PDI = PIMCO Dynamic Income Fund, very attractive

josh007

1) PDI dividend yield was around 10% for 2013 and can be around 12% for this year.
Total dividend from Dec 1 2012 to Dec 1 2013 = $ 3.01 per share, with average share price $ 29.20 this makes more than 10%. From Dec 1 up to now $ 1.88 dividend per share has been received, and we can expect 0.191 x 9 = 1.72 monthly dividend up to Dec 1 2014, which will give a total of $ 3.6 for the year, at the current $30 share price this will give a 12% dividend yield.. (see details in dividendinvestor.com).

2) Regarding the share price risk, the average price for the 3 month before end of May (when the QE tapering discussion started) compared to 3 month price after, have been down by aroud 8.5%. This gives for PDI a very good risk / reward ratio.

3) PDI fund co-managers (Mr. Ivascyn and Mr. Murata) were named 2013 U.S. Fixed Income Managers of the Year by Morningstar.

4) In addition , with its current 2.5% discount share/ NAV price PDI looks likes it can continue to go north.

finder

I am invested in PDI, and it behaves really well even thought with some bumps.

Here is a slightly more cautious view of the person who strongly recommended PDI in the past: http://seekingalpha.com/article/2018841-why-im-not-adding-to-the-pimco-dynamic-income-fund?source=email_rt_article_readmore&uprof=11

AndyJ

Josh, look at the z-statistic, which factors in historic premiums/discounts. PDI has run quite a ways and is really no longer a bargain if you consider that it's traded, on average, at a discount since it launched. See the M* quote page for the fund. You might do well with it from here, but it's not a slam-dunk bargain like it was earlier.