- PFL's great long-term performance can be interrupted by huge downdrafts such as the nearly 50% loss during the March 2020 COVID crash.
- The fund has recovered well since March and 1-year total return is now comparable to popular lower-risk index ETF's.
- The fund's monthly distribution of $0.09 has been consistent since 2012 and the yield is around 9.7%.
- PFL typically trades at a premium to net asset value and goes through periods where distributions are greater than net investment income.
- PFL is a buy for those expecting continued economic recovery in 2021 but remains much riskier than traditional fixed income index ETF's.
For further details see:
PIMCO Income Strategy Fund - High Return For High Risk