we don’t believe this to be true,” said Mr Dorrian.
Harvey Kalman, head of Equity Trustees Limited’s (EQT) Corporate Fiduciary and Financial Services business, which is responsible for the distribution of the PIMCO/EQT funds in Australia, said that there is a particularly high level of demand for the PIMCO/EQT fixed income funds.
“PIMCO has a long and stable track record of managing quality bond funds and this ensures they remain one of the most attractive offerings for Australian investors,” said Mr Kalman.
About Equity Trustees:
Equity Trustees is a publicly listed company that provides a range of financial services to corporate and private clients. Its businesses include funds management, responsible entity appointments, private client wealth management and corporate and personal superannuation.
About PIMCO Australia:
PIMCO Australia was established in 1997 and provides investment management services in both domestic and global fixed interest strategies to a range of clients in Australia, New Zealand and the South Pacific nations.
For more information please contact:
Harvey Kalman – Phone: 03 8623 5301
9 July 2013