PCK - PIMCO Monthly Update August 2020: Coverage Scares Investors Providing An Opportunity

Coverage and UNII Update

The new report came out with a lot of questions surrounding the low coverage ratios. It led to a significant sell off in some of the funds:

• PIMCO Income Opp (PKO): -2.66%
• PIMCO Dynamic Income (PDI): -1.58%
• PIMCO Dynamic Credit & Mort (PCI): -0.63%
• PIMCO Income Strategy (PFL): -1.18%

While these are not catastrophic numbers, they do indicate a level of fear and uncertainty. The selling pressure almost was certainly attributed to the UNII Report that came out the night before showing the