Pacific FundsSM Small-Cap Value
|Class A||Class C||Advisor Class|
|Ticker||Fund Number||Ticker||Fund Number||Ticker||Fund Number|
Pacific Funds Small-Cap Value offers shareholders:
|A Time-Tested Process||For more than 25 years, the investment team has managed institutional assets using a process rooted in fundamental analysis and designed to identify potential catalysts for a stock’s positive relative performance.|
|Focused on Expectational Upside||The Fund seeks to outperform its benchmark by investing in a mix of stocks the team believes is attractively valued and should provide a controlled level of risk in down markets.|
|Anchored in Style Purity||Stocks whose market capitalization falls within the range of the Russell 2000 Value Index, and are expected to achieve above-average returns relative to the Fund’s benchmark over a market cycle, will be selected for the Fund.|
Investment Goal: The Fund seeks long-term capital appreciation.
Investment Strategy: The Fund invests in securities that the portfolio management team believes are attractively valued with the potential to exceed investor expectations. Under normal circumstances, the Fund invests at least 80% of its assets in common stocks and other equity securities of small capitalization U.S. companies. The Fund defines small capitalization companies as companies whose market capitalizations fall within the range of the Russell 2000 Value Index at the time of purchase, and invests primarily in equity securities of small capitalization value companies as defined by the Russell 2000 Value Index. The market capitalization of the companies in the Fund’s portfolio and the Russell 2000 Value Index changes over time; the Fund will not automatically sell or cease to purchase stock of a company it already owns just because the company’s market capitalization changes.
Fund Performance (as of 12/31/19)
|Total Returns (%)||Annualized
Total Returns (%)
||3-Year||5-Year||Since Fund Inception
|Russell 2000® Value Index2||8.49||22.39||22.39||4.77||6.99||6.99|
Returns reflect reinvestment of dividends and distributions. Returns shown at net asset value (NAV) have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Returns shown at maximum offering price (MOP) for Class A shares reflect payment of the 4.25% maximum sales charge. Class A, C, and Advisor Class shares incepted on 1/11/16. The Fund acquired the assets of the Rothschild U.S. Small-Cap Value Fund (the Predecessor Fund) in a reorganization transaction on 1/11/16. The Fund’s objectives (goals), policies, guidelines, and restrictions are substantially the same as those of the Predecessor Fund. The performance figures shown for Class A, Class C, and Advisor Class shares of the Fund reflect the historical performance of the then-existing Institutional Class shares of the Predecessor Fund for periods prior to 1/11/16. The performance figures for periods prior to 1/11/16 have not been adjusted to reflect fees and expenses of Class A, Class C, and Advisor Class shares of the Fund, respectively. If these returns had been adjusted, then performance for the share classes could vary from the returns shown based on differences in their fee and expense structures. The Institutional Class shares of the Predecessor Fund commenced operations on 12/31/14.
1Class A shares reflect the deduction of an up-front 4.25% sales load. Class C shares reflect the deduction of a 1.00% contingent deferred sales charge (CDSC). When a sales charge is illustrated, it is applied at the beginning of the period. Advisor Class shares are sold at net asset value (NAV) without an initial sales charge and do not include a CDSC. Performance reflects any applicable fee waivers and expense reimbursements. 2Measures the performance of the small-cap value segment of the U.S. equity universe. It includes those Russell 2000 companies with lower price-to-book ratios and lower forecasted growth values.
Indexes are unmanaged and cannot be invested in directly. Further, they hold no cash and incur no expenses.
For performance data current to the most recent month-end, call Pacific Funds at (800) 722-2333, or go to www.PacificFunds.com/Performance. Performance data quoted represents past performance, which does not guarantee future results. Current performance may be lower or higher than the performance quoted. The investment return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than the original cost.
All share classes may not be available at all firms, and not all investors may be eligible for all share classes.
Top-10 Holdings (as of 12/31/19)
|Black Hills Corporation||1.81|
|Portland General Electric Company||1.61|
|Helen of Troy Limited||1.54|
|First Industrial Realty Trust, Inc.||1.53|
|Southwest Gas Holdings, Inc.||1.50|
|Invesco Mortgage Capital Inc.||1.45|
|Piedmont Office Realty Trust, Inc. Class A||1.37|
|MFA Financial, Inc.||1.32|
|Ryman Hospitality Properties, Inc.||1.32|
Sector Weights (as of 12/31/19)
|Fund (%)||Index (%)|
Holdings-Based Characteristics (as of 12/31/19)
|Weighted Avg. Mkt. Cap ($ billion)
|Number of Holdings
3Excluding negative earnings.
Subadvised by Rothschild & Co Asset Management US Inc.
Tina Jones, CFA: Chief Investment Officer; 24 years of investment experience
Joseph Bellantoni, CFA: Managing Director; 22 years of investment experience
Douglas J. Levine, CFA: Managing Director; 19 years of investment experience
Michael Kehoe: Managing Director; 18 years of investment experience
Eric Fraser, CFA: Director; 14 years of investment experience
Pacific Life Fund Advisors LLC
|Class A||Class C||Advisor Class|
|Minimum Initial/Subsequent Investment||$1,000/$50||$1,000/$50||N/A4|
|Gross Expense Ratio (%)||1.57||2.32||1.32|
|Net Expense Ratio (%)||1.20||1.95||0.95|
|Sales Load/Maximum Sales Charge (%)||Front-End/4.25||CDSC/1.00||None|
The Fund’s annual operating expenses shown above are effective 8/1/19 through 7/31/20. Gross Expense Ratio reflects the total annual operating expenses paid by the Fund. Net Expense Ratio reflects waivers, reductions, reimbursements, and the limitation of certain “Other Expenses.” Expense caps and/or fee waivers are reevaluated annually. There is no guarantee that the investment adviser will continue to cap expenses after the expiration date. Please see the current prospectus for detailed information.
4 Contact your financial advisor.
About Principal Risks
All investing involves risk, including the possible loss of the principal amount invested. There is no guarantee that the Fund will achieve its investment goal. Equity securities tend to go up or down in value, sometimes rapidly and unpredictably. Small-capitalization companies may be more susceptible to liquidity risk and price volatility risk and more vulnerable to economic, market and industry changes than larger, more established companies. Value companies are those that a portfolio manager believes are undervalued and perceived as trading for less than their intrinsic values.
Pacific Life Insurance Company is the administrator for Pacific Funds. It is not a fiduciary and therefore does not give advice or make recommendations regarding insurance or investment products.
Investors should consider a fund's investment goal, risks, charges, and expenses carefully before investing. The prospectus and/or the applicable summary prospectus contain this and other information about the Fund and are available from your financial advisor. The prospectus and/or summary prospectus should be read carefully before investing.
Third-party trademarks and service marks are the property of their respective owners.
Rothschild & Co Asset Management US Inc. is unaffiliated with Pacific Life Insurance Company.