Seeking Alpha

Pimco CEF no longer on sale

  • Several weeks after Bill Gross purchased more of the Pimco Dynamic Income Fund (PDI) for his own account, its roughly 5% discount to NAV has disappeared.
  • The same, however, isn't true for Pimco Dynamic Credit Income (PCI), though it's also managed by well-regarded Dan Ivascyn. One reason for caution might be the relative newness of the fund, writes Brendan Conway.
  • In the meantime, two Pimco CEFs which are known for sporting towering premiums to NAV continue to do so, the Pimco Global StockPLUS & Income Fund (PGP) and the Pimco High Income Fund (PHK). Two other Pimco CEFs at discounts: Pimco Income Strategy Fund (PFL) and Pimco Income Strategy Fund II (PFN).
Comments (3)
  • bravo0123
    , contributor
    Comments (3) | Send Message
     
    Interesting timing, you imply the Bill Gross bought at a discount and now it is too late. Should have told him, he bought another $965,000 worth yesterday. Actually he has bought 22 times since the beginning of the year, from price range of $30.25 to the current $33.

     

    Moral is, don't be cheap and try to get a bargain. Just buy things that are good. He still is.

     

    (other error was implying PCI was a new fund and PDI isn't. PDI is only 6 months older than PCI, both of which are less then 2 years old. PCI is a very different composite of bonds then PDI, do your homework and check.)
    23 May, 07:38 PM Reply Like
  • green tube
    , contributor
    Comments (231) | Send Message
     
    has anyone seen bill gross in the last month?? my fear is he passed out, his head landed on the "Buy" button, and he has inadvertently purchased 800,000 shares of PDI, while slowly decomposing in front of his computer. seriously, gross has bought roughly 226,000 shares of PDI in the last week ALONE, and very close to NAV.
    i'm looking forward to seeing what the UNII is on PDI, year to date. last year it was thru the roof.
    23 May, 09:26 PM Reply Like
  • SanDiegoNonSurfer
    , contributor
    Comments (2564) | Send Message
     
    PDI: 6mo z-stat is 1.31 and 3yr is 1.78. Still well within historical value ratios.
    27 May, 09:57 AM Reply Like
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