Pacific FundsSM High Income

Class AClass CAdvisor Class
TickerFund NumberTickerFund NumberTickerFund Number
PLAHX112PLCHX312PLHYX012

Pacific Funds High Income is a mutual fund:

  • Designed for Income: Constructed to seek steady streams of higher income.
  • Focused on High-Yield Bonds: An asset class offering an attractive risk/return profile.
  • Based on Experience: A portfolio management team that specializes in fixed-income asset management based on a foundation of corporate credit research.

 

Fund Snapshot

Pacific Funds High Income seeks to generate higher levels of income. The Fund does this primarily through investments in high-yield corporate bonds, which typically generate higher levels of income than most investment-grade instruments.

 

Performance (as of 9/30/19) 

  Total Returns (%) Annualized Total Returns (%) 
  3-Month YTD 1-Year 3-Year 5-Year Since Fund Inception
12/19/11
Class A—NAV1 1.52 11.92 5.41 5.91 4.26 6.29
Class A—MOP1 –2.77 7.17 0.97 4.38 3.36 5.71
Class C—NAV1 1.33 11.46 4.77 5.20 3.52 5.53
Class C—MOP1 0.33 10.46 3.77 5.20 3.52 5.53
Advisor Class1 1.58 12.24 5.67 6.20 4.52 6.54
Bloomberg Barclays U.S. High-Yield 2% Issuer Capped Bond Index2 1.33 11.41 6.35 6.07 5.38 6.98

Calendar Year-End Returns (%)

  2012 2013 2014 2015 2016 2017 2018
Class A—NAV1 17.23 7.54 –0.24 –5.76  14.87 8.38 –4.06
Class A—MOP1 12.24 2.95 –4.47 –9.77  10.04 3.77 –8.12
Class C—NAV1 16.38 6.80 –0.96 –6.38  13.92 7.53 –4.74
Class C—MOP1 15.38 5.80 –1.90 –7.28  12.92 6.53 –5.65
Advisor Class1 17.35 7.79 0.02 –5.52  15.15 8.54 –3.82
Bloomberg Barclays U.S. High-Yield 2% Issuer Capped Bond Index2 15.78 7.44 2.46 –4.43  17.13 7.50 –2.08

Returns reflect investments of dividends and distributions.

1Share class incepted 6/29/12. Performance shown prior to that date is hypothetical and is that of Class I shares (12/19/11 inception date), restated to reflect applicable service and/or 12b-1 fees. Class A shares at maximum offering price (MOP) reflect the deduction of an up-front 4.25% sales load. Class C shares at MOP reflect the deduction of a 1.00% contingent deferred sales charge (CDSC). Advisor Class shares are sold at net asset value (NAV) without an initial sales charge and do not include a CDSC. Performance reflects any applicable fee waivers and expense reimbursements. If a sales charge had been deducted, the results would have been lower. 2Measures the performance of high-yield bonds with a 2% maximum allocation to any one issuer.

Indexes are unmanaged and cannot be invested in directly. Further, they hold no cash and incur no expenses.

Yield (as of 9/30/19) Advisor Class
30-Day SEC Yield (Advisor Shares)3 4.31%

Without fee waivers and expense reimbursements, the 30-Day SEC Yield is 3.99%.

3The 30-Day SEC Yield represents the net investment income earned over the 30-day period ending on the above date and includes any fee waivers and expense reimbursements. It is an annualized rate calculated under a methodology prescribed by the Securities and Exchange Commission (SEC). Yields for other share classes will vary.

Fund Composition (as of 9/30/19)

Asset Allocation (%)
High–Yield Bonds 77.96
Floating–Rate Loans 8.48
Investment–Grade Corporate Bonds 4.52
Asset–Backed Securities 1.91
Government Bonds 0.00
Cash 6.07
Equities 1.07

Characteristics
Duration (Years) 2.78
Weighted Average Maturity 6.23
Weighted Average Price 102.17
Number of Issues 222
Number of Issuers 148

The weighted average price includes bonds and floating-rate loans.

Credit Quality Allocation (%)
BBB and Above 10.58
BB 44.97
B 32.68
CCC and Below 10.69
N/R
0.01
Equities/Other 1.07

Ratings received from S&P®, Moody’s, and/or Fitch and measured on a scale that generally ranges from AAA (highest) to D (lowest) and may change over time. The higher rating is used when rating agencies rate a security differently. All ratings are converted to the equivalent S&P major rating category for purposes of the category shown. 

Maturity Schedule (%)
Less than 1 year 6.07
1–3 years 5.64
3–5 years 17.16
5–7 years 44.18
7–10 years 21.21
10–20 years 3.61
More than 20 years 1.05
Equities 1.07
Distributions (Advisor Class) Per Share Amount ($)
July 2019 0.0492
August 2019 0.0445
September 2019 0.0467

Top-10 Holdings Maturity Weight (%)
Ally Financial Inc. 5.75%  11/20/25 1.99
Level 3 Financing, Inc. 5.25% 3/15/26 1.68
Ahern Rentals, Inc. 7.375%  5/15/23 1.50
Howard Hughes Corporation 5.375% 3/15/25 1.41
Bway Holding Co., Inc. 7.25%  4/15/25 1.26
Sprint Corp. 7.875%  9/15/23 1.26
Neptune Finco Corp. 6.625% 10/15/25 1.20
Beazer Homes Usa, Inc. 5.875% 10/15/27 1.18
Itron, Inc. 5.0%  1/15/26 1.11
Sensata Technologies 5.625%  11/1/24 1.07
Total   13.65
Top-10 Industries (%)
Consumer Cyclical 20.64
Capital Goods 17.34
Communications 13.59
Energy 11.86
Consumer Non-Cyclical 9.12
Basic Industry 4.30
Finance Companies 3.47
Technology 3.14
Other Industrial 3.09
Banking 2.15

About Principal Risks

All investing involves risks including the possible loss of the principal amount invested. There is no guarantee the Fund will achieve its investment goal. Corporate bonds are subject to issue risk in that their value may decline for reasons directly related to the issuer of the security. Not all U.S. government securities are checked or guaranteed by the U.S. government, and different government securities are subject to varying degrees of credit risk. Mortgage-related and other asset-backed securities are subject to certain rules affecting the housing market or the market for the assets underlying such securities. The Fund is subject to liquidity risk (the risk that an investment may be difficult to purchase, value, and sell particularly during adverse market conditions, because there is a limited market for the investment, or there are restrictions on resale) and credit risk (the risk an issuer may be unable or unwilling to meet its financial obligations, risking default). High-yield/high-risk bonds (“junk bonds”) and floating-rate loans (usually rated below investment grade) have greater risk of default than higher-rated securities/higher-quality bonds that may have a lower yield.The Fund is also subject to foreign-markets risk.

 

Investment Management

Portfolio Managers (since inception): Pacific Asset Management

Brian M. Robertson, CFA: Managing Director; 17 years of investment experience

C. Robert Boyd: Senior Managing Director; 22 years of investment experience

Investment Adviser

Pacific Life Fund Advisors LLC

Fund Information (as of 9/30/19)

DOL - Pacific Funds

Pacific Life Insurance Company is the administrator for Pacific Funds. It is not a fiduciary and therefore does not give advice or make recommendations regarding insurance or investment products.

Investors should consider a fund's investment goal, risks, charges, and expenses carefully before investing. The prospectus and/or the applicable summary prospectus contain this and other information about the fund and are available from your financial advisor. The  prospectus and/or summary prospectus should be read carefully before investing.

Duration measures a fund’s sensitivity to interest-rate risk where the longer a fund’s duration, the more sensitive, and vice versa. Maturity of a debt instrument, refers to the specific period of time until final payment (principal and any applicable interest) is due.

Pacific Funds and Pacific Asset Management (PAM) are registered service marks of Pacific Life Insurance Company (“Pacific Life”). S&P is a registered trademark of Standard & Poor’s Financial Services LLC. All third party trademarks referenced by Pacific Life, such as S&P, belong to their respective owners. References of third party trademarks do not indicate or signify any relationship, sponsorship or endorsement between Pacific Life and the owners of referenced trademarks.

All share classes may not be available at all firms, and not all investors may be eligible for all share classes.

PLFA3

Pacific Life Fund Advisors LLC (PLFA), a wholly-owned subsidiary of Pacific Life, is the investment adviser to Pacific Funds. PLFA also does business under the name Pacific Asset Management and manages certain funds under that name.

PSD2

Pacific Funds are distributed by Pacific Select Distributors, LLC (member FINRA & SIPC), a subsidiary of Pacific Life Insurance Company (Newport Beach, CA), and are available through licensed third parties. Pacific Funds refers to Pacific Funds Series Trust.

AM6

No bank guarantee. May lose value. Not FDIC insured.