- We take a look at PIMCO CEF leverage and coverage numbers from March.
- PDO has finally leveraged up to a middle-of-the-pack level in the taxable suite and looks attractive from a valuation perspective, though not as much as its low premium suggests.
- Coverage remains high in the tax-exempt suite and relatively stable in the taxable suite as the August 2020 earn-ageddon is behind us.
- Overall, PIMCO taxable premiums have reached very elevated levels, particularly when we take into account the distribution cuts of 2020.
For further details see:
PDO: Updating Our View And PIMCO CEF March Update