PSLDX Has Sustained A 1% Monthly Payout For Nearly 14 Years

[FD1000]

seekingalpha.com/article/4437228-psldx-1-percent-monthly-payout-nearly-14-years?mail_subject=left-banker-forget-qyld-psldx-has-sustained-a-1-monthly-payout-for-nearly-14-years&utm_campaign=rta-author-article&utm_content=link-0&utm_medium=email&utm_source=seeking_alpha

- More to the point, the fund has sustained a 1% monthly income over the course of its more-than-thirteen-year existence, with sufficient capital appreciation to grow that income by over 60%.

- The fund is PIMCO StocksPLUS Long Duration Instl (PSLDX), an institutional-class open-end mutual fund available at reasonable minimum entry investment levels from several brokers.

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FD: This is what I call a win-win situation. PSLDX beat the SP500 since inception and in the last 3-5-10 years + generated high income(chart).
PSLDX had about 20% more volatility, but the down volatility which is more important wasn't much worse, the performance was higher. The end results show that Sharpe +Sortino were better.

Total return is always a must + high income is just the icing on the cake.

[Deleted]

minimum investment in Fidelity is 1 million. I have PIMCO StocksPLUS Fund (PSTKX) as option in my 401k but not PIMCO StocksPLUS Long Duration Instl (PSLDX)

So not a option for me.

[Chahta]

Interesting fund with a fairly low ER. It has not done so well YTD/1 year.

FD, it more than beats your goal of 6%, but the SD does not meet your goal. Why not simplify your trading using this?

[dily]

@waffle, PSLDX is available for $25,000 minimum at Vanguard (with a $20 trade fee).

[cheris1]

PSLDX seems risky to me and I am long QYLD. Take a look at PCKAX.

[yogibearbull]

Jul 2, 2021 19:58:09 GMT cheris1 said:

PSLDX seems risky to me and I am long QYLD. Take a look at PCKAX.

Welcome, cheris1 from Fido!

[retiredat48]

Wow...what a surprise! Post #1.  Congratulations.

Good to see you posting here,  Cheris1.  (I think I just mentioned this forum to you a couple days ago)

BTW Folks, this lady is an excellent addition to these forums.

R48


edit to add:  BTW Cheris, under the forum titled off-topic, is  a thread titled New Member Introduction, similar to Fidelity...if you so chose to post.

[Capital]

cheris1 welcome

[acksurf]

cheris1 welcome I also see your posts over at Fidelity

[jongaltiii]

Interesting… just found this on Seeking Alpha which covers PSLDX and QYLD and SCHD

seekingalpha.com/article/4437228-psldx-1-percent-monthly-payout-nearly-14-years

[yogibearbull]

Jul 2, 2021 22:37:33 GMT jongaltiii said:

Interesting… just found this on Seeking Alpha which covers PSLDX and QYLD and SCHD

seekingalpha.com/article/4437228-psldx-1-percent-monthly-payout-nearly-14-years

That is the article linked in the OP. There is a parallel discussion on another site.

[richardsok]

Jul 2, 2021 20:04:09 GMT yogibearbull said:

Jul 2, 2021 19:58:09 GMT cheris1 said:

PSLDX seems risky to me and I am long QYLD. Take a look at PCKAX.

Welcome, cheris1 from Fido!

Welcome, Cheris, glad you're on board.

[jongaltiii]

yogibearbull, Oops sorry. It sure is… I’ve been going back and forth on both sites but frankly found it organically because I was on SeekingAlpha lol. Why did I repost it? I’ll be more careful next time. 

[FD1000]

Jul 2, 2021 13:30:31 GMT Chahta said:

Interesting fund with a fairly low ER. It has not done so well YTD/1 year.

FD, it more than beats your goal of 6%, but the SD does not meet your goal. Why not simplify your trading using this?

Not even close. I want SD<3. PSLDX 3 year SD=22.2
But my actual 3 years numbers are SD=2.43 and performance=13.01%. The best fund I can find with SD<3 is HMEZX at only 7.8% annual performance.

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waffle, the article explained where you can get it cheaper. This is the reasons I transfer 95% of my money from Fidelity to Schwab. I can do a lot more and all commissions are waived.

===========

cheris1:PSLDX seems risky to me and I am long QYLD. Take a look at PCKAX.

A 10 year (chart) shows that PCKAX made less money than SPY with higher SD, while PSLDX made much more.
A 5 year chart shows PCKAX+QYLD made less than SPY, while PSLDX made much more. 
A 3 year chart shows PCKAX+QYLD made less than SPY, while PSLDX made much more.
PortVis 3 year(link) shows again that PSLDX Sharpe+Sortino is much better.  Changing to 5 years and the results are similar.

For one year PCKAX performance is much better.

So, history shows that for shorter+longer term PSLDX reliability is higher. I would not consider QYLD and PCKAX volatility is unpredictable.
If you are a good trader, by all means trade, but for the explore portion of someone's portfolio and holding for many years, I prefer PSLDX.

Lastly, I'm not a fan of higher income/yield as your first criteria. Performance+volatility should precede it.  QQQ has a much better performance(link) than QYLD(QQQ covered call). Even as a retiree, I prefer higher performance and in this case, QQQ is much better.

Disclaimer: the above is just an analysis that is far from how I invest 

Attachments:

[paulr888]

I also extend a warm welcome aboard cheris1.  

[paulr888]

Yogi ...  Seeking Alpha tells me I have exceeded my free views.  Is the only option to cough up $240 a year to read their articles now?  Thanks.

[FD1000]

Jul 3, 2021 3:10:00 GMT paulr888 said:

Yogi ...  Seeking Alpha tells me I have exceeded my free views.  Is the only option to cough up $240 a year to read their articles now?  Thanks.

I have been reading Seeking Alpha for years, many hours annually, and I never paid a dime. Are you a member? If not become one for free.