PIMCO FUNDS: GLOBAL INVESTORS SERIES PLC Annual Report - … · Any disputes as to the terms of the Annual Report, regardless of the language of the Annual Report, shall be governed

PIMCO FUNDS: GLOBAL INVESTORS SERIES PLC

Annual Report31 December 2018

An open-ended investment company with variable capital and segregated liability between Funds incorporated with limited liabilityunder the Companies Act 2014 with registered number 276928 and authorised by the Central Bank of Ireland as an undertakingfor collective investment in transferable securities pursuant to the European Communities (Undertakings for Collective Investmentin Transferable Securities [“UCITS”]) Regulations, 2011 (as amended).

PIMCO Funds: Global Investors Series plc Annual Report 31 December 2018

GENERAL CHARACTERISTICS

Fund Type:UCITS

Number of Funds offered in the Company:58 Funds

Classes of Shares offered in the Company*:InstitutionalInstitutional AUD (Hedged)Institutional BRL (Hedged)Institutional CAD (Hedged)Institutional CHF (Hedged)Institutional CHF (Partially Hedged)Institutional CHF (Unhedged)Institutional CZK (Hedged)Institutional DKK (Partially Hedged)Institutional EUR (Currency Exposure)Institutional EUR (Hedged)Institutional EUR (Partially Hedged)Institutional EUR (Unhedged)Institutional GBP (Currency Exposure)Institutional GBP (Hedged)Institutional GBP (Partially Hedged)Institutional GBP (Unhedged)Institutional HKD (Unhedged)Institutional HUF (Hedged)Institutional ILS (Hedged)Institutional JPY (Hedged)Institutional NOK (Hedged)Institutional NOK (Partially Hedged)Institutional NZD (Hedged)Institutional PLN (Hedged)Institutional SEK (Hedged)Institutional SGD (Hedged)Institutional USD (Currency Exposure)Institutional USD (Hedged)Institutional USD (Unhedged)InvestorInvestor AUD (Hedged)Investor CAD (Hedged)Investor CHF (Hedged)Investor CHF (Unhedged)Investor EUR (Hedged)Investor EUR (Unhedged)Investor GBP (Hedged)Investor NOK (Hedged)Investor RMB (Hedged)Investor SEK (Hedged)Investor SGD (Hedged)Investor USD (Currency Exposure)AdministrativeAdministrative AUD (Hedged)Administrative CHF (Hedged)Administrative EUR (Hedged)Administrative GBP (Hedged)Administrative HKD (Unhedged)Administrative SEK (Hedged)Administrative SGD (Hedged)E ClassE Class AUD (Hedged)E Class CHF (Hedged)E Class EUR (Currency Exposure)E Class EUR (Hedged)E Class EUR (Partially Hedged)E Class EUR (Unhedged)E Class GBP (Hedged)E Class HKD (Unhedged)E Class JPY (Hedged)E Class RMB (Hedged)E Class SGD (Hedged)E Class USD (Currency Exposure)E Class USD (Hedged)E Class USD (Unhedged)

G InstitutionalG Institutional EUR (Hedged)G Institutional EUR (Partially Hedged)G Institutional EUR (Unhedged)G Retail EUR (Hedged)H InstitutionalH Institutional EUR (Hedged)M RetailM Retail AUD (Hedged)M Retail HKD (Unhedged)M Retail SGD (Hedged)R ClassR Class EUR (Hedged)R Class GBP (Hedged)R Class GBP (Unhedged)R Class SEK (Hedged)R Class USD (Currency Exposure)T ClassT Class EUR (Hedged)T Class EUR (Unhedged)T Class USD (Unhedged)Z ClassZ Class AUD (Hedged)Z Class EUR (Hedged)Z Class EUR (Unhedged)Z Class GBP (Hedged)

Types of Shares:Within each Class, subject to the relevant Supplement, the Companymay issue either or all Income Shares (Shares which distribute income),Accumulation Shares (Shares which accumulate income) and Income IIShares (Shares which seek to provide an enhanced yield). Within theInvestor Classes, the Income Fund and the Low Duration Income Fundmay also issue Income A Shares (shares which distribute income on anannual basis).

Net Assets (Amounts in thousands):USD 144,323,640

Minimum Holding:The Institutional, Investor, Administrative, G Institutional and HInstitutional Share Classes require a minimum holding of USD500,000or its equivalent in the relevant Share Class currency. E Class, G Retail,M Retail, R Class and T Class Share Classes require a minimum holdingof USD1,000 or its equivalent in the relevant Share Class currency asappropriate. Z Classes require a minimum holding of USD20 million orits equivalent in the relevant Share Class currency. Pacific InvestmentManagement Company LLC, at sole discretion, is authorised to waivethe minimum initial subscription, and minimum holding requirements asset forth in the current Prospectus.

Dealing Day:In relation to a Fund such day or days as shall be specified in therelevant Supplement for that Fund provided that in any event there willbe one Dealing Day per fortnight. The Directors have delegated toPIMCO the authority to change the frequency of Dealing Days per Fund.Any change in the frequency of Dealing Days must receive the priorapproval of the Depositary and will be notified to Shareholders of theaffected Fund(s) in advance.Notwithstanding the foregoing, it will not be a Dealing Day for any Fundwhere either as a result of public holidays or market/stock exchangeclosures in any jurisdiction, it makes it difficult (i) to administer a Fundor (ii) value a portion of a Fund’s assets. For further details on proposedFund closures throughout the year, Shareholders and prospectiveinvestors should contact the Administrator or consult the Funds HolidayCalendar (a copy of which is also available from the Administrator).

Funds’ Functional Currency:USD ($), except the UK Corporate Bond Fund and UK Long TermCorporate Bond Fund which are denominated in British Pound Sterling(£), and the Dynamic Multi-Asset Fund, Euro Bond Fund, Euro CreditFund, Euro Income Bond Fund, Euro Long Average Duration Fund, EuroLow Duration Fund, Euro Short-Term Fund, PIMCO RAE Europe Fundand PIMCO RAFI Dynamic Multi-Factor Europe Equity Fund which aredenominated in Euro (€).

* Each Fund does not offer all of the Classes of Shares listed.

PIMCO Funds: Global Investors Series plc Annual Report 31 December 2018

GENERAL CHARACTERISTICS (Cont.)

Hong Kong Authorisation:The following Funds are not authorised in Hong Kong, and arenot available to Hong Kong residents:

PIMCO Capital Securities FundPIMCO Credit Opportunities Bond FundDynamic Bond FundDynamic Multi-Asset FundDiversified Income Duration Hedged FundEmerging Markets Corporate Bond FundEuro Bond FundEuro Credit FundEuro Income Bond FundEuro Long Average Duration FundEuro Low Duration FundEuro Short-Term FundGlobal Advantage FundGlobal Advantage Real Return FundGlobal Bond ESG FundGlobal Bond Ex-US FundGlobal Investment Grade Credit ESG FundGlobal Libor Plus Bond FundGlobal Low Duration Real Return FundGlobal Multi-Asset FundInflation Strategy FundLow Duration Global Investment Grade Credit FundLow Duration Income FundPIMCO MLP & Energy Infrastructure FundMortgage Opportunities FundPIMCO RAE Emerging Markets FundPIMCO RAE Europe FundPIMCO RAE Global Developed FundPIMCO RAE PLUS Emerging Markets FundPIMCO RAE PLUS Global Developed FundPIMCO RAE PLUS US FundPIMCO RAE US FundSocially Responsible Emerging Markets Bond FundStocksPLUS™ FundStrategic Income FundPIMCO TRENDS Managed Futures Strategy FundUK Corporate Bond FundUK Long Term Corporate Bond FundUS Investment Grade Corporate Bond FundUS Short-Term Fund

Singapore AuthorisationThe following Funds are not recognised by the MonetaryAuthority of Singapore under the Securities and Futures Act,Chapter 289 of Singapore, and hence are not available to theretail public in Singapore:

PIMCO Capital Securities FundPIMCO Credit Opportunities Bond FundDynamic Multi-Asset FundEuro Credit FundEuro Income Bond FundEuro Long Average Duration FundEuro Low Duration FundEuro Short-Term FundGlobal Bond ESG FundGlobal Investment Grade Credit ESG FundGlobal Libor Plus Bond FundGlobal Low Duration Real Return FundInflation Strategy FundPIMCO MLP & Energy Infrastructure FundMortgage Opportunities FundPIMCO RAE Emerging Markets FundPIMCO RAE Europe FundPIMCO RAE Global Developed FundPIMCO RAE PLUS Emerging Markets FundPIMCO RAE PLUS Global Developed FundPIMCO RAE PLUS US FundPIMCO RAE US FundSocially Responsible Emerging Markets Bond FundPIMCO TRENDS Managed Futures Strategy FundUK Corporate Bond FundUK Long Term Corporate Bond FundUS Short-Term Fund

Reuters Page:PAFPPLC

TM Registered trademark or trademark of Pacific Investment Management Company LLC in the United States and/or other countries

Table of Contents

Page

Chairman’s Letter 4

Important Information About the Funds 5

Benchmark Descriptions 71

Statement of Assets and Liabilities 78

Statement of Operations 98

Statement of Changes in Net Assets 118

Schedule of Investments 124

Notes to Financial Statements 710

Directors’ Report 825

Independent Auditors’ Report 828

Depositary’s Report 832

Remuneration Disclosures (Unaudited) 833

Significant Changes in Portfolio Composition (Unaudited) 834

Reference Information (Unaudited) 893

Glossary (Unaudited) 916

General Information (Unaudited) 921

FUND FundSummarySchedule ofInvestments

PIMCO Capital Securities Fund 6 124

Commodity Real Return Fund 8 133

PIMCO Credit Opportunities Bond Fund(1) 9 145

Diversified Income Fund 10 154

Diversified Income Duration Hedged Fund 12 170

Dynamic Bond Fund(2) 13 182

Dynamic Multi-Asset Fund 14 195

Emerging Asia Bond Fund 15 202

Emerging Local Bond Fund 16 207

Emerging Markets Bond Fund 17 218

Emerging Markets Corporate Bond Fund 18 230

Emerging Markets Short-Term Local Currency Fund 19 236

Euro Bond Fund 20 244

Euro Credit Fund 21 254

Euro Income Bond Fund 22 261

Euro Long Average Duration Fund 23 270

Euro Low Duration Fund 24 277

Euro Short-Term Fund 25 282

Global Advantage Fund 26 286

Global Advantage Real Return Fund 27 304

Global Bond Fund 28 315

Global Bond ESG Fund 30 337

Global Bond Ex-US Fund 31 349

Global High Yield Bond Fund 32 365

Global Investment Grade Credit Fund 33 375

Global Investment Grade Credit ESG Fund 36 401

Global Libor Plus Bond Fund 37 406

Global Low Duration Real Return Fund 38 416

Global Multi-Asset Fund 39 427

Global Real Return Fund 40 442

Income Fund 41 454

Inflation Strategy Fund 43 491

Low Average Duration Fund 44 502

Low Duration Global Investment Grade Credit Fund 45 510

Low Duration Income Fund 46 520

PIMCO MLP & Energy Infrastructure Fund 47 528

Mortgage Opportunities Fund 48 532

PIMCO RAE Emerging Markets Fund(3) 49 543

FUND FundSummarySchedule ofInvestments

PIMCO RAE Europe Fund(4) 50 549

PIMCO RAE Global Developed Fund(5) 51 554

PIMCO RAE PLUS Emerging Markets Fund(6) 52 561

PIMCO RAE PLUS Global Developed Fund(7) 53 568

PIMCO RAE PLUS US Fund(8) 54 577

PIMCO RAE US Fund(9) 55 584

PIMCO RAFI Dynamic Multi-Factor Emerging Markets Equity Fund 56 587

PIMCO RAFI Dynamic Multi-Factor Europe Equity Fund 57 593

PIMCO RAFI Dynamic Multi-Factor Global Developed Equity Fund 58 597

PIMCO RAFI Dynamic Multi-Factor U.S. Equity Fund 59 603

Socially Responsible Emerging Markets Bond Fund 60 608

StocksPLUSTM Fund 61 618

Strategic Income Fund 62 628

Total Return Bond Fund 63 644

PIMCO TRENDS Managed Futures Strategy Fund 65 657

UK Corporate Bond Fund 66 664

UK Long Term Corporate Bond Fund 67 672

US High Yield Bond Fund 68 680

US Investment Grade Corporate Bond Fund 69 689

US Short-Term Fund 70 700

This annual report and audited financial statements (the “Annual Report”) may be translated into other languages. Any such translation shall only contain the same informationand have the same meaning as the English language Annual Report. To the extent that there is any inconsistency between the English language Annual Report and the AnnualReport in another language, the English language Annual Report will prevail, except to the extent (and only to the extent) that it is required by law of any jurisdiction where theshares are sold, that in an action based upon disclosure in a Annual Report in a language other than English, the language of the Annual Report on which such action is basedshall prevail. Any disputes as to the terms of the Annual Report, regardless of the language of the Annual Report, shall be governed by and construed in accordance with the lawsof Ireland.

(1) The PIMCO Credit Opportunities Bond Fund changed name from the PIMCO Credit Absolute Return Fund on 01 October 2018.(2) The Dynamic Bond Fund changed name from the Unconstrained Bond Fund on 01 October 2018.(3) The PIMCO RAE Emerging Markets Fund changed name from the PIMCO RAE Fundamental Emerging Markets Fund on 01 October 2018.(4) The PIMCO RAE Europe Fund changed name from the PIMCO RAE Fundamental Europe Fund on 01 October 2018.(5) The PIMCO RAE Global Developed Fund changed name from the PIMCO RAE Fundamental Global Developed Fund on 01 October 2018.(6) The PIMCO RAE PLUS Emerging Markets Fund changed name from the PIMCO RAE Fundamental PLUS Emerging Markets Fund on 01 October 2018.(7) The PIMCO RAE PLUS Global Developed Fund changed name from the PIMCO RAE Fundamental PLUS Global Developed Fund on 01 October 2018.(8) The PIMCO RAE PLUS US Fund changed name from the PIMCO RAE Fundamental PLUS US Fund on 01 October 2018.(9) The PIMCO RAE US Fund changed name from the PIMCO RAE Fundamental US Fund on 01 October 2018.

Chairman’s Letter

Dear Shareholder,

Following this letter is the PIMCO Funds: Global Investors Series plc Annual Report, which covers the 12-month reporting periodended 31 December 2018. On the subsequent pages you will find specific details regarding investment results and discussion ofthe factors that most affected performance during the reporting period.

For the 12-month reporting period ended 31 December 2018

The global economy continued to expand, but the pace moderated during the reporting period. According to the InternationalMonetary Fund (“IMF”), global growth for 2018 was estimated at 3.7%. Looking back, US gross domestic product (“GDP”) grewat an average annual pace of 3.3% for the first three quarters of 2018 and the US Department of Commerce’s initial reading forfourth-quarter 2018 GDP was 2.2%. Elsewhere, the IMF estimated 2018 GDP growth in the eurozone, UK and Japan was 1.8%,1.4% and 0.9%, respectively.

Against this backdrop, the European Central Bank (the “ECB”) and the Bank of Japan largely maintained their highlyaccommodative monetary policies. The ECB ended its quantitative easing program in December 2018, but recently indicated thatit does not expect to raise interest rates “at least through the end of 2019.” Meanwhile, other central banks took a more hawkishstance. The Bank of England raised rates at its meeting in August 2018 and the Bank of Canada raised rates twice during thereporting period.

The US Federal Reserve (the “Fed”) continued to normalise monetary policy during the reporting period. During its meetings thatconcluded in March, June, September and December 2018, the Fed raised the federal funds rate in 0.25% increments. The Fed’sDecember rate hike pushed the federal funds rate to a range between 2.25% and 2.50%. In addition, the Fed continued toreduce its balance sheet during the reporting period.

The US Treasury yield curve flattened during the reporting period as short-term rates moved up more than longer-term rates. In ourview, the increase in rates at the short end of the yield curve was mostly due to Fed interest rate increases. The yield on thebenchmark 10-year US Treasury note was 2.69% at the end of the reporting period, up from 2.40% on 31 December 2017. TheBloomberg Barclays Global Treasury Index (USD hedged), which tracks fixed-rate, local currency government debt of investment gradecountries, including both developed and emerging markets, returned 2.82% over the 12 months ended 31 December 2018.Meanwhile, the Bloomberg Barclays Global Aggregate Credit Index (USD hedged), a widely used index of global investment gradecredit bonds, returned -0.47% over the period. Riskier fixed income asset classes, including high yield corporate bonds and emergingmarket debt, generated weaker results. The ICE BofAML Developed Markets High Yield Constrained Index (USD hedged) returned-1.98% over the reporting period, whereas emerging market external debt, as represented by the JPMorgan Emerging Markets BondIndex (EMBI) Global (USD hedged), returned -4.61% over the reporting period. Emerging market local bonds, as represented by theJPMorgan Government Bond Index-Emerging Markets Global Diversified Index (Unhedged), returned -6.21% over the period.

US equities moved sharply higher over the first nine months of the period, driven by a number of factors, including corporateprofits that often exceeded expectations. However, US equities fell sharply during the fourth quarter of 2018. We believe this wastriggered by a number of factors, including signs of moderating global growth, concerns over future Fed rate hikes, the ongoingtrade dispute between the US and China and the partial US government shutdown. All told, US equities, as represented by theS&P 500 Index, returned -4.38% during the reporting period. Elsewhere, emerging market equities, as measured by the MSCIEmerging Markets Index, returned -14.58% during the reporting period, whereas global equities, as represented by the MSCIWorld Index, returned -8.71%. Japanese equities, as represented by the Nikkei 225 Index (in JPY), returned -10.39% during thereporting period and European equities, as represented by the MSCI Europe Index (in EUR), returned -10.57%.

Commodity prices fluctuated and generally declined during the reporting period. In January 2018, West Texas crude oil wasapproximately $65 a barrel, but by December 2018, it was roughly $45 a barrel. This was driven in part by increased supply anddeclining global demand. Elsewhere, gold and copper prices also moved lower during the reporting period.

Finally, foreign exchange markets experienced periods of volatility, due in part to signs of decoupling economic growth andcentral bank policies, along with a number of geopolitical events. The US Dollar produced mixed results against other majorcurrencies during the reporting period. For example, the US Dollar appreciated 4.71% and 5.90% versus the Euro and the BritishPound, respectively, whereas the US Dollar depreciated 2.66% versus the Yen during the reporting period.

Thank you for the trust you have placed in PIMCO. We deeply value your trust, and we will continue to work diligently to meetyour broad investment needs. If you have questions regarding the PIMCO Funds: Global Investors Series plc, please contact theAdministrator at +353 (1) 776 9990.

Sincerely,

Craig A. DawsonChairman

Past performance is no guarantee of future results. Unless otherwise noted, index returns reflect the reinvestment of incomedistributions and capital gains, if any, but do not reflect fees, brokerage commissions or other expenses of investing. It is notpossible to invest directly in an unmanaged index.

4 PIMCO FUNDS: GLOBAL INVESTORS SERIES PLC

Important Information About the Funds

This material is authorised for use only when preceded or accompanied by the current PIMCO Funds: Global Investors Series plcProspectus. Investors should consider the investment objectives, risks, charges and expenses of these Funds carefully before investing. Thisand other information is contained in the Prospectus. Please read the Prospectus carefully before you invest or send money.

We believe that bond funds have an important role to play in a well diversified investment portfolio. It is important to note, however, that in anenvironment where interest rates may trend upward, rising rates will negatively impact the performance of most bond funds, and fixed-incomesecurities held by a Fund are likely to decrease in value. The price volatility of fixed-income securities can also increase during periods of risinginterest rates, resulting in increased losses to a Fund. Bond funds and individual bonds with a longer duration (a measure of the expected lifeof a security) tend to be more sensitive to changes in interest rates, usually making them more volatile than securities or funds with shorterdurations. The longer-term performance of most bond funds has benefited from capital gains in part resulting from an extended period ofdeclining interest rates. In the event interest rates increase, these capital gains should not be expected to recur.

The Funds may be subject to various risks in addition to those described above. Some of these risks may include, but are not limited to, thefollowing: real rate risk, derivative risk, small company risk, foreign security risk, high-yield security risk and specific sector investment risks. TheFunds may use derivative instruments for hedging purposes or as part of an investment strategy. Use of these instruments may involve certaincosts and risks such as liquidity risk, interest rate risk, market risk, credit risk, management risk and the risk that a Fund could not close out aposition when it would be most advantageous to do so. Funds investing in derivatives could lose more than the principal amount invested inthese instruments. Investing in foreign securities may entail risk due to foreign economic and political developments; this risk may be enhancedwhen investing in emerging markets. High-yield bonds typically have a lower credit rating than other bonds. Lower rated bonds generallyinvolve a greater risk to principal than higher rated bonds. Smaller companies may be more volatile than larger companies and may entail morerisk. Concentrating investments in individual sectors may add additional risk and volatility compared to a diversified fund.

Past performance is no guarantee of future results. On each individual Fund summary page in this Report, the Total Return InvestmentPerformance table measures performance assuming that all dividend and capital gain distributions were reinvested. Investment return andprincipal value will fluctuate so that Fund shares, when redeemed, may be worth more or less than their original cost. Returns do not reflectthe deduction of taxes that a shareholder would pay (i) on Fund distributions or (ii) the redemption of Fund shares. Current performance maybe lower or higher than the performance data quoted. All Fund returns are net of fees and expenses.

An investment in a Fund is not a deposit in a bank and is not guaranteed or insured by any government agency. The value of and income fromShares in the Fund may go up or down and you may not get back the amount you have invested in the Funds.

PIMCO Funds: Global Investors Series plc is distributed by PIMCO Europe Ltd., 11 Baker Street, London W1U 3AH, England; PIMCO Asia PteLtd., 8 Marina View #30-01, Asian Square Tower 1, Singapore 018960, PIMCO Asia Limited, Suite 2201, 22nd Floor, Two InternationalFinance Centre, 8 Finance Street, Central Hong Kong and PIMCO Australia Pty Ltd., Level 19, 5 Martin Place, Sydney, New South Wales 2000,Australia; www.pimco.com.

Annual Report 31 December 2018 5

PIMCO Capital Securities Fund

Average Annual Total Return for the Period Ended 31 December 20181

1 Year ClassInception

Classes denominated in USD

Institutional Accumulation (Inception 31-Jul-2013) (4.42%) 5.41%

Institutional Income (Inception 23-Sep-2014) (4.44%) 3.78%

Investor Accumulation (Inception 19-May-2014) (4.83%) 3.30%

Investor Income (Inception 19-May-2014) (4.73%) 3.33%

Administrative Accumulation (Inception 09-Aug-2013) (4.88%) 4.76%

Administrative Income (Inception 09-Aug-2013) (4.91%) 4.74%

E Class Accumulation (Inception 28-Oct-2013) (5.28%) 3.93%

E Class Income (Inception 19-May-2014) (5.25%) 2.78%

M Retail Income II (Inception 23-Dec-2013) (5.22%) 3.54%

R Class Income (Inception 18-Mar-2014) (4.62%) 3.78%

T Class Income (Inception 16-Oct-2014) (5.67%) 3.06%

Z Class Income (Inception 31-Oct-2013) (3.62%) 5.62%

3 Month USD LIBOR Index 2.20% 0.87%2

Classes denominated in AUD

Investor AUD (Hedged) Income (Inception 23-May-2018) — (3.34%)

Z Class AUD (Hedged) Income (Inception 11-Aug-2015) (3.95%) 4.85%

Bloomberg AusBond Bank Bills Index 1.92% 1.95%2

Classes denominated in BRL

Institutional BRL (Hedged) Accumulation (Inception 02-Jan-2018) — (16.80%)

ICE BofAML 3 Month USD LIBOR Index Hedged BRL Denominated in USD — (10.97%)

Classes denominated in CAD

Investor CAD (Hedged) Income (Inception 25-Jun-2018) — (2.40%)

3 Month USD LIBOR (CAD Hedged) Index — 0.79%

Classes denominated in CHF

Institutional CHF (Hedged) Accumulation (Inception 09-Aug-2013) (7.46%) 3.50%

E Class CHF (Hedged) Accumulation (Inception 18-Jun-2014) (8.27%) 0.44%

3 Month USD LIBOR (Hedged to CHF) (0.91%) (0.86%)2

Classes denominated in CNH

Investor RMB (Hedged) Income (Inception 25-Jun-2018) — (1.27%)

3 Month USD LIBOR (CNH Hedged) Index — 1.79%

Classes denominated in EUR

Institutional EUR (Hedged) Accumulation (Inception 09-Aug-2013) (7.16%) 3.96%

Institutional EUR (Hedged) Income (Inception 09-Aug-2013) (7.13%) 3.96%

Institutional EUR (Hedged) Income II (Inception 29-Jul-2014) (7.10%) 2.04%

Investor EUR (Hedged) Accumulation (Inception 26-Feb-2016) (7.44%) 4.06%

Administrative EUR (Hedged) Accumulation (Inception 09-Aug-2013) (7.53%) 3.44%

E Class EUR (Hedged) Accumulation (Inception 28-Oct-2013) (7.90%) 2.60%

E Class EUR (Hedged) Income (Inception 30-Oct-2015) (7.94%) 0.73%

R Class EUR (Hedged) Income (Inception 18-Jun-2014) (7.20%) 1.69%

T Class EUR (Hedged) Accumulation (Inception 30-Sep-2014) (8.30%) 1.15%

3 Month Euribor (0.32%) (0.11%)2

Classes denominated in GBP

Institutional GBP (Hedged) Accumulation (Inception 09-Aug-2013) (6.10%) 4.65%

Institutional GBP (Hedged) Income (Inception 31-Jul-2013) (6.13%) 4.78%

R Class GBP (Hedged) Income (Inception 18-Jun-2014) (6.25%) 2.42%

3 Month GBP LIBOR Index 0.71% 0.54%2

Investment Objective and Strategy Overview

PIMCO Capital Securities Fund seeks to providefocused exposure to attractively priced CapitalSecurities (as defined in the Prospectus) togetherwith maximum total return, consistent withpreservation of capital and prudent investmentmanagement, by investing in an activelymanaged portfolio of Fixed Income Instruments(as defined in the Prospectus) and othersecurities of which at least 80% will be investedin Capital Securities in accordance with thepolicies set out in the Fund’s Supplement.

Fund Insights

The following affected performance during thereporting period:

» Exposure to legacy tier 1 instruments from aselect Japanese issuer, which announcedtheir decision to call the bonds, contributedto performance.

» Exposure to a select new issue of senior debtfrom an Italian bank, which outperformed,contributed to performance.

» Long exposure to Additional Tier 1 bonds,particularly from peripheral and UK banksdetracted from performance, as spreadswidened amid macro related uncertaintiesand risk-off market sentiment.

» Tactical exposure to European banks’equities detracted from performance.

» Long exposure to banks’ senior debtdetracted from performance, as rates movedhigher and spreads widened.


PIMCO Capital Securities Fund (Cont.)

Average Annual Total Return for the Period Ended 31 December 20181 (Cont.)


Classes denominated in HKD

M Retail HKD (Unhedged) Income (Inception 28-Jul-2017) (5.16%) (1.55%)

3 Month HIBOR Index 1.71% 1.43%

Classes denominated in SEK

Administrative SEK (Hedged) Accumulation (Inception 13-Feb-2015) (7.78%) 1.24%

3 Month STIBOR Index (0.41%) (0.41%)

Classes denominated in SGD

Institutional SGD (Hedged) Income II (Inception 30-Oct-2015) (5.21%) 3.56%

Investor SGD (Hedged) Income (Inception 23-May-2018) — (3.68%)

M Retail SGD (Hedged) Income II (Inception 23-Dec-2013) (6.03%) 3.54%

3 Month SGD LIBOR Index 1.63% 1.06%2

1 Annualised performance for periods of at least one year, otherwise cumulative.2 Benchmark inception performance is calculated from the inception date of the oldest share class.


Commodity Real Return Fund




Institutional Accumulation (Inception 31-Aug-2006) (13.19%) (4.24%)

Investor Accumulation (Inception 11-Aug-2011) (13.51%) (8.66%)

E Class Accumulation (Inception 21-Sep-2007) (13.98%) (6.00%)

E Class Income (Inception 31-Oct-2006) (13.99%) (5.03%)

Bloomberg Commodity Index Total Return (11.25%) (5.41%)2


Institutional EUR (Hedged) Accumulation (Inception 08-Jun-2010) (15.49%) (5.39%)

E Class EUR (Hedged) Accumulation (Inception 07-Mar-2012) (16.44%) (9.85%)

G Institutional EUR (Hedged) Income (Inception 20-Mar-2018) — (13.80%)

Bloomberg Commodity Index Total Return (EUR Hedged) (15.38%) (6.76%)2


Institutional GBP (Hedged) Accumulation (Inception 01-Mar-2017) (14.67%) (8.18%)

Bloomberg Commodity Index Total Return (GBP Hedged) (12.84%) (7.34%)



Commodity Real Return Fund seeks to maximisetotal return consistent with prudent investmentmanagement by investing in derivativeinstruments (which may be listed or OTC),including swap agreements, futures, options onfutures and structured notes and commodityindex-linked notes, which enable it to gainexposures to any of the indices and sub-indicesreferencing commodities (including but notlimited to any index within the BloombergCommodity family of indices) which meet withthe requirements of the Central Bank of Ireland.Details of any indices utilised by the Fund andthe types of commodities they reference will beavailable from the Investment Advisors uponrequest. These instruments will provide exposureto the investment returns of the commoditiesmarkets without investing directly in physicalcommodities, and will be backed by an activelymanaged portfolio of global Fixed IncomeInstruments (as defined in the Prospectus). TheFund may also invest in common and preferredstocks as well as convertible securities of issuersin commodity-related industries.

Fund Insights


» An overweight to German intermediatematurity nominal sovereign interest ratesadded to relative returns.

» An underweight to Italian nominal sovereigninterest rates added to relative returns.

» An underweight to UK intermediate maturitynominal sovereign interest rates detractedfrom relative returns.

» Within spread sectors, an overweight toexternal emerging markets detracted fromrelative returns.


PIMCO Credit Opportunities Bond Fund




Institutional Accumulation (Inception 14-Oct-2011) (1.50%) 3.11%

Investor Accumulation (Inception 01-Mar-2017) (1.90%) 1.62%

Investor Income (Inception 01-Mar-2017) (1.90%) 1.61%

E Class Accumulation (Inception 21-Dec-2012) (2.47%) 1.08%



Institutional CHF (Hedged) Accumulation (Inception 17-Dec-2012) (4.63%) 0.47%

3 Month USD LIBOR (Hedged to CHF) (0.91%) (0.78%)


Institutional EUR (Hedged) Accumulation (Inception 14-Oct-2011) (4.27%) 2.15%

Institutional EUR (Hedged) Income II (Inception 01-Oct-2013) (4.28%) 1.07%

E Class EUR (Hedged) Accumulation (Inception 21-Dec-2012) (5.12%) 0.00%

T Class EUR (Hedged) Accumulation (Inception 30-Sep-2014) (5.37%) (0.71%)

3 Month Euribor (0.32%) 0.09%2



PIMCO Credit Opportunities Bond Fund seeksmaximum long-term return consistent withpreservation of capital and prudent investmentmanagement, by investing at least 80% of itsnet assets in a diversified portfolio of FixedIncome Instruments (as defined in theProspectus). Investments will include bonds,debt securities and other similar instrumentsissued by various public or private sector entitieson a global basis.

Fund Insights


» Long exposure to non-agency MBS, whichposted positive returns over the reportingperiod, contributed to performance.

» Short exposure to the Retail sector in thesecond half of the year contributed toperformance, as the sector posted negativeabsolute returns.

» Long exposure to US duration detracted fromperformance, as rates rose over the year.

» Long exposure to EM external debt detractedfrom performance, as the sector postednegative returns.

» Long exposure to the Building Materialssector detracted from performance, as thesector posted negative absolute returns.


Diversified Income Fund




Institutional Accumulation (Inception 30-Jun-2005) (1.26%) 6.30%

Institutional Income (Inception 08-Sep-2008) (1.31%) 6.66%

Investor Accumulation (Inception 30-Apr-2013) (1.59%) 2.85%

Investor Income (Inception 30-Apr-2013) (1.59%) 2.83%

Administrative Income (Inception 21-Jul-2011) (1.74%) 4.34%

E Class Accumulation (Inception 11-Sep-2006) (2.11%) 5.38%

E Class Income (Inception 31-Jul-2006) (2.10%) 5.47%

H Institutional Accumulation (Inception 08-Jun-2011) (1.42%) 4.66%

M Retail Income (Inception 30-Nov-2010) (2.15%) 4.25%


R Class Income (Inception 30-Nov-2012) (1.44%) 3.44%

T Class Accumulation (Inception 16-Oct-2014) (2.53%) 2.66%


1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, USD Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,USD Hedged; and JPMorgan EMBI Global, USD Hedged3 (2.23%) 5.86%2


M Retail AUD (Hedged) Income (Inception 19-Dec-2012) (2.33%) 4.02%

1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, AUD Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,AUD Hedged; and JPMorgan EMBI Global, AUD Hedged3 (2.48%) 4.66%


Institutional CHF (Hedged) Accumulation (Inception 24-Jun-2011) (4.40%) 3.37%

Institutional CHF (Hedged) Income (Inception 31-Aug-2012) (4.35%) 2.38%

1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, CHF Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,CHF Hedged; and JPMorgan EMBI Global, CHF Hedged3 (5.37%) 3.20%2


Institutional EUR (Hedged) Accumulation (Inception 14-Feb-2007) (3.99%) 5.50%

Institutional EUR (Hedged) Income (Inception 17-Oct-2007) (3.96%) 5.61%

Investor EUR (Hedged) Accumulation (Inception 05-Jul-2007) (4.33%) 5.40%

Investor EUR (Hedged) Income (Inception 15-Feb-2013) (4.26%) 1.96%

Administrative EUR (Hedged) Accumulation (Inception 20-Jul-2007) (4.52%) 5.25%

E Class EUR (Hedged) Accumulation (Inception 03-Jul-2007) (4.88%) 4.86%

E Class EUR (Hedged) Income (Inception 16-Oct-2009) (4.89%) 4.38%


T Class EUR (Hedged) Income (Inception 30-Sep-2014) (5.22%) 0.93%

1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, EUR Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,EUR Hedged; and JPMorgan EMBI Global, EUR Hedged3 (5.00%) 4.75%2


Institutional GBP (Hedged) Accumulation (Inception 16-May-2006) (2.93%) 6.35%

Institutional GBP (Hedged) Income (Inception 14-Feb-2006) (2.91%) 6.25%

Administrative GBP (Hedged) Income (Inception 21-Jul-2011) (3.39%) 3.97%

1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, GBP Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,GBP Hedged; and JPMorgan EMBI Global, GBP Hedged3 (3.93%) 5.61%2


Diversified Income Fund seeks to maximise totalreturn, consistent with prudent investmentmanagement by investing at least two-thirds ofits assets in a diversified portfolio of FixedIncome Instruments (as defined in theProspectus) of varying maturities.

Fund Insights


» Underweight exposure to emerging marketexternal debt contributed to performance, asspreads widened.

» Underweight exposure to the high yieldEnergy and Raw Materials sectors, whichunderperformed over the year, contributedto performance.

» Exposure to mortgage credit, in particularnon-agency mortgages, contributed toperformance, as the asset class postedpositive returns.

» Long exposure to the Argentine Peso and theTurkish Lira detracted from performance, asthe currencies depreciated versus theUS Dollar.

» Long exposure to AT1 bonds detracted fromperformance, as the asset class postednegative returns.


Diversified Income Fund (Cont.)

Average Annual Total Return for the Period Ended 31 December 20181 (Cont.)



Institutional SEK (Hedged) Accumulation (Inception 31-Mar-2006) (4.13%) 5.80%

1/3 each-Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, SEK Hedged;ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index,SEK Hedged; and JPMorgan EMBI Global, SEK Hedged3 (5.18%) 5.07%

1 Annualised performance for periods of at least one year, otherwise cumulative.2 Benchmark inception performance is calculated from the inception date of the oldest share class.3 Benchmark Performance represents: Inception to November 9, 2015 1/3 each — Bloomberg Barclays Global Aggregate

Credit Component USD Hedged; ICE BofA Merrill Lynch Global High Yield BB-B Rated Constrained USD Hedged; JPMorganEMBI Global. November 10, 2015 onwards 1/3 each — Bloomberg Barclays Global Aggregate Credit ex Emerging Markets,USD Hedged; ICE BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index, USD Hedged; andJPMorgan EMBI Global, USD Hedged.


Diversified Income Duration Hedged Fund




Institutional Accumulation (Inception 31-May-2011) (0.83%) 3.69%

Institutional Income (Inception 30-Oct-2015) (0.82%) 4.84%

Investor Accumulation (Inception 18-Feb-2014) (1.16%) 2.21%

Investor Income (Inception 18-Feb-2014) (1.23%) 2.19%

E Class Accumulation (Inception 16-Aug-2013) (1.68%) 1.98%

E Class Income (Inception 31-May-2011) (1.68%) 2.80%

R Class Income (Inception 30-Nov-2012) (1.02%) 2.65%


Equally weighted blend of three indices, at constant 0.25 year duration, as calculated byPIMCO: Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, USD Hedged;BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index, USDHedged; and JPMorgan EMBI Global, USD Hedged3 (1.62%) 3.07%2


Institutional EUR (Hedged) Accumulation (Inception 16-Aug-2011) (3.52%) 3.17%

Institutional EUR (Hedged) Income II (Inception 01-Oct-2013) (3.52%) 1.58%

E Class EUR (Hedged) Accumulation (Inception 11-Aug-2011) (4.40%) 2.43%

E Class EUR (Hedged) Income (Inception 07-May-2013) (4.39%) 0.21%

Equally weighted blend of three indices, at constant 0.25 year duration, as calculated byPIMCO: Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, EUR Hedged;BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index, EURHedged; and JPMorgan EMBI Global, EUR Hedged3 (4.41%) 2.80%2


Institutional GBP (Hedged) Accumulation (Inception 23-Aug-2011) (2.49%) 4.00%

Institutional GBP (Hedged) Income (Inception 22-Jan-2013) (2.47%) 2.04%

Equally weighted blend of three indices, at constant 0.25 year duration, as calculated byPIMCO: Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, GBP Hedged;BofA Merrill Lynch BB-B Rated Developed Markets High Yield Constrained Index, GBPHedged; and JPMorgan EMBI Global, GBP Hedged3 (3.37%) 3.42%2

1 Annualised performance for periods of at least one year, otherwise cumulative.2 Benchmark inception performance is calculated from the inception date of the oldest share class.3 Benchmark performance for the Diversified Income Duration Hedged Fund represents the following: Inception to 9 November

2015 — Bogey 4309 (Blend of the following three indices at constant. 25 year duration: 1/3 each — Bloomberg BarclaysGlobal Aggregate Credit USD Hdgd; ICE BofAML High Yield BB-B Rated Developed Markets Constrained USD Hdgd;JPMorgan EMBI Global. 10 November 2015 onwards blend of the following three indices at constant. 25 year duration: 1/3each — Bloomberg Barclays Global Aggregate Credit ex Emerging Markets, USD Hedged; ICE BofAML BB-B RatedDeveloped Markets High Yield Constrained Index, USD Hedged; and JPMorgan EMBI Global, USD Hedged).


Diversified Income Duration Hedged Fund seeksto maximise current yield, consistent withprudent investment management by investing atleast 80% of its net assets in a diversifiedportfolio of variable and floating-rate FixedIncome Instruments (as defined in theProspectus), Fixed Income Instruments with aduration of less than or equal to one year, andfixed rate Fixed Income Instruments.

Fund Insights


» Underweight exposure to emerging marketexternal debt contributed to performance, asspreads widened.

» Underweight exposure to the high yieldEnergy and Raw Materials sectors, whichunderperformed over the year, contributedto performance.

» Exposure to mortgage credit, in particularnon-agency mortgages, contributed toperformance, as the asset class postedpositive returns.

» Long exposure to the Argentine Peso and theTurkish Lira detracted from performance, asthe currencies depreciated versus theUS Dollar.

» Long exposure to AT1 bonds detracted fromperformance, as the asset class postednegative returns.


Dynamic Bond Fund




Institutional Accumulation (Inception 15-Dec-2008) 1.45% 2.87%

Institutional Income (Inception 22-Feb-2010) 1.45% 2.41%

Investor Accumulation (Inception 24-Sep-2010) 1.15% 1.60%

Investor Income (Inception 24-Sep-2010) 1.17% 1.59%

Administrative Accumulation (Inception 21-Jan-2010) 0.95% 1.88%

E Class Accumulation (Inception 11-May-2010) 0.63% 1.31%

E Class Income (Inception 11-May-2010) 0.65% 1.32%

H Institutional Accumulation (Inception 12-Dec-2018) — 0.30%

R Class Accumulation (Inception 30-Nov-2012) 1.40% 1.41%

R Class Income (Inception 30-Nov-2012) 1.47% 1.40%



Z Class AUD (Hedged) Income (Inception 18-Mar-2014) 2.21% 4.29%

Bloomberg AusBond Bank Bills Index 1.92% 2.13%


Institutional CAD (Hedged) Accumulation (Inception 21-Sep-2018) — 0.10%

1 Month LIBOR Index - CAD Hedged — 0.39%


Institutional CHF (Hedged) Accumulation (Inception 08-Sep-2010) (1.67%) 0.71%

E Class CHF (Hedged) Accumulation (Inception 18-Apr-2011) (2.58%) (0.24%)

1 Month CHF LIBOR Index (0.79%) (0.36%)2


Institutional EUR (Hedged) Accumulation (Inception 21-May-2009) (1.26%) 2.35%

Institutional EUR (Hedged) Income (Inception 23-Dec-2009) (1.29%) 1.80%

Investor EUR (Hedged) Accumulation (Inception 31-Jan-2011) (1.64%) 0.94%

Administrative EUR (Hedged) Accumulation (Inception 21-Jan-2010) (1.81%) 1.19%

E Class EUR (Hedged) Accumulation (Inception 20-Nov-2009) (2.21%) 0.88%

G Retail EUR (Hedged) Income (Inception 14-Dec-2010) (2.19%) 0.46%

1 Month Euribor Index (0.37%) 0.17%2


Institutional GBP (Hedged) Accumulation (Inception 15-Dec-2009) (0.16%) 2.26%

Institutional GBP (Hedged) Income (Inception 27-Feb-2012) (0.17%) 1.87%

E Class GBP (Hedged) Accumulation (Inception 18-Mar-2010) (1.07%) 1.19%

1 Month GBP LIBOR Index 0.59% 0.51%2

Classes denominated in NOK

Institutional NOK (Hedged) Accumulation (Inception 11-Apr-2011) 0.08% 2.58%

1 Month NIBOR Rate Index 0.88% 1.45%


Institutional SEK (Hedged) Accumulation (Inception 23-Mar-2018) — (0.95%)

Administrative SEK (Hedged) Accumulation (Inception 18-Nov-2011) (1.87%) 1.20%

1 Month SEK LIBOR Index (0.50%) 0.29%2



Dynamic Bond Fund seeks maximum long-termreturn, consistent with preservation of capitaland prudent investment management. The Fundseeks to achieve its investment objective byinvesting at least two-thirds of its assets in adiversified portfolio of Fixed Income Instruments(as defined in the Prospectus) of varyingmaturities. The Fund will not be constrained byfixed income market index-related investmentrestrictions or tracking error targets. The averageportfolio duration of this Fund will normally varyfrom negative 3 years to positive 8 years basedon the Investment Advisor’s forecast forinterest rates.

Fund Insights


» Long exposure to non-agency mortgagescontributed to performance. The BAML FixedRate Home Equity Index, which generallytracks the price performance of non-agencymortgages, increased.

» Long positions in US nominal rates, primarilyat the 2- and 10- year portion of the curve,contributed to performance, as yields fell.

» Short exposure to the Euro contributed toperformance, as the Euro depreciated versusthe US Dollar.

» Holdings of sovereign and quasi-sovereignexternal debt detracted from performance.The JP Morgan Emerging Market Bond Index(EMBI), which generally tracks the totalreturn of emerging market external debt, fell.

» Long currency positioning to the ArgentinePeso detracted from performance, as thePeso depreciated against the US Dollar.

» Long exposure to investment gradecorporate credit detracted from performance,as the Bloomberg Barclays CorporateAverage OAS, which generally measurescorporate credit spreads, widened.


Dynamic Multi-Asset Fund




Institutional Accumulation (Inception 25-Feb-2016) (5.59%) 2.74%

Institutional Income II (Inception 25-Feb-2016) (5.53%) 2.75%

E Class Accumulation (Inception 25-Feb-2016) (6.51%) 1.66%

E Class Income (Inception 08-Dec-2017) (6.54%) (6.69%)

T Class Accumulation (Inception 20-Oct-2016) (6.82%) (0.78%)

1 Month Euribor Index (0.37%) (0.36%)2


Institutional CHF (Hedged) Accumulation (Inception 14-Mar-2018) — (5.40%)

1 Month CHF LIBOR Index — (0.62%)


Institutional GBP (Hedged) Accumulation (Inception 25-Feb-2016) (4.56%) 3.70%

1 Month GBP LIBOR Index 0.59% 0.43%


Institutional USD (Hedged) Accumulation (Inception 25-Feb-2016) (2.79%) 5.00%

E Class USD (Hedged) Accumulation (Inception 15-Mar-2017) (3.81%) 0.56%

E Class USD (Hedged) Income (Inception 15-Mar-2017) (3.81%) 0.56%




Dynamic Multi-Asset Fund seeks to maximisetotal return, consistent with preservation ofcapital and prudent investment management, bytaking exposure to a wide range of asset classes,such as Equity Securities (as defined in theProspectus) and equity-related securities, FixedIncome Instruments (as defined in theProspectus) and currencies as well ascommodity-related instruments and propertyrelated instruments (though not directcommodity and property investments) which areprovided for under the investment policy of theFund as outlined in the Fund Supplement.

Fund Insights


» Long US equity exposure detracted fromperformance, as these lost in value.

» Long Japanese equity exposure detractedfrom performance, as these lost in value.

» Short Brazilian equity exposure detractedfrom performance, as these rose in value.

» Long exposure to the Argentine Peso,Russian Ruble and Brazilian Real detractedfrom performance, as these depreciatedagainst the Euro.

» Short Eurozone equity exposure added toperformance, as these lost in value.

» Long German duration exposure added toperformance, as yields fell.


Emerging Asia Bond Fund





E Class Income (Inception 01-Jun-2010) (1.41%) 3.15%

JPMorgan Asia Credit Index3 (0.77%) 1.59%2


Institutional EUR (Unhedged) Accumulation (Inception 01-Oct-2010) 4.39% 4.40%

E Class EUR (Unhedged) Accumulation (Inception 03-Jun-2011) 3.51% 3.49%

JPMorgan Asia Credit Index (EUR Unhedged)3 4.23% 4.88%2

Classes denominated in HKD

M Retail HKD (Unhedged) Income (Inception 01-Mar-2011) (1.37%) 1.07%

JPMorgan Asia Credit Index (HKD Unhedged)3 (0.56%) 2.48%

1 Annualised performance for periods of at least one year, otherwise cumulative.2 Benchmark inception performance is calculated from the inception date of the oldest share class.3 Benchmark performance for the Emerging Asia Bond Fund represents: Inception to 31 May 2016 [90% JPMorgan Asia credit

Index (JACI) + 10% 1 month USD Libor] * [JPMorgan Emerging Local Markets Index (ELMI+)] / [3 month USD Libor]. 1 June2016 and onwards JPMorgan Asia Credit Index.


Emerging Asia Bond Fund seeks to maximisetotal return, consistent with prudent investmentmanagement. The Fund invests in a combinationof Fixed Income Instruments (as defined in theProspectus) of issuers that are economically tiedto Asia ex- Japan countries with emergingsecurities markets, related derivatives (as furtherset out in the Fund Supplement) on suchsecurities and emerging market currencies. FixedIncome Securities (as defined in the Prospectus)purchased by the Fund will be rated at least Caaby Moody’s or CCC by S&P or equivalently ratedby Fitch (or if unrated, determined by theInvestment Advisors to be of comparable quality)with the exception of mortgage-backedsecurities for which there is no minimum creditrating requirement.

Fund Insights


» Positioning in Chinese external corporatedebt contributed to performance.

» An underweight to Hong Kong externalcorporate debt contributed to performance.

» An overweight to Indian external corporatedebt detracted from performance.

» An overweight to Chinese external quasi-sovereign debt detracted from performance.


Emerging Local Bond Fund




Institutional Accumulation (Inception 11-Dec-2007) (7.91%) 1.84%

Institutional Income (Inception 18-Apr-2008) (7.76%) 1.55%

Investor Accumulation (Inception 18-Aug-2010) (8.24%) (0.80%)

E Class Accumulation (Inception 19-Nov-2008) (8.81%) 3.34%

E Class Income (Inception 08-Jul-2010) (8.83%) (0.90%)

Z Class Income (Inception 18-Nov-2008) (7.01%) 5.17%

JPMorgan Government Bond Index-Emerging Markets Global Diversified Index (Unhedged) (6.21%) 2.51%2


Institutional CHF (Unhedged) Accumulation (Inception 19-Oct-2012) (6.82%) (1.90%)

Investor CHF (Unhedged) Accumulation (Inception 02-Mar-2011) (7.08%) (0.38%)

JPMorgan Government Bond Index-Emerging Markets Global Diversified Index (CHF Unhedged) (5.12%) 0.76%2


Institutional EUR (Unhedged) Accumulation (Inception 16-Apr-2010) (3.28%) 1.92%

Institutional EUR (Unhedged) Income (Inception 23-Jun-2010) (3.22%) 1.07%

Investor EUR (Unhedged) Accumulation (Inception 02-Mar-2011) (3.58%) 1.26%

E Class EUR (Unhedged) Accumulation (Inception 02-Jul-2009) (4.23%) 3.09%

E Class EUR (Unhedged) Income (Inception 10-Dec-2018) — 0.20%

T Class EUR (Unhedged) Accumulation (Inception 03-Jan-2017) (4.57%) (3.11%)

JPMorgan Government Bond Index-Emerging Markets Global Diversified Index (EUR Unhedged) (1.48%) 4.86%2


Institutional GBP (Unhedged) Accumulation (Inception 27-Jun-2008) (2.17%) 6.28%

JPMorgan Government Bond Index-Emerging Markets Global Diversified Index (GBP Unhedged) (0.38%) 6.97%



Emerging Local Bond Fund seeks to maximisetotal return, consistent with prudent investmentmanagement. The Fund will normally invest atleast 80% of its assets in Fixed IncomeInstruments (as defined in the Prospectus)denominated in currencies of countries withemerging securities markets, which may berepresented by forwards or derivatives such asoptions, futures contracts, or swap agreements.

Fund Insights


» An underweight to Hungarian local durationand the Hungarian Forint contributed torelative performance, as local yields rose andthe currency depreciated against theUS Dollar in 2018.

» Off-benchmark exposure toEGP-denominated short-term securitiesdelivered positive total return driven by highcarry in 2018.

» An overweight to South African localduration and the Rand detracted fromrelative performance, as local yields rose andthe currency depreciated against theUS Dollar in 2018.

» Underweight to Brazilian local duration andBrazilian currency detracted from relativeperformance, as Brazilian local rates fell andthe BRL appreciated in Q3 and Q4.

» Overweight to Indonesian local duration andcurrency detracted from relativeperformance, as local yields rose in 2018and the currency depreciated in Q1 andearly Q2.


Emerging Markets Bond Fund





Institutional Income (Inception 13-Dec-2001) (4.33%) 8.26%

Investor Accumulation (Inception 25-Apr-2002) (4.68%) 7.44%

Investor Income (Inception 18-Apr-2002) (4.64%) 7.41%

Administrative Accumulation (Inception 29-May-2003) (4.82%) 6.21%

E Class Accumulation (Inception 31-Mar-2006) (5.19%) 4.88%

E Class Income (Inception 28-Oct-2005) (5.26%) 5.04%

H Institutional Accumulation (Inception 17-Oct-2002) (4.50%) 8.58%

M Retail Income (Inception 30-Nov-2010) (5.15%) 3.48%


Z Class Income (Inception 18-Nov-2008) (3.56%) 9.16%

JPMorgan Emerging Markets Bond Index (EMBI) Global (4.61%) 8.15%2


M Retail AUD (Hedged) Income (Inception 19-Dec-2012) (5.47%) 2.36%

JPMorgan EMBI Global (AUD Hedged) (4.95%) 3.52%


Institutional CHF (Hedged) Income (Inception 16-Dec-2005) (7.35%) 4.07%

JPMorgan EMBI Global (CHF Hedged) (7.68%) 4.40%


Institutional EUR (Hedged) Accumulation (Inception 17-Dec-2002) (7.07%) 7.17%

Institutional EUR (Hedged) Income (Inception 20-Dec-2010) (7.10%) 3.57%

Investor EUR (Hedged) Accumulation (Inception 04-Aug-2009) (7.37%) 4.71%

E Class EUR (Hedged) Accumulation (Inception 31-Mar-2006) (7.91%) 3.89%

T Class EUR (Hedged) Accumulation (Inception 03-Jan-2017) (8.26%) (1.16%)

JPMorgan EMBI Global (EUR Hedged) (7.38%) 7.10%2

Classes denominated in EUR (Unhedged)

Institutional EUR (Unhedged) Accumulation (Inception 09-Feb-2018) — 4.50%

JPMorgan EMBI Global (EUR Unhedged) — 5.02%


Institutional GBP (Hedged) Accumulation (Inception 05-Feb-2004) (5.99%) 6.61%

Institutional GBP (Hedged) Income (Inception 30-Dec-2005) (5.94%) 5.50%

JPMorgan EMBI Global (GBP Hedged) (6.36%) 6.98%2

Classes denominated in SGD

Institutional SGD (Hedged) Accumulation (Inception 02-Jul-2018) — 0.10%

E Class SGD (Hedged) Accumulation (Inception 15-Feb-2007) (6.03%) 3.91%

JPMorgan EMBI Global (SGD Hedged) (5.37%) 5.45%2



Emerging Markets Bond Fund seeks to maximisetotal return, consistent with prudent investmentmanagement by investing at least 80% of itsassets in Fixed Income Instruments (as defined inthe Prospectus) of issuers that economically aretied to countries with emerging securities markets.

Fund Insights


» Underweight to US duration contributed torelative performance, as US Treasuryyields rose.

» Overweight to Brazilian debt, which recordedpositive total return in 2018, contributed torelative performance.

» Underweight to Russian sovereign debt,which recorded negative total return in thefirst half of 2018, contributed positively torelative performance.

» Overweight to Argentine sovereign debt,which recorded negative total return in2018, detracted from relative performance.

» Overweight to Venezuelan sovereign debt,which recorded negative total return in thefirst half of 2018, detracted fromrelative performance.


Emerging Markets Corporate Bond Fund




Institutional Accumulation (Inception 12-Nov-2009) (0.85%) 4.73%

Administrative Income (Inception 16-Aug-2012) (1.36%) 2.46%


Z Class Income (Inception 03-Dec-2009) 0.09% 5.84%

JPMorgan Corporate Emerging Markets Bond Index Diversified (CEMBI) (1.72%) 5.95%2


E Class CHF (Hedged) Accumulation (Inception 25-May-2012) (4.85%) 1.16%

JPMorgan Corporate Emerging Markets Bond Diversified Index (CHF Hedged) (4.82%) 3.20%


Institutional EUR (Hedged) Accumulation (Inception 19-Feb-2010) (3.63%) 3.70%


JPMorgan Corporate Emerging Markets Bond Diversified Index (EUR Hedged) (4.47%) 4.84%2


Institutional GBP (Hedged) Income (Inception 16-Jun-2011) (2.49%) 3.08%

JPMorgan Corporate Emerging Markets Bond Diversified Index (GBP Hedged) (3.42%) 4.43%



Emerging Markets Corporate Bond Fund seeksmaximum total return, consistent withpreservation of capital and prudent investmentmanagement, by investing under normalcircumstances at least 80% of its assets in anactively managed diversified portfolio consistingof Fixed Income Instruments (as defined in theProspectus) that are economically tied toemerging market countries including FixedIncome Instruments that are issued by corporateissuers that are economically tied to emergingmarket countries.

Fund Insights


» Underweight to US duration contributed torelative performance, as US Treasuryyields rose.

» Underweight to Turkish corporate debt,which recorded negative total return in2018, contributed to relative performance.

» Underweight to Russian corporate and quasi-sovereign debt, which recorded negativetotal return in 2018, contributed torelative performance.

» Overweight to Argentine corporate andquasi-sovereign debt as well as exposure toArgentine sovereign debt, all of whichrecorded negative total return in 2018,detracted from relative performance.

» Security selection in Colombia detracted fromrelative performance.


Emerging Markets Short-Term Local Currency Fund




Institutional Accumulation (Inception 29-Sep-2006) (4.40%) 2.32%

E Class Accumulation (Inception 19-Nov-2008) (5.16%) 1.68%


JPMorgan Emerging Local Markets Index Plus (Unhedged) (3.33%) 2.45%2


Institutional EUR (Unhedged) Accumulation (Inception 20-Jan-2010) 0.46% 2.96%

E Class EUR (Unhedged) Accumulation (Inception 02-Jul-2009) (0.47%) 2.60%

JPMorgan Emerging Local Markets Index Plus (EUR Unhedged) 1.54% 3.66%2



Emerging Markets Short-Term Local CurrencyFund seeks maximum total return, consistentwith preservation of capital and prudentinvestment management, by investing at least80% of its assets in currencies of, or in FixedIncome Instruments (as defined in theProspectus) denominated in currencies of,emerging markets. The Investment Advisors havebroad discretion to identify countries that itconsiders to qualify as emerging markets. TheInvestment Advisors will select the Fund’scountry and currency composition based on itsevaluation of relative interest rates, inflationrates, exchange rates, monetary and fiscalpolicies, trade and current account balances, andother specific factors the Investment Advisorsbelieve to be relevant. The Fund is likely toconcentrate its investments in Asia, Africa, theMiddle East, Latin America and the emergingcountries of Europe. The Fund may invest ininstruments whose return is based on the returnof an emerging market security such as aderivative instrument, rather than investingdirectly in emerging market securities. Theaverage portfolio duration of this Fund variesbased on the Investment Advisors’ forecast forinterest rates and, under normal marketconditions, is not expected to exceed two years.The Fund may invest all of its assets in high yieldsecurities, subject to a maximum of 15% of itsassets in securities rated lower than B byMoody’s or S&P or equivalently rated by Fitch(or, if unrated, determined by the InvestmentAdvisors to be of comparable quality).

Fund Insights


» An underweight to the Hungarian Forintcontributed to relative performance, as thecurrency depreciated against the US Dollarin 2018.

» Off-benchmark exposure to the EgyptianPound through short-term Treasury billsdelivered positive total return driven by highcarry in 2018.

» An overweight to the Argentine Pesodetracted from relative performance, as thecurrency depreciated against the US Dollarin 2018.

» An overweight to the Turkish Lira detractedfrom relative performance, as the currencydepreciated against the US Dollar in 2018.

» An overweight to the South African Randdetracted from relative performance, as thecurrency depreciated against the US Dollarin 2018.


Euro Bond Fund




Institutional Accumulation (Inception 31-Dec-1998) 0.70% 4.54%

Institutional Income (Inception 07-Jan-2003) 0.70% 4.39%

Investor Accumulation (Inception 08-May-2002) 0.39% 4.36%

Investor Income (Inception 29-Apr-2002) 0.34% 4.33%

Administrative Accumulation (Inception 07-Jun-2001) 0.23% 4.20%



T Class Accumulation (Inception 30-Sep-2014) (0.47%) 1.13%

FTSE Euro Broad Investment-Grade Index 0.45% 4.30%2


Institutional CHF (Hedged) Accumulation (Inception 30-Jun-2006) 0.24% 3.31%

FTSE Euro Broad Investment-Grade (CHF Hedged) Index 0.07% 3.35%



Euro Bond Fund seeks to maximise total return,consistent with preservation of capital andprudent investment management. The Fundseeks to achieve its investment objective byinvesting at least two-thirds of its assets in adiversified portfolio of Euro-denominated FixedIncome Instruments (as defined in theProspectus) of varying maturities.

Fund Insights


» An overweight to German durationcontributed to relative performance, asyields fell.

» An underweight to investment grade creditcontributed to relative performance, asspreads widened.

» Holdings of securitised credit, primarilynon-agency mortgage-backed securitiescontributed to relative performance, as theprices of these securities appreciated.

» An underweight to Japanese durationdetracted from relative performance, asyields fell.

» Exposure to high yield corporates detractedfrom relative performance, asspreads widened.

» An underweight to semi-core Europeanduration detracted from relativeperformance, as yields fell.


Euro Credit Fund




Institutional Accumulation (Inception 31-Jan-2008) (0.38%) 4.33%

Institutional Income II (Inception 01-Oct-2013) (0.37%) 3.44%

E Class Accumulation (Inception 25-May-2010) (1.37%) 3.06%

Bloomberg Barclays Euro-Aggregate Credit Index (0.87%) 4.06%2



Euro Credit Fund seeks to maximise total return,consistent with preservation of capital andprudent investment management. The Fundinvests at least two-thirds of its assets in adiversified portfolio of Euro-denominated FixedIncome Instruments (as defined in theProspectus) of varying maturities, which may berepresented by direct or indirect holdings incredit-related Fixed Income Securities (as definedin the Prospectus) or derivative instruments suchas options, futures swaps or creditdefault swaps.

Fund Insights


» Overweight exposure to the intermediate-and long-dated portion of the Europeancurve contributed to performance, asrates fell.

» Underweight exposure to the Insurancesector contributed to performance, as thesector underperformed.

» Underweight exposure to emerging marketscontributed to performance, as the assetclass underperformed.

» Overweight exposure to UK Banks detractedfrom performance, as the regional sectorunderperformed.

» Exposure to Dollar duration detracted fromperformance, as rates increased.


Euro Income Bond Fund




Institutional Accumulation (Inception 28-Feb-2011) (1.30%) 4.84%

Institutional Income (Inception 28-Feb-2011) (1.22%) 4.85%

Investor Income (Inception 29-May-2012) (1.63%) 4.73%


E Class Income (Inception 28-Feb-2011) (2.18%) 3.89%

T Class Accumulation (Inception 30-Sep-2014) (2.59%) 1.27%

T Class Income (Inception 30-Sep-2014) (2.60%) 1.28%

Bloomberg Barclays Euro Aggregate 1-10 Year Bond Index 0.04% 3.38%2


Institutional USD (Hedged) Accumulation (Inception 16-Feb-2018) — 1.30%

Bloomberg Barclays Euro Aggregate 1-10 Year Bond Index (USD Hedged) — 3.14%



Euro Income Bond Fund seeks to maximisecurrent income, consistent with prudentinvestment management. Long-term capitalappreciation is a secondary objective. The Fundinvests at least two-thirds of its assets in adiversified portfolio of Euro-denominated bondsand other Fixed Income Instruments (as definedin the Prospectus) of varying maturities. TheFund will seek to maintain a high level ofdividend income by investing in a broad array offixed income sectors which in the InvestmentAdvisor’s view typically generate elevated levelsof income.

Fund Insights


» Exposure to European duration contributedto performance, as yields fell.

» US interest rate strategies contributed toperformance, primarily due to carry, givenlong duration exposure.

» Exposure to non-agency mortgage-backedsecurities contributed to performance, astotal returns on these securitieswere positive.

» Investment grade corporate spread riskdetracted from performance, asspreads widened.

» Exposure to high yield corporates detractedfrom performance, as these securities postednegative excess returns.

» Exposure to hard currency emerging marketdebt detracted from performance, asspreads widened.


Euro Long Average Duration Fund




Institutional Accumulation (Inception 21-Apr-2006) 3.91% 7.56%

Bloomberg Barclays Euro Government (Germany, France, Netherlands) over 15 years Index2 5.06% 6.32%

1 Annualised performance for periods of at least one year, otherwise cumulative2 Benchmark Performance for the Euro Long Average Duration Fund represents the following: 21 April 2006 to 31 March

2011 — (FTSE Citigroup Euro Broad Investment-Grade (EuroBIG) Bond > 15 Years Index); 31 March 2011 to 31 January2012 — (FTSE Citigroup Euro Broad Investment-Grade (EuroBIG) Bond AAA rated > 15 Years Index); 31 January 2012onwards — (Bloomberg Barclays Euro Government (Germany, France, Netherlands) over 15 years Index).


Euro Long Average Duration Fund seeks tomaximise total return, consistent withpreservation of capital and prudent investmentmanagement. The Fund seeks to achieve itsinvestment objective by investing at leasttwo-thirds of its assets in a diversified portfolioof Euro-denominated Fixed Income Instruments(as defined in the Prospectus). Under normalmarket conditions, at least two-thirds of theduration of the Fund will derive from exposure toEuro-denominated government and/orgovernment-related Fixed Income Instruments.

Fund Insights


» Spread widening across credit sectorsdetracted from relative performance. WithinCorporate Credit, Financials and Industrialswere dominant drivers of underperformance.Allocations to Agency RMBS andSupranational also detractedfrom performance.

» Duration and curve strategies were broadlyneutral versus the benchmark, asunderperformance from curve steepenerpositions and an underweight to coreEuropean duration were largely offset bypositive contributions from select US curvepositioning in the fourth quarter.

» Short US Dollar positioning versus a basketof high carry emerging market currenciesweighed on performance, as theUS Dollar strengthened.


Euro Low Duration Fund





E Class Accumulation (Inception 25-Mar-2013) (1.87%) (0.09%)

Bloomberg Barclays Euro Aggregate ex Treasury 1-3 Year Index3 (0.21%) 1.57%2

1 Annualised performance for periods of at least one year, otherwise cumulative.2 Benchmark inception performance is calculated from the inception date of the oldest share class.3 Benchmark Performance for the Euro Low Duration Fund represents the following: 30 June 2011 to 30 September

2012 — (PIMCO European Advantage Government 1-3 Year Bond Index); 30 September 2012 onwards — (BloombergBarclays Euro Aggregate ex Treasury 1-3 Year Index). Since inception benchmark return calculated since 30 June 2011.


Euro Low Duration Fund seeks to maximise totalreturn, consistent with preservation of capitaland prudent investment management. The Fundseeks to achieve its investment objective byinvesting at least two-thirds of its assets in adiversified portfolio of Euro-denominated FixedIncome Instruments (as defined in theProspectus) of varying maturities. The averageportfolio duration of the Fund will normally varywithin two years (plus or minus) of the durationof the Bloomberg Barclays Euro Aggregateex-Treasury 1-3 Year Index.

Fund Insights


» Long exposure to MXN over the first half ofthe year contributed to relative performance,as the currency appreciated relative to theEuro and through carry, the rate of interestearned by holding the respective security.

» Overweight to government related securitiescontributed to relative performance, as theasset class outperforms the benchmark andthrough carry.

» Exposure to covered bonds contributed torelative performance, throughsecurity selection.

» Overweight to Italian duration detractedfrom relative performance, as yields sold-off.

» Exposure to investment grade corporatecredit detracted from relative performance,through security selection.

» Short exposure to the US Dollar detractedfrom relative performance, as the currencyappreciated relative to the Euro.


Euro Short-Term Fund




Institutional Accumulation (Inception 31-Jan-2006) (1.39%) 1.45%

Institutional Income II (Inception 06-May-2016) (1.45%) (0.63%)


1 Month Euribor Index (0.37%) 1.03%2



Euro Short-Term Fund seeks maximum currentincome consistent with the preservation ofcapital and daily liquidity. The Fund seeks toachieve its investment objective by investing atleast two-thirds of its assets in a diversifiedportfolio of Euro-denominated Fixed IncomeInstruments (as defined in the Prospectus) withvarying maturities although the average portfolioduration is not expected to exceed one and ahalf years.

Fund Insights


» Long exposure to MXN contributed toperformance, as the currency appreciatedrelative to the Euro and through carry, therate of interest earned by holding therespective security.

» Long exposure to select Swedish coveredbonds contributed to performance, as theasset class generated positive total returns.

» Long exposure to emerging market externaldebt contributed to performance, throughsecurity selection and carry, the rate of interestearned by holding the respective security.

» Long exposure to short maturity Italiangovernment bonds detracted fromperformance, as yields sold off.

» Long exposure to European durationdetracted from performance due to negativeshort-dated yields in the Eurozone.

» Short exposure to US Dollar detracted fromperformance, as the currency depreciatedrelative to the Euro.


Global Advantage Fund





E Class Accumulation (Inception 10-Dec-2010) (4.40%) 0.77%

E Class Income (Inception 10-Dec-2010) (4.43%) 0.75%

PIMCO Global Advantage Bond Index (GLADI) (London Close) (2.53%) 2.66%2


Institutional CHF (Partially Hedged) Income (Inception 02-Aug-2011) (2.94%) 2.19%

PIMCO Global Advantage Bond Index (GLADI) (CHF, Partially Hedged) (London Close) (2.09%) 1.80%

Classes denominated in DKK

Institutional DKK (Partially Hedged) Accumulation (Inception 22-Mar-2013) (2.00%) 1.31%

PIMCO Global Advantage Bond Index (GLADI) (DKK, Partially Hedged) (London Close) (1.07%) 0.89%


Institutional EUR (Partially Hedged) Accumulation (Inception 24-May-2010) (2.00%) 2.84%

E Class EUR (Partially Hedged) Accumulation (Inception 06-May-2010) (2.90%) 1.83%

PIMCO Global Advantage Bond Index (GLADI) (EUR, Partially Hedged) (London Close) (1.00%) 2.54%2


Institutional GBP (Partially Hedged) Accumulation (Inception 11-Jul-2012) (0.83%) 2.74%

PIMCO Global Advantage Bond Index (GLADI) (GBP, Partially Hedged) (London Close) 0.11% 2.45%

Classes denominated in NOK

Institutional NOK (Partially Hedged) Accumulation (Inception 05-Mar-2012) (0.79%) 4.20%

PIMCO Global Advantage Bond Index (GLADI) (NOK, Partially Hedged) (London Close) 0.27% 3.90%



Global Advantage Fund seeks to achievemaximum long-term return, consistent with thepreservation of capital and prudent investmentmanagement, by investing 80% of its assets in adiversified portfolio of Fixed Income Instruments(as defined in the Prospectus) that areeconomically tied to at least three countries (oneof which may be the United States).

Fund Insights


» Overweight US duration contributed torelative performance, as the positionbenefited from curve positioning.

» Underweight investment grade creditcontributed to relative performance, asspreads widened.

» Short exposure to the Euro contributed torelative performance, as the currencydepreciated versus the US Dollar.

» Underweight Japanese duration detractedfrom relative performance, as yields fell.

» Exposure to high yield corporates detractedfrom relative performance, asspreads widened.

» Long exposure to a basket of high carryemerging market currencies detracted fromrelative performance, as thesecurrencies depreciated.


Global Advantage Real Return Fund




Institutional Accumulation (Inception 29-Jul-2011) (4.61%) (1.26%)

E Class Accumulation (Inception 21-Dec-2012) (5.37%) (3.44%)

Z Class Income (Inception 08-Nov-2012) (3.86%) (1.59%)

PIMCO Global Advantage Inflation-Linked Bond Index (USD Unhedged) (3.13%) (0.60%)2


Institutional CHF (Partially Hedged) Accumulation (Inception 27-Mar-2012) (3.54%) (0.27%)

PIMCO Global Advantage Inflation-Linked Bond Index (CHF Partial Hedged) (2.25%) 0.32%


Institutional EUR (Partially Hedged) Accumulation (Inception 29-Jul-2011) (1.74%) 0.93%

Institutional EUR (Partially Hedged) Income (Inception 05-Mar-2013) (1.73%) (1.12%)

E Class EUR (Partially Hedged) Accumulation (Inception 21-Dec-2012) (2.70%) (1.70%)

G Institutional EUR (Partially Hedged) Income (Inception 28-Feb-2014) (1.86%) 0.87%

PIMCO Global Advantage Inflation-Linked Bond Index (EUR Partial Hedged) (0.51%) 1.59%2


Institutional GBP (Partially Hedged) Income (Inception 15-Feb-2012) (0.72%) 1.10%

PIMCO Global Advantage Inflation-Linked Bond Index (GBP Partial Hedged) 0.60% 1.77%



Global Advantage Real Return Fund seeks tomaximise real return, consistent withpreservation of real capital and prudentinvestment management, by investing at least70% of its net assets in global, developed andemerging market, local currency inflation-indexed Fixed Income Instruments (as defined inthe Prospectus).

Fund Insights


» An overweight to Brazilian nominalsovereign interest rates added torelative returns.

» An overweight to German nominal sovereigninterest rates added to relative returns.

» An underweight to Brazilian real sovereigninterest rates detracted from relative returns.

» An overweight to US real sovereign interestrates detracted from relative returns.

» An overweight to Italian real sovereigninterest rates detracted from relative returns.


Global Bond Fund




Institutional Accumulation (Inception 12-Mar-1998) 1.01% 5.60%

Institutional Income (Inception 18-Apr-2001) 1.00% 5.31%

Investor Accumulation (Inception 01-Mar-1999) 0.69% 5.08%

Investor Income (Inception 23-Jan-2001) 0.67% 4.94%

Administrative Accumulation (Inception 14-Jun-2004) 0.50% 4.73%

E Class Accumulation (Inception 31-Mar-2006) 0.14% 4.30%

E Class Income (Inception 28-Oct-2005) 0.12% 4.21%

H Institutional Accumulation (Inception 15-Oct-2002) 0.83% 5.01%

H Institutional Income (Inception 12-Apr-2016) 0.82% 3.02%

M Retail Income II (Inception 26-Apr-2017) 0.00% 1.41%

R Class Accumulation (Inception 30-Nov-2012) 0.75% 3.13%



Bloomberg Barclays Global Aggregate (USD Hedged) Index3 1.76% 4.81%2

Classes denominated in USD (Currency Exposure)

Institutional USD (Currency Exposure) Accumulation (Inception 13-Dec-2002) (1.81%) 4.91%

Institutional USD (Currency Exposure) Income (Inception 23-Mar-2006) (1.78%) 4.63%

Investor USD (Currency Exposure) Accumulation (Inception 31-Mar-2005) (2.16%) 3.73%

E Class USD (Currency Exposure) Accumulation (Inception 19-May-2010) (2.70%) 2.73%

E Class USD (Currency Exposure) Income (Inception 19-May-2010) (2.73%) 2.72%

R Class USD (Currency Exposure) Accumulation (Inception 30-Nov-2012) (2.07%) 0.69%

Bloomberg Barclays Global Aggregate (USD Unhedged) Index3 (1.20%) 3.99%2


Institutional CAD (Hedged) Accumulation (Inception 21-Sep-2018) — 0.40%

Bloomberg Barclays Global Aggregate (CAD Hedged) Index3 — 1.56%


Institutional CHF (Hedged) Accumulation (Inception 08-May-2003) (2.13%) 3.30%

Institutional CHF (Hedged) Income (Inception 10-Apr-2003) (2.15%) 3.35%

Investor CHF (Hedged) Accumulation (Inception 28-Jun-2011) (2.49%) 3.04%

E Class CHF (Hedged) Accumulation (Inception 13-Jun-2018) — (1.00%)

Bloomberg Barclays Global Aggregate (CHF Hedged) Index3 (1.47%) 2.41%2


Institutional EUR (Hedged) Accumulation (Inception 04-Apr-2003) (1.73%) 4.41%

Institutional EUR (Hedged) Income (Inception 12-Apr-2005) (1.76%) 4.36%

Institutional EUR (Hedged) Income II (Inception 09-Aug-2017) (1.76%) (1.05%)

Investor EUR (Hedged) Accumulation (Inception 02-Feb-2005) (2.09%) 3.98%

Administrative EUR (Hedged) Accumulation (Inception 10-May-2016) (2.23%) 0.30%


E Class EUR (Hedged) Income (Inception 29-Jan-2016) (2.71%) 0.46%

G Retail EUR (Hedged) Income (Inception 12-Dec-2012) (2.55%) 1.35%

R Class EUR (Hedged) Accumulation (Inception 30-Nov-2012) (2.00%) 1.97%


Bloomberg Barclays Global Aggregate (EUR Hedged) Index3 (1.04%) 3.43%2

Classes denominated in EUR (Currency Exposure)

Institutional EUR (Currency Exposure) Accumulation (Inception 20-Feb-2013) 3.11% 4.02%

Bloom

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