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PIMCO Collective Trust II • 31 DECEMBER 2020 Stable Income Fund

Stable value manager…….……...... …....PIMCO The information contained in this material is provided by the employer through the Class….……………………………………..…Class 2 employer's retirement plan. Please contact the plan administrator to obtain additional Fund inception date….……………..……26 June 2012 information. CUSIP….………………………………....72200A203 FUND DESCRIPTION Fund Assets (in millions)1………...... ……$564.0 The PIMCO Stable Income Fund (the “Fund”) has the objective to seek to provide current income in excess of money and reduce the risk of principal loss over time. Fund Statistics Effective duration….………………………3.13 years The Fund is an actively managed, diversified w hich invests primarily 2 in investment grade investments including, but not limited to, U.S. Net crediting rate ………….……….……..…..1.75% government securities, corporate bonds, mortgage-backed securities, asset-backed Effective maturity………………………….3.64 years securities, and derivative instruments, including futures and sw aps. The average duration of the Fund’s investments w ill vary over time, but is typically expected to be betw een tw o Basic Facts and three years. Management fee…………………………..….0.265% Other Fund investments may include a variety of stable value investment contracts4 Weighted investment contract expenses.….0.145% issued by companies, , and other financial institutions, w hich are Administrative service expense………….….0.100% intended to help reduce principal volatility of, w hile providing steady income from, any Other operating expenses………………...…0.000% associated Fund fixed income investments. The Fund may also invest in cash or other Total expense ratio3………………………..….0.510% liquid investments, such as a money market strategy or -term (“STIF”), to help meet participant liquidity needs. Risks There is no guarantee the Fund will achieve its BENEFITS investment objective. Although stable value investments seek to reduce the risk of principal loss, This Fund offers a strategy that seeks to outperform money markets on a investing in the Fund involves risk, including loss of consistent basis w hile providing principal stability. principal. Potential benefits of this Fund include:

• Prudent risk management through diversified exposure to a broad opportunity set of Trust description fixed income securities SEI serves as the trustee ("Trustee") • A high credit quality primarily comprised of investment grade fixed income of the PIMCO Collective II (the "Trust") and maintains ultimate fiduciary authority over securities the management of, and investments made in, the • A relatively stable return, w here month-to-month returns are not typically impacted by Trust. The Trustee has engaged Pacific Investment market fluctuations Management Company, LLC ("PIMCO") to act as • Actively managed across the fixed income markets in an effort to enhance returns investment adviser to the Trust. The Trust is part of a over money markets collective investment trust that is exempt from registration under the Act of PIMCO is distinguished as one of the largest managers of actively managed fixed income 1940. assets in the w orld. Not surprisingly, PIMCO is also one of the largest managers of stable value assets, w ith a team of experienced stable value specialists, w hose focus is to provide management, consulting, and dedicated servicing to stable value clients.

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MAY LOSE VALUE • NOT FDIC INSURED • NOT A DEPOSIT • NOT GUARANTEED PLEASE SEE PAGE 4 FOR IMPORTANT RISK DISCLOSURES FOR PLAN AND PARTICIPANTS’ USE ONLY STABLE INCOME FUND

Class: Class 2 INVESTOR BENEFITS (continued from page 1) As of: 31 December 2020 Of the many strengths PIMCO provides as a stable value manager, three are of particular note: About SEI • Sound, common sense philosophy that combines a -term perspective, moderate SEI Trust Company is a trust company organized risk taking across multiple concurrent strategies, and a commitment to sophisticated under the law s of the Commonw ealth of research. This investment approach has been in place at PIMCO for more than 40 Pennsy lv ania. SEI Trust Company is a w holly years and seeks to add value under various types of market conditions. ow ned subsidiary of SEI Inv estments Company . • Macro-economic view s are developed through participation by a broad and diverse SEI (NASDAQ:SEIC) is a leading global prov ider of group w ithin PIMCO. These consensus view s form the foundation for how the portfolio serv ices and inv estment is positioned. technology solutions. • Strong emphasis on risk management and investment contract negotiation, w hich w e believe is especially important for a conservative investment option such as About PIMCO stable value. PIMCO is a leading global inv estment management PIMCO stable value products benefit from the same fixed income investment firm, w ith offices in 12 countries throughout the philosophy employed since 1971. So, w ith PIMCO stable value management, investors Americas, Europe and Asia. Founded in 1971, get robust, experienced fixed income and risk management coupled w ith decades of PIMCO offers a w ide range of innov ativ e solutions stable value expertise. to help millions of inv estors w orldw ide meet their needs. Our goal is to prov ide attractiv e returns w hile maintaining a strong culture of risk PIMCO Stable Income Fund is designed to provide participants w ith current income, management and long-term discipline. PIMCO is liquidity, and relatively low principal risk. The diversified strategy may appeal to ow ned by Allianz S.E., a leading global div ersified conservative investors w ith a short- to intermediate-term investment horizon or for those financial serv ices prov ider. seeking to balance more volatile investments in a diversified portfolio.

MAY LOSE VALUE • NOT FDIC INSURED • NOT A DEPOSIT • NOT GUARANTEED PLEASE SEE PAGE 4 FOR IMPORTANT RISK DISCLOSURES FOR PLAN AND PARTICIPANTS’ USE ONLY STABLE INCOME FUND

Class: Class 2 Performance (net of fees) Inception 5 yrs. 3 yrs. 1 yr. 3 mos. As of: 31 December 2020 Fund 1.23% 1.75% 1.92% 1.88% 0.43% Benchmark 0.54% 0.95% 1.33% 0.41% 0.01% About the benchmark Since inception date is 26 June 2012 Past performance is not a guarantee or a reliable indicator of future results The Lipper Index is comprised of funds that inv est in high-quality financial BENEFITS instruments rated in the top tw o grades w ith dollar- Investment contracts9 Sector allocation(%)5,6,7,8 w eighted av erage maturities of less than 90 day s. Prudential Insurance Aa3/AA-/AA- U.S. Gov ernment-Related 13 These funds intend to keep a constant net asset Pacific A1/AA-/AA- Inv estment Grade Credit 24 v alue. It is not possible to inv est directly in an Transamerica A1/A+ Mortgage Backed Securities 33 unmanaged index . Asset-Backed Securities 0 Portfolio composition(%)7 Commercial Mortgage Backed Securities 6 Transfer restrictions Cash buffer v ehicle(s) 2 Emerging Markets 1 Inv estors may be restricted from inv esting directly Inv estment contracts4 98 Non-U.S. Dev eloped 0 or indirectly from the Fund into certain competing PRUDENTIAL LIFE 39 Other 5 inv estment options in their plan, such as a low PACIFIC LIFE 29 Net Other Short Duration Instruments 17 duration option or a money market fund (or in TRANSAMERICA 29 certain cases a self-directed brokerage account), if av ailable, and may be required to first inv est in Footnotes: other plan options, such as an equity option, for at 1. Total fund assets inclusive of all classes least 90 day s. 2. Net crediting rate is the interest rate paid by the Fund on the date specified after all fees and expenses are deducted. The Fund’s rate normally will be affected by, among other factors, the prevailing general level of interest rates, the performance of the Fund’s fixed income investments, and cash flows, including those from employer and investor contributions, withdrawals, and transfers into and out of the Fund. As of 1 January 2021, the net crediting rate for the fund was 1.57%. 3. Total Expense Ratio is the calculated annualized expenses for the Fund as calculated by the Trustee. It includes the Management Fee, which is for management advisory fees, portfolio valuation and accounting, transfer, agency, custody, annual report and audit fees, the Weighted Investment Contract Expenses, which is the estimated weighted cost of stable value investment contract coverage in the Fund, Administrative Service Expenses, which are client service fees that may be paid to third party administrators or other entities, and Other Annual Operating Expenses, if applicable. 4. Stable value investment contracts are issued by insurance companies, banks, and other financial institutions, are intended to help reduce principal volatility of, while providing steady income from, any associated Fund fixed income investments, and are intended to be valued at contract value (typically, deposited principal plus accrued interest less redemptions). Investment contracts vary and may include insurance company separate account contracts, synthetic contracts (also known as wrap contracts), or insurance company general account contracts. Insurance company separate account contracts and synthetic contracts are a combination of fixed income investments (associated assets) and an agreement by a contract provider to allow qualified participant transfers and withdrawals from the Fund at contract value. Generally, there is no immediate recognition of investment gains and losses on associated assets; instead, investment gains and losses are amortized over time into the investment contract’s performance by adjusting the contract’s credited rate of interest. A general account contract is a deposit into an insurance company’s general investment account. The Fund may also invest in other stable value commingled investment trusts (pooled funds), which combine the investments of multiple, unaffiliated plans into a pooled trust to invest in stable value investment contracts and associated fixed income investments. 5. Other may include municipals, convertibles, preferreds, and yankee bonds. 6. Net Other Short Duration Instruments includes securities and other instruments (except instruments tied to emerging markets by country of risk) with an effective duration less than one year and rated investment grade or higher or, if unrated, determined by PIMCO to be of comparable quality, commingled liquidity funds, uninvested cash, interest receivables, net unsettled trades, and broker money. For funds that are permitted to invest in derivatives, Net Other Short Duration Instruments also includes short duration derivatives (for example Eurodollar futures) and derivatives offsets. With respect to certain categories of short duration securities, the Adviser reserves the discretion to require a minimum credit rating higher than investment grade for inclusion in this category. Derivatives Offsets includes offsets associated with investments in futures, swaps and other derivatives. Such offsets may be taken at the notional value of the derivative position which in certain instances may exceed the actual amount owed on such positions. 7. Figures may not sum to 100% due to rounding. MAY LOSE VALUE • NOT FDIC INSURED • 8. U.S. Government-Related may include nominal and inflation-protected Treasuries, Treasury futures and options, NOT A DEPOSIT • NOT GUARANTEED agencies, FDIC-guaranteed and government-guaranteed corporate securities, and interest rate swaps. PLEASE SEE PAGE 4 FOR IMPORTANT 9. Each of the stable value investment contract issuers have certain requirements regarding the minimum average market- RISK DISCLOSURES weighted credit quality of the aggregated securities associated with their respective contracts: Prudential Insurance FOR PLAN AND PARTICIPANTS’ USE ONLY requires a minimum of Aa3; Pacific Life Insurance requires a minimum of Aa3; and Transamerica Life Insurance requires a minimum of Aa3. Using the contract issuers required methodology, the average market-weighted credit quality for each portfolio associated with each issuers’ contract was equal to or exceeded AA. STABLE INCOME FUND

Inv estment objectives, risks, charges, fees and expenses, and other important information about the Trust are contained in the Trust's Disclosure Memorandum Past performance is not a guarantee or a reliable indicator of future results. The performance figures presented reflect the total return performance after fees (the deduction of management and inv estment advisory fees, investment contract fees, and other expenses) for the share class presented on the first page of this document and reflect changes in share price and reinvestment of div idend and capital gain distributions. Greater expenses will result in lower performance. Periods longer than one y ear are annualized. There is no guarantee the Fund will achieve its investment objectives. The Fund is not FDIC-insured, may lose value, and is not guaranteed by a , insurance company, or other financial institution. The Fund is not guaranteed by the U.S. Government, the Trustee, PIMCO, any plan sponsor, or any other entity . Neither the Fund, the Trust nor the units representing beneficial interest therein are registered w ith the SEC. PIMCO does not offer, issue, or sell stable value investment contracts or other insurance-like products. Unit price, yield, duration, and return will vary. A word about risk. This list of risks is not exhaustive and the Trust may be subject to risks other than those described herein. Although stable value investments seek to reduce the risk of principal loss, investing in the Trust involves risk which could result in a decline of the Trust’s value or cause a withdrawal or transfer from the Trust to occur at less than the inv ested value. Investing in the market is subject to risks, including market, interest rate, issuer, credit, inflation risk, and . The value of most bonds and bond strategies are impacted by changes in interest rates. Bonds and bond strategies with longer durations tend to be more sensitive and volatile than those w ith shorter durations; bond prices generally fall as interest rates rise, and the current low interest rate env ironment increases this risk. Current reductions in bond counterparty capacity may contribute to decreased market liquidity and increased price volatility. Bond investments may be worth more or less than the original cost when redeemed. U.S. Government agencies are supported by, but are generally not backed by, the full faith and credit of the U.S. Gov ernment. Mortgage and asset-backed securities may be sensitive to changes in interest rates, subject to early repayment risk, and while generally supported by a government, government-agency, or private guarantor there is no assurance that the guarantor w ill meet its obligations. A corporate or other issuer or guarantor of a Trust inv estment may default, become impaired, or fail to make a timely payment to the Trust, if at all. Inv esting in foreign denominated and/or domiciled securities may involve heightened risk due to currency fluctuations, economic, and political risks, which may be enhanced in emerging markets. Derivatives may involve certain costs and risks such as liquidity, interest rate, market, credit, management, and the risk that a position could not be closed when most advantageous. Inv esting in derivatives could lose more than the amount inv ested. Stable value inv estment contracts involve several unique risks, any of which, if realized, may cause a write-down in the value of the Trust and a risk of loss of all or a part of the inv ested v alue in the Trust. These unique risks include but are not limited to: an inv estment contract issuer could default, become insolvent, file for bankruptcy protection, or otherwise be deemed by the Trustee to no longer be financially responsible; an event or condition outside the normal operation of an inv esting plan may occur (including but not limited to plan changes, employer bankruptcy, significant layoffs, plant closings, corporate spin-offs, divestitures, or restructurings); some Trust securities could become impaired or default; an inv esting plan or a plan’s agent may engage in certain prohibited communications; or there could be a change in tax law or accounting rules. Lower-rated securities inv olve greater risk than higher-rated securities; portfolios that inv est in them may be subject to greater lev els of credit and liquidity risk than portfolios that do not. Div ersification does not ensure against loss. The credit quality of a particular or group of securities does not ensure the stability or safety of the ov erall portfolio. Effective duration is the duration for a bond with an embedded option when the value is calculated to include the expected change in cash flow caused by the option as interest rates change. The PIMCO Collective Investment Trust II is a trust for the collectiv e investment of assets or participating tax qualified and profit sharing plans and related trusts, and gov ernmental plans as more fully described in the Declaration of Trust. The terms of the plan and Declaration of Trust are incorporated by reference and should be reviewed for a complete statement of its terms and prov isions. The PIMCO Collective Investment Trust II is managed by SEI Trust Company, the trustee, based on the inv estment adv ice of PIMCO, the inv estment adviser to the Trust. SEI Trust Company has claimed an exclusion from the definition of the term “” under the Commodity Exchange Act and, therefore, is not subject to registration or regulation as a pool operator under the Act. As a bank collective trust, PIMCO Collective Investment Trust II is ex empt from registration as an investment company. This material has been distributed for informational purposes. Statements concerning trends are based on current market conditions, which will fluctuate. Outlook and strategies are subject to change without notice. Unless otherwise noted, all characteristics and information (for ex ample, yield, credit quality, or duration), inv estment allocations and managers, investment contract prov iders, performance, and expenses are as of the date specified and are subject to change without advance notice. The data, statistics, estimates, comments, and opinions contained herein are based on or derived from information from other sources. The Trustee does not guarantee their accuracy. The information should not be considered as investment, legal, accounting, or tax advice or a recommendation of any particular security, strategy, or inv estment product. The information contained herein does not take into account the inv estment objectives, financial situation, or needs of any particular investor. An investor should consider whether it is suitable for his particular circumstances and, if necessary, seek professional advice before investing in this or any investment. There is no guarantee that these inv estment strategies will work under all market conditions or are suitable for all investors and each investor should evaluate their ability to invest long- term, especially during periods of dow nturn in the market. No part of this material may be reproduced in any form, or referred to in any other publication, without express w ritten permission. PIMCO is a trademark of Allianz Asset Management of America L.P. in the United States and throughout the w orld. ©2020, PIMCO.

MAY LOSE VALUE • NOT FDIC INSURED • NOT A DEPOSIT • NOT GUARANTEED FOR PLAN AND PARTICIPANTS’ USE ONLY

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