PIMCO Preferred and Capital Securities Fund Institutional Class 

The fund endeavors to deliver the highest possible overall return, while consistently applying judicious investment practices. A substantial portion, specifically a minimum of 80% of its holdings, is committed to a varied assortment of preferred securities and Capital Securities. These "Capital Securities" are instruments issued by both domestic and international financial entities, designed to fulfill their mandated regulatory capital obligations. Typically, the fund maintains at least one-quarter of its net assets invested in preferred securities. An allocation of up to 20% of its total assets can be directed towards common equity, and the portfolio also has the discretion to include contingent convertible securities.