Fund Spy

An Intrepid Choice Among Inflation-Protected Bond Funds

Miriam Sjoblom, CFA
The following is our latest Fund Analyst Report for PIMCO Real Return (PRRIX). Morningstar Premium Members have access to full analyst reports such as this for more than 1,000 of the largest and best mutual funds. Not a Premium Member? Gain full access to our analyst reports and advanced tools immediately when you try Morningstar Premium free for 14 days.

Despite the departure of a talented manager, PIMCO Real Return remains in skilled hands and continues to benefit from a deep team. It retains its Morningstar Analyst Rating of Silver.

On Jan. 9, 2019, PIMCO announced that Jeremie Banet, the fund’s lead manager since January 2015, would leave the firm in February. Steve Rodosky, who led PIMCO’s U.S. Treasury trading desk in earlier years, has taken his place on this fund alongside longtime comanager and Real Return team head Mihir Worah. While Banet’s departure is a loss, Worah’s continued presence and Rodosky’s experience are reassuring. Worah also grew PIMCO’s real return effort in recent years, tapping European rates head Lorenzo Pagani to manage global real return accounts and moving agency mortgage-backed securities specialist Daniel He to the team in January. That follows the hiring of inflation-linked bond specialist Daniel Brhel in 2017 and macro expert Tiffany Wilding to support the firm’s inflation-forecasting efforts in 2016.

Miriam Sjoblom, CFA does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.