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Video Commentary

An Inside Look

Learn how the conclusions from Secular Forum are shaping PIMCO portfolios.

Implications of PIMCO’s 2018 Secular Outlook

Group CIO Dan Ivascyn discusses how PIMCO is positioning portfolios in light of our long-term macroeconomic outlook.

Our Process

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PIMCO’s distinctive top-down, bottom-up investment process is designed to promote fresh ideas and differing points of view. Our annual Secular Forum looks over a three-to-five year horizon, providing a framework for how we position portfolios.

PIMCO’s Investment Process

PIMCO believes that performance starts with preparation. PIMCO’s investment process allows us to continuously evaluate the world’s changing risks and opportunities, with the aim of innovating forward-looking solutions for our clients.

Secular Forum 2018 Guest Speakers

Erik Brynjolfsson

Dr. Brynjolfsson is director of the MIT Initiative on the Digital Economy, Schussel Family Professor at the MIT Sloan School, and research associate at NBER. His research examines the effects of information technologies on business strategy, productivity and performance, digital commerce, and intangible assets. At MIT, he teaches courses on the Economics of Information and the Analytics Lab.

Stanley Fischer

Dr. Fisher served as the Vice Chair of the Board of Governors of the Federal Reserve system from 2014 through 2017 Prior to his appointment to the Board, Dr. Fisher was governor of the Bank of Israel. He was previously Vice Chairman of Citigroup, served as the first Deputy Managing Director of the International Monetary Fund and was a Professor of Economics at the Massachusetts Institute of Technology.

Timothy Geithner

Mr. Geithner currently serves as President of Warburg Pincus. In this role, he focuses on overall firm strategy and management, investing and portfolio management, organizational and funding structure, and investor relations. Previously, Mr. Geithner served as the 75th Secretary of the U.S. Department of the Treasury from 2009 to 2013 and President of the Federal Reserve Bank of New York from 2003 to 2009.

Dina Powell

Ms. Powell was the U.S. Deputy National Security Advisor for Strategy to President Donald Trump in 2017, and served as Secretary of State for Public Diplomacy under President George W. Bush. Previously with Goldman Sachs, she led their Impact Investing business and the Environmental Markets Group. She returned to Goldman Sachs in March 2018.

Eswar Prasad

Dr. Prasad is the Tolani Senior Professor of Trade Policy and Professor of Economics at Cornell University. He is also a Senior Fellow at the Brookings Institution, where he holds the New Century Chair in International Trade and Economics, and a Research Associate at the National Bureau of Economic Research. He is a former head of the IMF’s China Division.

Andres Velasco

Dr. Velasco is a Professor of Professional Practice in International Development at Columbia University. He served as Finance Minister of Chile under President Michelle Bachelet and previously served as Sumitomo-FASID Professor of International Finance and Development at the Harvard Kennedy School of Government from 2000 to 2011.

PIMCO Global Advisory Board

To enhance our internal knowledge, we involve distinguished outside experts who help broaden our perspective on developments that are shaping the global economy and markets.

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Featured Expert

Ben S. Bernanke 

Former Federal Reserve Chairman

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Featured Expert

Joshua Bolten 

President and CEO of the Business Roundtable

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Featured Expert

Gordon Brown 

Former Prime Minister of the U.K.

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Featured Expert

Ng Kok Song 

Former Group CIO of the Government of Singapore Investment Corporation

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Featured Expert

Anne-Marie Slaughter 

President and CEO of New America

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Featured Expert

Jean-Claude Trichet 

Former President of the European Central Bank

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Additional Contributors

Featured Expert

Robert Arnott 

Founder and Chairman, Research Affiliates

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Featured Expert

Gene Sperling 

President of Sperling Economic Strategies

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Disclosures

Past performance is not a guarantee or a reliable indicator of future results.

All investments contain risk and may lose value. Investing in the bond market is subject to risks, including market, interest rate, issuer, credit, inflation risk, and liquidity risk. The value of most bonds and bond strategies are impacted by changes in interest rates. Bonds and bond strategies with longer durations tend to be more sensitive and volatile than those with shorter durations; bond prices generally fall as interest rates rise, and the current low interest rate environment increases this risk. Current reductions in bond counterparty capacity may contribute to decreased market liquidity and increased price volatility. Bond investments may be worth more or less than the original cost when redeemed. Corporate debt securities are subject to the risk of the issuer’s inability to meet principal and interest payments on the obligation and may also be subject to price volatility due to factors such as interest rate sensitivity, market perception of the creditworthiness of the issuer and general market liquidity. Inflation-linked bonds (ILBs) issued by a government are fixed income securities whose principal value is periodically adjusted according to the rate of inflation; ILBs decline in value when real interest rates rise. Treasury Inflation-Protected Securities (TIPS) are ILBs issued by the U.S. government. Investing in foreign-denominated and/or -domiciled securities may involve heightened risk due to currency fluctuations, and economic and political risks, which may be enhanced in emerging markets. Currency rates may fluctuate significantly over short periods of time and may reduce the returns of a portfolio. High yield, lower-rated securities involve greater risk than higher-rated securities; portfolios that invest in them may be subject to greater levels of credit and liquidity risk than portfolios that do not. Commodities contain heightened risk, including market, political, regulatory and natural conditions, and may not be suitable for all investors. The value of real estate and portfolios that invest in real estate may fluctuate due to: losses from casualty or condemnation, changes in local and general economic conditions, supply and demand, interest rates, property tax rates, regulatory limitations on rents, zoning laws, and operating expenses. Private investments involve a high degree of risk that each prospective investor must carefully consider prior to making such an investment. Prospective investors are advised that investment in the Funds are suitable only for persons of adequate financial means who have no need for liquidity with respect to their investment and who can bear the economic risk, including the possible complete loss, of their investment. Socially responsible investing is qualitative and subjective by nature, and there is no guarantee that the criteria utilized, or judgment exercised, by PIMCO will reflect the beliefs or values of any one particular investor. Information regarding responsible practices is obtained through voluntary or third-party reporting, which may not be accurate or complete, and PIMCO is dependent on such information to evaluate a company’s commitment to, or implementation of, responsible practices. Socially responsible norms differ by region. There is no assurance that the socially responsible investing strategy and techniques employed will be successful. Management risk is the risk that the investment techniques and risk analyses applied by an investment a manger will not produce the desired results, and that certain policies or developments may affect the investment techniques available to manager in connection with managing the strategy. Diversification does not ensure against loss.

There is no guarantee that these investment strategies will work under all market conditions or are suitable for all investors and each investor should evaluate their ability to invest long-term, especially during periods of downturn in the market. Investors should consult their investment professional prior to making an investment decision.

This material contains the opinions of the manager and such opinions are subject to change without notice. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed.