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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT
COMPANIES
Investment Company Act file number 811-10385
Pacific Funds Series Trust
(Exact name of registrant as specified in charter)
700 Newport Center Drive, P.O. Box 7500
Newport Beach, CA 92660
(Address of principal executive offices) (Zip code)
Mark Karpe, Esq.
Pacific Life Insurance Company
700 Newport Center Drive
Newport Beach, CA 92660
(Name and address of agent for service)
Copies to:
Anthony H. Zacharski, Esq.
Dechert LLP
1095 Avenue of the Americas
New York, NY 10036
Registrant’s telephone number, including area code: 949-219-3224
Date of fiscal year end: March 31
Date of reporting period: April 1, 2022 - March 31, 2023
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Table of Contents
Item 1. Reports to Stockholders.
Table of Contents
March 31, 2023
ANNUAL REPORT
Table of Contents
PACIFIC FUNDS
ANNUAL REPORT
AS OF MARCH 31, 2023
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| B-1 | ||||
| Financial Statements: |
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| C-11 | ||||
| C-19 | ||||
| D-1 | ||||
| E-1 | ||||
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Pacific Funds Series Trust, which is a Delaware statutory trust, may be referred to as “Pacific Funds” or the “Trust”.
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PACIFIC FUNDS
We are pleased to share with you the Pacific Funds Series Trust (“Pacific Funds” or the “Trust”) Annual Report for the fiscal year ended March 31, 2023, including performance data, management’s discussion of fund performance, and a complete list of investments as of the close of this reporting period. Pacific Funds is comprised of twenty-nine funds (each individually, a “Fund” and collectively, the “Funds”), fifteen of which are available for direct investment. Pacific Life Fund Advisors LLC (PLFA) is the Adviser to the Trust and supervises the management of all of the Trust’s Funds. PLFA directly manages Pacific FundsSM Portfolio Optimization Conservative, Pacific FundsSM Portfolio Optimization Moderate-Conservative, Pacific FundsSM Portfolio Optimization Moderate, Pacific FundsSM Portfolio Optimization Growth and Pacific FundsSM Portfolio Optimization Aggressive-Growth (together, the “Portfolio Optimization Funds”) as well as the PF Multi-Asset Fund.
Each of the Portfolio Optimization Funds is an asset allocation “Fund of Funds” that invests in Class P shares of certain other Funds of the Trust (the “PF Underlying Funds”). PLFA supervises the management of those PF Underlying Funds which are only available for investment by the Portfolio Optimization Funds. The Portfolio Optimization Funds also invest in Class P shares of Pacific FundsSM Core Income, Pacific FundsSM High Income and Pacific FundsSM Floating Rate Income.
The Adviser has retained other firms to serve as sub-advisers under its supervision. The sub-advisers, the Adviser and the Funds of the Trust that they manage as of March 31, 2023 are listed below:
| Sub-Adviser or Adviser | Funds Available for Direct Investment |
Page Number | ||
| Pacific Life Fund Advisors LLC (PLFA) | Pacific FundsSM Portfolio Optimization Conservative | A-5 | ||
| Pacific FundsSM Portfolio Optimization Moderate-Conservative | A-6 | |||
| Pacific FundsSM Portfolio Optimization Moderate | A-7 | |||
| Pacific FundsSM Portfolio Optimization Growth | A-9 | |||
| Pacific FundsSM Portfolio Optimization Aggressive-Growth | A-10 | |||
| Pacific Asset Management LLC (Pacific Asset Management) | Pacific FundsSM Ultra Short Income | A-11 | ||
| Pacific FundsSM Short Duration Income | A-12 | |||
| Pacific FundsSM Core Income | A-13 | |||
| Pacific FundsSM ESG Core Bond | A-14 | |||
| Pacific FundsSM Strategic Income | A-15 | |||
| Pacific FundsSM Floating Rate Income | A-16 | |||
| Pacific FundsSM High Income | A-17 | |||
| Rothschild & Co Asset Management US Inc. (Rothschild & Co) | Pacific FundsSM Small/Mid-Cap | A-18 | ||
| Pacific FundsSM Small-Cap | A-19 | |||
| Pacific FundsSM Small-Cap Value | A-20 | |||
| Sub-Adviser or Adviser | PF Underlying Funds | Page Number | ||
| Pacific Investment Management Company LLC (PIMCO) | PF Inflation Managed Fund | A-21 | ||
| J.P. Morgan Investment Management Inc. (JPMorgan) / Pacific Investment Management Company LLC (PIMCO) / Western Asset Management Company, LLC (Western Asset) | PF Managed Bond Fund | A-22 | ||
| T. Rowe Price Associates, Inc. (T. Rowe Price) | PF Short Duration Bond Fund | A-24 | ||
| Principal Global Investors, LLC (PGI) | PF Emerging Markets Debt Fund | A-25 | ||
| MFS Investment Management (MFS) | PF Growth Fund | A-26 | ||
| ClearBridge Investments, LLC (ClearBridge) | PF Large-Cap Value Fund | A-27 | ||
| MFS Investment Management (MFS) | PF Small-Cap Growth Fund | A-28 | ||
| Alliance Bernstein L.P. (AB) | PF Small-Cap Value Fund | A-29 | ||
| Invesco Advisers, Inc. (Invesco) | PF Emerging Markets Fund | A-30 | ||
| ClearBridge Investments, LLC (ClearBridge) | PF International Growth Fund | A-32 | ||
| FIAM LLC (FIAM) | PF International Small-Cap Fund | A-33 | ||
| Wellington Management Company LLP (Wellington) | PF International Value Fund | A-34 | ||
| Pacific Life Fund Advisors LLC (PLFA) / portion sub-advised by Pacific Asset Management LLC | PF Multi-Asset Fund | A-35 | ||
| Principal Real Estate Investors, LLC (Principal REI) | PF Real Estate Fund | A-36 | ||
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PACIFIC FUNDS
Each of the sub-advisers and the Adviser has prepared a discussion regarding the performance of the Funds of the Trust that they manage, including commentary discussing positive and negative factors affecting performance for the past twelve months.
This will be our last shareholder report to you. Pursuant to proxy materials you previously received, as a result of a proxy vote that was held on April 10, 2023, the funds of Pacific Funds that are available for direct investment were each reorganized into the corresponding fund of the Aristotle Funds Series Trust (“Aristotle Funds”) effective April 17, 2023. As a result, Aristotle Funds will service your funds going forward. Thank you for your prior confidence in Pacific Funds and the opportunity to service your investment needs, and we wish you all the best in the future.
Sincerely,
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| Adrian S. Griggs President and Chief Executive Officer |
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| Pacific Funds Series Trust | ||
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PACIFIC FUNDS PERFORMANCE DISCUSSION
This Annual Report is provided for the general information of investors with beneficial interests in the Trust. This report is not authorized for distribution to prospective investors unless preceded or accompanied by a current Trust prospectus, as supplemented, which contains information about the Trust and each of its Funds, including their investment objectives, risks, charges and expenses. You should read the prospectus carefully before investing. There is no assurance that a Fund will achieve its investment objective. Each Fund is subject to market risk. The value of a Fund changes as its asset values go up or down. The value of a Fund’s shares will fluctuate, and when redeemed, may be worth more or less than their original cost. The total return for each share class of each Fund is net of fees and includes reinvestment of all dividends and capital gain distributions, if any, and does not include deductions of any applicable share class sales charges. Past performance is not predictive of future performance. This report shows you the performance of each Fund compared to its benchmark index. Index performance is provided for illustrative and comparative purposes only and does not predict or depict the performance of the Funds. Indices are unmanaged, do not incur transaction costs, do not include fees and expenses, and cannot be purchased directly by investors. Index returns include reinvested dividends.
The composite benchmarks for the Portfolio Optimization Funds are composed of up to four broad-based indices. The percentage amounts of each broad-based index within each composite benchmark are based on each Fund’s target asset class allocations in effect during the reporting period. The percentages attributed to a broad-based index within a composite benchmark will change if a Fund’s target asset class allocations change.
PLFA supervises the management of the Funds contained in this report, subject to the oversight of the Trust’s Board of Trustees (Board). PLFA directly manages the Portfolio Optimization Funds as well as the PF Multi-Asset Fund. PLFA has written the general market conditions commentary which expresses PLFA’s opinions and views on how the market generally performed for the fiscal year ended March 31, 2023 (the reporting period) as well as separate commentary specific to those Funds that it directly manages that is based on its opinion of how these Funds performed during this reporting period.
For the other Funds, PLFA has retained other firms to serve as sub-advisers under its supervision. Each of these sub-advisers has written a separate commentary specific to the Fund(s) that they manage that is based on their opinions of how their Fund(s) performed during the reporting period. The views expressed in those commentaries reflect those of the respective sub-advisers for the fiscal year ended March 31, 2023.
All views and opinions expressed in the management discussion of fund performance are subject to change at any time based upon market, economic or other conditions, and the Trust, its Adviser and the sub-advisers disclaim any responsibility to update such views. These views and options may not be relied upon as investment advice or recommendations, or as an offer for any particular security. Any references to “we”, “I”, or “ours” are references to the sub-adviser or Adviser, as applicable. Any sectors referenced are provided by the applicable sub-adviser and could be different from the sectors listed in the Schedules of Investments if obtained from another source. The Adviser and sub-advisers may include statements that constitute “forward-looking statements” under the United States (U.S.) securities laws. Forward-looking statements include information concerning possible or assumed future results of the Trust’s investment operations, asset levels, earnings, expenses, industry or market conditions, regulatory developments and other aspects of the Trust’s operations or general economic conditions. In addition, when used in this report, words such as “believes”, “expects”, “anticipates”, “intends”, “plans”, “estimates”, “projects” and future or conditional verbs such as “will”, “may”, “could”, “should”, and “would”, or any other statement that necessarily depends on future events, are intended to identify forward- looking statements. Forward-looking statements are not guarantees of performance or economic results. They involve risks, uncertainties and assumptions. Although such statements are based on expectations that the Adviser or a sub-adviser believes to be reasonable, actual results may differ materially from expectations. Investors must not rely on any forward-looking statements. Statements of facts and performance data are from sources considered reliable, but no representation or warranty is made as to their completeness or accuracy.
In connection with any forward-looking statements and any investment in the Trust, investors should carefully consider the investment objectives, policies and risks described in the Trust’s current prospectuses, as supplemented, and Statement of Additional Information, as supplemented, as filed with the United States (U.S.) Securities and Exchange Commission (SEC), which may be obtained from the SEC or by contacting the Trust as noted in the Where to Go for More Information section of this Annual Report.
Market Conditions (for the fiscal year ended March 31, 2023)
Executive Summary
While equity markets managed to recover over the latter half of the reporting period, they faced losses over the reporting period as the S&P 500 Index fell 7.73%. Value stocks fared better than growth stocks, while large-capitalization stocks outperformed small-capitalization stocks over the reporting period. International equities outperformed domestic stocks as European stocks recovered and European economies turned out to be less fragile than feared. Luxury brand names performed well as China’s economy emerged from strict Covid-related lockdowns. Furthermore, global equity investors turned to international stocks over U.S. equities due to attractive valuations abroad.
Within fixed income, longer-duration bonds suffered as interest rates spiked over the reporting period. On the other hand, shorter-duration bonds held up as investors sought safer and more liquid assets. While high yield bonds faced losses over the reporting period, they managed to outperform the Bloomberg U.S. Aggregate Bond Index.
Outlook
While domestic inflation may have peaked, the United States Federal Reserve’s (Fed’s) fighting endeavors against it is yet to be completed. We’ve seen headline inflation ease as supply-chain congestions have cleared up and crude prices have fallen from its peak levels seen during 2022. However, services inflation has yet to show any meaningful signs of slowing down. In particular, wage growth continues to remain elevated due to labor shortages caused by Baby Boomer retirement and stricter immigration policies. Nonetheless, higher interest rates have more recently eased the strong job growth experienced over the past couple of years.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
The slowdown in employment growth should eventually ease services inflation, although it’s expected to remain sticky due to the relatively healthy labor market. The negative impact from higher interest rates extends beyond just employment growth. Amid this environment, Silicon Valley Bank became the second largest bank to fail in U.S. history. With the failure of a few banks, we are beginning to see some of the collateral damage caused by the Fed’s aggressive rate hikes. As the era of easy money comes to an end, companies with weak fundamentals are beginning to be revealed.
This economic deterioration has convinced the market that the Fed will cut rates later this year. However, this conflicts with the Fed’s projections as it is not expected to start cutting until 2024. As long as inflation remains sticky and the labor market remains healthy, we believe the Fed is unlikely to budge from maintaining interest rates at a high level. Nevertheless, the aggressive rate hikes will likely dampen economic growth as gross domestic product (GDP) forecasts remain relatively dismal for 2023.
In the meantime, the overall equity market appears to be settling down after a turbulent year in 2022. Coincidently, price-to-earnings multiples for the S&P 500 have come down to fair levels as we may be approaching the end of the recent bear market. However, we do not expect all equities will perform in sync with each other. In fact, investors are likely to gravitate toward safer and more defensive areas like large capitalization stocks and avoid vulnerable ones like small capitalization value stocks that have a high concentration in the financial sector.
Growth stocks started to look interesting in 2023 as their multiples went from overly expensive to very attractive over 2022. Investors have turned to growth stocks once again in 2023, as they may be experiencing a bull market in 2023. Furthermore, while sales growth projections have turned negative for value indices, those of larger growth indices remain positive and healthy.
While the picture may look mixed in the U.S., conditions abroad appear to be improving. In particular, economic activity in several emerging market countries has been recovering. India shows much promise with its strong fundamentals and China’s GDP growth is expected to be solid this year as many pro-growth policies were implemented recently. Although Taiwan and South Korea have struggled recently with the downturn in semiconductor demand, the semiconductor industry is expected to recover in the second half of 2023.
Within the fixed income market, much focus has been placed on the shape of the yield curve. The negative spread between the 10- and 2-year Treasuries may have peaked, as the inverted yield curve is signaling a recession ahead. Core bonds should generally outperform equities if we face a recession. On the other hand, credit sectors like high yield bonds and bank loans would struggle if default rates spike. However, we do not anticipate significant credit events to occur in the near-term. Meanwhile, high yields currently offer attractive yield and default rates remain below historical averages.
Although the overall economy remains relatively healthy, the effects from the Fed’s aggressive rate hikes are beginning to take hold. Nonetheless, services inflation remains stubbornly high, which means the Fed will maintain its diligent efforts to quell inflation. While we anticipate the economy to slow down, we do not foresee a major crisis to unfold. In the meantime, markets will likely remain modestly volatile until the Fed has a firm grip on inflation. Given the tradeoff between avoiding a severe recession and maintaining inflation with interest rates, the Fed must carefully walk a fine line to bring the economy back into balance. In this environment, it remains prudent to maintain a relatively defensive allocation, particularly as the equity market may be disappointed if the Fed foregoes rates cuts later in 2023.
Portfolio Optimization Funds
Performance
Since the performance of each Portfolio Optimization Fund is a composite of the performance of each of the PF Underlying Funds in which it invests (which may include bonds and domestic and/or international equities), there is no one broad-based industry index to use as a meaningful comparison to a Portfolio Optimization Fund’s performance. Therefore, we at PLFA have provided information for four broad-based indices to use as a comparison to each Portfolio Optimization Fund’s performance. In addition, to assist in performance comparisons, composite benchmarks were constructed for each Portfolio Optimization Fund each of which is comprised of up to four broad-based indices shown below.
The composition of the composite benchmark reflects the Portfolio Optimization Funds’ broad debt and equity asset class allocations for domestic equity, international equity and fixed income. However, the actual allocation of a Portfolio Optimization Fund could vary because of factors such as market performance and adjustments to allocations within each Funds’ allocation ranges. The one-year performance for these broad-based indices for the year ended March 31, 2023 is shown in the following table:
| Broad-Based Indices |
|
|||
| S&P 500 Index (representing U.S. Stocks) |
-7.73% | |||
| MSCI EAFE Index (International Stocks) |
-1.38% | |||
| Bloomberg US Aggregate Bond Index (Fixed Income) |
-4.78% | |||
| ICE BofA U.S. 3-Month Treasury Bill (T-Bill) Index (Cash) |
2.50% | |||
The benchmark indices for the PF Underlying Funds may differ from the Portfolio Optimization Funds’ broad-based indices. Each Portfolio Optimization Fund may not be invested in all eligible PF Underlying Funds.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Portfolio Optimization Conservative (managed by Pacific Life Fund Advisors LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Portfolio Optimization Conservative’s Class A (without sales charge) returned -6.71%, compared to a return of -4.78% for the Bloomberg US Aggregate Bond Index, a return of -7.73% for the S&P 500 Index, and a return of -4.37% for the Pacific Funds Portfolio Optimization Conservative Composite Benchmark.
The following graph compares the performance of a hypothetical $10,000 investment in Class A shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
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| Fund’s Class A without sales charge |
(6.71% | ) | 1.81% | 2.38% | ||||||||
| Fund’s Class A with maximum sales charge |
(11.87% | ) | 0.68% | 1.81% | ||||||||
| Fund’s Class C without sales charge |
(7.34% | ) | 1.05% | 1.63% | ||||||||
| Fund’s Class C with maximum sales charge |
(8.20% | ) | 1.05% | 1.63% | ||||||||
| Fund’s Class I-2 |
(6.50% | ) | 2.09% | 2.62% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| Pacific Funds Portfolio Optimization Conservative Composite Benchmark |
(4.37% | ) | 3.03% | 3.48% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class A underperformed the Pacific Funds Portfolio Optimization Conservative Composite Benchmark. To seek current income and preservation of capital, under normal market conditions, the Fund is expected to be within the following ranges of the two broad asset classes of debt (fixed income) and equity, respectively: 70% - 85% and 15% - 30%.
The Fund was primarily invested in various fixed income strategies, with a smaller allocation to equity, during the reporting period. Fixed income investments included allocations to intermediate-term bond, short duration bond, inflation-indexed bond, emerging markets bond and floating rate strategies. The equity segment consisted mainly of allocations to domestic and foreign large-capitalization strategies.
Among the fixed income lineup, emerging market bonds and Treasury-inflation protected securities detracted from performance over the reporting period, while short-term bonds contributed positively. Additionally, the PF Managed Bond Fund, which represented the largest weight in the Fund, underperformed the Bloomberg US Aggregate Bond Index and detracted from performance over the reporting period. On the other hand, the exposure to bank loans contributed to performance. Additionally, Pacific Funds Floating Rate Income outperformed its benchmark, contributing to performance.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Among domestic equities, exposure to large-capitalization value stocks contributed to performance over the reporting period. On the other hand, the exposure to real estate detracted from performance as work-from-home arrangements amid the pandemic lowered demand for office space. Additionally, the PF Multi-Asset Fund underperformed its benchmark, which detracted from performance. International equities as a group outperformed the MSCI EAFE Index over the reporting period. While the exposure to emerging markets and international small-capitalization stocks dragged on performance, the PF Emerging Markets and PF International Small-Cap Funds outperformed their respective benchmarks and contributed to performance.
Pacific Funds Portfolio Optimization Moderate-Conservative (managed by Pacific Life Fund Advisors LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Portfolio Optimization Moderate-Conservative’s Class A (without sales charge) returned -7.59%, compared to a return of -4.78% for the Bloomberg US Aggregate Bond Index, a return of -7.73% for the S&P 500 Index, and a return of -4.64% for the Pacific Funds Portfolio Optimization Moderate-Conservative Composite Benchmark.
The following graph compares the performance of a hypothetical $10,000 investment in Class A shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
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| Fund’s Class A without sales charge |
(7.59% | ) | 2.76% | 3.62% | ||||||||
| Fund’s Class A with maximum sales charge |
(12.70% | ) | 1.61% | 3.04% | ||||||||
| Fund’s Class C without sales charge |
(8.37% | ) | 1.97% | 2.86% | ||||||||
| Fund’s Class C with maximum sales charge |
(9.18% | ) | 1.97% | 2.86% | ||||||||
| Fund’s Class I-2 |
(7.36% | ) | 3.01% | 3.87% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative Composite Benchmark |
(4.64% | ) | 4.56% | 5.13% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class A underperformed the Pacific Funds Portfolio Optimization Moderate-Conservative Composite Benchmark. To seek current income and moderate growth of capital, under normal market conditions, the Fund is expected to be within the following ranges of the two broad asset classes of debt (fixed income) and equity, respectively: 50% - 70% and 30% - 50%.
The Fund had a diversified allocation mix that was modestly tilted to fixed income during the reporting period. Fixed income investments included intermediate-term bond strategies as well as short duration bond, inflation-indexed bond, high yield bond, emerging markets bond and
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
floating rate strategies. The Fund’s equity exposure was diversified across style (growth and value), market capitalization and region (including an allocation to foreign small-capitalization and emerging markets strategies).
Among the fixed income lineup, Treasury-inflation protected securities detracted from performance over the reporting period, while short-term bonds and bank loans contributed positively. Additionally, the PF Managed Bond Fund, which represented the largest weight in the Fund, underperformed the Bloomberg US Aggregate Bond Index and detracted from performance over the reporting period. On the other hand, Pacific Funds Floating Rate Income outperformed its benchmark, contributing to performance.
Among domestic equities, exposure to large-capitalization value stocks contributed to performance over the reporting period, while the exposure to small-capitalization stocks detracted from performance. Furthermore, the exposure to real estate detracted from performance as work-from-home arrangements amid the pandemic lowered demand for office space. Additionally, the PF Multi-Asset Fund underperformed its benchmark, which detracted from performance. International equities as a group outperformed the MSCI EAFE Index over the reporting period. While the exposure to emerging markets and international small-capitalization stocks dragged on performance, the PF Emerging Markets and PF International Small-Cap Funds outperformed their respective benchmarks and contributed to performance.
Pacific Funds Portfolio Optimization Moderate (managed by Pacific Life Fund Advisors LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Portfolio Optimization Moderate’s Class A (without sales charge) returned -8.67%, compared to a return of -7.73% for the S&P 500 Index, a return of -4.78% for the Bloomberg US Aggregate Bond Index, and a return of -5.14% for the Pacific Funds Portfolio Optimization Moderate Composite Benchmark.
The following graph compares the performance of a hypothetical $10,000 investment in Class A shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class A without sales charge |
(8.67% | ) | 4.11% | 5.06% | ||||||||
| Fund’s Class A with maximum sales charge |
(13.72% | ) | 2.94% | 4.47% | ||||||||
| Fund’s Class C without sales charge |
(9.24% | ) | 3.36% | 4.31% | ||||||||
| Fund’s Class C with maximum sales charge |
(9.97% | ) | 3.36% | 4.31% | ||||||||
| Fund’s Class I-2 |
(8.39% | ) | 4.38% | 5.32% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| Pacific Funds Portfolio Optimization Moderate Composite Benchmark |
(5.14% | ) | 6.23% | 6.96% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class A underperformed the Pacific Funds Portfolio Optimization Moderate Composite Benchmark. To seek long-term growth of capital and low to moderate income, under normal market conditions, the Fund is expected to be within the following ranges of the two broad asset classes of debt (fixed income) and equity, respectively: 30% - 50% and 50% - 70%.
The Fund allocated to a mix of equity and fixed income strategies during the reporting period, with a larger allocation toward equity investments. The equity exposure was diversified across style (growth and value), market capitalization and region (including allocations to foreign small-capitalization and emerging markets stocks). The Fund also maintained exposure to select market sectors such as publicly-traded real estate investment trusts (REITs). Fixed income investments included intermediate-term bond, short duration bond, inflation-indexed bond, emerging markets bond and floating rate loan strategies.
Among domestic equities, exposure to large-capitalization value stocks contributed to performance over the reporting period. On the other hand, the exposure to real estate detracted from performance as work-from-home arrangements amid the pandemic lowered demand for office space. The exposure to growth stocks also detracted from performance as the technology sector struggled over the reporting period. Additionally, the PF Multi-Asset Fund underperformed its benchmark, which detracted from performance.
International equities as a group outperformed the MSCI EAFE Index over the reporting period. While the exposure to emerging markets and international small-capitalization stocks dragged on performance, the PF Emerging Markets and PF International Small-Cap Funds outperformed their respective benchmarks and contributed to performance.
Among the fixed income lineup, Treasury-inflation protected securities detracted from performance over the reporting period, while short-term bonds and bank loans contributed positively. Additionally, the PF Managed Bond Fund underperformed the Bloomberg US Aggregate Bond Index and detracted from performance over the reporting period. On the other hand, Pacific Funds Floating Rate Income outperformed its benchmark, contributing to performance.
| See benchmark definitions on A-37 – A-38 |
A-8
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Portfolio Optimization Growth (managed by Pacific Life Fund Advisors LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Portfolio Optimization Growth’s Class A (without sales charge) returned -8.93%, compared to a return of -7.73% for the S&P 500 Index, a return of -4.78% for the Bloomberg US Aggregate Bond Index, and a return of -5.61% for the Pacific Funds Portfolio Optimization Growth Composite Benchmark.
The following graph compares the performance of a hypothetical $10,000 investment in Class A shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class A without sales charge |
(8.93% | ) | 5.03% | 6.24% | ||||||||
| Fund’s Class A with maximum sales charge |
(13.92% | ) | 3.84% | 5.64% | ||||||||
| Fund’s Class C without sales charge |
(9.63% | ) | 4.24% | 5.47% | ||||||||
| Fund’s Class C with maximum sales charge |
(10.34% | ) | 4.24% | 5.47% | ||||||||
| Fund’s Class I-2 |
(8.72% | ) | 5.28% | 6.49% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| Pacific Funds Portfolio Optimization Growth Composite Benchmark |
(5.61% | ) | 7.59% | 8.50% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class A underperformed the Pacific Funds Portfolio Optimization Growth Composite Benchmark. To seek moderately high, long-term capital appreciation with low, current income, under normal market conditions, the Fund is expected to be within the following ranges of the two broad asset classes of debt (fixed income) and equity, respectively: 15% - 30% and 70% - 85%.
The Fund had a diversified allocation mix during the reporting period with the majority allocated to equity. The equity exposure was diversified across style (growth and value), market capitalization and region (including allocations to foreign small capitalization and emerging markets stocks). The Fund also maintained exposure to select market sectors such as publicly-traded REITs. Fixed income investments included intermediate-term bond strategies as well as specific strategies such as short duration bond, inflation-indexed bond and emerging markets bond strategies.
| See benchmark definitions on A-37 – A-38 |
A-9
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Among domestic equities, exposure to large-capitalization value stocks contributed to performance over the reporting period. On the other hand, the exposure to real estate detracted from performance as work-from-home arrangements amid the pandemic lowered demand for office space. The exposure to growth stocks also detracted from performance as the technology sector struggled over the reporting period. Additionally, the PF Multi-Asset Fund underperformed its benchmark, which detracted from performance.
International equities as a group outperformed the MSCI EAFE Index over the reporting period. While the exposure to emerging markets and international small-capitalization stocks dragged on performance, the PF Emerging Markets and PF International Small-Cap Funds outperformed their respective benchmarks and contributed to performance.
Among the fixed income lineup, Treasury-inflation protected securities detracted from performance over the reporting period, while short-term bonds and bank loans contributed positively. Additionally, the PF Managed Bond Fund underperformed the Bloomberg US Aggregate Bond Index and detracted from performance over the reporting period. On the other hand, Pacific Funds Floating Rate Income outperformed its benchmark, contributing to performance.
Pacific Funds Portfolio Optimization Aggressive-Growth (managed by Pacific Life Fund Advisors LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Portfolio Optimization Aggressive-Growth’s Class A (without sales charge) returned -9.53%, compared to a return of -7.73% for the S&P 500 Index, a return of -4.78% for the Bloomberg US Aggregate Bond Index, and a return of -5.83% for the Pacific Funds Portfolio Optimization Aggressive-Growth Composite Benchmark.
The following graph compares the performance of a hypothetical $10,000 investment in Class A shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class A without sales charge |
(9.53% | ) | 5.85% | 7.07% | ||||||||
| Fund’s Class A with maximum sales charge |
(14.49% | ) | 4.66% | 6.46% | ||||||||
| Fund’s Class C without sales charge |
(10.16% | ) | 5.07% | 6.31% | ||||||||
| Fund’s Class C with maximum sales charge |
(10.81% | ) | 5.07% | 6.31% | ||||||||
| Fund’s Class I-2 |
(9.25% | ) | 6.12% | 7.33% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth Composite Benchmark |
(5.83% | ) | 8.76% | 9.87% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
| See benchmark definitions on A-37 – A-38 |
A-10
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class A underperformed the Pacific Funds Portfolio Optimization Aggressive-Growth Composite Benchmark. To seek high, long-term capital appreciation, under normal market conditions, the Fund is expected to be within the following ranges of the two broad asset classes of debt (fixed income) and equity, respectively: 0%—15% and 85%—100%.
The Fund primarily allocated to domestic and international equity funds that are diversified across style (growth and value), market capitalization and region (which included allocations to foreign small-capitalization and emerging markets stocks) during the reporting period. The Fund also maintained exposure to select sectors, such as publicly-traded REITs, as well as a small allocation to intermediate-term fixed income securities.
Among domestic equities, exposure to large-capitalization value stocks contributed to performance over the reporting period, while the exposure to small-capitalization stocks detracted from performance. Nonetheless, the PF Large-Cap Value and PF Small-Cap Value Funds outperformed their respective benchmarks and contributed to performance. On the other hand, the exposure to small-capitalization stocks and real estate detracted from performance. The exposure to growth stocks also detracted from performance as the technology sector struggled over the reporting period. Additionally, the PF Multi-Asset Fund underperformed its benchmark, which detracted from performance.
International equities as a group outperformed the MSCI EAFE Index over the reporting period. While the exposure to emerging markets and international small-capitalization stocks dragged on performance, the PF Emerging Markets and PF International Small-Cap Funds outperformed their respective benchmarks and contributed to performance.
Among the fixed income lineup, emerging markets debt detracted from performance over the reporting period, while short-term bonds and bank loans contributed positively. Additionally, the PF Managed Bond Fund underperformed the Bloomberg US Aggregate Bond Index and detracted from performance over the reporting period. On the other hand, Pacific Funds Floating Rate Income outperformed its benchmark, contributing to performance.
Pacific Funds Ultra Short Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Ultra-Short Income’s Class I returned 2.30%, compared to a return of 2.27% for its benchmark, the Bloomberg Short Treasury Total Return Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the period from inception through March 31, 2023. For comparison purposes, the performance of all classes for the period ended March 31, 2023 are also shown in the table below. Performance data for Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | Since Inception (6/28/19) |
|||||||
| Fund’s Class I |
2.30% | 1.52% | ||||||
| Fund’s Class I-2 |
2.30% | 1.52% | ||||||
| Bloomberg Short Treasury Total Return Index |
2.27% | 1.12% | ||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
| See benchmark definitions on A-37 – A-38 |
A-11
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period the Fund’s Class I outperformed the benchmark. The Fund seeks current income consistent with capital preservation. The Fund primarily invests in investment grade short-term fixed and floating rate debt securities. Using a fundamental approach with a top-down overlay, we, the Pacific Asset Management’s team of portfolio managers and research analysts, look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts in the process of individual investment selection.
Our focus on corporate debt versus government securities was the primary contributor to performance. The Fund’s overweight relative to the benchmark to corporate bonds, notably BBB-rated corporate bonds, benefited performance. The Fund’s exposure to the non-investment grade bank loans and collateralized loan obligations benefited performance. The Fund’s exposure to securities that have longer maturities than the benchmark detracted from performance. At the sector level, exposures to consumer cyclical, energy, electric utilities, and communications benefited performance while exposures to asset backed securities, insurance, and transportation detracted.
Pacific Funds Short Duration Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Short Duration Income’s Class I returned 1.06%, compared to a return of 0.26% for its benchmark, the Bloomberg US 1-3 Year Government/Credit Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class I |
1.06% | 1.96% | 1.82% | |||||||||
| Fund’s Class A without sales charge |
0.75% | 1.69% | 1.56% | |||||||||
| Fund’s Class A with maximum sales charge |
(2.23% | ) | 1.07% | 1.26% | ||||||||
| Fund’s Class C without sales charge |
0.00% | 0.93% | 0.81% | |||||||||
| Fund’s Class C with maximum sales charge |
(0.99% | ) | 0.93% | 0.81% | ||||||||
| Fund’s Class I-2 |
1.01% | 1.94% | 1.82% | |||||||||
| Bloomberg 1-3 Year US Government/Credit Bond Index |
0.26% | 1.26% | 1.01% | |||||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund seeks current income. We at Pacific Asset Management use a short maturity corporate debt focused strategy for the Fund. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts in the process of individual investment selection.
The Fund’s asset allocation and focus on corporate debt were the primary contributors to relative performance. The Fund’s overweight relative to the benchmark to corporate bonds, notably BBB-rated corporate bonds, contributed to performance. The Fund’s overweight to the non-investment grade bank loan sector and the high yield bond sector also contributed to performance. While the Fund’s overall duration was below benchmark, which contributed to performance, the overweight to the intermediate portion of the yield curve was a detractor. The Fund’s overweight to insurance, technology, and electric utilities benefited performance while the Fund’s overweight to REITs and asset backed securities detracted. At the issuer level, Banco Santander (banking), Assured Partners (insurance) and Hub International (insurance) were the top contributors while Thrive Pet Healthcare (healthcare), CoreLogic (technology) and Spin (capital goods) were the top detractors.
| See benchmark definitions on A-37 – A-38 |
A-12
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Core Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Core Income’s Class I returned -3.60%, compared to a return of -4.78% for its benchmark, the Bloomberg US Aggregate Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C, Class P and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class I |
(3.60% | ) | 1.96% | 2.26% | ||||||||
| Fund’s Class A without sales charge |
(3.90% | ) | 1.65% | 1.96% | ||||||||
| Fund’s Class A with maximum sales charge |
(7.96% | ) | 0.78% | 1.53% | ||||||||
| Fund’s Class C without sales charge |
(4.63% | ) | 0.87% | 1.19% | ||||||||
| Fund’s Class C with maximum sales charge |
(5.56% | ) | 0.87% | 1.19% | ||||||||
| Fund’s Class I-2 |
(3.60% | ) | 1.94% | 2.25% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class P |
(3.59% | ) | 1.95% | 1.86% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.00% | ||||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund uses an intermediate term corporate debt focused strategy. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts in the process of individual investment selection.
The Fund benefited from asset allocation and the focus on corporate debt versus government securities as the primary contributors to relative performance. The Fund’s exposure to the non-investment grade bank loan sector and the high yield bond sector benefited performance. The Fund’s overweight to BBB-rated corporate bonds (relative to the benchmark) detracted from performance. While the Fund’s overall duration was below benchmark, which contributed to performance, the Fund’s overweight to the long-end of the yield curve was a detractor. The Fund’s sector overweight to consumer cyclicals, electric utilities, transportation, capital goods, and collateralized loan obligations benefited performance while the Fund’s sector overweight to banking, REITs and consumer non-cyclicals detracted. At the Issuer level, Hub International (insurance), Nevada Power (Electric Utility), and Filtration Group (Capital Goods) were the top contributors, while Universal Health Services (healthcare), Charter Communications (communications), and AT&T (communications) were the top detractors.
| See benchmark definitions on A-37 – A-38 |
A-13
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds ESG Core Bond (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds ESG Core Bond’s Class I returned -4.12% compared to a return of -4.78% for its benchmark, the Bloomberg US Aggregate Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the period from inception through March 31, 2023. For comparison purposes, the performance of all classes for the period ended March 31, 2023 are also shown in the table below. Performance data for Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | Since Inception (12/14/20) |
|||||||
| Fund’s Class I |
(4.12% | ) | (4.87% | ) | ||||
| Fund’s Class I-2 |
(4.12% | ) | (4.87% | ) | ||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | (5.24% | ) | ||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund uses an intermediate term corporate debt focused strategy. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts in the process of individual investment selection. The Fund also incorporates sustainable investment goals into the investment process by use of ESG Exclusions and ESG metrics. The sub-adviser created the following ESG Exclusions to seek to screen out investment in issuers with direct involvement in: (i) the production, distribution, sale or use of thermal coal exceeding the sub-adviser’s revenue threshold; (ii) the production of tobacco; (iii) the production or sale of controversial military weapons; and (iv) serious human rights violations, severe environmental damage or gross corruption. Individual investment selection was also based on the sub-adviser’s analysis of ESG metrics provided by independent third-party ESG service providers. That is, the sub-adviser relies on ESG ratings and other information provided by various independent third-party ESG service providers to help construct a portfolio that rates highly on ESG factors.
The Fund benefited from asset allocation, security selection, and the underweight to duration during the reporting period. While the Fund’s overall duration was below benchmark, which contributed to performance, the overweight to the long-end of the yield curve was a detractor. The Fund’s overweight to, and selection within electrical utilities, natural gas, technology, and collateralized loan obligations benefited performance, while the Fund’s selection within banking, consumer cyclicals, and energy detracted. At the issuer level, Comcast Corporation (communication), Alcon Finance (consumer non-cyclical), and Intel Corporation (technology) contributed to performance, while Jab Holdings (insurance) Bank of America (banking) and Lowe’s Companies (retail) detracted.
| See benchmark definitions on A-37 – A-38 |
A-14
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Strategic Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Strategic Income’s Class I returned -2.03%, compared to a return of -4.78% for its benchmark, the Bloomberg US Aggregate Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C and Class I-2 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class I |
(2.03% | ) | 3.48% | 3.81% | ||||||||
| Fund’s Class A without sales charge |
(2.41% | ) | 3.15% | 3.50% | ||||||||
| Fund’s Class A with maximum sales charge |
(6.59% | ) | 2.25% | 3.05% | ||||||||
| Fund’s Class C without sales charge |
(3.04% | ) | 2.43% | 2.76% | ||||||||
| Fund’s Class C with maximum sales charge |
(3.97% | ) | 2.43% | 2.76% | ||||||||
| Fund’s Class I-2 |
(2.16% | ) | 3.42% | 3.76% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund seeks a high level of current income, and may also seek capital appreciation. We, the Pacific Asset Management portfolio management team, focus the Fund on U.S. dollar credit focused fixed income asset classes, notably non-investment grade securities. Based on our view of the market conditions during the reporting period, we positioned the Fund towards non-investment grade securities. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts in the process of individual investment selection.
The Fund outperformed its benchmark for the reporting period due to asset allocation and an underweight to duration relative to the benchmark. The Fund’s reporting period saw both interest rates and corporate credit spreads increase, leading investment grade credit to moderately underperform Treasuries and Agency Mortgage Back Securities. The Fund’s exposure to the non-investment grade bank loans, high yield securities, and collateralized loan obligations contributed to performance. The Fund’s overall duration was below that of the benchmark, which contributed to performance. At the sector level, overweights to, and selection within, energy, capital goods, and finance companies benefited performance. Positioning in REITS and banking detracted. At the issuer level, Ahern Rentals (capital goods), Applied Systems (technology) and Bway (capital goods) were the top contributors while Athene (insurance), CSC Holding (communications) and Community Health Systems (healthcare) were the top detractors.
| See benchmark definitions on A-37 – A-38 |
A-15
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Floating Rate Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Floating Rate Income’s Class I returned 2.69%, compared to a return of 2.12% for its benchmark, the Credit Suisse Leveraged Loan Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C , Class I-2 and Class P shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class I |
2.69% | 3.23% | 3.50% | |||||||||
| Fund’s Class A without sales charge |
2.50% | 2.94% | 3.20% | |||||||||
| Fund’s Class A with maximum sales charge |
(0.59% | ) | 2.32% | 2.89% | ||||||||
| Fund’s Class C without sales charge |
1.75% | 2.22% | 2.46% | |||||||||
| Fund’s Class C with maximum sales charge |
0.79% | 2.22% | 2.46% | |||||||||
| Fund’s Class I-2 |
2.66% | 3.18% | 3.46% | |||||||||
| Fund’s Class P |
2.71% | 3.23% | 3.48% | |||||||||
| Credit Suisse Leveraged Loan Index |
2.12% | 3.55% | 3.86% | |||||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund seeks a high level of current income. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look for investment opportunities in floating rate loans and floating rate debt securities.
For the reporting period, the Fund outperformed the benchmark primarily due to its focus on the performing segment of the loan market and selection within second-lien loans. During the reporting period, the Fund’s underweight (relative to its benchmark) to higher quality loans rated BB and above detracted from performance as these loans outperformed lower quality loans. The Fund’s underweight to distressed loans contributed to performance. The Fund’s overweights to issuers in the financials, healthcare and information technology sectors benefited performance while underweights to energy, services and utility sectors detracted from performance. The Fund’s security selection within performing second lien CCC-rated loans contributed to performance during the reporting period. The Fund’s focus on larger and more liquid issuers (which we generally defined as those issuers with facility sizes greater than $1 billion) contributed to performance as larger issuers outperformed.
| See benchmark definitions on A-37 – A-38 |
A-16
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds High Income (managed by Pacific Asset Management LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds High Income’s Class I returned -2.91%, compared to a return of -3.35% for its benchmark, the Bloomberg US High-Yield 2% Issuer Capped Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C , Class I-2 and Class P shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class I |
(2.91% | ) | 2.93% | 3.57% | ||||||||
| Fund’s Class A without sales charge |
(3.09% | ) | 2.69% | 3.33% | ||||||||
| Fund’s Class A with maximum sales charge |
(7.23% | ) | 1.81% | 2.87% | ||||||||
| Fund’s Class C without sales charge |
(3.81% | ) | 1.96% | 2.57% | ||||||||
| Fund’s Class C with maximum sales charge |
(4.73% | ) | 1.96% | 2.57% | ||||||||
| Fund’s Class I-2 |
(2.84% | ) | 2.96% | 3.58% | ||||||||
| Bloomberg US High-Yield 2% Issuer Capped Bond Index |
(3.35% | ) | 3.19% | 4.09% | ||||||||
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class P |
(2.83% | ) | 2.94% | 3.83% | ||||||||
| Bloomberg US High-Yield 2% Issuer Capped Bond Index |
(3.35% | ) | 3.19% | 4.16% | ||||||||
| (1) | Pacific Asset Management LLC began managing the Fund effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management managed the Fund. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I outperformed the benchmark. The Fund seeks a high level of current income by investing in non-investment grade debt instruments or in instruments with characteristics of non-investment grade instruments. Using a fundamental approach with a top-down overlay, Pacific Asset Management’s team of portfolio managers and research analysts look at the relative value of each security and assess the macro environment and marketplace for tailwinds and catalysts.
For the reporting period, the Fund outperformed the benchmark primarily due to security selection within corporate credit and an underweight (relative to the benchmark) to duration. The Fund’s underweight to BB-rated securities and overweight to B-rated securities benefited performance. The Fund’s exposure to bank loans contributed to performance given the rise in interest rates during the reporting period. At the sector level, underweights to communications and banking, as well as an overweight to capital goods benefited performance. The Fund’s security selection within energy, technology, and consumer non-cyclical detracted from performance. At the issuer level, BCPE Ulysses (capital goods), Ford Motor (consumer cyclical), and Allied Universal (consumer cyclical) were the top contributors while Level 3 Financing (communications), Lumen Technologies (communications), and CSC Holdings (communications) were the top detractors.
| See benchmark definitions on A-37 – A-38 |
A-17
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Pacific Funds Small/Mid-Cap (managed by Rothschild & Co Asset Management US Inc.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Small/Mid-Cap’s Class I-2 returned -11.15%, compared to a return of -10.39% for its benchmark, the Russell 2500 Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I-2 shares of the Fund to its benchmark for the period from inception through March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C, and Class R6 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class I-2 |
(11.15% | ) | 3.49% | 7.59% | ||||||||
| Fund’s Class A without sales charge |
(11.41% | ) | 3.22% | 7.33% | ||||||||
| Fund’s Class A with maximum sales charge |
(15.17% | ) | 2.32% | 6.69% | ||||||||
| Fund’s Class C without sales charge |
(12.01% | ) | 2.47% | 6.54% | ||||||||
| Fund’s Class C with maximum sales charge |
(12.57% | ) | 2.47% | 6.54% | ||||||||
| Russell 2500 Index |
(10.39% | ) | 6.65% | 10.33% | ||||||||
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class R6 |
(11.11% | ) | 3.57% | 5.90% | ||||||||
| Russell 2500 Index |
(10.39% | ) | 6.65% | 7.64% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I-2 underperformed the benchmark. We at Rothschild & Co Asset Management US implement the Fund’s strategy by investing in common stocks and other equity securities of small and medium capitalization U.S. companies. We analyze a variety of quantitative and fundamental inputs in making stock decisions and seek to build a portfolio that is well diversified at the issuer level and by economic sector. Our focus remains on identifying stocks with attractive relative valuations and the ability to exceed investors’ expectations.
Leading sectors contributing to the Fund’s underperformance included healthcare, consumer discretionary, and industrials. Conversely, the energy, real estate, and technology sectors provided the largest contributors to the Fund’s performance. Sector allocation was negative, with the main detractors coming from industrials, health care, and real estate partially offset by positive attribution from financial services, technology and communication services. Stock selection was a positive contributor to the Fund’s performance with the effects of contributors in the real estate, energy, and materials falling short of those of the detractors in the financials, consumer discretionary, and communications sectors.
Turning to individual stocks, a top detractor from the Fund’s performance during the reporting period included Kohl’s Corporation (KSS), a department store retailer, which was under pressure following weaker-than-expected results and annual guidance lowering prior reported acquisition interest from private equity and other parties. Results were impacted by overall industry weakness and a more abrupt change in demand trend toward experiences and away from goods. This occurred as consumers attended events and returned to work, along with pressure to consumer wallets from gas prices and a weak April 2022, given significant unseasonal weather patterns. We sold the position following such deterioration in trends. Another detractor from the Fund’s performance was Generac Holdings Inc. (GNRC), a backup power company, which announced weaker-than-expected sales and earnings and lower annual guidance as home stand-by installation capacity growth lagged production output, creating an excess inventory position within the channel. In addition, the company had lower-than-expected clean energy shipments due to a large customer bankruptcy within the solar industry. With deteriorating near-term fundamentals coupled with increasing competitive risks, we exited the position. Lastly, ZoomInfo Technologies Inc. (ZI), a business-to-business data, marketing, and sales intelligence software platform vendor, whose shares underperformed after it issued weaker-than-expected guidance for 2023 sales growth. The company was negatively impacted by the macro environment, which drove greater budget scrutiny, longer sales cycles, and lower customer net expansion trends.
Top individual stock contributors to the Fund’s performance during the reporting period included Quanta Services, Inc. (PWR), an electric power infrastructure company, whose shares outperformed following a better-than-expected earnings results and guidance that was ahead of consensus estimates. We continue to like the company’s exposure to the strong secular growth trends in renewables and electric transmission. Another contributor to the Fund’s performance, Deckers Outdoor Corporation (DECK), a footwear company, reported better-than-expected fiscal
| See benchmark definitions on A-37 – A-38 |
A-18
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
results and raised earnings guidance driven by strong demand for its Hoka and Ugg brands. In addition, the company announced a significant share repurchase authorization. Lastly, Atkore Inc. (ATKR), an electrical components and equipment company, which outperformed following better-than-expected results during the third quarter of the reporting period and new long-term guidance for 2025 that surpassed expectations. Investor fears of significant price reversals have not materialized in recent results.
Pacific Funds Small-Cap (managed by Rothschild & Co Asset Management US Inc.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Small-Cap’s Class I-2 returned -11.96%, compared to a return of -11.61% for its benchmark, the Russell 2000 Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I-2 shares of the Fund to its benchmark for the period from inception through March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C, and Class R6 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class I-2 |
(11.96% | ) | 2.50% | 7.18% | ||||||||
| Fund’s Class A without sales charge |
(12.15% | ) | 2.25% | 6.92% | ||||||||
| Fund’s Class A with maximum sales charge |
(15.90% | ) | 1.37% | 6.28% | ||||||||
| Fund’s Class C without sales charge |
(12.83% | ) | 1.49% | 6.11% | ||||||||
| Fund’s Class C with maximum sales charge |
(13.71% | ) | 1.49% | 6.11% | ||||||||
| Russell 2000 Index |
(11.61% | ) | 4.71% | 9.29% | ||||||||
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class R6 |
(11.85% | ) | 2.58% | 5.17% | ||||||||
| Russell 2000 Index |
(11.61% | ) | 4.71% | 6.43% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I-2 underperformed the benchmark. We at Rothschild & Co Asset Management US implement the Fund’s strategy by investing in common stocks and other equity securities of small capitalization U.S. companies. We analyze a variety of quantitative and fundamental inputs in making stock decisions and seek to build a portfolio that is well diversified at the issuer level and by economic sector. Our focus remains on identifying stocks with attractive relative valuations and the ability to exceed investors’ expectations.
Top sectors detracting from the Fund’s performance included consumer discretionary, materials, and technology. Conversely, the consumer staples, health care, and communications sectors contributed the most to the Fund’s absolute performance. Sector allocation was flat for the period, with the main detractors coming from energy, health care, and industrials, offset by positive relative performance from communications, financials, consumer discretionary, and our cash position. Stock selection was positive for the reporting period, with the effects of contributors in the health care, consumer staples, and industrials outshining detractors in the consumer discretionary, materials, and technology sectors.
Turning to individual stocks, a top detractor from the Fund’s performance was NexPoint Residential Trust, Inc. (NXRT), a real estate investment trust that owns and operates middle-income multi-family residential real estate in sunbelt markets. The company has continued to deliver strong rent growth and continues to offer a compelling internal growth story via apartment renovations. Leverage is higher than peers but largely swapped into fixed rates. Nonetheless, the stock has declined due to a decrease of the stock’s price-to-earning’s ratio, as it has reversed most of 2021’s gains. While its implied value has declined due to higher market financing costs, the stock has underperformed on broader concerns about sustainability of rent and occupancy trends. Another detractor from the Fund’s performance was Avaya Holdings Corp. (AVYAQ), a communication technology provider that reported weaker than expected revenue and earnings driven by delayed revenue recognition as its transition to a subscription business was moving faster than expected. The company continued to increase its key performance metrics with raising its cloud annualized recurring revenue estimate. However, worse than expected cash flow from the accelerated subscription transition drove increased liquidity concerns over debt due in mid-2023. We exited the position as the company announced much weaker than expected results driving further liquidity concerns along with a leadership change. Lastly, Kohl’s Corporation (KSS), a department store retailer, was under pressure following weaker-than-expected results and annual guidance lowering prior reported acquisition interest from private equity and other parties. Results were impacted by overall industry weakness and a more abrupt change in demand trend toward
| See benchmark definitions on A-37 – A-38 |
A-19
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
experiences and away from goods. This occurred as consumers attended events and returned to work, along with pressure to consumer wallets from gas prices and a weak April 2022, given significant unseasonal weather patterns. We sold the position following such deterioration in trends.
Top contributors to the Fund’s performance included e.l.f. Beauty, Inc. (ELF), a cosmetic and beauty company, which reported significantly better sales and earnings results, and raised guidance several times throughout the reporting period. Such results were driven by better overall demand on strong cosmetic and skincare spending, along with expanded shelf space in key retail partners, market share gains as consumers trade down toward value, and international and digital demand. Another contributor was Atkore Inc. (ATKR), an electrical components and equipment company, which outperformed following better-than-expected results during the third quarter of the reporting period and new long-term guidance for 2025 that surpassed expectations. Investor fears of significant price reversals have not materialized in recent results. Lastly, Brigham Minerals, Inc. (MNRL), a mineral royalty company, performed well on increased full-year production guidance as producers appeared to accelerate drilling activity on the company’s land. News speculation towards the end of the month of August 2022 suggested that Brigham’s management was investigating strategic alternatives, including a sale of the company; this speculation was subsequently confirmed with an announced all-stock merger in early September 2022.
Pacific Funds Small-Cap Value (managed by Rothschild & Co Asset Management US Inc.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, Pacific Funds Small-Cap Value’s Class I-2 returned -10.18%, compared to a return of -12.96% for its benchmark, the Russell 2000 Value Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class I-2 shares of the Fund to its benchmark for the period from inception through March 31, 2023. For comparison purposes, the performance of all classes for the periods ended March 31, 2023 are also shown in the table below. Performance data for Class A, Class C, and Class R6 shares will vary due to differences in fees and sales charges. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class I-2 |
(10.18% | ) | 3.74% | 7.48% | ||||||||
| Fund’s Class A without sales charge |
(10.48% | ) | 3.45% | 7.18% | ||||||||
| Fund’s Class A with maximum sales charge |
(14.27% | ) | 2.55% | 6.54% | ||||||||
| Fund’s Class C without sales charge |
(11.11% | ) | 2.69% | 6.40% | ||||||||
| Fund’s Class C with maximum sales charge |
(11.97% | ) | 2.69% | 6.40% | ||||||||
| Russell 2000 Value Index |
(12.96% | ) | 4.55% | 8.95% | ||||||||
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class R6 |
(10.18% | ) | 3.76% | 5.19% | ||||||||
| Russell 2000 Value Index |
(12.96% | ) | 4.55% | 5.85% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. The table does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund’s Class I-2 outperformed the benchmark. We at Rothschild & Co Asset Management US implement the Fund’s strategy by investing in common stocks and other equity securities of small capitalization U.S. companies. We analyze a variety of quantitative and fundamental inputs in making stock decisions and seek to build a portfolio that is well diversified at the issuer level and by economic sector. Our focus remains on identifying stocks with attractive relative valuations and the ability to exceed investors’ expectations.
Leading sectors contributing to the Fund’s performance included healthcare, industrials, and communications. Conversely, the technology, materials, and consumer discretionary sectors were the main detractors to the Fund’s return. Sector allocation was positive, with the main contributions coming from communications, financials, industrials, and our cash position, partially offset by weak performance in the energy, materials, and consumer discretionary sectors. Stock selection was the primary driver of the Fund’s relative outperformance, with the effects of contributors in the healthcare, industrials, and energy sectors outshining detractors in the technology, materials, and financials sectors.
Turning to individual stocks, top individual stock contributors to the Fund’s performance included UFP Technologies, Inc. (UFPT), a packaging company focused on the medical end market, which dramatically beat consensus as the combination of organic growth and a recent acquisition drove outperformance. Market analysts raised consensus expectations for the company for 2022 and 2023, which led to an increase of the company’s price-to-earnings ratio, and in our view reduced the value proposition for the stock. Therefore, in November 2022, we trimmed
| See benchmark definitions on A-37 – A-38 |
A-20
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
our position in the stock to lock in gains. Another contributor to the Fund’s performance was Avantax, Inc. (AVTA), a tax focused wealth management company, announced the sale of its TaxAct business and accretive capital structure management plans including a significant share repurchase plan consisting of a $250m modified Dutch Auction tender and another $200m of shares in the open market over time. In addition, the company plans for debt paydown and refinancing. Lastly, Atkore Inc. (ATKR), an electrical components and equipment company, which outperformed following better-than-expected quarterly results and new long-term guidance for 2025 that surpassed expectations. Investor fears of significant price reversals have not materialized in recent results.
A top detractor from the Fund’s performance was NexPoint Residential Trust, Inc. (NXRT), a real estate investment trust that owns and operates middle-income multi-family residential real estate in sunbelt markets. The company has continued to deliver strong rent growth and continues to offer a compelling internal growth story via apartment renovations. Leverage is higher than peers but largely swapped into fixed rates. Nonetheless, the stock has declined on valuation multiple compression as it has reversed most of 2021’s gains. While its implied value has declined due to higher market financing costs, the stock has underperformed on broader concerns about sustainability of rent and occupancy trends. Another detractor from the Fund’s performance was Argo Group International Holdings, Ltd. (ARGO), a specialty insurance company, which declined after a series of updates that reduced its profitability outlook. The company took a charge for a reinsurance agreement to cover prior year liabilities, but some overhang from reserve risk remains. With limited visibility in the future and poor execution we exited the position.
Lastly, Avaya Holdings Corp. (AVYAQ), a communication technology provider, reported weaker than expected revenue and earnings driven by delayed revenue recognition as its transition to a subscription business was moving faster than expected. The company continued to increase its key performance metrics with raising its cloud annualized recurring revenue estimate. However, worse than expected cash flow from the accelerated subscription transition drove increased liquidity concerns over debt due in mid-2023. We exited the position as the company announced much weaker than expected results driving further liquidity concerns along with a leadership change.
PF Inflation Managed Fund (sub-advised by Pacific Investment Management Company LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Inflation Managed Fund returned -6.21%, compared to a return of -6.06% for its benchmark, the Bloomberg US TIPS Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(6.21% | ) | 2.94% | 1.14% | ||||||||
| Bloomberg US TIPS Index |
(6.06% | ) | 2.94% | 1.49% | ||||||||
| (1) | Effective October 31, 2016, Pacific Investment Management Company LLC (“PIMCO”) became the sole sub-adviser to the Fund. Between January 15, 2015 and October 31, 2016, Western Asset Management Company, LLC served as co-sub-adviser of the Fund with PIMCO. Prior to January 15, 2015, PIMCO served as the sole sub-adviser. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. We at PIMCO implement the Fund’s investment strategies by investing in bonds and derivative instruments, focusing on inflation-indexed debt securities.
The Fund’s exposure to U.S. and U.K. breakeven inflation, the difference between nominal and real interest rates, contributed to performance as real yields on global inflation-linked bonds fell across the curve. U.S. duration positioning also contributed, although short duration positioning in Japan detracted from performance. Exposure to both U.S. Agency and Non-Agency mortgage backed securities (MBS) also detracted from performance.
| See benchmark definitions on A-37 – A-38 |
A-21
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
The Fund’s use of derivatives during the reporting period included the following: the Fund entered into interest rate swaps to manage nominal or real interest rate exposure in various global markets and as a substitute for cash bond exposure. The Fund entered into futures contracts to manage interest rate exposure, as a substitute for cash bond exposure, and for purposes of liquidity. Interest rate swaps and futures allow the portfolio manager to effectively manage risk and gain or reduce exposure by targeting specific markets and areas of the yield curve that may not otherwise be accessible through the use of cash bonds. The Fund entered into total return swaps to obtain exposure in markets where no physical securities are available. The Fund sold/wrote and purchased options and swaptions on futures, bond indices, and swaps as a means of capitalizing on anticipated changes in market volatility and to generate income. The Fund purchased and sold foreign currency contracts in connection with settling planned purchases or sales of securities, to hedge the currency exposure associated with some of the Fund’s securities, or as a part of a tactical investment strategy. The Fund also held inflation caps to hedge duration.
PF Managed Bond Fund (co-sub-advised by J.P. Morgan Investment Management Inc., Pacific Investment Management Company LLC and Western Asset Management Company, LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Managed Bond Fund returned -7.38%, compared to a return of -4.78% for its benchmark, the Bloomberg US Aggregate Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(7.38% | ) | 0.36% | 1.47% | ||||||||
| Bloomberg US Aggregate Bond Index |
(4.78% | ) | 0.91% | 1.36% | ||||||||
| (1) | J.P. Morgan Investment Management Inc. became co-sub-advisor to the Fund on October 23, 2020 and some investment policies changed at that time. Western Asset Management Company, LLC became co-sub-adviser to the Fund on August 1, 2014, and some investment policies changed at that time. Pacific Investment Management Company LLC was the sole sub-adviser to the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. The Fund is co-sub-advised by JPMorgan, PIMCO and Western Asset. The following are separate discussions from each co-sub-adviser.
JPMorgan
For the reporting period, the portion of the Fund managed by JPMorgan outperformed the benchmark. In seeking the Fund’s goal of maximizing total return, the JPMorgan team invests our portion of the Fund assets in debt securities that focused on investment grade intermediate-term debt securities (five to ten years to maturity) in order for the Fund to maintain a dollar-weighted average maturity between three and ten years. Taking a long-term approach, we look for individual fixed income investments that we believe will perform well over a market cycle. We are value oriented and make decisions to purchase and sell individual securities and instruments after performing a risk/reward analysis that includes an evaluation of interest rate risk, credit risk, duration, liquidity, legal provisions in offering documents (like term to maturity) of the debt security or instrument and the legal structure (such as priority of payments in a multi-class structure) of the debt security.
For our portion of the Fund, duration positioning was a positive contributor to the performance; yield curve posture was also positive for performance. When interest rates rise across the maturity spectrum, those issues with a longer time to maturity tend to decline in price more than those with shorter maturities, all else being equal. For the portion of the Fund we managed, the Fund duration, which is an effective measure of how long it will take to have the investments returned either through principal paydowns, interest coupon payments or maturities was lower than that of the benchmark. In a rising rate period, which was the case during the reporting period, this contributed to the Fund’s outperformance relative to the Index.
| See benchmark definitions on A-37 – A-38 |
A-22
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
For our portion of the Fund, security selection in agency mortgage-backed securities (MBS) was a detractor, as the Fund’s mortgages trailed benchmark mortgage pass-throughs. From a sector allocation perspective, the Fund’s underweight to the MBS sector contributed to performance.
An underweight to corporate bonds for our portion of the Fund was a detractor over the reporting period.
Lastly, for our portion of the Fund, the Fund’s sector allocation in securitized credit (non-agency MBS, commercial MBS, and asset-backed securities) was positive for performance relative to the benchmark.
PIMCO
For the reporting period, the portion of the Fund managed by PIMCO underperformed the benchmark. We at PIMCO implement the Fund’s investment strategies by investing in bonds and derivative instruments with the characteristics of debt instruments.
For our portion of the Fund, tactical U.S. duration strategies, including curve positioning, and short exposure to U.K. interest rates contributed to performance. Spread strategies broadly were negative for performance, particularly exposure to non-Agency mortgage backed securities (MBS). Out of benchmark exposure to high yield corporate credit and underweight exposure to investment grade corporate credit also detracted from performance. Within currencies, developed markets currency exposure detracted from performance.
The Fund’s use of derivatives during the reporting period included the following for the portion of the Fund we manage: the Fund bought and sold credit protection through credit default swaps to increase and decrease exposure to the credit risk of individual securities and to the broader investment grade, high yield, mortgage, and emerging market sectors, and to take advantage of the basis between the credit default swap and cash bond market. Our portion of the Fund entered into interest rate swaps to manage nominal or real interest rate exposure in various global markets and as a substitute for cash bond exposure. Our portion of the Fund entered into futures contracts to manage interest rate exposure, as a substitute for cash bond exposure, and for purposes of liquidity. Our portion of the Fund sold/wrote options and swaptions on futures, bond indices, and also purchased options on futures, bond indices, and to-be-announced (TBAs) as a means of capitalizing on anticipated changes in market volatility and to generate income. Our portion of the Fund purchased and sold foreign currency contracts in connection with settling planned purchases or sales of securities, to hedge the currency exposure associated with some of the Fund’s securities, and to express certain views on currency markets.
Western Asset
For the reporting period, the portion of the Fund managed by Western Asset underperformed the benchmark. For our portion of the Fund, we at Western Asset seek to maximize total return consistent with prudent investment management. We utilize a long-term, fundamental value philosophy in conjunction with a global investment platform to build a diversified portfolio of investment grade bonds with opportunistic allocations to high yield, emerging markets and non-U.S. dollar securities to enhance returns. Value is added through sector rotation, yield curve positioning, issue selection and duration management.
The reporting period was marked by a rise in U.S. Treasury yields, a flatter Treasury curve and spread-widening across spread sectors as the market digested higher-than-expected inflation, growing recession fears and a Fed that appeared to be more vigilant with respect to containing inflation. U.S. inflation accelerated sharply during the first half of 2022, partly due to supply chain inefficiencies, peaking in mid-2022 before decelerating during the second half of the reporting period. Rising inflation ultimately spurred the Fed to begin an expedited tightening cycle during the first half of 2022, including hiking in 0.75% increments beginning in June 2022 and subsequently downshifting to 0.50% and then 0.25%, to ultimately end the first quarter of 2023 with the fed funds rate at 4.75%—5.00%. U.S. employment data remained strong as nonfarm payrolls generally exceeded expectations. In March 2023, the shutdown of Silicon Valley Bank and related banking sector concerns led to a significant repricing of the Fed’s interest rate trajectory.
During the reporting period, the Fund’s largest detractor from performance was its interest rate positioning, in particular its long duration stance relative to the benchmark. Throughout the reporting period, the Fund’s overweight duration position was concentrated at the back-end of the yield curve and was intended to serve as a hedge helping to mute downside volatility during periods of time when the market is under stress. Ultimately, the Fund’s long duration stance significantly detracted as yields rose. Second, the Fund’s exposures to non-U.S. developed markets detracted as most currencies weakened versus the U.S. dollar during the reporting period. Finally, the Fund’s exposures to structured products, in aggregate, detracted from performance, mostly due to commercial mortgage-backed securities (MBS) exposure, as structured product spreads widened. The Fund held an overweight stance relative to the benchmark as we believed that fundamentals in the structured product market were sound as the economy reopened, and that valuations were attractive relative to historical levels. The Fund’s overweight exposure to corporate credit, including both investment-grade and non-investment grade/high-yield, also detracted from performance as credit spreads widened during the course of the reporting period. We generally believed that corporate bonds remained attractive relative to sovereign bonds and that certain subsectors and issuers still had further upside, with a preference for higher-quality, shorter-duration issues within high-yield. The Fund’s underweight exposure to agency MBS, which was gradually trimmed to neutral versus the benchmark during the reporting period to take advantage of improved valuations, detracted as spreads widened during the second half of the reporting period.
During the reporting period, the Fund’s overweight position to emerging markets (EM) was the main contributor, mainly due to EM local bond exposure as well as favorable selection within USD-denominated EM bonds as USD EM bond spreads widened.
The Fund’s use of derivatives, during the reporting period included a combination of U.S. Treasury, Eurodollar, Secured Overnight Financing Rate (SOFR) and non-U.S. interest rate futures, options, swaps and swaptions to manage its overall duration and yield curve exposure as well as exposures to certain international bond markets. Credit default swaps on both investment-grade and high-yield issuers and indices were used as an efficient, low cost way of adjusting exposures to these sectors. The Fund also used Mortgage TBAs (To Be Announced) to gain exposure to the Agency MBS market and other stripped MBS derivatives to gain exposure to specific characteristics of agency MBS. Finally, the Fund used foreign exchange futures, forwards, and options to hedge as well as to take long positions on certain developed and emerging market currencies.
| See benchmark definitions on A-37 – A-38 |
A-23
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
PF Short Duration Bond Fund (sub-advised by T. Rowe Price Associates, Inc.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Short Duration Bond Fund returned -0.70%, compared to a return of 0.26% for its benchmark, the Bloomberg US 1-3 Year Government/Credit Bond Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(0.70% | ) | 1.33% | 1.05% | ||||||||
| Bloomberg 1-3 Year US Government/Credit Bond Index |
0.26% | 1.26% | 1.01% | |||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. We at T. Rowe Price manage the Fund’s investment strategy by investing in debt securities (including derivatives on such securities). In our attempt to seek current income, the strategy focuses on high-quality, investment-grade securities. Furthermore, the Fund attempts to invest in out-of-benchmark securitized sectors to pick up incremental yield in the strategy. In addition to making active sector allocation and security selection decisions, we also monitor the Fund’s duration, which is generally expected to track the duration of the benchmark (plus or minus a half year), as part of our management of the Fund. Duration is used as a measure of a bond’s sensitivity to interest rates.
Sector allocation detracted from relative performance. An out-of-benchmark allocation to residential mortgage-backed securities (MBS) hindered relative performance. While the sector had strong performance toward the end of the reporting period, over the entire period the interest rate-sensitive sector was ultimately dragged lower by concerns about the ramifications of tighter Fed policy, rising rates, and declining housing affordability. Out-of-benchmark holdings of commercial MBS, which were weighed down by concerns about the health of the commercial real estate market, also detracted from Fund performance. In addition, the Fund’s allocation to cash for liquidity purposes detracted from relative performance.
Yield curve positioning, which describes the Fund’s performance attributable to changing interest rates, detracted from relative performance. While duration trended lower and ended the period longer relative to the benchmark, the Fund’s average duration profile was longer relative to the benchmark over the period, which detracted from relative performance alongside a broad-based rise in U.S. Treasury yields over the reporting period. Conversely, underweights in the front end of the yield curve and overweights further out on the yield curve contributed to relative performance as the yields on shorter-maturity Treasury bills and notes rose by a greater magnitude than yields on intermediate- and longer-maturity Treasuries.
Security selection within investment-grade corporate bonds contributed to relative performance. Holdings of bonds issued by air lessors, which lease aircraft to air lines, posted gains as China’s economic reopening later in the period fueled hopes of a continued rebound in air travel demand.
As of the end of the reporting period, the Fund held interest rate futures generating gross exposure of approximately 13.53%. The estimated return impact from employing Futures was -0.13% for the reporting period.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
PF Emerging Markets Debt Fund (sub-advised by Principal Global Investors, LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Emerging Markets Debt Fund returned -4.40%, compared to a return of -3.06% for its benchmark, the J.P Morgan Emerging Markets Blended (JEMB) - Equal Weighted Index .
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(4.40% | ) | (1.38% | ) | 0.94% | |||||||
| J.P.Morgan JEMB Equal Weighted Index |
(3.06% | ) | (0.36% | ) | 1.19% | |||||||
| (1) | Principal Global Investors LLC began managing the Fund on November 1, 2021 and some investment policies changed at that time. Another firm managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. We at Principal Global Investors follow an unconstrained total return strategy of considering investments in all emerging market debt asset classes. The strategy is designed to be an “all-weather” solution across the emerging market debt market cycle with an emphasis on potentially limiting volatility and liquidity risk by using a dynamic allocation to emerging market bonds and derivatives. The Fund is continuously monitored for rebalancing in an attempt to keep risk exposures consistent.
Two main factors, higher yielding credit and currency positioning, explain the bulk of the underperformance relative to the index benchmark during the reporting period. The invasion in Ukraine from Russia in February of 2022 unsurprisingly put Ukrainian bonds under distress. Although we reduced the Fund’s positions in Ukraine before the reporting period began, the remaining positions in sovereign and state guaranteed paper underperformed. In June of the reporting period, after the surprise 8.6% year-on-year CPI and the subsequent 0.75% Fed hike, renewed outflows from Emerging Market Debt funds materialized again. As a result, our external debt positions in high yielding Nigeria resulted in some losses.
Our rates and local currency positions were the main contributors. The Fund also saw gains coming from its China Real Estate positions. Positions in China tech, China property, and Macau gaming were among the top performers in November, both from the top-down policy shifts and sector specific developments (the property sector support and gaming concession renewals in Macau). Rates paying or interest rates curve positions, using interest rate swaps, in Chile, Thailand and India contributed to performance. Finally, local currency bond positions in countries such as Peru and Czech Republic contributed to performance.
The Fund’s use of derivatives during the reporting period included using interest rate futures contracts to manage duration and interest rate risk and U.S. Treasury futures to hedge duration; forward contracts and interest rate swaps to gain or manage market exposure, for hedging purposes, to manage duration, and as a part of the Fund’s investment strategy; and entering into credit default swaps to obtain exposure on sovereign credit spreads and for hedging purposes.
| See benchmark definitions on A-37 – A-38 |
A-25
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
PF Growth Fund (sub-advised by MFS Investment Management)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Growth Fund returned -13.10%, compared to a return of -10.90% for its benchmark, the Russell 1000 Growth Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(13.10% | ) | 10.80% | 13.25% | ||||||||
| Russell 1000 Growth Index |
(10.90% | ) | 13.66% | 14.59% | ||||||||
| (1) | MFS Investment Management began managing the Fund on May 1, 2013, and some investment policies changed at that time. Another firm managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. The strategy is an actively managed, research-driven growth fund. We, the MFS investment management team, build the Fund from the bottom up, selecting companies with the best opportunities for growth two to three years into the future. When applying the Fund’s valuation analysis, we consider the magnitude and potential growth rate of a company against what the market has discounted. At the sector level, we typically limit significant over- and under-weights relative to the benchmark, allowing bottom-up stock selection to drive performance results over time.
Stock selection within the technology sector weighed on performance relative to the benchmark, led by overweight positions in dating products provider Match Group, technology company Alphabet and software company Adobe Systems. The timing of the Fund’s ownership in shares of both customer information software manager Salesforce and movie subscription services provider Netflix further detracted from relative performance. The stock price of Salesforce declined as the company’s stronger-than-expected quarterly financial results were overshadowed by the announcement of the departure of the company’s Co-CEO, a move which appeared to have weighed on the stock price.
Security selection and the Fund’s underweight position in both the communications and industrial sectors held back relative returns. Within the communications sector, an underweight position in computer and personal electronics maker Apple and an overweight in credit reporting company Transunion detracted from relative results. Despite challenging macroeconomic environment and significant supply chain constraints, the stock price of Apple benefited from record level revenue growth across the board, with significant upside within the services business segment, as well as management’s announcement that it had reached an important milestone of two billion active devices. Within the industrial sector, there were no individual stocks, either in the Fund or in the benchmark, that were among the Fund’s largest relative detractors for the reporting period.
An overweight position in internet retailer Amazon.com further reduced relative performance. The stock price of Amazon.com declined during the period as the company reported softer-than-expected revenue and operating profits, driven by weaker-than-expected performance in Amazon Web Services (AWS) and a softening in consumer demand.
An underweight allocation to the consumer, cyclical sector contributed to relative performance. Within this sector, not owning electric vehicle manufacturer Tesla and the Fund’s off-benchmark holding of luxury goods company LVMH Moet Hennessy Louis Vuitton (France) benefited relative returns. The stock price of Tesla declined due to uncertainty surrounding production shutdowns at the company’s Shanghai manufacturing plant, reduced vehicle deliveries, increased competitive concerns and questions regarding Tesla CEO Elon Musk’s acquisition of social media platform Twitter. The share price of LVMH Moet Hennessy Louis Vuitton rose as the company reported strong top-line growth despite softer-than-anticipated margins. Most of the upside came from the company’s Selective Retailing and Fashion & Leather divisions. Additionally, the re-opening of China and lifting of COVID-related restrictions further benefited the stock.
| See benchmark definitions on A-37 – A-38 |
A-26
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Other top relative contributors included overweight positions in index data provider MSCI, biotechnology company Vertex Pharmaceuticals, debit and credit transaction processing company Mastercard, integrated circuits and electronic devices developer Cadence Design Systems and digital payments services provider Visa. The stock price of MSCI rose as the company reported better-than-expected earnings results driven by solid revenue growth and margin expansion. The Fund’s off-benchmark holdings of medical devices maker Boston Scientific and electronic instruments manufacturer AMETEK also aided relative performance.
The Fund’s cash and/or cash equivalents position during the reporting period was also a contributor to relative performance. Under normal market conditions, the Fund strives to be fully invested and generally holds cash to buy new holdings and to provide liquidity. In a period when equity markets fell, as measured by the Fund’s benchmark, holding cash boosted performance versus the benchmark, which has no cash position.
PF Large-Cap Value Fund (sub-advised by ClearBridge Investments, LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Large-Cap Value Fund returned -4.74%, compared to a return of -5.91% for its benchmark, the Russell 1000 Value Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(4.74% | ) | 8.52% | 9.26% | ||||||||
| Russell 1000 Value Index |
(5.91% | ) | 7.50% | 9.13% | ||||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. We, the ClearBridge large-capitalization value team, use an interactive, research-driven approach to identify large-capitalization companies with strong business franchises and attractive valuations. We look for companies with proven business models and sustainable competitive advantages capable of generating superior returns over time across a range of potential scenarios. We place an emphasis on near- and medium-term cash flows over those with a longer projected time frames when discounting earnings from emerging business models or products. We consider valuations relative to normalized earnings power. There is no change to our disciplined investment approach that focuses on competitively well-positioned companies with strong business franchises capable of generating superior returns across cycles.
Relative to the benchmark, overall stock selection and sector allocation contributed positively to the Fund’s performance during the reporting period. The Fund’s stock selection in the financials, information technology (IT), materials, industrials, consumer staples and health care sectors contributed the most to relative performance for the reporting period. In terms of allocation, underweights to the real estate and communication services sectors and overweights to the industrials and energy sectors contributed the most to relative performance. On an individual stock basis, the leading contributors to relative performance included positions in Meta Platforms, operator of the Facebook and Instagram social media platforms and a leading digital advertising provider whose increasing financial discipline is helping sustain its high underlying profitability and gain back investor confidence; Motorola Solutions, which provides mission critical telecommunications networks and enjoys strong customer loyalty; and insurer Progressive, which continues to demonstrate superior underwriting practices with consistent share gains in the personal auto insurance market while maintaining strong profitability.
| See benchmark definitions on A-37 – A-38 |
A-27
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Relative to the benchmark, stock selection in the communication services and energy sectors detracted from the Fund’s performance, as did underweights to the consumer staples, health care and consumer discretionary sectors. On an individual stock basis, the leading detractors to relative performance included positions in leading provider of pay-TV services Dish Network: capital needs combined with higher interest rates, an uncertain macroeconomic environment and low near-term visibility for its wireless initiatives have been punishing for the stock recently. Bank of America was also a relative detractor, as after generating strong performance in 2021 as investors focused on the benefits of higher interest rates, sentiment turned cautious amid fears that an economic downturn would outweigh those benefits and shares declined sharply. As the banking crisis unfolded in March 2023, heightened interest rate risk at Bank of America weighed on shares; of the largest banks, it has the biggest proportion of long-duration bonds in its securities portfolio. Despite its weakness, we expect Bank of America to be among the beneficiaries from a flight to safety in terms of deposits. Pay-TV, broadband and telephone services provider Charter Communications was also a relative detractor, as COVID-related pull forward in demand for broadband waned and Charter’s capex plan to accelerate network upgrades was poorly received. While such plans reduce free cash flow available for buybacks in the medium term, the upgrades sustain the company’s competitive advantage and should accelerate long-term growth.
PF Small-Cap Growth Fund (sub-advised by MFS Investment Management)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Small-Cap Growth Fund returned -9.48%, compared to a return of -10.60% for its benchmark, the Russell 2000 Growth Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(9.48% | ) | 9.04% | 8.77% | ||||||||
| Russell 2000 Growth Index
|
(10.60% | ) | 4.26% | 8.49% | ||||||||
| (1) | The Fund changed its name from PF Developing Growth Fund and MFS began managing the Fund on May 1, 2020, and some investment policies changed at that time. Other firms managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. We at MFS focus on investing the Fund’s assets in the stocks of small-capitalization companies we believe to have above average earnings growth potential compared to other companies (growth companies). We use an active bottom-up investment approach to buying and selling investments for the Fund. Investments are selected primarily based on fundamental analysis of individual issuers and their potential considering their financial condition, and market, economic, political, and regulatory conditions. Factors considered may include analysis of an issuer’s earnings, cash flows, competitive position, and management ability.
Stock selection in both the communication services and materials sectors contributed to performance relative to the benchmark. Within the communication services sector, the Fund’s off-benchmark holding of professional football club Manchester United (United Kingdom) supported relative returns. The stock price of Manchester United advanced sharply toward the end of the calendar year as the company delivered exceptional financial results that beat market expectations, driven by strong revenue performance in its commercial segment. Within the materials sector, off-benchmark holdings of coating systems manufacturer Axalta Coating Systems boosted relative results as the share price benefited from improving profitability trends, better operational efficiency, market share gains and further debt reduction.
An underweight position and security selection in the health care sector also aided relative performance led by the Fund’s off-benchmark holdings of purpose-made drug and medication packaging manufacturer Gerresheimer (Germany) and an overweight position in pharmaceutical company that discovers and develops precision medicines for cancer and other diseases Turning Point Therapeutics. In June 2022, shares of Turning Point surged on news that pharma giant Bristol Myers Squibb planned to purchase the company at a significant premium to its prior day stock price (security was sold shortly after acquisition announcement).
| See benchmark definitions on A-37 – A-38 |
A-28
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Stocks in other sectors that contributed to relative returns included overweight positions in payment technology and services providers EVO Payments, which received a takeover bid from payment technology and services provider Global Payments at a 24% premium to its previous share price. We subsequently closed out the position in September 2022. Remitly Global shares rallied after the fintech company that’s focused on cross-border remittances posted strong results in its fourth-quarter 2022 earnings report, beating estimates on the top and bottom lines. Holdings in non-benchmark positions of specialty value retailer Five Below, footwear retailer Skechers and industrial equipment distributor Ritchie Bros. Auctioneers also added value.
The Fund’s cash and/or cash equivalents position during the reporting period was also a contributor to relative performance. Under normal market conditions, the Fund strives to be fully invested and generally holds cash to buy new holdings and to provide liquidity. In a period when equity markets fell, as measured by the Fund’s benchmark, holding cash boosted performance versus the benchmark, which has no cash position.
The combination of an underweight position and stock selection in the consumer staples sector and an underweight position in the energy sector detracted from relative performance. However, there were no individual stocks within these sectors, either in the Fund or in the benchmark, that were among the Fund’s top relative detractors over the reporting period.
Security selection in the consumer discretionary sector also detracted from relative returns led by the Fund’s off-benchmark position in pet health and wellness services provider Petco Health & Wellness. Petco shares were held back by lower-than-expected profits and weak guidance from management for the full year.
Stocks in other sectors that weighed on relative results included non-benchmark positions of global technology consultancy firm Thoughtworks and clinical development company Syneos Health. The share price of Thoughtworks fell in the first quarter of 2023 after management reported a decline in revenue in its retail and consumer segments and depressed margins due to higher employee costs. Syneos Health weakened relative performance after the company reported lower-than-expected revenue and depressed margins in the fourth quarter of 2022. The company also lowered expectations due to weakness among some of its smaller cap biopharma customers. The position was sold from the portfolio in February 2023. Other detractors included digital outsourcing services provider TaskUs, airline service JetBlue Airways (sold in January 2023) and life sciences company Maravai LifeSciences. Additionally, overweight positions in digital banking services provider Q2 Software Inc, security risk intelligence solutions provider Rapid7, technology solutions provider to the travel and tourism industry Sabre and automated lending services provider Open Lending (position closed in February 2023) further detracted from relative returns. The share price of Q2 Software was affected by industry-wide sell-off following the collapse of Silicon Valley Bank (SVB) as investors questioned confidence in the global banking system. This, together with a weakness in Europe and depressed transaction revenues globally weighed on the share price performance.
PF Small-Cap Value Fund (sub-advised by AllianceBernstein L.P.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Small-Cap Value Fund returned -11.66%, compared to a return of -12.96% for its benchmark, the Russell 2000 Value Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(11.66% | ) | 4.46% | 7.78% | ||||||||
| Russell 2000 Value Index |
(12.96% | ) | 4.55% | 7.22% | ||||||||
| (1) | AllianceBernstein L.P. began managing the Fund on May 1, 2014 and some investment policies changed at that time. Another firm managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
| See benchmark definitions on A-37 – A-38 |
A-29
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. We at AllianceBernstein maintain the Fund’s investment goal by seeking long-term growth of capital. The Fund seeks undervalued small-capitalization stocks with attractive long-term earnings prospects. We believe that small-capitalization stocks offer greater opportunity for fundamental stock selection since they are covered by fewer industry analysts. The Fund invests primarily in the equity securities of small-capitalization US companies.
Relative to the benchmark, overall sector allocation contributed to the Fund’s performance during the reporting period. An underweight to the healthcare sector and an overweight to the industrials sector contributed, while underweights to the energy and utilities sectors detracted.
Overall security selection detracted from the Fund’s performance. Security selection within the consumer staples and energy sectors detracted, while selection in the communication services and materials sectors contributed.
HF Sinclair, an oil refiner and manufacturer of lubricants, contributed to the Fund’s performance during the reporting period. The company benefited from a sharp increase in refining margins driven by turmoil in the energy markets after the Russian invasion of Ukraine. Shares were additionally rewarded for the successful closing of the acquisition of The Sinclair Companies by HollyFrontier. Manufacturing company Allegheny Technologies also contributed to the Fund’s performance, driven by solid market share gains despite a moderation of the rate of improvement in aerospace deliveries.
Global information technology company Unisys detracted from the Fund’s performance after management guided that 2023 revenue will face headwinds due to macro-driven delays. Additionally, despite significant progress made by the company to manage down its pension obligations in previous years, management noted a potential for a ramp in pension obligations in future years due to declines in pension asset values. Food company Hain Celestial also detracted from the Fund’s performance after it reported disappointing fiscal third quarter of 2022 and fiscal fourth quarter of 2022 results driven by cost inflation, supply-chain headwinds and weakness in European consumer spending.
PF Emerging Markets Fund (sub-advised by Invesco Advisers, Inc.)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Emerging Markets Fund returned 1.56%, compared to a return of -10.70% for its benchmark, the MSCI Emerging Markets Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
1.56% | 0.06% | 2.89% | |||||||||
| MSCI Emerging Markets Index |
(10.70% | ) | (0.91% | ) | 2.00% | |||||||
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. |
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. We, the Invesco Emerging Markets Equity team, believe investment success requires both imagination and rigor. Differentiated research — focused on businesses, not stocks — allows us to unearth real options embedded in portfolio companies. Our long-term investment horizon allows us to capture opportunities often unappreciated by conventional wisdom. We are long-term investors in Emerging Markets with a high conviction portfolio focused on exceptional companies with durable long-term growth, sustainable advantages as well as global and local disruptors. The Fund primarily invests in companies that are domiciled in emerging markets and to a very limited extent in frontier markets, as defined by the MSCI Emerging Market and Frontier Market indices. Further, the Fund may also invest in companies that are domiciled or listed in developed markets and derive a notable share of revenues or have assets in emerging
| See benchmark definitions on A-37 – A-38 |
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markets. The investment process is bottom-up and benchmark agnostic. We remain steadfastly committed to truly active and idiosyncratic investing in Emerging Markets, which has underwritten the portfolio’s strong long-term performance and growth of capital.
From a sector perspective, the largest contributors to relative performance were stock selection in the consumer discretionary, energy and financials sectors. The largest detractor from relative performance was stock selection and an underweight allocation (relative to the benchmark) to the information technology sector. Geographically, Russia was the largest contributor to relative performance. Stock selection in China contributed to relative performance, as did an overweight allocation to Switzerland. The largest detractor from relative performance was stock selection and an overweight allocation to Brazil. The fund has no allocation to Thailand or Turkey which detracted from relative performance.
The largest individual stock contributors for the reporting period were Novatek, Yum China, and H World Group (formerly Huazhu).
Novatek is one of the largest independent global gas producers, and we believe it has considerable growth options in its portfolio of low cost, competitively advantaged liquefied natural gas (LNG) projects on the Yamal Peninsula. Demand for Novatek’s LNG projects is fundamentally supported by the global push to develop sources of cleaner energy. As per industry practice, following Russia’s invasion of Ukraine, all Russian equity holdings were priced to zero as of March 2nd, 2022. Market conditions have evolved and allowed the Fund, following strict guidelines and regulations, to sell shares in the over-the-counter (OTC) market.
Yum China operates a portfolio of quick serve restaurants in the underpenetrated Chinese market with notable brands such as KFC and Pizza Hut. Despite the challenges of operating under China’s zero Covid policy, Yum China was able to deliver strong results driven by managements’ effective cost cutting measures, strong operating leverage and margin improvement, and continued expansion into lower tier cities. Growth should further improve with the lifting of mobility restrictions in China.
H World Group (formerly Huazhu) is a pioneer in the Chinese hotel industry, primarily using a franchise model. It has solidified and maintained its leadership position through investments in infrastructure technology, which have supported operational efficiency and boosted brand loyalty. Managements’ expectations for 2023 continue to be positive overall, with a focus on continued portfolio optimization with the phase out of underperforming brands, continued expansion initiatives, which should drive strong revenue growth.
The largest individual stock detractors for the reporting period were Taiwan Semiconductor Co. (TSMC), Tata Consultancy Services (TCS), and Naver.
Taiwan Semiconductor Co. (TSMC) is one of the world’s leading semiconductor foundries and the key enabler of the new computing revolution, with multiple architectures, chip platforms and design teams competing to push computing and AI innovation. TSMC is expanding global production capabilities with construction underway on a chipmaking plant in Arizona that is slated to open in 2024, intentions to build a second plant in the state, and potential expansion plans in Japan. Despite weak smartphone and PC demand we believe TSMC should be well positioned, as they continue migrating to next generation processing nodes.
Tata Consultancy Services (TCS) is an Indian based global IT consulting firm. The company has strong shares in traditional services and has been focused on areas of new growth by expanding their geographic footprint, focusing on SME (small and medium enterprise) clients, and pushing digital initiatives. Near-term macro headwinds stemming from inflationary and recessionary fears, have put pressure on the consulting industry. TCS announced the unplanned departure of its CEO during the reporting period, which created volatility in the share price.
Naver operates a search portal business in South Korea and derives a significant source of revenue from internet advertisers. Naver provides additional digital services/experiences such as news, maps, and e-mail. We decided to exit this position during the reporting period due to concerns over future growth in the mature South Korean market, increased competition, and frenetic pricing amongst medium sized players in the market.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
PF International Growth Fund (sub-advised by ClearBridge Investments, LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF International Growth Fund returned 0.24%, compared to a return of -1.38% for its benchmark, the MSCI EAFE Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
0.24% | 4.33% | 5.33% | |||||||||
| MSCI EAFE Index |
(1.38% | ) | 3.52% | 5.00% | ||||||||
| (1) | ClearBridge Investments, LLC began managing the Fund on November 1, 2021 and some investment policies changed at that time. Another firm managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. | ||||||
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. We, the ClearBridge international growth team, seek out attractively valued stocks across all market capitalizations to construct a diversified portfolio of growth companies in developed and emerging markets outside the United States. We target growth companies across three categories – secular, structural and emerging – that give us the most opportunities to participate in the returns available through all market conditions while paying close attention to risk. Secular growth companies are issuers that have established businesses and leading market share in their respective industry with the balance sheets and pricing power to deliver consistent growth. Our structural growth segment allows us to own undervalued cyclicals and companies that have earnings that are temporarily depressed but that we believe should see a step change in forward earnings. Emerging growth companies are what many investors think of as growth companies with above average revenue growth and innovative business models that may be earlier in their growth lifecycle and investing heavily to fund future growth.
Relative to the benchmark, overall security selection and sector allocation contributed to the Fund’s performance during the reporting period. Specifically, stock selection within the consumer discretionary, health care, materials, financials and utilities sectors contributed the most to the Fund’s relative performance. Lack of exposure to the real estate sector as well as underweights to the energy and communication services sectors were also beneficial to relative results. On an individual holding basis, the leading contributors to relative Fund performance for the reporting period included positions in pharmaceutical maker Novo Nordisk (Denmark) in the health care sector as the company generated strong free cash flow from its diabetes products. The stock moved higher as Ozempic and Wegovy GLP-1 drugs to treat type 2 diabetes were approved for further indications to reduce weight in obese patients. Initial prescription data (both diabetics and non-diabetics) were extraordinary and beat all expectations. Deutsche Telekom (Germany), in the telecommunication services sector, is a telecom and wireless services provider whose share price increased during the reporting period as earnings and cash flows forecasts were upgraded due to an improved German profitability outlook and raised free cash flow forecasts from T-Mobile in the U.S. LVMH Moet Hennessy Louis Vuitton (France) in the consumer discretionary sector was another strong contributor. The luxury goods and spirits maker has a diverse business mix that can work at different points in the cycle. The shares were boosted in the reporting period by strong operating results, positive reception to its latest Dior line as well as optimism around the reopening of the Chinese luxury market. Other leading contributors included fast fashion retailer Industria De Desino Textil (Spain) in the consumer discretionary sector, and oilfield services and equipment provider Schlumberger (United States) in the energy sector.
Relative to the benchmark, the Fund’s security selection in the industrials, consumer staples and information technology (IT) sectors detracted from the Fund’s performance during the reporting period. Overweight allocations to the IT and utilities sectors also hurt relative results. In terms of individual holdings, the leading detractors from relative Fund performance included positions in workflow software development company Atlassian (Australia) in the IT sector. Share price weakness in the reporting period was driven by a reduction to Atlassian’s fiscal year revenue growth outlook.
| See benchmark definitions on A-37 – A-38 |
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As many of its customers reduce headcount in the current macro environment, the company has seen a slowing of the portion of revenue growth tied to seat expansion. Call center and outsourcing provider Teleperformance (France) in the industrials sector, saw its shares sell off on ESG concerns related to its operations in Colombia, where the company has been accused of union-busting, traumatic working conditions and low pay for workers in content moderation roles for TikTok. We held four engagements with the company following these revelations and believe it has acted proactively in addressing such allegations. Rather than sell the stock after the allegations came out, we have used the conversations with the company to better understand how moderating highly egregious content fits into its overall business and were satisfied in its decision to exit that part of its operations. Job search and placement services provider Recruit Holdings (Japan) in the industrials sector, saw its shares pressured by concerns about a rise in U.S. unemployment that hurt its Indeed online job search business. The company’s key business in Japan providing restaurant reservations, wedding planning and related services was also a headwind as it has yet to recover from earlier COVID lockdowns. However, we continue to like Indeed as a unique property and that should be a key beneficiary of the economic recovery that follows a likely U.S. recession. Other detractors during the period included athletic footwear and apparel maker Adidas (Germany) in the consumer discretionary sector and data search and analysis software maker Elastic (United States) in the IT sector.
PF International Small-Cap Fund (sub-advised by FIAM LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF International Small-Cap Fund returned -3.27%, compared to a return of -10.37% for its benchmark, the MSCI ACWI ex USA Small Cap Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the period from inception through March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class P |
(3.27% | ) | 1.80% | 5.81% | ||||||||
| MSCI ACWI ex US Small Cap Index |
(10.37% | ) | 1.67% | 5.45% | ||||||||
| (1) | FIAM began managing the Fund on November 1, 2021 and some investment policies changed at that time. Other firms managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. | ||||||
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. In buying and selling securities for the Fund, we at FIAM utilize fundamental analysis of factors such as each issuer’s financial condition and industry position, as well as market and economic conditions. The Fund seeks out issuers in non-U.S. countries with smaller market capitalizations that generate sustainable free cash flows, have sound balance sheets, and are led by capable management teams. We try to purchase such companies for the Fund when they are trading at a discount to intrinsic value.
On both a geographic and sector basis, combined stock and market selection contributed to performance during the reporting period. Stock selection in the industrials sector was the biggest contributor, in particular a sizeable overweighting in Greece-based industrial conglomerate Mytilineos. As one of the lowest cost aluminum producers in Europe, the company did better than their less economical regional competitors. The company’s favorable geography meant it was able to source natural gas feedstock at competitive prices. Management also made reasonable investments in solar and wind energy projects that have the potential to improve company’s appeal amongst Europe’s many ESG-focused investors.
Also, within the industrials sector an overweighting in Spain-based logistics provider CIA de Distribucion Integral Logista Holdings contributed to performance. The company’s steady, if unexciting, monopoly on tobacco distribution in Southern Europe continued to generate large amounts of cash, much of which was retained on its balance sheet. These high cash balances benefited from rising interest rates during the reporting period, which appealed to investors seeking defensive safe havens in global equity markets.
| See benchmark definitions on A-37 – A-38 |
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Another notable contributor within the industrials sector was an overweighting in German-based defense company Rheinmetall, a primary beneficiary of European countries’ commitments to higher defense budgets. Defense sales are generally higher margin than Rheinmetall’s other main business of automotive components. During the reporting period we trimmed the position on strength.
Stock selection in the communication services sector was also a major contributor. An overweighting in Taiwan-based International Games System, an online game developer and operator, was the second largest individual contributor to the Fund’s performance. The company announced a new game launch in the U.S. as well as a new app platform early in the reporting period, which kicked off a sustained rally in the stock. While earnings were mostly in-line with consensus, investors looking for safer havens in the technology-related companies seemed drawn to the company’s steady earnings profile and high dividend, which may have helped drive expansion in the valuation multiple.
Stock selection in the information technology sector was another major contributor and included strong results from an out-of-benchmark position in Japan-based semiconductor manufacturer Renesas Electronics. The company beat sales and margin estimates, provided better-than-expected sales guidance, and announce a ¥50B share buyback in the latter half of the reporting period. It remained well positioned for long-term growth in analog, mixed signal, and vehicle electrification markets.
Combined market and stock selection was negative in only two sectors: the utilities sector, where the Fund did not have any holdings; and the energy sector, where a modest overweighting almost offset negative returns from stock selection. A modest overweighting in U.K.-based Harbour Energy detracted from performance. The company was hit with a larger-than-expected Energy Profit Levy, courtesy of the U.K. chancellor. The tax was also extended to March 2028 and would remain in place even if oil prices dropped. The tax was expected to significantly reduce investment in the North Sea, an area to which the company is heavily exposed.
Negative impacts from stock selection in the real estate and consumer discretionary sectors were more than offset by the Fund’s underweighting and overweighting in each, respectively. The largest individual detractor came from the consumer discretionary sector, an overweighting in Brazil-based post-secondary education services provider Yduqs Participacoes. COVID hit its in-person education business hard with negative impacts further compounded by political and economic turmoil in Brazil and the rolling off of government tuition support.
The Fund’s second biggest individual detractor was an overweighting in Germany-based commercial (mainly office) real estate investment and management company DIC Asset. The company downgraded its fiscal year guidance citing slowness in the transaction market, which adversely affected fee revenue. This weakness extended into what was normally the busiest season of the year (November/December of 2022). Questions also lingered about their ability to dispose of several hundred million dollars’ worth of properties that could help deliver their balance sheet.
On a geographic basis, stock and market selection both contributed to returns. Positions in emerging markets and Asia ex-Japan fared best, while small out-of-benchmark exposure in the U.S. (<5%) detracted marginally.
PF International Value Fund (sub-advised by Wellington Management Company LLP)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF International Value Fund returned 5.24%, compared to a return of -1.38% for its benchmark, the MSCI EAFE Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmark for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
5.24% | 3.35% | 4.39% | |||||||||
| MSCI EAFE Index |
(1.38% | ) | 3.52% | 5.00% | ||||||||
| (1) | Wellington Management Company LLP began managing the Fund on May 1, 2017 and some investment policies changed at that time. Other firms managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. | ||||||
| See benchmark definitions on A-37 – A-38 |
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Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund outperformed the benchmark. The Fund seeks long-term capital appreciation by investing primarily in a diversified portfolio of equity securities of large non-U.S. companies that we at Wellington believe to be undervalued. We, the Wellington portfolio Management team, use a “contrarian value” approach to selecting securities, applying fundamental analysis to identify securities that we believe are undervalued by the market.
Security selection within the financials, industrials, and utilities sectors were top contributors to returns relative to the benchmark. This was partially offset by selections within the consumer discretionary and health care sectors which detracted from performance. Sector allocation, a residual of our fundamental stock selection process, also contributed to relative performance. The Fund’s overweight positions relative to the benchmark in the energy and financials sectors and an underweight position in the information technology sector contributed to relative performance, but was partially offset by an underweight allocation to the consumer staples sector and an overweight allocation to the communication services sector which detracted from performance.
On a country-by-country basis, strong security selection in issuers based in Japan, Switzerland, and Italy contributed most to relative performance.
Top contributors to benchmark relative returns included overweight positions in UniCredit (financials) and BP (energy). Shares of UniCredit rose during the reporting period as the company reported underlying net income for the fourth quarter of 2022 that beat expectations. Shares of BP ended the reporting period higher after the multinational oil and gas company announced a further $2.75 billion share buyback and 10% increase in dividends. We continue to hold positions in both companies as of the end of the reporting period.
Among the top detractors from relative performance were not owning benchmark constituents Novo Nordisk (health care) and LVMH Moet Hennessy (consumer discretionary). Novo Nordisk shares rose during the reporting period as it shared positive results from a Phase 3b trial of a drug developed for the treatment of type 2 diabetes. The company also delivered strong 2022 sales growth driven by the diabetes and obesity segments. Shares of LVMH rose over the reporting period. The company reported fourth quarter of 2022 results that saw growth in every business segment, and an increase in full year revenue and profits.
PF Multi-Asset Fund (managed by Pacific Life Fund Advisors LLC (portion sub-advised by Pacific Asset Management LLC))
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Multi-Asset Fund returned -9.62%, compared to a return of -7.02% for its benchmark, the MSCI World Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmarks for the period from inception through March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years |
Since |
||||||||||
| Fund’s Class P |
(9.62% | ) | 7.69% | 6.21% | ||||||||
| MSCI World Index |
(7.02% | ) | 8.01% | 6.42% | ||||||||
| (1) | Pacific Asset Management LLC began sub-advising a portion of the Fund with Pacific Life Fund Advisors LLC effective December 31, 2019. Prior to that date, Pacific Life Fund Advisors LLC doing business under the name Pacific Asset Management sub-advised a portion of the Fund with Pacific Life Fund Advisors LLC. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. | ||||||
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the benchmark. The Fund buys and sells total return swap agreements to gain exposure to the large-capitalization and mid-capitalization asset classes of the U.S. and developed non-U.S. equity markets, including growth and value styles, that may be denominated in foreign currencies. We at PLFA actively manage the Fund’s exposures in these asset classes in seeking to contribute to overall returns for the Fund.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
A primary driver of the Fund’s underperformance versus the benchmark during the reporting period was the Fund’s fixed income holdings (which are available as collateral for the derivatives holdings) as they returned less than the Fund’s derivatives financing expenses over the reporting period. In addition, the Fund’s overweight (relative to its benchmark) exposure to the US mid-capitalization equities asset class detracted from performance, as they experienced a weaker recovery than their larger counterparts over the reporting period. While the exposure to large-capitalization value equities contributed to performance, the exposure to large-capitalization growth stocks detracted from performance. Holdings in investment grade corporate bonds detracted from performance. On the other hand, the underweight (relative to its benchmark) exposure to international equities contributed to performance. In addition to total return swap agreements, the Fund used futures contracts to gain and reduce exposures to certain asset classes during the reporting period. In turn, financing costs related to gaining and reducing exposures detracted from performance.
PF Real Estate Fund (sub-advised by Principal Real Estate Investors, LLC)
Q. How did the Fund perform for the year ended March 31, 2023?
A. For the year ended March 31, 2023, the PF Real Estate Fund returned -18.94%, compared to a return of -7.73% for the broad-based S&P 500 Index, and -20.17% return for the sector-specific benchmark the MSCI U.S. REIT Index.
The following graph compares the performance of a hypothetical $10,000 investment in Class P shares of the Fund to its benchmarks for the ten-year period ended March 31, 2023. The Fund’s performance reflects reinvestments of all dividends and capital gains distributions, if any.
Performance Comparison
Average Annual Total Returns for the Periods Ended March 31, 2023(1)
| 1 Year | 5 Years | 10 Years |
||||||||||
| Fund’s Class P |
(18.94% | ) | 6.68% | 6.00% | ||||||||
| S&P 500 Index |
(7.73% | ) | 11.19% | 12.24% | ||||||||
| MSCI US REIT Index |
(20.17% | ) | 4.79% | 4.66% | ||||||||
| (1) | Principal Real Estate Investors LLC began managing the Fund on May 1, 2018, and some investment policies changed at that time. Another firm managed the Fund before that date. |
|
Performance data shown represents past performance. Investment return and principal value will fluctuate so that shares of the Fund when redeemed may be worth more or less than their original cost. Past performance is not predictive of future performance. | ||||||
Q. Discuss both positive and negative factors that materially affected the Fund’s performance during the year, including relevant market conditions, investment strategies and techniques, and particular sectors or securities.
A. For the reporting period, the Fund underperformed the broad-based S&P 500 Index and outperformed the sector-specific MSCI U.S. Real Estate Investment Trust (REIT) Index. We, the real estate securities team at Principal Real Estate Investors, utilize a fundamental style of investing. We rely on skilled portfolio managers and analysts to provide deep forward-looking perspectives and carry out rigorous, fundamental research on all investment opportunities. Security selection focuses on identifying relative stock mispricing amongst groups of comparable stocks. Excess return generation is bottom-up as we believe security selection is the most reliable and repeatable source of consistent outperformance. We construct portfolios to diversify risk and sources of excess returns, so excess return generation is consistent over the long term. Top-down elements are incorporated but represent a minor role in our investment process.
In general, the real estate sector underperformed the domestic equity market (as measured by the broad-based benchmark) during the reporting period. In response to rising inflation in 2022, the Federal Reserve (Fed) quickly pivoted, surprising the market with higher than expected rate hikes mid-year. Attention abruptly shifted from inflation to banking stress in March of 2023 following the collapse of two regional banks in the U.S. This development changed the perceived path of future monetary policy actions, with the Fed acknowledging that tighter credit conditions may substitute for future hikes. Consequently, during the reporting period, rate-sensitive and capital-intensive real estate securities faced performance pressures given greater valuation headwinds from the dramatic rise in rates developing concerns over tighter credit conditions.
Relative to the sector-specific benchmark, an underweight to traditional office stocks contributed to the Fund’s performance. In addition to pressures from sluggish return to office momentum, poor leasing activity and negative earnings revisions, the office stocks sold off on concerns over tighter lending conditions. Stock selection within net lease and industrial sectors was beneficial to the Fund’s performance, as we were overweight to two companies that outperformed due to mergers & acquisition announcement activity: net lease company STORE Capital was acquired by peers, and industrial company PS Business Park was bought by Blackstone Real Estate. In addition, our overweight to a gaming net lease stock, VICI Properties, contributed as investors sought their proven record of recession resiliency during a time of growing recession concerns.
| See benchmark definitions on A-37 – A-38 |
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PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
An underweight to mall stocks was a top detractor to the Fund’s performance, particularly as share prices rallied late in 2022 on improving consumer sentiment and solid leasing activity. Not holding document storage business Iron Mountain detracted, as the company held up better than expected with its data center business putting up impressive leasing numbers and traditional paper storage/service business successfully implementing higher pricing.
Benchmark Definitions
Bloomberg US 1-3 Year Government/Credit Bond Index measures the performance of a subset of the Bloomberg US Aggregate Bond Index and includes investment grade U.S. dollar-denominated, fixed-rate Treasuries, government-related and corporate securities with maturities of one to three years. Results include the reinvestment of all distributions.
Bloomberg Short Treasury Total Return Index measures the performance of the US Treasury bills, notes, and bonds under 1 year to maturity. STRIPS are excluded from the index because their inclusion would result in double-counting. Results include the reinvestment of all distributions.
Bloomberg US Aggregate Bond Index measures the performance of the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market, which includes Treasuries, government-related and corporate securities, mortgage-backed securities, asset-backed securities and commercial mortgage-backed securities. Results include the reinvestment of all distributions.
Bloomberg US High-Yield 2% Issuer Capped Bond Index is an issuer-constrained version of the Bloomberg US Corporate High-Yield Bond Index that covers the U.S. dollar-denominated, high yield, fixed-rate corporate bond market and limits issuer exposures to a maximum of 2% and redistributes the excess market value index-wide on a pro-rata basis. Results include the reinvestment of all distributions.
Bloomberg US Treasury Inflation-Protected Securities (TIPS) Index (also known as Bloomberg US Treasury Inflation-Linked Bond Index) is an index of all outstanding treasury inflation protected securities issued by the U.S. government. Results include the reinvestment of all distributions.
Credit Suisse Leveraged Loan Index tracks the investable market of the U.S. dollar-denominated leveraged loan market. It consists of issues rated “5B” or lower, meaning that the highest rated issues included in this index are Moody’s/S&P ratings of Baa1/BB+ or Ba1/BBB+. All loans are funded term loans with a tenure of at least one year and are made by issuers domiciled in developed countries. Results include the reinvestment of all distributions.
ICE BofA U.S. 3-Month Treasury Bill (T-Bill) Index is an index comprised of a single issue purchased at the beginning of the month and held for a full month. At the end of the month that issue is sold and rolled into a newly selected issue. The issue selected at each month-end rebalancing is the outstanding Treasury Bill that matures closest to, but not beyond, three months from the rebalancing date. To qualify for selection, an issue must have settled on or before the month-end rebalancing date. Results include the reinvestment of all distributions.
J.P. Morgan Corporate Emerging Markets Bond Index Broad Diversified Index tracks liquid, U.S. dollar-denominated emerging market fixed and floating-rate debt instruments issued by corporates. Results include the reinvestment of all distributions.
J.P. Morgan Emerging Markets Blended — Equal Weighted Index is a blended index comprised of 1/3 each of the following indices: J.P. Morgan Government Bond Index — Emerging Markets Global Diversified Index, J.P. Morgan Emerging Markets Bond Index Global Diversified, and J.P. Morgan Corporate Emerging Markets Bond Index Broad Diversified Index. The J.P. Morgan Emerging Markets Blended — Equal Weighted Index is designed to blend U.S. dollar and local currency denominated sovereign, quasi-sovereign and corporate bonds in equal proportion. Results include the reinvestment of all distributions.
J.P. Morgan Emerging Markets Bond Index (EMBI) Global Diversified tracks total returns of U.S. dollar-denominated debt instruments issued by emerging markets sovereign and quasi-sovereign entities: Brady bonds, loans, and Eurobonds. This diversified index limits the exposure of some of the larger countries. Results include the reinvestment of all distributions.
J.P. Morgan Government Bond Index-Emerging Markets (GBI-EM) Global Diversified tracks total returns of emerging markets local currency denominated fixed income instruments. The instruments of the index are regularly traded, fixed-rate local sovereign bonds to which international investors can gain exposure. Country weights are based on a trade-weighted allocation, with a maximum weight of 10% per country. Results include the reinvestment of all distributions.
MSCI All Country World Index (ACWI) ex USA Small Cap Index is a market capitalization-weighted index designed to measure the investable equity market performance for global investors of small cap stocks in developed and emerging markets, excluding the United States. Results include the reinvestment of dividends after the deduction of withholding tax, applying the tax rate to non-resident individuals who do not benefit from double taxation treaties.
MSCI Emerging Markets Index is a free float-adjusted market capitalization weighted index that is designed to measure equity market performance of large- and mid-capitalization securities in emerging markets. As of March 31, 2023, the MSCI Emerging Markets Index consisted of securities from the following emerging market countries: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Kuwait, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Saudi Arabia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates. Results include the reinvestment of dividends after the deduction of withholding tax, applying the tax rate to non-resident individuals who do not benefit from double taxation treaties.
MSCI Europe, Australasia and Far East (EAFE) Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets, excluding the U.S. & Canada. As of March 31, 2023, the MSCI EAFE Index consisted of securities from the following developed market countries: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland and the UK. Results include the reinvestment of dividends after the deduction of withholding tax, applying the tax rate to non-resident individuals who do not benefit from double taxation treaties.
MSCI U.S. Real Estate Investment Trust (“REIT”) Index is a free float-adjusted market capitalization index that is comprised of equity REITs and represents approximately 99% of the U.S. REIT universe and securities that are classified in the Equity REITs Industry (under the Real Estate sector) according to the Global Industry Classification Standard (GICS). Results include the reinvestment of all distributions.
Table of Contents
PACIFIC FUNDS PERFORMANCE DISCUSSION (Continued)
MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of large and mid-capitalization securities in developed markets. Results include the reinvestment of dividends after the deduction of withholding tax, applying the tax rate to non-resident individuals who do not benefit from double taxation treaties.
Pacific Funds Portfolio Optimization Composite Benchmarks: The composite benchmarks for the Portfolio Optimization Funds show the performance of a combination of three or more broad-based market indices that represent fixed income, domestic equity, international equity and cash asset class categories in weights that are fixed and specific to each Fund. The composition of each Fund’s composite benchmark is shown below. Results include the reinvestment of all distributions. Prior to July 1, 2012, the weighting to each asset category was adjusted annually to reflect the Fund’s target allocations for the year.
Pacific Funds Portfolio Optimization Conservative Composite Benchmark is 71% Bloomberg US Aggregate Bond; 17% S&P 500; 7% ICE BofA U.S. 3-Month Treasury Bill; and 5% MSCI EAFE Indices. Results include the reinvestment of all distributions.
Pacific Funds Portfolio Optimization Moderate-Conservative Composite Benchmark is 55% Bloomberg US Aggregate Bond; 30% S&P 500; 10% MSCI EAFE; and 5% ICE BofA U.S. 3-Month Treasury Bill Indices. Results include the reinvestment of all distributions.
Pacific Funds Portfolio Optimization Moderate Composite Benchmark is 45% S&P 500; 38% Bloomberg US Aggregate Bond; 15% MSCI EAFE; and 2% ICE BofA U.S. 3-Month Treasury Bill Indices. Results include the reinvestment of all distributions.
Pacific Funds Portfolio Optimization Growth Composite Benchmark is 58% S&P 500; 23% Bloomberg US Aggregate Bond; and 19% MSCI EAFE Indices. Results include the reinvestment of all distributions. Results include the reinvestment of all distributions.
Pacific Funds Portfolio Optimization Aggressive-Growth Composite Benchmark is 69% S&P 500; 26% MSCI EAFE; and 5% Bloomberg US Aggregate Bond Indices. Results include the reinvestment of all distributions.
Russell 1000 Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000 Index companies with higher growth earning potential as defined by the index provider. The Russell 1000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the large-cap growth segment and is completely reconstituted annually to ensure new and growing equities are included and that the represented companies continue to reflect growth characteristics. Results include the reinvestment of all distributions.
Russell 1000 Index measures the performance of the large-capitalization segment of the U.S. equity universe. It is a subset of the Russell 3000 Index and includes approximately 1,000 of the largest securities based on a combination of their market capitalization and current index membership. The Russell 1000 Index represents approximately 92% of the investable U.S. equity market. It is constructed to provide a comprehensive and unbiased barometer for the large-capitalization segment and is completely reconstituted annually to ensure new and growing equities are reflected. Results include the reinvestment of all distributions.
Russell 1000 Value Index measures the performance of the large-capitalization segment of the U.S. equity universe. It is a subset of the Russell 3000 Index and includes approximately 1,000 of the largest securities based on a combination of their market capitalization and current index membership. The Russell 1000 Index represents approximately 92% of the investable U.S. equity market. The Russell 1000 Index is constructed to provide a comprehensive and unbiased barometer for the large-cap segment and is completely reconstituted annually to ensure new and growing equities are reflected. Results include the reinvestment of all distributions.
Russell 2000 Growth Index measures the performance of the small-cap growth segment of the U.S. equity universe. It includes those Russell 2000 Index companies with higher growth earning potential as defined by the index provider. The Russell 2000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the small-cap growth segment and is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set and that the represented companies continue to reflect growth characteristics. Results include the reinvestment of all distributions.
Russell 2000 Index measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000 Index is a subset of the Russell 3000 Index representing approximately 10% of the total market capitalization of that index. It includes approximately 2,000 of the smallest securities based on a combination of their market cap and current index membership. The Russell 2000 Index is constructed to provide a comprehensive and unbiased small-cap barometer and is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set. Results include the reinvestment of all distributions.
Russell 2000 Value Index measures the performance of the small-cap value segment of the U.S. equity universe. It includes those Russell 2000 Index companies that are considered more value oriented relative to the overall market as defined by the index provider. The Russell 2000 Value Index is constructed to provide a comprehensive and unbiased barometer for the small-cap value segment. The Index is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small-cap opportunity set and that the represented companies continue to reflect value characteristics. Results include the reinvestment of all distributions.
Russell 2500 Index measures the performance of the small to mid-cap segment of the U.S. equity universe, commonly referred to as “smid” cap. The Russell 2500 Index is a subset of the Russell 3000 Index. It includes approximately 2,500 of the smallest securities based on a combination of their market cap and current index membership. The Russell 2500 Index is constructed to provide a comprehensive and unbiased barometer for the small to mid-cap segment. The Index is completely reconstituted annually to ensure larger stocks do not distort the performance and characteristics of the true small to mid-cap opportunity set. Results include the reinvestment of all distributions.
Russell 3000 Index measures the performance of the largest 3,000 U.S. companies representing approximately 98% of the investable U.S. equity market. The Russell 3000 Index is constructed to provide a comprehensive, unbiased, and stable barometer of the broad market and is completely reconstituted annually to ensure new and growing equities are reflected. Results include the reinvestment of all distributions.
S&P 500 Index is a capitalization-weighted index of 500 stocks. The index is designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. Results include the reinvestment of all distributions.
A-38
Table of Contents
PACIFIC FUNDSSM PORTFOLIO OPTIMIZATION CONSERVATIVE
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| AFFILIATED MUTUAL FUNDS - 100.1% |
||||||||
| Pacific Funds Core Income ‘P’ |
1,332,788 | $12,954,697 | ||||||
| Pacific Funds Floating Rate Income ‘P’ |
466,122 | 4,330,270 | ||||||
| Pacific Funds High Income ‘P’ |
865,701 | 7,722,052 | ||||||
| PF Inflation Managed Fund ‘P’ |
879,855 | 7,619,544 | ||||||
| PF Managed Bond Fund ‘P’ |
7,328,828 | 66,252,605 | ||||||
| PF Short Duration Bond Fund ‘P’ |
3,016,596 | 28,627,493 | ||||||
| PF Emerging Markets Debt Fund ‘P’ |
650,774 | 4,262,568 | ||||||
| PF Growth Fund ‘P’ |
387,501 | 4,789,510 | ||||||
| PF Large-Cap Value Fund ‘P’ |
733,225 | 8,065,481 | ||||||
| PF Small-Cap Value Fund ‘P’ |
145,399 | 870,939 | ||||||
| PF Emerging Markets Fund ‘P’ |
189,837 | 1,738,909 | ||||||
| PF International Growth Fund ‘P’ |
67,801 | 437,993 | ||||||
| PF International Value Fund ‘P’ |
237,840 | 2,031,157 | ||||||
| PF Multi-Asset Fund ‘P’ |
2,275,140 | 18,929,165 | ||||||
| PF Real Estate Fund ‘P’ |
135,716 | 1,784,671 | ||||||
|
|
|
|||||||
| Total Affiliated Mutual Funds |
|
170,417,054 | ||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.1% |
|
170,417,054 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.1%) |
|
(131,229 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$170,285,825 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Affiliated Fixed Income Funds |
77.4% | |||
| Affiliated Equity Funds |
22.7% | |||
|
|
|
|||
| 100.1% | ||||
| Other Assets & Liabilities, Net |
(0.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Affiliated Mutual Funds |
$170,417,054 | $170,417,054 | $— | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-1
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM PORTFOLIO OPTIMIZATION MODERATE-CONSERVATIVE
Schedule of Investments
March 31, 2023
|
|
|
|||||||
| AFFILIATED MUTUAL FUNDS - 100.1% |
||||||||
| Pacific Funds Core Income ‘P’ |
1,491,727 | $14,499,588 | ||||||
| Pacific Funds Floating Rate Income ‘P’ |
626,089 | 5,816,367 | ||||||
| Pacific Funds High Income ‘P’ |
1,167,283 | 10,412,163 | ||||||
| PF Inflation Managed Fund ‘P’ |
922,744 | 7,990,966 | ||||||
| PF Managed Bond Fund ‘P’ |
8,199,591 | 74,124,307 | ||||||
| PF Short Duration Bond Fund ‘P’ |
2,751,594 | 26,112,623 | ||||||
| PF Emerging Markets Debt Fund ‘P’ |
877,490 | 5,747,558 | ||||||
| PF Growth Fund ‘P’ |
626,980 | 7,749,474 | ||||||
| PF Large-Cap Value Fund ‘P’ |
1,010,119 | 11,111,311 | ||||||
| PF Small-Cap Growth Fund ‘P’ * |
82,900 | 1,187,130 | ||||||
| PF Small-Cap Value Fund ‘P’ |
196,046 | 1,174,317 | ||||||
| PF Emerging Markets Fund ‘P’ |
511,936 | 4,689,335 | ||||||
| PF International Growth Fund ‘P’ |
292,540 | 1,889,805 | ||||||
| PF International Value Fund ‘P’ |
501,943 | 4,286,594 | ||||||
| PF Multi-Asset Fund ‘P’ |
6,106,831 | 50,808,832 | ||||||
| PF Real Estate Fund ‘P’ |
274,481 | 3,609,425 | ||||||
|
|
|
|||||||
| Total Affiliated Mutual Funds |
231,209,795 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.1% |
231,209,795 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.1%) |
|
(169,690 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$231,040,105 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Affiliated Fixed Income Funds |
62.7% | |||
| Affiliated Equity Funds |
37.4% | |||
|
|
|
|||
| 100.1% | ||||
| Other Assets & Liabilities, Net |
(0.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Affiliated Mutual Funds |
$231,209,795 | $231,209,795 | $— | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-2
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM PORTFOLIO OPTIMIZATION MODERATE
Schedule of Investments
March 31, 2023
|
|
|
|||||||
| AFFILIATED MUTUAL FUNDS - 100.1% |
||||||||
| Pacific Funds Core Income ‘P’ |
2,954,440 | $28,717,154 | ||||||
| Pacific Funds Floating Rate Income ‘P’ |
1,248,056 | 11,594,443 | ||||||
| Pacific Funds High Income ‘P’ |
3,004,705 | 26,801,969 | ||||||
| PF Inflation Managed Fund ‘P’ |
1,308,821 | 11,334,388 | ||||||
| PF Managed Bond Fund ‘P’ |
16,373,932 | 148,020,343 | ||||||
| PF Short Duration Bond Fund ‘P’ |
10,690,426 | 101,452,141 | ||||||
| PF Emerging Markets Debt Fund ‘P’ |
1,742,455 | 11,413,082 | ||||||
| PF Growth Fund ‘P’ |
5,784,920 | 71,501,607 | ||||||
| PF Large-Cap Value Fund ‘P’ |
5,583,506 | 61,418,565 | ||||||
| PF Small-Cap Growth Fund ‘P’ * |
548,723 | 7,857,717 | ||||||
| PF Small-Cap Value Fund ‘P’ |
1,297,650 | 7,772,921 | ||||||
| PF Emerging Markets Fund ‘P’ |
1,694,249 | 15,519,324 | ||||||
| PF International Growth Fund ‘P’ |
847,136 | 5,472,496 | ||||||
| PF International Value Fund ‘P’ |
2,030,292 | 17,338,697 | ||||||
| PF Multi-Asset Fund ‘P’ |
27,883,020 | 231,986,731 | ||||||
| PF Real Estate Fund ‘P’ |
908,397 | 11,945,415 | ||||||
|
|
|
|||||||
| Total Affiliated Mutual Funds |
770,146,993 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.1% |
770,146,993 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.1%) |
|
(570,038 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$769,576,955 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Affiliated Equity Funds |
56.0% | |||
| Affiliated Fixed Income Funds |
44.1% | |||
|
|
|
|||
| 100.1% | ||||
| Other Assets & Liabilities, Net |
(0.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Affiliated Mutual Funds |
$770,146,993 | $770,146,993 | $— | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-3
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM PORTFOLIO OPTIMIZATION GROWTH
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| AFFILIATED MUTUAL FUNDS - 100.1% |
||||||||
| Pacific Funds Core Income ‘P’ |
1,369,958 | $13,315,995 | ||||||
| Pacific Funds Floating Rate Income ‘P’ |
717,452 | 6,665,130 | ||||||
| Pacific Funds High Income ‘P’ |
1,475,816 | 13,164,279 | ||||||
| PF Inflation Managed Fund ‘P’ |
749,985 | 6,494,874 | ||||||
| PF Managed Bond Fund ‘P’ |
7,465,558 | 67,488,648 | ||||||
| PF Short Duration Bond Fund ‘P’ |
6,466,210 | 61,364,329 | ||||||
| PF Emerging Markets Debt Fund ‘P’ |
998,487 | 6,540,091 | ||||||
| PF Growth Fund ‘P’ |
2,675,339 | 33,067,190 | ||||||
| PF Large-Cap Value Fund ‘P’ |
2,690,095 | 29,591,040 | ||||||
| PF Small-Cap Growth Fund ‘P’ * |
943,310 | 13,508,206 | ||||||
| PF Small-Cap Value Fund ‘P’ |
3,346,228 | 20,043,904 | ||||||
| PF Emerging Markets Fund ‘P’ |
2,548,539 | 23,344,619 | ||||||
| PF International Growth Fund ‘P’ |
624,141 | 4,031,950 | ||||||
| PF International Small-Cap Fund ‘P’ |
885,124 | 6,682,683 | ||||||
| PF International Value Fund ‘P’ |
1,665,868 | 14,226,516 | ||||||
| PF Multi-Asset Fund ‘P’ |
40,596,350 | 337,761,631 | ||||||
| PF Real Estate Fund ‘P’ |
780,810 | 10,267,646 | ||||||
|
|
|
|||||||
| Total Affiliated Mutual Funds |
667,558,731 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.1% |
667,558,731 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.1%) |
|
(623,334 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$666,935,397 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Affiliated Equity Funds |
73.8% | |||
| Affiliated Fixed Income Funds |
26.3% | |||
|
|
|
|||
| 100.1% | ||||
| Other Assets & Liabilities, Net |
(0.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Affiliated Mutual Funds |
$667,558,731 | $667,558,731 | $— | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-4
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM PORTFOLIO OPTIMIZATION AGGRESSIVE-GROWTH
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| AFFILIATED MUTUAL FUNDS - 100.1% |
||||||||
| Pacific Funds Core Income ‘P’ |
199,326 | $1,937,451 | ||||||
| Pacific Funds Floating Rate Income ‘P’ |
143,071 | 1,329,126 | ||||||
| Pacific Funds High Income ‘P’ |
293,456 | 2,617,630 | ||||||
| PF Managed Bond Fund ‘P’ |
1,065,445 | 9,631,621 | ||||||
| PF Short Duration Bond Fund ‘P’ |
1,218,116 | 11,559,924 | ||||||
| PF Emerging Markets Debt Fund ‘P’ |
397,086 | 2,600,912 | ||||||
| PF Growth Fund ‘P’ |
2,353,570 | 29,090,122 | ||||||
| PF Large-Cap Value Fund ‘P’ |
1,811,337 | 19,924,701 | ||||||
| PF Small-Cap Growth Fund ‘P’ * |
656,480 | 9,400,788 | ||||||
| PF Small-Cap Value Fund ‘P’ |
1,996,065 | 11,956,432 | ||||||
| PF Emerging Markets Fund ‘P’ |
1,158,291 | 10,609,946 | ||||||
| PF International Growth Fund ‘P’ |
1,075,561 | 6,948,122 | ||||||
| PF International Small-Cap Fund ‘P’ |
527,994 | 3,986,358 | ||||||
| PF International Value Fund ‘P’ |
504,736 | 4,310,449 | ||||||
| PF Multi-Asset Fund ‘P’ |
16,095,218 | 133,912,215 | ||||||
| PF Real Estate Fund ‘P’ |
517,513 | 6,805,298 | ||||||
|
|
|
|||||||
| Total Affiliated Mutual Funds |
266,621,095 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.1% |
266,621,095 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.1%) |
(206,907 | ) | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$266,414,188 | |||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Affiliated Equity Funds |
89.0% | |||
| Affiliated Fixed Income Funds |
11.1% | |||
|
|
|
|||
| 100.1% | ||||
| Other Assets & Liabilities, Net |
(0.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Affiliated Mutual Funds |
$266,621,095 | $266,621,095 | $— | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-5
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM ULTRA SHORT INCOME
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 48.1% |
|
|||||||
| Basic Materials - 2.4% |
|
|||||||
| Anglo American Capital PLC (South Africa) |
$400,000 | $390,592 | ||||||
| Celanese US Holdings LLC |
500,000 | 500,415 | ||||||
| Glencore Funding LLC (Australia) |
247,000 | 246,122 | ||||||
| 4.125% due 03/12/24 ~ |
400,000 | 395,830 | ||||||
|
|
|
|||||||
| 1,532,959 | ||||||||
|
|
|
|||||||
| Communications - 2.8% |
|
|||||||
| Charter Communications Operating LLC |
500,000 | 501,986 | ||||||
| Comcast Corp |
200,000 | 199,718 | ||||||
| Cox Communications Inc |
200,000 | 198,836 | ||||||
| Sprint Spectrum Co LLC |
453,500 | 450,228 | ||||||
| Verizon Communications Inc |
400,000 | 400,938 | ||||||
|
|
|
|||||||
| 1,751,706 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 1.5% |
|
|||||||
| British Airways Pass-Through Trust ‘A’ (United Kingdom) |
69,972 | 60,442 | ||||||
| 4.625% due 12/20/25 ~ |
42,261 | 41,782 | ||||||
| Daimler Truck Finance North America LLC (Germany) |
500,000 | 498,070 | ||||||
| Delta Air Lines Pass-Through Trust ‘AA’ |
100,000 | 97,961 | ||||||
| Warnermedia Holdings Inc |
250,000 | 244,327 | ||||||
|
|
|
|||||||
| 942,582 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 4.7% |
|
|||||||
| Amgen Inc |
250,000 | 252,876 | ||||||
| Bayer US Finance II LLC (Germany) |
450,000 | 449,534 | ||||||
| Cargill Inc |
335,000 | 330,981 | ||||||
| Coca-Cola Europacific Partners PLC (United Kingdom) |
500,000 | 497,583 | ||||||
| Element Fleet Management Corp (Canada) |
200,000 | 191,695 | ||||||
| GE HealthCare Technologies Inc |
150,000 | 150,963 | ||||||
| General Mills Inc |
300,000 | 296,272 | ||||||
| Haleon US Capital LLC |
250,000 | 243,104 | ||||||
| Shire Acquisitions Investments Ireland DAC |
300,000 | 296,380 | ||||||
| The Cigna Group |
300,000 | 298,571 | ||||||
|
|
|
|||||||
| 3,007,959 | ||||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Energy - 3.1% |
|
|||||||
| Enbridge Inc (Canada) |
$250,000 | $248,186 | ||||||
| Energy Transfer LP |
500,000 | 495,759 | ||||||
| 4.500% due 04/15/24 |
300,000 | 296,499 | ||||||
| Enterprise Products Operating LLC |
200,000 | 197,649 | ||||||
| The Williams Cos Inc |
200,000 | 199,224 | ||||||
| TransCanada PipeLines Ltd (Canada) |
500,000 | 503,623 | ||||||
|
|
|
|||||||
| 1,940,940 | ||||||||
|
|
|
|||||||
| Financial - 22.2% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
350,000 | 339,433 | ||||||
| 3.150% due 02/15/24 |
200,000 | 193,996 | ||||||
| Air Lease Corp |
300,000 | 296,122 | ||||||
| American Express Co |
450,000 | 441,546 | ||||||
| Bank of America Corp |
500,000 | 497,255 | ||||||
| 3.864% due 07/23/24 |
500,000 | 497,234 | ||||||
| 5.334% (SOFR + 0.690%) |
||||||||
| due 04/22/25 § |
500,000 | 494,923 | ||||||
| Bank of Montreal (Canada) |
500,000 | 500,865 | ||||||
| Citigroup Inc |
50,000 | 50,407 | ||||||
| 5.977% (USD LIBOR + 1.100%) |
||||||||
| due 05/17/24 § |
400,000 | 400,015 | ||||||
| 5.985% (USD LIBOR + 1.023%) |
||||||||
| due 06/01/24 § |
200,000 | 199,942 | ||||||
| 6.354% (SOFR + 1.528%) |
||||||||
| due 03/17/26 § |
250,000 | 251,211 | ||||||
| Host Hotels & Resorts LP REIT |
200,000 | 195,395 | ||||||
| JPMorgan Chase & Co |
500,000 | 497,473 | ||||||
| 5.676% (SOFR + 0.920%) |
||||||||
| due 02/24/26 § |
850,000 | 844,980 | ||||||
| 5.705% (USD LIBOR + 0.890%) |
||||||||
| due 07/23/24 § |
150,000 | 149,934 | ||||||
| Mid-America Apartments LP REIT |
472,000 | 470,719 | ||||||
| Mitsubishi UFJ Financial Group Inc (Japan) |
500,000 | 490,318 | ||||||
| 5.682% (USD LIBOR + 0.860%) |
||||||||
| due 07/26/23 § |
365,000 | 364,884 | ||||||
| 6.178% (SOFR + 1.385%) |
||||||||
| due 09/12/25 § |
500,000 | 500,020 | ||||||
| Morgan Stanley |
300,000 | 299,399 | ||||||
| 5.186% (SOFR + 0.466%) |
||||||||
| due 11/10/23 § |
250,000 | 249,457 | ||||||
| 6.063% (USD LIBOR + 1.220%) |
||||||||
| due 05/08/24 § |
500,000 | 500,032 | ||||||
| Reliance Standard Life Global Funding II |
100,000 | 99,203 | ||||||
| Royal Bank of Canada (Canada) |
300,000 | 296,055 | ||||||
| Skandinaviska Enskilda Banken AB (Sweden) |
500,000 | 498,270 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-6
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS ULTRA SHORT INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Sumitomo Mitsui Financial Group Inc (Japan) |
$400,000 | $384,836 | ||||||
| 2.696% due 07/16/24 |
300,000 | 289,650 | ||||||
| 3.936% due 10/16/23 |
200,000 | 198,290 | ||||||
| 5.592% (USD LIBOR + 0.800%) |
||||||||
| due 10/16/23 § |
300,000 | 300,133 | ||||||
| 5.658% (USD LIBOR + 0.860%) |
||||||||
| due 07/19/23 § |
132,000 | 131,897 | ||||||
| Svenska Handelsbanken AB (Sweden) |
250,000 | 248,610 | ||||||
| The Goldman Sachs Group Inc |
400,000 | 394,191 | ||||||
| 5.325% (SOFR + 0.700%) |
||||||||
| due 01/24/25 § |
500,000 | 494,617 | ||||||
| 6.553% (USD LIBOR + 1.600%) |
||||||||
| due 11/29/23 § |
500,000 | 501,827 | ||||||
| The Toronto-Dominion Bank (Canada) |
300,000 | 292,213 | ||||||
| 4.285% due 09/13/24 |
250,000 | 247,209 | ||||||
| UBS AG (Switzerland) |
500,000 | 497,517 | ||||||
| VICI Properties LP REIT |
300,000 | 297,750 | ||||||
| Welltower OP LLC REIT |
200,000 | 195,813 | ||||||
|
|
|
|||||||
| 14,093,641 | ||||||||
|
|
|
|||||||
| Industrial - 3.4% |
|
|||||||
| Amphenol Corp |
250,000 | 251,154 | ||||||
| Arrow Electronics Inc |
200,000 | 200,523 | ||||||
| Carlisle Cos Inc |
300,000 | 293,493 | ||||||
| DAE Funding LLC (United Arab Emirates) |
200,000 | 188,207 | ||||||
| Graphic Packaging International LLC |
400,000 | 381,267 | ||||||
| Parker-Hannifin Corp |
200,000 | 197,057 | ||||||
| Penske Truck Leasing Co LP |
250,000 | 248,622 | ||||||
| Regal Rexnord Corp |
200,000 | 201,084 | ||||||
| Ryder System Inc |
200,000 | 196,569 | ||||||
|
|
|
|||||||
| 2,157,976 | ||||||||
|
|
|
|||||||
| Technology - 2.8% |
|
|||||||
| Broadcom Corp |
200,000 | 197,121 | ||||||
| Hewlett Packard Enterprise Co |
500,000 | 506,457 | ||||||
| Infor Inc |
325,000 | 320,540 | ||||||
| Microchip Technology Inc |
93,000 | 91,708 | ||||||
| 4.333% due 06/01/23 |
200,000 | 199,279 | ||||||
| NXP BV (China) |
200,000 | 198,565 | ||||||
| Oracle Corp |
300,000 | 295,994 | ||||||
|
|
|
|||||||
| 1,809,664 | ||||||||
|
|
|
|||||||
| Utilities - 5.2% |
|
|||||||
| Alliant Energy Finance LLC |
300,000 | 299,012 | ||||||
| American Electric Power Co Inc |
250,000 | 248,904 | ||||||
| Principal |
Value |
|||||||
| DTE Energy Co |
$150,000 | $148,406 | ||||||
| Duke Energy Progress LLC |
135,000 | 133,927 | ||||||
| Emera US Finance LP (Canada) |
150,000 | 141,376 | ||||||
| Eversource Energy |
150,000 | 148,621 | ||||||
| Jersey Central Power & Light Co |
410,000 | 407,443 | ||||||
| NextEra Energy Capital Holdings Inc |
450,000 | 458,019 | ||||||
| OGE Energy Corp |
200,000 | 198,609 | ||||||
| Southern California Edison Co |
350,000 | 344,747 | ||||||
| 5.671% (SOFR + 0.830%) |
||||||||
| due 04/01/24 § |
200,000 | 198,759 | ||||||
| Tampa Electric Co |
150,000 | 147,742 | ||||||
| Vistra Operations Co LLC |
300,000 | 295,968 | ||||||
| WEC Energy Group Inc |
100,000 | 100,104 | ||||||
|
|
|
|||||||
| 3,271,637 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
30,509,064 | |||||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 4.3% |
|
|||||||
| Basic Materials - 0.4% |
||||||||
| Asplundh Tree Expert LLC Term B |
243,750 | 242,798 | ||||||
|
|
|
|||||||
| Communications - 1.2% |
||||||||
| Charter Communications Operating
LLC |
486,146 | 482,348 | ||||||
| SBA Senior Finance II LLC Term B |
299,215 | 299,869 | ||||||
|
|
|
|||||||
| 782,217 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 1.5% |
||||||||
| Hilton Worldwide Finance LLC Term B-2 |
250,000 | 250,035 | ||||||
| Mileage Plus Holdings LLC Term B |
472,222 | 491,079 | ||||||
| SeaWorld Parks & Entertainment Inc Term B |
246,250 | 245,634 | ||||||
|
|
|
|||||||
| 986,748 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 0.8% |
||||||||
| United Rentals North America Inc Term B |
486,005 | 486,795 | ||||||
|
|
|
|||||||
| Financial - 0.2% |
||||||||
| Avolon (US) LLC Term B-3 (Ireland) |
138,642 | 138,847 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-7
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS ULTRA SHORT INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Industrial - 0.2% |
||||||||
| GFL Environmental Inc Term B (Canada) |
$123,416 | $123,570 | ||||||
|
|
|
|||||||
| Total Senior Loan Notes |
2,760,975 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 24.6% |
|
|||||||
| Ally Auto Receivables Trust |
550,000 | 549,951 | ||||||
| AmeriCredit Automobile Receivables Trust |
300,000 | 289,056 | ||||||
| 1.480% due 01/21/25 |
66,417 | 66,184 | ||||||
| 2.050% due 01/20/26 |
79,148 | 78,285 | ||||||
| 4.200% due 12/18/25 |
118,463 | 117,563 | ||||||
| 5.840% due 10/19/26 |
150,000 | 150,698 | ||||||
| CIFC Funding Ltd (Cayman) |
190,739 | 189,858 | ||||||
| 5.668% (USD LIBOR + 0.870%) |
||||||||
| due 04/19/29 ~ § |
305,398 | 300,945 | ||||||
| 5.795% (USD LIBOR + 1.000%) |
||||||||
| due 04/18/31 ~ § |
355,000 | 349,538 | ||||||
| 5.895% (USD LIBOR + 1.100%) |
||||||||
| due 07/18/31 ~ § |
250,000 | 246,875 | ||||||
| Citibank Credit Card Issuance Trust |
175,000 | 173,811 | ||||||
| Ford Credit Auto Owner Trust |
194,676 | 189,687 | ||||||
| 4.520% due 04/15/25 |
297,633 | 296,598 | ||||||
| 5.370% due 08/15/25 |
150,000 | 149,974 | ||||||
| GM Financial Consumer Automobile |
400,000 | 399,865 | ||||||
| Greenwood Park CLO Ltd (Cayman) |
250,000 | 246,736 | ||||||
| 5.822% (USD LIBOR + 1.030%) |
||||||||
| due 04/15/31 ~ § |
250,000 | 246,868 | ||||||
| Hilton Grand Vacations Trust |
40,658 | 38,366 | ||||||
| Magnetite Ltd (Cayman) |
191,550 | 189,975 | ||||||
| 5.744% (USD LIBOR + 0.880%) |
||||||||
| due 11/15/28 ~ § |
1,140,599 | 1,129,763 | ||||||
| 5.772% (USD LIBOR + 0.980%) |
||||||||
| due 04/15/31 ~ § |
1,380,936 | 1,365,194 | ||||||
| 5.782% (USD LIBOR + 0.990%) |
||||||||
| due 01/15/34 ~ § |
500,000 | 491,892 | ||||||
| 5.892% (USD LIBOR + 1.100%) |
||||||||
| due 10/15/31 ~ § |
1,050,000 | 1,038,003 | ||||||
| 6.018% (USD LIBOR + 1.200%) |
||||||||
| due 01/25/32 ~ § |
250,000 | 246,886 | ||||||
| Mercedes-Benz Auto Receivables Trust |
350,000 | 349,571 | ||||||
| Navient Private Education Refi Loan Trust |
87,812 | 76,855 | ||||||
| 1.060% due 10/15/69 ~ |
154,713 | 135,193 | ||||||
| 1.220% due 07/15/69 ~ |
143,793 | 128,614 | ||||||
| 1.310% due 01/15/69 ~ |
87,420 | 80,261 | ||||||
| 1.690% due 05/15/69 ~ |
93,460 | 84,197 | ||||||
| 3.190% due 02/18/42 ~ |
28,492 | 28,312 | ||||||
| Navient Student Loan Trust |
100,231 | 85,363 | ||||||
| 5.445% (USD LIBOR + 0.600%) |
||||||||
| due 12/26/69 ~ § |
107,561 | 103,439 | ||||||
| Principal |
Value |
|||||||
| Neuberger Berman Loan Advisers CLO 26 Ltd |
$450,000 | $444,723 | ||||||
| Neuberger Berman Loan Advisers CLO 37 Ltd (Cayman) |
300,000 | 295,087 | ||||||
| OCP CLO Ltd (Cayman) |
250,000 | 246,617 | ||||||
| Palmer Square CLO Ltd (Cayman) |
250,000 | 247,620 | ||||||
| Palmer Square Loan Funding Ltd (Cayman) |
407,295 | 404,281 | ||||||
| 5.592% (USD LIBOR + 0.800%) |
||||||||
| due 10/15/29 ~ § |
201,906 | 199,395 | ||||||
| 5.608% (USD LIBOR + 0.800%) |
||||||||
| due 07/20/29 ~ § |
178,818 | 176,627 | ||||||
| 5.682% (SOFR + 1.050%) |
||||||||
| due 04/15/30 ~ § |
447,990 | 443,499 | ||||||
| 5.708% (USD LIBOR + 0.900%) |
||||||||
| due 04/20/29 ~ § |
682,277 | 678,879 | ||||||
| 5.715% (USD LIBOR + 0.800%) |
||||||||
| due 05/20/29 ~ § |
190,494 | 188,920 | ||||||
| Santander Drive Auto Receivables Trust |
88,348 | 88,160 | ||||||
| 3.980% due 01/15/25 |
252,622 | 251,959 | ||||||
| 4.370% due 05/15/25 |
263,858 | 263,171 | ||||||
| 5.360% due 05/15/26 |
450,000 | 449,122 | ||||||
| 5.810% due 01/15/26 |
250,000 | 250,125 | ||||||
| SMB Private Education Loan Trust |
115,112 | 110,797 | ||||||
| 2.430% due 02/17/32 ~ |
36,452 | 35,139 | ||||||
| 2.700% due 05/15/31 ~ |
74,632 | 72,601 | ||||||
| Stratus CLO Ltd (Cayman) |
214,026 | 211,951 | ||||||
| Toyota Auto Receivables Owner Trust |
394,801 | 391,309 | ||||||
| 5.270% due 01/15/26 |
150,000 | 150,016 | ||||||
| Voya CLO Ltd (Cayman) |
134,790 | 133,787 | ||||||
| 5.922% (USD LIBOR + 1.130%) |
||||||||
| due 10/15/30 ~ § |
238,199 | 236,699 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
15,584,860 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 13.6% |
|
|||||||
| U.S. Treasury Notes - 13.6% |
|
|||||||
| 0.125% due 06/30/23 |
1,000,000 | 989,107 | ||||||
| 0.125% due 07/15/23 |
1,000,000 | 986,850 | ||||||
| 0.125% due 08/15/23 |
1,500,000 | 1,474,363 | ||||||
| 0.125% due 09/15/23 |
750,000 | 734,782 | ||||||
| 0.250% due 04/15/23 |
1,500,000 | 1,497,839 | ||||||
| 0.250% due 06/15/23 |
1,000,000 | 991,191 | ||||||
| 0.375% due 08/15/24 |
500,000 | 473,691 | ||||||
| 0.750% due 12/31/23 |
1,500,000 | 1,456,166 | ||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
|
8,603,989 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-8
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS ULTRA SHORT INCOME
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENTS - 9.7% |
|
|||||||
| Money Market Fund - 5.8% |
||||||||
| BlackRock Liquidity Funds T-Fund
Portfolio |
3,696,497 | $3,696,497 | ||||||
|
|
|
|||||||
| Principal |
||||||||
| U.S. Treasury Bills - 3.9% |
|
|||||||
| 4.752% due 07/25/23 |
$2,500,000 | 2,463,383 | ||||||
|
|
|
|||||||
| Total Short-Term Investments |
6,159,880 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.3% |
|
63,618,768 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.3%) |
|
(218,763 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$63,400,005 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
48.1% | |||
| Asset-Backed Securities |
24.6% | |||
| U.S. Treasury Obligations |
13.6% | |||
| Short-Term Investments |
9.7% | |||
| Senior Loan Notes |
4.3% | |||
|
|
|
|||
| 100.3% | ||||
| Other Assets & Liabilities, Net |
(0.3% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$30,509,064 | $— | $30,509,064 | $— | |||||||||||||
| Senior Loan Notes |
2,760,975 | — | 2,760,975 | — | ||||||||||||||
| Asset-Backed Securities |
15,584,860 | — | 15,584,860 | — | ||||||||||||||
| U.S. Treasury Obligations |
8,603,989 | — | 8,603,989 | — | ||||||||||||||
| Short-Term Investments |
6,159,880 | 3,696,497 | 2,463,383 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$63,618,768 | $3,696,497 | $59,922,271 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-9
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM SHORT DURATION INCOME
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 56.1% |
|
|||||||
| Basic Materials - 0.2% |
|
|||||||
| Anglo American Capital PLC (South Africa) |
$2,000,000 | $1,952,961 | ||||||
|
|
|
|||||||
| Communications - 2.1% |
|
|||||||
| Charter Communications Operating LLC |
4,500,000 | 4,182,251 | ||||||
| 4.500% due 02/01/24 |
5,000,000 | 4,951,417 | ||||||
| Sprint Spectrum Co LLC |
6,246,000 | 6,200,937 | ||||||
| T-Mobile USA Inc |
1,675,000 | 1,559,359 | ||||||
| 2.625% due 04/15/26 |
100,000 | 93,430 | ||||||
| 4.950% due 03/15/28 |
1,600,000 | 1,616,127 | ||||||
| Verizon Communications Inc |
3,000,000 | 2,673,587 | ||||||
|
|
|
|||||||
| 21,277,108 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 5.5% |
|
|||||||
| American Airlines Pass-Through Trust ‘A’ |
661,123 | 599,261 | ||||||
| British Airways Pass-Through Trust ‘A’ (United Kingdom) |
2,379,063 | 2,055,033 | ||||||
| 4.625% due 12/20/25 ~ |
1,157,940 | 1,144,831 | ||||||
| Brunswick Corp |
1,950,000 | 1,822,191 | ||||||
| Delta Air Lines Inc |
5,500,000 | 5,411,111 | ||||||
| Delta Air Lines Pass-Through Trust ‘AA’ |
4,500,000 | 4,408,254 | ||||||
| Ford Motor Credit Co LLC |
2,500,000 | 2,320,550 | ||||||
| 2.700% due 08/10/26 |
1,775,000 | 1,581,969 | ||||||
| 3.375% due 11/13/25 |
4,200,000 | 3,942,183 | ||||||
| General Motors Financial Co Inc |
3,000,000 | 3,072,299 | ||||||
| Genting New York LLC |
1,800,000 | 1,620,342 | ||||||
| Hyundai Capital Services Inc (South Korea) |
3,000,000 | 2,814,914 | ||||||
| Kia Corp (South Korea) |
2,000,000 | 1,900,146 | ||||||
| Las Vegas Sands Corp |
3,000,000 | 2,904,172 | ||||||
| Lennar Corp |
5,000,000 | 4,941,616 | ||||||
| Marriott International Inc |
2,400,000 | 2,380,154 | ||||||
| Nordstrom Inc |
2,300,000 | 2,199,536 | ||||||
| United Airlines Pass-Through Trust ‘B’ |
428,819 | 400,351 | ||||||
| US Airways Pass-Through Trust ‘A’ |
443,831 | 415,396 | ||||||
| Warnermedia Holdings Inc |
3,550,000 | 3,431,471 | ||||||
| 3.755% due 03/15/27 ~ |
3,000,000 | 2,827,724 | ||||||
| 6.412% due 03/15/26 |
2,600,000 | 2,613,915 | ||||||
|
|
|
|||||||
| 54,807,419 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 4.9% |
|
|||||||
| Amgen Inc |
3,000,000 | 3,064,663 | ||||||
| 5.250% due 03/02/25 |
5,500,000 | 5,563,267 | ||||||
| Anheuser-Busch InBev Worldwide Inc (Belgium) |
3,000,000 | 2,967,897 | ||||||
| Block Inc |
750,000 | 684,742 | ||||||
| Principal |
Value |
|||||||
| Element Fleet Management Corp (Canada) |
$ | 5,300,000 | $ | 5,079,905 | ||||
| Elevance Health Inc |
1,600,000 | 1,615,005 | ||||||
| Global Payments Inc |
4,500,000 | 4,241,085 | ||||||
| Haleon UK Capital PLC |
4,750,000 | 4,593,580 | ||||||
| JDE Peet’s NV (Netherlands) |
3,000,000 | 2,797,185 | ||||||
| Mondelez International Holdings Netherlands BV |
2,450,000 | 2,426,432 | ||||||
| Suntory Holdings Ltd (Japan) |
5,600,000 | 5,333,759 | ||||||
| UnitedHealth Group Inc |
10,000,000 | 9,931,846 | ||||||
|
|
|
|||||||
| 48,299,366 | ||||||||
|
|
|
|||||||
| Energy - 1.9% |
|
|||||||
| Energy Transfer LP |
3,500,000 | 3,557,505 | ||||||
| Enterprise Products Operating LLC |
1,000,000 | 977,191 | ||||||
| MPLX LP |
8,020,000 | 7,973,520 | ||||||
| Pioneer Natural Resources Co |
1,500,000 | 1,507,019 | ||||||
| TransCanada PipeLines Ltd (Canada) |
5,300,000 | 5,338,408 | ||||||
|
|
|
|||||||
| 19,353,643 | ||||||||
|
|
|
|||||||
| Financial - 27.4% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
4,900,000 | 4,586,919 | ||||||
| 1.750% due 01/30/26 |
1,250,000 | 1,120,421 | ||||||
| 4.500% due 09/15/23 |
5,000,000 | 4,953,357 | ||||||
| Air Lease Corp |
1,200,000 | 1,144,223 | ||||||
| 5.300% due 02/01/28 |
2,000,000 | 1,975,484 | ||||||
| 5.850% due 12/15/27 |
3,350,000 | 3,370,622 | ||||||
| American Express Co |
1,000,000 | 953,165 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
4,550,000 | 4,048,582 | ||||||
| 4.250% due 04/15/26 ~ |
2,650,000 | 2,494,524 | ||||||
| Banco Santander SA (Spain) |
3,000,000 | 2,831,703 | ||||||
| Bank of America Corp |
7,500,000 | 7,148,918 | ||||||
| 1.843% due 02/04/25 |
13,950,000 | 13,539,714 | ||||||
| 3.384% due 04/02/26 |
8,000,000 | 7,675,813 | ||||||
| 3.841% due 04/25/25 |
3,500,000 | 3,437,491 | ||||||
| Capital One Financial Corp |
2,100,000 | 2,048,546 | ||||||
| Citigroup Inc |
1,400,000 | 1,361,276 | ||||||
| 2.014% due 01/25/26 |
5,650,000 | 5,324,030 | ||||||
| 4.140% due 05/24/25 |
3,750,000 | 3,685,148 | ||||||
| 5.610% due 09/29/26 |
1,000,000 | 1,008,134 | ||||||
| 5.985% (USD LIBOR + 1.023%) |
3,000,000 | 2,999,135 | ||||||
| Corebridge Financial Inc |
1,700,000 | 1,634,361 | ||||||
| Extra Space Storage LP REIT |
2,200,000 | 2,216,455 | ||||||
| GLP Capital LP REIT |
4,425,000 | 4,215,875 | ||||||
| HSBC Holdings PLC (United Kingdom) |
4,050,000 | 3,966,808 | ||||||
| 0.976% due 05/24/25 |
2,500,000 | 2,353,969 | ||||||
| 1.162% due 11/22/24 |
4,000,000 | 3,882,747 | ||||||
| 4.180% due 12/09/25 |
3,000,000 | 2,915,924 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-10
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SHORT DURATION INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| JPMorgan Chase & Co |
$ | 1,500,000 | $ | 1,422,215 | ||||
| 0.969% due 06/23/25 |
3,200,000 | 3,033,183 | ||||||
| 2.301% due 10/15/25 |
4,250,000 | 4,066,267 | ||||||
| 2.595% due 02/24/26 |
1,500,000 | 1,422,492 | ||||||
| 3.300% due 04/01/26 |
1,500,000 | 1,447,615 | ||||||
| 4.080% due 04/26/26 |
4,000,000 | 3,929,476 | ||||||
| 5.545% (USD LIBOR + 0.730%) |
300,000 | 298,735 | ||||||
| Life Storage LP REIT |
1,035,000 | 982,873 | ||||||
| 3.875% due 12/15/27 |
5,820,000 | 5,511,713 | ||||||
| MassMutual Global Funding II |
3,350,000 | 3,311,413 | ||||||
| 5.050% due 12/07/27 ~ |
1,800,000 | 1,823,602 | ||||||
| Metropolitan Life Global Funding I |
3,000,000 | 2,899,064 | ||||||
| 4.050% due 08/25/25 ~ |
4,000,000 | 3,934,843 | ||||||
| Mitsubishi UFJ Financial Group Inc (Japan) |
6,000,000 | 5,652,715 | ||||||
| 3.837% due 04/17/26 |
1,000,000 | 969,535 | ||||||
| 4.788% due 07/18/25 |
5,000,000 | 4,953,540 | ||||||
| 5.063% due 09/12/25 |
3,000,000 | 2,981,151 | ||||||
| Mizuho Financial Group Inc (Japan) |
3,000,000 | 2,963,122 | ||||||
| Morgan Stanley |
2,000,000 | 1,999,423 | ||||||
| 0.790% due 05/30/25 |
8,400,000 | 7,955,140 | ||||||
| 4.679% due 07/17/26 |
1,200,000 | 1,185,275 | ||||||
| 5.050% due 01/28/27 |
3,050,000 | 3,043,889 | ||||||
| 5.773% (SOFR + 1.165%) |
2,000,000 | 1,995,438 | ||||||
| 6.138% due 10/16/26 |
1,500,000 | 1,529,649 | ||||||
| New York Life Global Funding |
3,000,000 | 3,004,388 | ||||||
| 4.850% due 01/09/28 ~ |
2,000,000 | 2,031,391 | ||||||
| Nomura Holdings Inc (Japan) |
3,500,000 | 3,446,278 | ||||||
| 5.709% due 01/09/26 |
7,000,000 | 7,025,434 | ||||||
| Office Properties Income Trust REIT |
4,000,000 | 2,704,009 | ||||||
| OneMain Finance Corp |
5,200,000 | 5,070,468 | ||||||
| Pricoa Global Funding I |
2,000,000 | 1,964,406 | ||||||
| Protective Life Global Funding |
2,500,000 | 2,407,678 | ||||||
| Reliance Standard Life Global Funding II |
2,000,000 | 1,913,597 | ||||||
| Santander Holdings USA Inc |
500,000 | 483,149 | ||||||
| Standard Chartered PLC (United Kingdom) |
3,000,000 | 2,885,918 | ||||||
| State Street Corp |
2,350,000 | 2,396,784 | ||||||
| Sumitomo Mitsui Financial Group Inc (Japan) |
3,000,000 | 2,630,974 | ||||||
| 1.474% due 07/08/25 |
4,000,000 | 3,665,355 | ||||||
| 2.348% due 01/15/25 |
2,500,000 | 2,371,714 | ||||||
| 2.448% due 09/27/24 |
600,000 | 575,335 | ||||||
| 5.464% due 01/13/26 |
3,000,000 | 3,030,627 | ||||||
| Sumitomo Mitsui Trust Bank Ltd (Japan) |
3,850,000 | 3,622,874 | ||||||
| The Goldman Sachs Group Inc |
7,250,000 | 7,087,507 | ||||||
| 1.757% due 01/24/25 |
12,050,000 | 11,666,839 | ||||||
| 3.272% due 09/29/25 |
3,000,000 | 2,912,251 | ||||||
| 3.500% due 04/01/25 |
3,246,000 | 3,153,678 | ||||||
| 3.625% due 02/20/24 |
500,000 | 492,739 | ||||||
| 5.325% (SOFR + 0.700%) |
3,000,000 | 2,967,704 | ||||||
| Principal |
Value |
|||||||
| The PNC Financial Services Group Inc |
$ | 2,000,000 | $ | 1,976,746 | ||||
| The Toronto-Dominion Bank (Canada) |
850,000 | 827,938 | ||||||
| Truist Financial Corp |
7,000,000 | 6,754,257 | ||||||
| 4.873% due 01/26/29 |
2,850,000 | 2,781,508 | ||||||
| UBS AG (Switzerland) |
3,000,000 | 2,804,961 | ||||||
| UBS Group AG (Switzerland) |
3,750,000 | 3,619,686 | ||||||
| VICI Properties LP REIT |
6,050,000 | 5,741,230 | ||||||
| 4.375% due 05/15/25 |
1,350,000 | 1,308,225 | ||||||
| 4.750% due 02/15/28 |
1,350,000 | 1,281,035 | ||||||
|
|
|
|||||||
| 272,812,395 | ||||||||
|
|
|
|||||||
| Industrial - 4.9% |
|
|||||||
| Amcor Flexibles North America Inc |
4,800,000 | 4,703,415 | ||||||
| Amphenol Corp |
2,350,000 | 2,360,846 | ||||||
| Arrow Electronics Inc |
2,200,000 | 2,205,759 | ||||||
| Ball Corp |
5,000,000 | 5,180,100 | ||||||
| DAE Funding LLC (United Arab Emirates) |
2,300,000 | 2,164,379 | ||||||
| Flex Ltd |
2,000,000 | 2,050,378 | ||||||
| Graphic Packaging International LLC |
5,457,000 | 5,201,437 | ||||||
| Penske Truck Leasing Co LP |
4,750,000 | 4,547,481 | ||||||
| 3.450% due 07/01/24 ~ |
2,300,000 | 2,240,009 | ||||||
| 4.400% due 07/01/27 ~ |
2,300,000 | 2,208,410 | ||||||
| Regal Rexnord Corp |
5,500,000 | 5,529,813 | ||||||
| Republic Services Inc |
2,300,000 | 2,326,419 | ||||||
| Silgan Holdings Inc |
1,850,000 | 1,660,225 | ||||||
| TD SYNNEX Corp |
4,800,000 | 4,493,625 | ||||||
| TK Elevator US Newco Inc (Germany) |
1,500,000 | 1,418,108 | ||||||
|
|
|
|||||||
| 48,290,404 | ||||||||
|
|
|
|||||||
| Technology - 3.2% |
|
|||||||
| DXC Technology Co |
1,800,000 | 1,580,115 | ||||||
| Fiserv Inc |
5,250,000 | 5,364,677 | ||||||
| Infor Inc |
3,000,000 | 2,958,833 | ||||||
| Intel Corp |
4,500,000 | 4,559,282 | ||||||
| Microchip Technology Inc |
8,250,000 | 7,922,220 | ||||||
| 0.983% due 09/01/24 |
1,750,000 | 1,652,528 | ||||||
| NXP BV (China) |
3,300,000 | 3,133,659 | ||||||
| Oracle Corp |
3,250,000 | 3,212,515 | ||||||
| 5.800% due 11/10/25 |
1,400,000 | 1,435,598 | ||||||
|
|
|
|||||||
| 31,819,427 | ||||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-11
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SHORT DURATION INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Utilities - 6.0% |
|
|||||||
| Dominion Energy Inc |
$ | 2,000,000 | $ | 1,941,116 | ||||
| DPL Inc |
600,000 | 573,825 | ||||||
| Duke Energy Corp |
1,000,000 | 936,089 | ||||||
| 5.000% due 12/08/25 |
600,000 | 604,499 | ||||||
| Eversource Energy |
3,000,000 | 3,111,018 | ||||||
| NextEra Energy Capital Holdings Inc |
3,200,000 | 3,223,690 | ||||||
| 6.051% due 03/01/25 |
3,100,000 | 3,155,243 | ||||||
| NextEra Energy Operating Partners LP |
7,875,000 | 7,783,414 | ||||||
| NiSource Inc |
2,950,000 | 3,003,191 | ||||||
| Pennsylvania Electric Co |
750,000 | 753,858 | ||||||
| Sempra Energy |
3,600,000 | 3,486,462 | ||||||
| Southern California Edison Co |
4,650,000 | 4,401,763 | ||||||
| 1.100% due 04/01/24 |
2,100,000 | 2,019,668 | ||||||
| 4.200% due 06/01/25 |
2,100,000 | 2,076,153 | ||||||
| 5.850% due 11/01/27 |
2,800,000 | 2,952,383 | ||||||
| The AES Corp |
3,650,000 | 3,465,344 | ||||||
| Virginia Electric and Power Co |
2,000,000 | 1,942,028 | ||||||
| Vistra Operations Co LLC |
4,250,000 | 4,105,523 | ||||||
| 4.875% due 05/13/24 ~ |
6,000,000 | 5,919,350 | ||||||
| WEC Energy Group Inc |
3,750,000 | 3,753,877 | ||||||
|
|
|
|||||||
| 59,208,494 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
557,821,217 | |||||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 11.2% |
|
|||||||
| Communications - 0.7% |
||||||||
| SBA Senior Finance II LLC Term B |
6,981,675 | 6,996,951 | ||||||
|
|
|
|||||||
| Consumer, Cyclical - 2.8% |
||||||||
| Carnival Corp Term B |
617,188 | 604,458 | ||||||
| ClubCorp Holdings Inc Term B |
3,779,578 | 3,622,491 | ||||||
| Hilton Grand Vacations Borrower LLC Term B |
1,967,038 | 1,967,038 | ||||||
| Marriott Ownership Resorts Inc Term B |
8,819,096 | 8,769,488 | ||||||
| Mileage Plus Holdings LLC Term B |
1,700,000 | 1,767,883 | ||||||
| SeaWorld Parks & Entertainment Inc Term B |
4,432,500 | 4,421,419 | ||||||
| Stars Group Holdings BV Term B (Canada) |
3,220,879 | 3,222,892 | ||||||
| Principal |
Value |
|||||||
| United Airlines Inc Term B |
$ | 3,018,288 | $ | 3,006,342 | ||||
|
|
|
|||||||
| 27,382,011 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 2.6% |
||||||||
| Allied Universal Holdco LLC Term B |
4,457,437 | 4,237,351 | ||||||
| CoreLogic Inc Term B |
3,447,500 | 2,949,767 | ||||||
| Heartland Dental LLC Term B |
3,438,750 | 3,252,483 | ||||||
| Mavis Tire Express Services Topco Corp |
2,076,876 | 2,041,505 | ||||||
| Pathway Vet Alliance LLC Term B |
2,916,004 | 2,568,688 | ||||||
| PetVet Care Centers LLC Term B-3 |
5,544,941 | 5,388,990 | ||||||
| Spin Holdco Inc Term B |
2,450,000 | 2,068,719 | ||||||
| Sunshine Luxembourg VII SARL Term B (Luxembourg) |
3,645,563 | 3,615,290 | ||||||
|
|
|
|||||||
| 26,122,793 | ||||||||
|
|
|
|||||||
| Financial - 1.9% |
||||||||
| AssuredPartners Inc Term B |
7,019,225 | 6,961,463 | ||||||
| Avolon (US) LLC Term B-3 (Ireland) |
6,029,412 | 6,038,317 | ||||||
| HUB International Ltd Term B |
5,851,570 | 5,841,927 | ||||||
|
|
|
|||||||
| 18,841,707 | ||||||||
|
|
|
|||||||
| Industrial - 1.8% |
||||||||
| Brown Group Holding LLC Term B |
229,845 | 228,064 | ||||||
| Filtration Group Corp Term B |
5,121,239 | 5,114,838 | ||||||
| Proampac PG Borrower LLC Term B |
2,695,206 | 2,648,040 | ||||||
| Roper Industrial Products Investment Co |
4,000,000 | 3,976,000 | ||||||
| SPX FLOW Inc Term B |
1,000,000 | 958,750 | ||||||
| TransDigm Inc Term I |
5,000,000 | 4,993,405 | ||||||
|
|
|
|||||||
| 17,919,097 | ||||||||
|
|
|
|||||||
| Technology - 1.4% |
||||||||
| Applied Systems Inc Term B |
1,940,082 | 1,939,678 | ||||||
| Sophia LP Term B |
1,197,341 | 1,182,674 | ||||||
| Tempo Acquisition LLC Term B |
2,710,834 | 2,711,173 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-12
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SHORT DURATION INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| UKG Inc |
$ | 1,994,832 | $ | 1,963,485 | ||||
| 8.032% (USD LIBOR + 3.250%) |
6,608,895 | 6,448,391 | ||||||
|
|
|
|||||||
| 14,245,401 | ||||||||
|
|
|
|||||||
| Total Senior Loan Notes |
111,507,960 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 22.6% |
|
|||||||
| AIMCO CLO 10 Ltd (Cayman) |
2,700,000 | 2,652,076 | ||||||
| Ally Auto Receivables Trust |
1,500,000 | 1,499,866 | ||||||
| AmeriCredit Automobile Receivables Trust |
10,100,000 | 9,704,104 | ||||||
| 0.690% due 01/19/27 |
2,400,000 | 2,263,671 | ||||||
| 0.760% due 12/18/25 |
2,400,000 | 2,312,448 | ||||||
| 1.170% due 08/18/27 |
4,700,000 | 4,351,057 | ||||||
| 1.480% due 01/21/25 |
730,586 | 728,021 | ||||||
| 4.200% due 12/18/25 |
1,810,788 | 1,797,031 | ||||||
| 5.840% due 10/19/26 |
5,300,000 | 5,324,654 | ||||||
| Atrium XIII (Cayman) |
467,717 | 464,775 | ||||||
| Buttermilk Park CLO Ltd (Cayman) |
1,850,000 | 1,822,904 | ||||||
| Carlyle Global Market Strategies CLO Ltd (Cayman) |
495,916 | 489,744 | ||||||
| CIFC Funding Ltd (Cayman) |
1,308,847 | 1,289,763 | ||||||
| 5.795% (USD LIBOR + 1.000%) |
500,000 | 492,307 | ||||||
| Dryden 55 CLO Ltd (Cayman) |
2,500,000 | 2,476,253 | ||||||
| Dryden 58 CLO Ltd (Cayman) |
3,148,000 | 3,094,360 | ||||||
| Dryden 61 CLO Ltd (Cayman) |
7,000,000 | 6,881,907 | ||||||
| Dryden 64 CLO Ltd (Cayman) |
2,000,000 | 1,974,547 | ||||||
| Ford Credit Auto Owner Trust |
10,550,000 | 9,738,171 | ||||||
| 0.790% due 08/15/26 |
2,650,000 | 2,464,380 | ||||||
| 1.190% due 01/15/26 |
2,050,000 | 1,964,592 | ||||||
| 2.040% due 08/15/31 ~ |
2,000,000 | 1,899,346 | ||||||
| 2.130% due 05/15/25 |
5,000,000 | 4,918,336 | ||||||
| 4.520% due 04/15/25 |
3,968,446 | 3,954,645 | ||||||
| 5.370% due 08/15/25 |
750,000 | 749,868 | ||||||
| GM Financial Consumer Automobile |
800,000 | 743,276 | ||||||
| 4.660% due 02/16/28 |
1,000,000 | 1,003,953 | ||||||
| Hilton Grand Vacations Trust |
162,632 | 153,463 | ||||||
| 3.610% due 06/20/34 ~ |
525,547 | 502,387 | ||||||
| 4.300% due 01/25/37 ~ |
1,343,086 | 1,304,109 | ||||||
| Hyundai Auto Receivables Trust |
2,000,000 | 1,956,681 | ||||||
| Magnetite Ltd (Cayman) |
2,140,451 | 2,116,050 | ||||||
| Principal |
Value |
|||||||
| Magnetite XIV-R Ltd (Cayman) |
$ | 3,000,000 | $ | 2,961,557 | ||||
| Magnetite XV Ltd (Cayman) |
1,500,000 | 1,485,021 | ||||||
| Magnetite XVIII Ltd (Cayman) |
2,737,438 | 2,711,432 | ||||||
| Magnetite XXIX Ltd (Cayman) |
3,300,000 | 3,246,485 | ||||||
| MVW LLC |
1,012,230 | 922,496 | ||||||
| 1.740% due 10/20/37 ~ |
282,217 | 259,128 | ||||||
| 4.150% due 11/21/39 ~ |
789,498 | 759,114 | ||||||
| Navient Private Education Loan Trust |
718,911 | 671,566 | ||||||
| 3.610% due 12/15/59 ~ |
519,029 | 501,593 | ||||||
| Navient Private Education Refi Loan Trust |
746,400 | 653,264 | ||||||
| 1.060% due 10/15/69 ~ |
3,558,400 | 3,109,434 | ||||||
| 1.110% due 02/18/70 ~ |
1,903,483 | 1,607,541 | ||||||
| 1.170% due 09/16/69 ~ |
680,606 | 609,057 | ||||||
| 1.220% due 07/15/69 ~ |
718,963 | 643,070 | ||||||
| 1.310% due 01/15/69 ~ |
1,608,523 | 1,476,795 | ||||||
| 1.690% due 05/15/69 ~ |
3,467,646 | 3,130,743 | ||||||
| 2.120% due 01/15/69 ~ |
1,690,223 | 1,545,960 | ||||||
| 2.230% due 07/15/70 ~ |
5,326,807 | 4,790,183 | ||||||
| 2.640% due 05/15/68 ~ |
823,577 | 777,215 | ||||||
| 4.000% due 12/15/59 ~ |
460,558 | 444,227 | ||||||
| 4.160% due 10/15/70 ~ |
5,848,658 | 5,620,953 | ||||||
| Navient Student Loan Trust |
2,973,513 | 2,532,446 | ||||||
| 3.390% due 12/15/59 ~ |
1,146,236 | 1,093,487 | ||||||
| 5.395% (USD LIBOR + 0.550%) |
2,664,227 | 2,583,422 | ||||||
| 5.445% (USD LIBOR + 0.600%) |
1,326,585 | 1,275,752 | ||||||
| 5.895% (USD LIBOR + 1.050%) |
1,759,188 | 1,739,125 | ||||||
| Nelnet Student Loan Trust |
2,457,254 | 2,225,686 | ||||||
| Neuberger Berman Loan Advisers CLO 25 Ltd (Cayman) |
2,650,000 | 2,621,176 | ||||||
| Neuberger Berman Loan Advisers CLO 26 Ltd |
5,550,000 | 5,484,912 | ||||||
| Neuberger Berman Loan Advisers CLO 37 Ltd (Cayman) |
4,700,000 | 4,623,025 | ||||||
| OCP CLO Ltd (Cayman) |
2,500,000 | 2,466,171 | ||||||
| Palmer Square CLO Ltd (Cayman) |
2,250,000 | 2,228,580 | ||||||
| Palmer Square Loan Funding Ltd (Cayman) |
5,653,383 | 5,583,065 | ||||||
| 5.708% (USD LIBOR + 0.900%) |
2,408,037 | 2,396,042 | ||||||
| 5.715% (USD LIBOR + 0.800%) |
6,476,796 | 6,423,297 | ||||||
| 6.025% (USD LIBOR + 1.350%) |
2,950,000 | 2,917,260 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-13
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SHORT DURATION INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| 6.192% (USD LIBOR + 1.400%) |
$ | 1,250,000 | $ | 1,225,627 | ||||
| 6.208% (USD LIBOR + 1.400%) |
1,000,000 | 981,290 | ||||||
| 6.575% (USD LIBOR + 1.900%) |
1,200,000 | 1,164,345 | ||||||
| Regatta XIV Funding Ltd (Cayman) |
1,100,000 | 1,088,013 | ||||||
| Santander Drive Auto Receivables Trust |
2,037,879 | 2,010,025 | ||||||
| 0.880% due 06/15/26 |
1,850,000 | 1,820,754 | ||||||
| 0.900% due 06/15/26 |
3,596,238 | 3,531,417 | ||||||
| 0.950% due 09/15/27 |
2,100,000 | 2,038,779 | ||||||
| 1.260% due 02/16/27 |
5,000,000 | 4,759,106 | ||||||
| 3.400% due 12/15/26 |
3,000,000 | 2,958,140 | ||||||
| 4.050% due 07/15/25 |
2,267,277 | 2,261,650 | ||||||
| 4.110% due 08/17/26 |
1,050,000 | 1,038,992 | ||||||
| 4.130% due 08/16/27 |
1,800,000 | 1,765,101 | ||||||
| 4.430% due 03/15/27 |
2,900,000 | 2,857,191 | ||||||
| 4.490% due 11/16/26 |
2,100,000 | 2,080,673 | ||||||
| 4.720% due 06/15/27 |
3,100,000 | 3,051,306 | ||||||
| 5.810% due 01/15/26 |
3,000,000 | 3,001,499 | ||||||
| SMB Private Education Loan Trust |
2,337,613 | 2,014,617 | ||||||
| 1.290% due 07/15/53 ~ |
1,816,065 | 1,628,063 | ||||||
| 2.340% due 09/15/34 ~ |
2,092,136 | 2,013,725 | ||||||
| 2.430% due 02/17/32 ~ |
1,767,537 | 1,703,903 | ||||||
| 2.700% due 05/15/31 ~ |
1,307,651 | 1,272,075 | ||||||
| 2.880% due 09/15/34 ~ |
1,325,949 | 1,268,827 | ||||||
| 3.440% due 07/15/36 ~ |
934,214 | 893,237 | ||||||
| 3.500% due 02/15/36 ~ |
467,515 | 444,875 | ||||||
| 3.600% due 01/15/37 ~ |
1,300,678 | 1,255,164 | ||||||
| 3.630% due 11/15/35 ~ |
1,357,684 | 1,300,362 | ||||||
| Stratus CLO Ltd (Cayman) |
642,078 | 635,852 | ||||||
| 6.208% (USD LIBOR + 1.400%) |
6,000,000 | 5,848,524 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
225,122,157 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 8.8% |
| |||||||
| U.S. Treasury Notes - 8.8% |
| |||||||
| 0.500% due 02/28/26 |
7,500,000 | 6,818,701 | ||||||
| 0.750% due 08/31/26 |
10,000,000 | 9,040,625 | ||||||
| Principal |
Value |
|||||||
| 0.875% due 09/30/26 |
$ | 7,500,000 | $ | 6,794,531 | ||||
| 1.250% due 03/31/28 |
8,000,000 | 7,137,969 | ||||||
| 1.500% due 08/15/26 |
10,000,000 | 9,284,961 | ||||||
| 2.625% due 05/31/27 |
12,300,000 | 11,796,709 | ||||||
| 2.750% due 05/15/25 |
8,000,000 | 7,792,344 | ||||||
| 2.875% due 06/15/25 |
5,000,000 | 4,883,203 | ||||||
| 3.125% due 08/15/25 |
4,000,000 | 3,926,015 | ||||||
| 3.500% due 09/15/25 |
5,000,000 | 4,953,223 | ||||||
| 4.000% due 12/15/25 |
4,000,000 | 4,016,172 | ||||||
| 4.000% due 02/29/28 |
7,000,000 | 7,127,148 | ||||||
| 4.125% due 10/31/27 |
4,000,000 | 4,077,500 | ||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
87,649,101 | |||||||
|
|
|
|||||||
|
|
|
|||||||
| Shares |
||||||||
| SHORT-TERM INVESTMENT - 2.4% |
|
|||||||
| Money Market Fund - 2.4% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
23,592,358 | 23,592,358 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
23,592,358 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 101.1% |
|
1,005,692,793 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (1.1%) |
|
(11,008,326 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$994,684,467 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
56.1% | |||
| Asset-Backed Securities |
22.6% | |||
| Senior Loan Notes |
11.2% | |||
| U.S. Treasury Obligations |
8.8% | |||
| Others (each less than 3.0%) |
2.4% | |||
|
|
|
|||
| 101.1% | ||||
| Other Assets & Liabilities, Net |
(1.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$557,821,217 | $— | $557,821,217 | $— | |||||||||||||
| Senior Loan Notes |
111,507,960 | — | 111,507,960 | — | ||||||||||||||
| Asset-Backed Securities |
225,122,157 | — | 225,122,157 | — | ||||||||||||||
| U.S. Treasury Obligations |
87,649,101 | — | 87,649,101 | — | ||||||||||||||
| Short-Term Investment |
23,592,358 | 23,592,358 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$1,005,692,793 | $23,592,358 | $982,100,435 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-14
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM CORE INCOME
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 49.2% |
|
|||||||
| Basic Materials - 1.5% |
|
|||||||
| Anglo American Capital PLC (South Africa) |
$7,550,000 | $6,286,152 | ||||||
| Braskem Netherlands Finance BV (Brazil) |
1,300,000 | 1,250,275 | ||||||
| Glencore Funding LLC (Australia) |
1,000,000 | 838,250 | ||||||
| 2.625% due 09/23/31 ~ |
1,200,000 | 985,740 | ||||||
| South32 Treasury Ltd (Australia) |
5,150,000 | 4,596,782 | ||||||
|
|
|
|||||||
| 13,957,199 | ||||||||
|
|
|
|||||||
| Communications - 2.1% |
|
|||||||
| AT&T Inc |
4,865,000 | 3,538,307 | ||||||
| 3.850% due 06/01/60 |
2,800,000 | 2,102,066 | ||||||
| Charter Communications Operating LLC |
3,300,000 | 2,267,452 | ||||||
| 3.850% due 04/01/61 |
5,200,000 | 3,248,742 | ||||||
| Rogers Communications Inc (Canada) |
2,500,000 | 2,058,537 | ||||||
| T-Mobile USA Inc |
1,600,000 | 1,460,140 | ||||||
| 5.050% due 07/15/33 |
2,200,000 | 2,211,961 | ||||||
| Verizon Communications Inc |
2,550,000 | 2,029,869 | ||||||
|
|
|
|||||||
| 18,917,074 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 5.9% |
|
|||||||
| American Airlines Inc |
4,000,000 | 3,841,204 | ||||||
| American Airlines Pass-Through Trust ‘A’ |
2,141,014 | 1,767,885 | ||||||
| American Airlines Pass-Through Trust ‘AA’ |
2,072,043 | 1,901,949 | ||||||
| American Airlines Pass-Through Trust ‘B’ |
1,241,500 | 1,092,553 | ||||||
| British Airways Pass-Through Trust ‘A’ (United Kingdom) |
2,014,507 | 1,740,129 | ||||||
| 4.625% due 12/20/25 ~ |
983,826 | 972,689 | ||||||
| British Airways Pass-Through Trust ‘AA’ (United Kingdom) |
3,816,805 | 3,305,147 | ||||||
| Continental Airlines Pass-Through Trust ‘A’ |
1,932,060 | 1,868,514 | ||||||
| Delta Air Lines Inc |
3,666,000 | 3,606,751 | ||||||
| Delta Air Lines Pass-Through Trust ‘AA’ |
1,162,246 | 1,073,569 | ||||||
| Ferguson Finance PLC |
1,650,000 | 1,588,505 | ||||||
| Ford Motor Credit Co LLC |
2,225,000 | 1,983,031 | ||||||
| 3.375% due 11/13/25 |
2,475,000 | 2,323,072 | ||||||
| 4.542% due 08/01/26 |
1,725,000 | 1,637,836 | ||||||
| Genting New York LLC |
2,000,000 | 1,800,381 | ||||||
| Hilton Grand Vacations Borrower Escrow LLC |
2,850,000 | 2,436,493 | ||||||
| Kohl’s Corp |
3,000,000 | 2,027,580 | ||||||
| Lowe’s Cos Inc |
5,000,000 | 5,030,913 | ||||||
| Marriott International Inc |
3,150,000 | 2,552,491 | ||||||
| Principal |
Value |
|||||||
| New Red Finance Inc (Canada) |
$4,000,000 | $3,723,880 | ||||||
| Six Flags Entertainment Corp |
1,000,000 | 985,942 | ||||||
| Spirit Airlines Pass-Through Trust ‘A’ |
428,063 | 399,146 | ||||||
| United Airlines Pass-Through Trust ‘A’ |
1,230,437 | 1,051,473 | ||||||
| United Airlines Pass-Through Trust ‘AA’ |
937,603 | 844,349 | ||||||
| US Airways Pass-Through Trust ‘A’ |
1,610,109 | 1,523,037 | ||||||
| Warnermedia Holdings Inc |
2,500,000 | 2,093,346 | ||||||
|
|
|
|||||||
| 53,171,865 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 6.7% |
|
|||||||
| Amgen Inc |
7,000,000 | 7,161,918 | ||||||
| 5.650% due 03/02/53 |
1,350,000 | 1,406,317 | ||||||
| Anheuser-Busch InBev Finance Inc (Belgium) |
2,000,000 | 1,759,258 | ||||||
| Anheuser-Busch InBev Worldwide Inc (Belgium) |
5,000,000 | 5,255,836 | ||||||
| BAT Capital Corp (United Kingdom) |
1,650,000 | 1,451,209 | ||||||
| Block Inc |
4,000,000 | 3,651,960 | ||||||
| 3.500% due 06/01/31 |
500,000 | 411,107 | ||||||
| Centene Corp |
1,750,000 | 1,524,075 | ||||||
| General Mills Inc |
1,550,000 | 1,574,859 | ||||||
| Global Payments Inc |
1,850,000 | 1,828,791 | ||||||
| Humana Inc |
1,300,000 | 1,324,941 | ||||||
| Imperial Brands Finance PLC (United Kingdom) |
1,100,000 | 1,129,717 | ||||||
| JBS USA LUX SA |
1,500,000 | 1,176,510 | ||||||
| 5.750% due 04/01/33 ~ |
1,000,000 | 957,500 | ||||||
| Kenvue Inc |
1,200,000 | 1,237,747 | ||||||
| Keurig Dr Pepper Inc |
2,250,000 | 2,005,424 | ||||||
| Kraft Heinz Foods Co |
4,500,000 | 3,924,384 | ||||||
| The Cigna Group |
7,000,000 | 7,272,824 | ||||||
| UnitedHealth Group Inc |
2,750,000 | 2,680,556 | ||||||
| 5.050% due 04/15/53 |
6,000,000 | 6,072,817 | ||||||
| Universal Health Services Inc |
4,450,000 | 3,571,345 | ||||||
| 2.650% due 01/15/32 |
1,950,000 | 1,523,026 | ||||||
| Viatris Inc |
3,350,000 | 2,354,230 | ||||||
|
|
|
|||||||
| 61,256,351 | ||||||||
|
|
|
|||||||
| Energy - 3.3% |
|
|||||||
| Cheniere Energy Partners LP |
3,500,000 | 3,254,810 | ||||||
| Enbridge Inc (Canada) |
4,200,000 | 4,025,826 | ||||||
| Energy Transfer LP |
4,000,000 | 3,420,595 | ||||||
| 5.750% due 02/15/33 |
1,800,000 | 1,845,450 | ||||||
| 6.500% due 11/15/26 |
1,650,000 | 1,456,125 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-15
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS CORE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Enterprise Products Operating LLC |
$1,850,000 | $1,341,713 | ||||||
| 3.700% due 01/31/51 |
2,000,000 | 1,550,836 | ||||||
| MPLX LP |
1,750,000 | 1,524,243 | ||||||
| 5.200% due 12/01/47 |
1,200,000 | 1,068,285 | ||||||
| 5.650% due 03/01/53 |
1,850,000 | 1,783,026 | ||||||
| Petroleos Mexicanos (Mexico) |
2,100,000 | 1,293,075 | ||||||
| Pioneer Natural Resources Co |
450,000 | 452,106 | ||||||
| Sabine Pass Liquefaction LLC |
1,800,000 | 1,842,757 | ||||||
| Targa Resources Partners LP |
5,750,000 | 5,017,766 | ||||||
|
|
|
|||||||
| 29,876,613 | ||||||||
|
|
|
|||||||
| Financial - 15.2% |
|
|||||||
| ABN AMRO Bank NV (Netherlands) |
1,700,000 | 1,306,022 | ||||||
| AerCap Ireland Capital DAC (Ireland) |
3,100,000 | 2,570,495 | ||||||
| Air Lease Corp |
4,000,000 | 3,426,025 | ||||||
| 4.650% due 06/15/26 |
4,300,000 | 3,581,743 | ||||||
| Ally Financial Inc |
1,900,000 | 1,690,365 | ||||||
| Aon Corp |
3,500,000 | 3,629,154 | ||||||
| Assured Guaranty US Holdings Inc |
2,150,000 | 1,495,384 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
2,450,000 | 2,046,985 | ||||||
| 4.250% due 04/15/26 ~ |
1,350,000 | 1,270,795 | ||||||
| Bank of America Corp |
4,700,000 | 3,572,650 | ||||||
| 2.687% due 04/22/32 |
3,700,000 | 3,090,037 | ||||||
| 3.846% due 03/08/37 |
1,000,000 | 853,497 | ||||||
| 4.375% due 01/27/27 |
3,000,000 | 2,557,913 | ||||||
| 6.125% due 04/27/27 |
2,150,000 | 2,120,438 | ||||||
| BNP Paribas SA (France) |
3,000,000 | 2,249,580 | ||||||
| Broadstone Net Lease LLC REIT |
2,750,000 | 1,996,148 | ||||||
| Citigroup Inc |
4,500,000 | 3,666,590 | ||||||
| 4.150% due 11/15/26 |
3,000,000 | 2,460,000 | ||||||
| 6.270% due 11/17/33 |
1,000,000 | 1,082,359 | ||||||
| GLP Capital LP REIT |
1,200,000 | 974,712 | ||||||
| Hill City Funding Trust |
2,400,000 | 1,686,175 | ||||||
| Host Hotels & Resorts LP REIT |
4,400,000 | 3,438,962 | ||||||
| 3.500% due 09/15/30 |
1,500,000 | 1,268,653 | ||||||
| HSBC Holdings PLC (United Kingdom) |
3,150,000 | 2,350,022 | ||||||
| JPMorgan Chase & Co |
9,950,000 | 8,515,955 | ||||||
| 4.912% due 07/25/33 |
1,850,000 | 1,840,437 | ||||||
| 5.717% due 09/14/33 |
4,750,000 | 4,869,645 | ||||||
| Liberty Mutual Group Inc |
5,325,000 | 3,172,034 | ||||||
| LSEGA Financing PLC (United Kingdom) |
2,200,000 | 1,682,087 | ||||||
| Massachusetts Mutual Life Insurance Co |
2,700,000 | 2,760,917 | ||||||
| Metropolitan Life Global Funding I |
900,000 | 908,151 | ||||||
| Principal |
Value |
|||||||
| Morgan Stanley |
$5,700,000 | $4,333,986 | ||||||
| 2.943% due 01/21/33 |
4,700,000 | 3,985,374 | ||||||
| 6.342% due 10/18/33 |
1,000,000 | 1,093,067 | ||||||
| New York Life Global Funding |
3,000,000 | 3,004,388 | ||||||
| OneMain Finance Corp |
1,575,000 | 1,326,623 | ||||||
| 6.125% due 03/15/24 |
5,200,000 | 5,070,468 | ||||||
| Principal Financial Group Inc |
3,400,000 | 3,405,530 | ||||||
| Prudential Financial Inc |
4,900,000 | 4,775,148 | ||||||
| Sun Communities Operating LP REIT |
2,750,000 | 2,755,278 | ||||||
| Teachers Insurance & Annuity Association of America |
3,000,000 | 2,535,114 | ||||||
| The Goldman Sachs Group Inc |
7,950,000 | 6,627,236 | ||||||
| 3.102% due 02/24/33 |
3,600,000 | 3,094,325 | ||||||
| The Northwestern Mutual Life Insurance Co |
3,000,000 | 2,212,665 | ||||||
| The PNC Financial Services Group Inc |
1,050,000 | 979,125 | ||||||
| US Bancorp |
3,000,000 | 2,912,714 | ||||||
| VICI Properties LP REIT |
2,300,000 | 2,182,616 | ||||||
| 3.750% due 02/15/27 ~ |
2,250,000 | 2,079,147 | ||||||
| 4.625% due 12/01/29 ~ |
5,500,000 | 5,011,790 | ||||||
| Wells Fargo & Co |
3,750,000 | 3,100,773 | ||||||
|
|
|
|||||||
| 138,619,297 | ||||||||
|
|
|
|||||||
| Industrial - 3.5% |
|
|||||||
| Allegion US Holding Co Inc |
3,336,000 | 3,118,629 | ||||||
| Amphenol Corp |
1,850,000 | 1,858,538 | ||||||
| Berry Global Inc |
5,000,000 | 4,878,550 | ||||||
| Flowserve Corp |
7,000,000 | 5,559,526 | ||||||
| Masco Corp |
2,000,000 | 2,241,991 | ||||||
| nVent Finance Sarl (United Kingdom) |
2,300,000 | 1,868,146 | ||||||
| Raytheon Technologies Corp |
2,650,000 | 2,793,055 | ||||||
| Regal Rexnord Corp |
3,000,000 | 3,005,427 | ||||||
| Republic Services Inc |
1,500,000 | 1,529,210 | ||||||
| The Weir Group PLC (United Kingdom) |
5,950,000 | 5,364,226 | ||||||
|
|
|
|||||||
| 32,217,298 | ||||||||
|
|
|
|||||||
| Technology - 2.8% |
|
|||||||
| Broadcom Inc |
5,000,000 | 3,849,188 | ||||||
| 3.187% due 11/15/36 ~ |
1,474,000 | 1,118,273 | ||||||
| Fiserv Inc |
5,200,000 | 5,395,927 | ||||||
| Intel Corp |
2,800,000 | 2,860,861 | ||||||
| Kyndryl Holdings Inc |
6,500,000 | 4,975,394 | ||||||
| Oracle Corp |
2,650,000 | 2,268,961 | ||||||
| 3.950% due 03/25/51 |
5,000,000 | 3,769,811 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-16
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS CORE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Skyworks Solutions Inc |
$1,300,000 | $1,082,522 | ||||||
|
|
|
|||||||
| 25,320,937 | ||||||||
|
|
|
|||||||
| Utilities - 8.2% |
|
|||||||
| American Electric Power Co Inc |
1,700,000 | 1,759,925 | ||||||
| Appalachian Power Co |
1,050,000 | 1,008,744 | ||||||
| Arizona Public Service Co |
3,100,000 | 3,370,905 | ||||||
| CenterPoint Energy Resources Corp |
7,000,000 | 7,182,992 | ||||||
| Dominion Energy Inc |
3,150,000 | 2,621,593 | ||||||
| DPL Inc |
600,000 | 573,825 | ||||||
| 4.350% due 04/15/29 |
1,350,000 | 1,199,934 | ||||||
| Duke Energy Ohio Inc |
1,000,000 | 1,049,984 | ||||||
| Duke Energy Progress LLC |
2,100,000 | 2,184,134 | ||||||
| Duke Energy Progress NC Storm Funding LLC |
5,350,000 | 4,432,945 | ||||||
| Edison International |
7,000,000 | 7,105,000 | ||||||
| FirstEnergy Corp |
2,500,000 | 2,384,212 | ||||||
| IPALCO Enterprises Inc |
2,400,000 | 2,211,236 | ||||||
| Kentucky Utilities Co |
550,000 | 572,346 | ||||||
| KeySpan Gas East Corp |
2,850,000 | 2,067,531 | ||||||
| Louisville Gas and Electric Co |
800,000 | 831,914 | ||||||
| Nevada Power Co |
2,950,000 | 3,279,729 | ||||||
| NextEra Energy Capital Holdings Inc |
1,700,000 | 1,730,295 | ||||||
| NextEra Energy Operating Partners LP |
3,425,000 | 3,385,167 | ||||||
| NSTAR Electric Co |
1,800,000 | 1,680,468 | ||||||
| 4.950% due 09/15/52 |
2,300,000 | 2,271,978 | ||||||
| PG&E Energy Recovery Funding LLC |
2,400,000 | 1,915,349 | ||||||
| Piedmont Natural Gas Co Inc |
1,750,000 | 1,628,341 | ||||||
| Public Service Co of Colorado |
3,000,000 | 3,060,446 | ||||||
| Sempra Energy |
5,000,000 | 4,042,601 | ||||||
| Southwestern Electric Power Co |
1,600,000 | 1,116,440 | ||||||
| 5.300% due 04/01/33 |
2,000,000 | 2,016,729 | ||||||
| Texas Electric Market Stabilization |
1,901,877 | 1,843,965 | ||||||
| The Brooklyn Union Gas Co |
3,725,000 | 3,619,333 | ||||||
| Virginia Electric and Power Co |
650,000 | 655,331 | ||||||
| Wisconsin Power and Light Co |
2,000,000 | 2,013,677 | ||||||
|
|
|
|||||||
| 74,817,069 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
448,153,703 | |||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| SENIOR LOAN NOTES - 11.1% |
|
|||||||
| Consumer, Cyclical - 2.9% |
||||||||
| Carnival Corp Term B |
$997,436 | $986,464 | ||||||
| 8.090% (USD LIBOR + 3.250%) |
||||||||
| due 10/18/28 § |
731,941 | 716,845 | ||||||
| ClubCorp Holdings Inc Term B |
4,744,584 | 4,547,390 | ||||||
| Hilton Grand Vacations Borrower LLC Term B |
2,219,367 | 2,219,367 | ||||||
| Marriott Ownership Resorts Inc Term B |
3,849,779 | 3,828,124 | ||||||
| Mileage Plus Holdings LLC Term B |
1,700,000 | 1,767,883 | ||||||
| SeaWorld Parks & Entertainment Inc Term B |
3,940,000 | 3,930,150 | ||||||
| Stars Group Holdings BV Term B (Canada) |
4,433,322 | 4,436,093 | ||||||
| United Airlines Inc Term B |
4,247,920 | 4,231,106 | ||||||
|
|
|
|||||||
| 26,663,422 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 2.8% |
||||||||
| Allied Universal Holdco LLC Term B |
2,462,500 | 2,340,914 | ||||||
| CoreLogic Inc Term B |
4,186,250 | 3,581,860 | ||||||
| Heartland Dental LLC Term B |
3,438,750 | 3,252,483 | ||||||
| Mavis Tire Express Services Topco Corp |
1,403,728 | 1,379,821 | ||||||
| Medline Borrower LP Term B |
247,500 | 241,605 | ||||||
| Pathway Vet Alliance LLC Term B |
4,373,895 | 3,852,933 | ||||||
| PetVet Care Centers LLC Term B-3 |
4,572,687 | 4,444,080 | ||||||
| Spin Holdco Inc Term B |
2,450,000 | 2,068,719 | ||||||
| Sunshine Luxembourg VII SARL Term B (Luxembourg) |
4,643,019 | 4,604,463 | ||||||
|
|
|
|||||||
| 25,766,878 | ||||||||
|
|
|
|||||||
| Financial - 2.2% |
||||||||
| AssuredPartners Inc Term B |
4,111,875 | 4,078,038 | ||||||
| HUB International Ltd Term B |
7,255,589 | 7,243,631 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-17
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS CORE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| NFP Corp Term B |
$3,570,672 | $3,491,075 | ||||||
| USI Inc Term B |
4,771,187 | 4,765,223 | ||||||
|
|
|
|||||||
|
|
|
|||||||
| 19,577,967 | ||||||||
|
|
|
|||||||
| Industrial - 1.9% |
||||||||
| Brown Group Holding LLC Term B |
229,845 | 228,064 | ||||||
| Filtration Group Corp Term B |
7,055,120 | 7,046,302 | ||||||
| Proampac PG Borrower LLC Term B |
3,692,675 | 3,628,053 | ||||||
| TransDigm Inc Term I |
6,408,863 | 6,400,410 | ||||||
|
|
|
|||||||
| 17,302,829 | ||||||||
|
|
|
|||||||
| Technology - 1.3% |
||||||||
| Applied Systems Inc Term B |
2,940,082 | 2,939,470 | ||||||
| Epicor Software Corp Term C |
2,215,347 | 2,181,656 | ||||||
| Sophia LP Term B |
207,391 | 204,851 | ||||||
| UKG Inc |
6,608,895 | 6,448,391 | ||||||
|
|
|
|||||||
| 11,774,368 | ||||||||
|
|
|
|||||||
| Total Senior Loan Notes |
101,085,464 | |||||||
|
|
|
|||||||
| MORTGAGE-BACKED SECURITIES - 1.8% |
|
|||||||
| Fannie Mae - 1.8% |
|
|||||||
| due 04/01/38 # |
9,000,000 | 9,145,693 | ||||||
| due 04/15/53 # |
7,000,000 | 7,218,203 | ||||||
|
|
|
|||||||
| 16,363,896 | ||||||||
|
|
|
|||||||
| Total Mortgage-Backed Securities |
16,363,896 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 16.4% |
|
|||||||
| Aimco CLO 11 Ltd (Cayman) |
4,000,000 | 3,894,672 | ||||||
| Ally Auto Receivables Trust |
1,367,000 | 1,337,016 | ||||||
| AmeriCredit Automobile Receivables Trust |
2,450,000 | 2,360,624 | ||||||
| 0.890% due 10/19/26 |
2,450,000 | 2,284,956 | ||||||
| 1.410% due 08/18/27 |
3,500,000 | 3,181,298 | ||||||
| 1.480% due 02/18/26 |
1,000,000 | 959,603 | ||||||
| Buttermilk Park CLO Ltd (Cayman) |
1,600,000 | 1,576,565 | ||||||
| Carlyle Global Market Strategies CLO Ltd (Cayman) |
2,000,000 | 1,935,236 | ||||||
| Principal |
Value |
|||||||
| Dryden 49 Senior Loan Fund (Cayman) |
$1,458,232 | $1,438,967 | ||||||
| Dryden 53 CLO Ltd (Cayman) |
1,500,000 | 1,445,805 | ||||||
| Dryden 55 CLO Ltd (Cayman) |
1,000,000 | 943,108 | ||||||
| Dryden 58 CLO Ltd (Cayman) |
2,000,000 | 1,927,899 | ||||||
| 6.592% (USD LIBOR + 1.800%) |
||||||||
| due 07/17/31 ~ § |
2,000,000 | 1,886,038 | ||||||
| Dryden 64 CLO Ltd (Cayman) |
1,600,000 | 1,541,836 | ||||||
| Flatiron CLO 19 Ltd (Cayman) |
1,000,000 | 958,092 | ||||||
| Ford Credit Auto Owner Trust |
1,350,000 | 1,293,755 | ||||||
| 1.290% due 06/15/26 |
502,000 | 480,911 | ||||||
| 1.530% due 05/15/34 ~ |
1,050,000 | 937,713 | ||||||
| 2.040% due 12/15/26 |
1,000,000 | 964,704 | ||||||
| 2.040% due 08/15/31 ~ |
2,000,000 | 1,899,346 | ||||||
| 3.190% due 07/15/31 ~ |
4,000,000 | 3,882,687 | ||||||
| 3.880% due 11/15/34 ~ |
3,250,000 | 3,151,097 | ||||||
| 5.140% due 03/15/26 |
2,500,000 | 2,503,812 | ||||||
| 5.270% due 05/17/27 |
2,000,000 | 2,023,738 | ||||||
| GM Financial Consumer Automobile |
258,000 | 257,000 | ||||||
| Hilton Grand Vacations Trust |
537,913 | 514,208 | ||||||
| Madison Park Funding Ltd (Cayman) |
2,600,000 | 2,526,095 | ||||||
| Magnetite XIV-R Ltd (Cayman) |
2,500,000 | 2,467,965 | ||||||
| Magnetite XXIX Ltd (Cayman) |
3,250,000 | 3,197,296 | ||||||
| Magnetite XXV Ltd (Cayman) |
615,000 | 607,340 | ||||||
| Mercedes-Benz Auto Receivables Trust |
5,000,000 | 4,996,832 | ||||||
| MVW LLC |
282,217 | 259,128 | ||||||
| Navient Private Education Loan Trust |
718,911 | 671,566 | ||||||
| Navient Private Education Refi Loan Trust |
658,588 | 576,409 | ||||||
| 1.170% due 09/16/69 ~ |
464,049 | 415,266 | ||||||
| 1.220% due 07/15/69 ~ |
718,963 | 643,070 | ||||||
| 1.310% due 01/15/69 ~ |
1,101,489 | 1,011,283 | ||||||
| 1.690% due 05/15/69 ~ |
3,738,408 | 3,367,877 | ||||||
| 2.640% due 05/15/68 ~ |
823,577 | 777,215 | ||||||
| Navient Student Loan Trust |
1,577,561 | 1,344,901 | ||||||
| 1.320% due 08/26/69 ~ |
2,973,513 | 2,532,446 | ||||||
| Neuberger Berman CLO XVIII Ltd (Cayman) |
1,000,000 | 971,497 | ||||||
| Neuberger Berman Loan Advisers CLO 25 Ltd (Cayman) |
1,500,000 | 1,449,885 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-18
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS CORE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| OneMain Financial Issuance Trust |
$2,700,000 | $2,611,623 | ||||||
| Palmer Square CLO Ltd (Cayman) |
2,500,000 | 2,476,200 | ||||||
| 5.908% (USD LIBOR + 1.100%) |
||||||||
| due 07/20/30 ~ § |
237,311 | 235,368 | ||||||
| 5.944% (USD LIBOR + 1.080%) |
||||||||
| due 11/15/31 ~ § |
3,500,000 | 3,457,337 | ||||||
| Palmer Square Loan Funding Ltd (Cayman) |
6,000,000 | 5,873,245 | ||||||
| 6.192% (USD LIBOR + 1.400%) |
||||||||
| due 10/15/29 ~ § |
9,700,000 | 9,510,866 | ||||||
| 6.208% (USD LIBOR + 1.400%) |
||||||||
| due 07/20/29 ~ § |
4,500,000 | 4,415,803 | ||||||
| 6.575% (USD LIBOR + 1.900%) |
||||||||
| due 02/20/28 ~ § |
1,200,000 | 1,164,345 | ||||||
| 6.608% (USD LIBOR + 1.800%) |
||||||||
| due 04/20/29 ~ § |
750,000 | 720,317 | ||||||
| Santander Drive Auto Receivables Trust |
2,010,707 | 1,983,224 | ||||||
| 4.420% due 11/15/27 |
2,800,000 | 2,758,684 | ||||||
| SLM Student Loan Trust |
1,341,154 | 1,310,602 | ||||||
| SMB Private Education Loan Trust |
3,339,447 | 2,878,025 | ||||||
| 1.290% due 07/15/53 ~ |
1,816,065 | 1,628,063 | ||||||
| 1.680% due 02/15/51 ~ |
2,358,470 | 2,145,434 | ||||||
| 2.230% due 09/15/37 ~ |
4,210,133 | 3,890,955 | ||||||
| 2.340% due 09/15/34 ~ |
845,226 | 813,548 | ||||||
| 2.430% due 02/17/32 ~ |
1,093,548 | 1,054,178 | ||||||
| 2.700% due 05/15/31 ~ |
558,144 | 542,959 | ||||||
| 2.820% due 10/15/35 ~ |
1,748,847 | 1,672,884 | ||||||
| 2.880% due 09/15/34 ~ |
2,725,091 | 2,607,693 | ||||||
| 3.440% due 07/15/36 ~ |
1,294,265 | 1,237,496 | ||||||
| 3.500% due 02/15/36 ~ |
2,445,102 | 2,326,694 | ||||||
| 3.600% due 01/15/37 ~ |
672,017 | 648,501 | ||||||
| 3.630% due 11/15/35 ~ |
919,218 | 880,408 | ||||||
| 4.480% due 05/16/50 ~ |
2,745,935 | 2,662,380 | ||||||
| 5.414% (USD LIBOR + 0.730%) |
||||||||
| due 01/15/53 ~ § |
716,722 | 690,895 | ||||||
| Sofi Professional Loan Program LLC |
953,224 | 889,252 | ||||||
| SoFi Professional Loan Program Trust |
1,384,783 | 1,292,212 | ||||||
| Stratus CLO Ltd (Cayman) |
6,000,000 | 5,848,524 | ||||||
| TIAA CLO IV Ltd (Cayman) |
2,750,000 | 2,665,331 | ||||||
| Toyota Auto Receivables Owner Trust |
2,895,000 | 2,773,767 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
149,063,570 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 15.9% |
|
|||||||
| U.S. Treasury Bonds - 9.6% |
|
|||||||
| 1.125% due 05/15/40 |
14,500,000 | 9,661,191 | ||||||
| 1.250% due 05/15/50 |
9,000,000 | 5,237,578 | ||||||
| 1.375% due 08/15/50 |
6,500,000 | 3,907,363 | ||||||
| 1.750% due 08/15/41 |
10,000,000 | 7,248,438 | ||||||
| 1.875% due 11/15/51 |
7,000,000 | 4,769,707 | ||||||
| 2.000% due 08/15/51 |
5,000,000 | 3,519,238 | ||||||
| 2.250% due 08/15/46 |
2,550,000 | 1,926,445 | ||||||
| Principal |
Value |
|||||||
| 2.250% due 02/15/52 |
$14,500,000 | $10,820,059 | ||||||
| 2.500% due 02/15/46 |
3,500,000 | 2,782,774 | ||||||
| 2.500% due 05/15/46 |
3,000,000 | 2,384,531 | ||||||
| 2.750% due 11/15/47 |
2,000,000 | 1,665,352 | ||||||
| 2.875% due 05/15/52 |
2,500,000 | 2,139,697 | ||||||
| 3.000% due 11/15/44 |
2,000,000 | 1,746,094 | ||||||
| 3.000% due 08/15/52 |
14,000,000 | 12,302,500 | ||||||
| 3.625% due 02/15/53 |
7,000,000 | 6,951,328 | ||||||
| 4.000% due 11/15/42 |
10,000,000 | 10,275,000 | ||||||
|
|
|
|||||||
| 87,337,295 | ||||||||
|
|
|
|||||||
| U.S. Treasury Notes - 6.3% |
|
|||||||
| 0.625% due 05/15/30 |
18,000,000 | 14,741,016 | ||||||
| 1.125% due 02/15/31 |
10,000,000 | 8,424,023 | ||||||
| 1.750% due 11/15/29 |
5,000,000 | 4,491,895 | ||||||
| 2.125% due 03/31/24 |
5,000,000 | 4,879,925 | ||||||
| 2.375% due 05/15/29 |
2,000,000 | 1,866,641 | ||||||
| 2.750% due 08/15/32 |
17,000,000 | 16,002,578 | ||||||
| 4.000% due 02/29/28 |
7,000,000 | 7,127,148 | ||||||
|
|
|
|||||||
| 57,533,226 | ||||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
144,870,521 | |||||||
|
|
|
|||||||
| Shares |
||||||||
| SHORT-TERM INVESTMENT - 9.3% |
|
|||||||
| Money Market Fund - 9.3% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
84,408,789 | 84,408,789 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
84,408,789 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 103.7% |
|
943,945,943 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (3.7%) |
|
(33,274,435 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$910,671,508 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023 the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
49.2% | |||
| Asset-Backed Securities |
16.4% | |||
| U.S. Treasury Obligations |
15.9% | |||
| Senior Loan Notes |
11.1% | |||
| Short-Term Investment |
9.3% | |||
| Others (each less than 3.0%) |
1.8% | |||
|
|
|
|||
| 103.7% | ||||
| Other Assets & Liabilities, Net |
(3.7% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-19
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS CORE INCOME
Schedule of Investments (Continued)
March 31, 2023
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$448,153,703 | $ — | $448,153,703 | $— | |||||||||||||
| Senior Loan Notes |
101,085,464 | — | 101,085,464 | — | ||||||||||||||
| Mortgage-Backed Securities |
16,363,896 | — | 16,363,896 | — | ||||||||||||||
| Asset-Backed Securities |
149,063,570 | — | 149,063,570 | — | ||||||||||||||
| U.S. Treasury Obligations |
144,870,521 | — | 144,870,521 | — | ||||||||||||||
| Short-Term Investment |
84,408,789 | 84,408,789 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$943,945,943 | $84,408,789 | $859,537,154 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-20
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM ESG CORE BOND
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 56.9% |
|
|||||||
| Communications - 2.2% |
|
|||||||
| Charter Communications Operating LLC |
$250,000 | $190,651 | ||||||
| Sprint Spectrum Co LLC |
150,000 | 148,918 | ||||||
| Verizon Communications Inc |
50,000 | 36,663 | ||||||
| 3.400% due 03/22/41 |
250,000 | 199,007 | ||||||
|
|
|
|||||||
| 575,239 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 3.9% |
|
|||||||
| Ferguson Finance PLC |
200,000 | 173,829 | ||||||
| Lowe’s Cos Inc |
250,000 | 204,365 | ||||||
| Marriott International Inc |
100,000 | 81,031 | ||||||
| 5.000% due 10/15/27 |
250,000 | 250,707 | ||||||
| Meritage Homes Corp |
200,000 | 177,797 | ||||||
| Warnermedia Holdings Inc |
150,000 | 125,601 | ||||||
|
|
|
|||||||
| 1,013,330 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 10.8% |
|
|||||||
| Amgen Inc |
100,000 | 78,551 | ||||||
| 4.200% due 03/01/33 |
150,000 | 143,868 | ||||||
| Anheuser-Busch InBev Worldwide Inc (Belgium) |
500,000 | 429,241 | ||||||
| CVS Health Corp |
300,000 | 244,021 | ||||||
| General Mills Inc |
200,000 | 203,208 | ||||||
| Humana Inc |
100,000 | 101,918 | ||||||
| Keurig Dr Pepper Inc |
250,000 | 222,825 | ||||||
| McKesson Corp |
250,000 | 224,112 | ||||||
| Moody’s Corp |
450,000 | 433,728 | ||||||
| Sysco Corp |
150,000 | 105,041 | ||||||
| Takeda Pharmaceutical Co Ltd (Japan) |
200,000 | 168,955 | ||||||
| The Cigna Corp |
200,000 | 168,832 | ||||||
| UnitedHealth Group Inc |
250,000 | 243,687 | ||||||
| Zoetis Inc |
100,000 | 84,227 | ||||||
|
|
|
|||||||
| 2,852,214 | ||||||||
|
|
|
|||||||
| Energy - 2.4% |
|
|||||||
| Enbridge Inc (Canada) |
350,000 | 335,485 | ||||||
| Enterprise Products Operating LLC |
250,000 | 193,855 | ||||||
| Kinder Morgan Energy Partners LP |
100,000 | 89,216 | ||||||
|
|
|
|||||||
| 618,556 | ||||||||
|
|
|
|||||||
| Financial - 23.3% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
250,000 | 207,298 | ||||||
| Air Lease Corp |
450,000 | 399,149 | ||||||
| Principal |
Value |
|||||||
| American Tower Corp REIT |
$ | 100,000 | $ | 92,261 | ||||
| 3.650% due 03/15/27 |
150,000 | 142,586 | ||||||
| Aon Corp |
250,000 | 259,225 | ||||||
| Bank of America Corp |
350,000 | 266,048 | ||||||
| 3.846% due 03/08/37 |
300,000 | 256,049 | ||||||
| Broadstone Net Lease LLC REIT |
200,000 | 145,174 | ||||||
| Citigroup Inc |
250,000 | 203,699 | ||||||
| 4.150% due 11/15/26 |
250,000 | 205,000 | ||||||
| Cooperatieve Rabobank UA (Netherlands) |
500,000 | 444,165 | ||||||
| Equinix Inc REIT |
250,000 | 227,527 | ||||||
| GLP Capital LP REIT |
100,000 | 81,226 | ||||||
| Healthpeak OP LLC REIT |
150,000 | 131,967 | ||||||
| HSBC Holdings PLC (United Kingdom) |
250,000 | 229,765 | ||||||
| JAB Holdings BV (Luxembourg) |
250,000 | 191,630 | ||||||
| Morgan Stanley |
500,000 | 423,976 | ||||||
| Nordea Bank Abp (Finland) |
350,000 | 307,643 | ||||||
| State Street Corp |
150,000 | 152,986 | ||||||
| Sumitomo Mitsui Financial Group Inc (Japan) |
500,000 | 430,437 | ||||||
| Sun Communities Operating LP REIT |
150,000 | 121,505 | ||||||
| The Goldman Sachs Group Inc |
500,000 | 470,101 | ||||||
| Truist Bank |
250,000 | 234,861 | ||||||
| Ventas Realty LP REIT |
250,000 | 238,400 | ||||||
| VICI Properties LP REIT |
200,000 | 176,837 | ||||||
| 4.625% due 12/01/29 ~ |
100,000 | 91,124 | ||||||
|
|
|
|||||||
| 6,130,639 | ||||||||
|
|
|
|||||||
| Industrial - 7.1% |
|
|||||||
| Allegion US Holding Co Inc |
200,000 | 186,968 | ||||||
| Amphenol Corp |
250,000 | 251,154 | ||||||
| Canadian National Railway Co (Canada) |
250,000 | 237,971 | ||||||
| Eaton Corp |
100,000 | 96,792 | ||||||
| Flowserve Corp |
250,000 | 198,555 | ||||||
| Keysight Technologies Inc |
250,000 | 222,790 | ||||||
| nVent Finance Sarl (United Kingdom) |
250,000 | 203,059 | ||||||
| The Weir Group PLC (United Kingdom) |
250,000 | 225,388 | ||||||
| Waste Connections Inc |
100,000 | 96,052 | ||||||
| Waste Management Inc |
150,000 | 145,473 | ||||||
|
|
|
|||||||
| 1,864,202 | ||||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-21
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS ESG CORE BOND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Technology - 5.2% |
|
|||||||
| Broadcom Inc |
$ | 12,000 | $ | 9,104 | ||||
| Dell International LLC |
300,000 | 299,420 | ||||||
| Fiserv Inc |
250,000 | 232,144 | ||||||
| 5.600% due 03/02/33 |
200,000 | 207,535 | ||||||
| Intel Corp |
350,000 | 357,608 | ||||||
| Oracle Corp |
300,000 | 268,587 | ||||||
|
|
|
|||||||
| 1,374,398 | ||||||||
|
|
|
|||||||
| Utilities - 2.0% |
|
|||||||
| Enel Finance International NV (Italy) |
200,000 | 193,153 | ||||||
| NiSource Inc |
150,000 | 142,811 | ||||||
| NSTAR Electric Co |
200,000 | 197,564 | ||||||
|
|
|
|||||||
| 533,528 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
14,962,106 | |||||||
|
|
|
|||||||
| MORTGAGE-BACKED SECURITIES - 2.7% |
|
|||||||
| Fannie Mae - 1.6% |
|
|||||||
| 2.000% due 09/01/35 |
136,602 | 123,746 | ||||||
| 2.000% due 12/01/35 |
326,020 | 295,333 | ||||||
|
|
|
|||||||
| 419,079 | ||||||||
|
|
|
|||||||
| Freddie Mac - 1.1% |
|
|||||||
| 2.000% due 12/01/35 |
326,981 | 296,204 | ||||||
|
|
|
|||||||
| Total Mortgage-Backed Securities |
715,283 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 17.2% |
|
|||||||
| Ford Credit Auto Owner Trust |
450,000 | 415,372 | ||||||
| 1.530% due 05/15/34 ~ |
350,000 | 312,571 | ||||||
| 5.370% due 08/15/25 |
400,000 | 399,929 | ||||||
| GM Financial Revolving Receivables Trust |
150,000 | 132,509 | ||||||
| Magnetite Ltd (Cayman) |
246,596 | 243,785 | ||||||
| Magnetite XXVIII Ltd (Cayman) |
250,000 | 244,000 | ||||||
| Navient Private Education Refi Loan Trust |
131,718 | 115,282 | ||||||
| Navient Student Loan Trust |
179,268 | 152,830 | ||||||
| 1.320% due 08/26/69 ~ |
150,346 | 128,045 | ||||||
| 3.390% due 12/15/59 ~ |
406,914 | 388,188 | ||||||
| OCP CLO Ltd (Cayman) |
250,000 | 246,617 | ||||||
| Palmer Square CLO Ltd (Cayman) |
250,000 | 247,620 | ||||||
| Palmer Square Loan Funding Ltd (Cayman) |
178,818 | 176,627 | ||||||
| Principal |
Value |
|||||||
| 5.708% (USD LIBOR + 0.900%) |
$ |
267,560 |
|
$ |
266,227 |
| ||
| 6.192% (USD LIBOR + 1.400%) |
|
250,000 |
|
|
245,125 |
| ||
| Santander Drive Auto Receivables Trust |
407,576 | 402,005 | ||||||
| 4.370% due 05/15/25 |
301,552 | 300,767 | ||||||
| SMB Private Education Loan Trust |
139,144 | 119,918 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
4,537,417 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 16.6% |
|
|||||||
| U.S. Treasury Bonds - 6.4% |
|
|||||||
| 1.250% due 05/15/50 |
250,000 | 145,488 | ||||||
| 1.375% due 08/15/50 |
250,000 | 150,283 | ||||||
| 1.625% due 11/15/50 |
500,000 | 320,938 | ||||||
| 1.750% due 08/15/41 |
125,000 | 90,605 | ||||||
| 1.875% due 02/15/51 |
500,000 | 341,797 | ||||||
| 1.875% due 11/15/51 |
150,000 | 102,208 | ||||||
| 2.000% due 08/15/51 |
250,000 | 175,962 | ||||||
| 2.250% due 02/15/52 |
200,000 | 149,242 | ||||||
| 2.875% due 05/15/52 |
250,000 | 213,970 | ||||||
|
|
|
|||||||
| 1,690,493 | ||||||||
|
|
|
|||||||
| U.S. Treasury Notes - 10.2% |
|
|||||||
| 0.375% due 11/30/25 |
1,500,000 | 1,368,721 | ||||||
| 0.875% due 11/15/30 |
1,000,000 | 828,144 | ||||||
| 2.625% due 05/31/27 |
500,000 | 479,541 | ||||||
|
|
|
|||||||
| 2,676,406 | ||||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
4,366,899 | |||||||
|
|
|
|||||||
| Shares |
||||||||
| SHORT-TERM INVESTMENT - 5.7% |
|
|||||||
| Money Market Fund - 5.7% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
1,494,839 | 1,494,839 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
1,494,839 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.1% |
|
26,076,544 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.9% |
|
240,325 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$26,316,869 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
56.9% | |||
| Asset-Backed Securities |
17.2% | |||
| U.S. Treasury Obligations |
16.6% | |||
| Short-Term Investment |
5.7% | |||
| Others (each less than 3.0%) |
2.7% | |||
|
|
|
|||
| 99.1% | ||||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-22
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS ESG CORE BOND
Schedule of Investments (Continued)
March 31, 2023
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$14,962,106 | $ — | $14,962,106 | $— | |||||||||||||
| Mortgage-Backed Securities |
715,283 | — | 715,283 | — | ||||||||||||||
| Asset-Backed Securities |
4,537,417 | — | 4,537,417 | — | ||||||||||||||
| U.S. Treasury Obligations |
4,366,899 | — | 4,366,899 | — | ||||||||||||||
| Short-Term Investment |
1,494,839 | 1,494,839 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$26,076,544 | $1,494,839 | $24,581,705 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-23
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM STRATEGIC INCOME
Schedule of Investments
March 31, 2023
|
|
Value |
|||||||
| COMMON STOCKS - 0.0% |
||||||||
| Industrial - 0.0% |
||||||||
| TNT Crane & Rigging Inc |
4,054 | $32,432 | ||||||
|
|
|
|||||||
| Total Common Stocks |
32,432 | |||||||
|
|
|
|||||||
| Principal |
||||||||
| CORPORATE BONDS & NOTES - 70.6% |
||||||||
| Basic Materials - 3.8% |
||||||||
| Anglo American Capital PLC (South Africa) |
$6,450,000 | 5,370,289 | ||||||
| 2.875% due 03/17/31 ~ |
8,500,000 | 7,119,843 | ||||||
| 3.875% due 03/16/29 ~ |
750,000 | 690,661 | ||||||
| Celanese US Holdings LLC |
8,000,000 | 8,056,994 | ||||||
| Glencore Funding LLC (Australia) |
9,000,000 | 7,393,049 | ||||||
| JW Aluminum Continuous Cast Co |
710,000 | 714,540 | ||||||
| Novelis Corp |
500,000 | 457,385 | ||||||
| 3.875% due 08/15/31 ~ |
4,679,000 | 3,947,766 | ||||||
| South32 Treasury Ltd (Australia) |
12,500,000 | 11,157,238 | ||||||
| SPCM SA (France) |
5,000,000 | 4,130,429 | ||||||
| TMS International Corp |
9,126,000 | 7,046,472 | ||||||
|
|
|
|||||||
| 56,084,666 | ||||||||
|
|
|
|||||||
| Communications - 7.3% |
||||||||
| AT&T Inc |
2,475,000 | 2,024,427 | ||||||
| 2.300% due 06/01/27 |
4,000,000 | 3,666,890 | ||||||
| 4.350% due 03/01/29 |
5,500,000 | 5,387,425 | ||||||
| CCO Holdings LLC |
750,000 | 614,123 | ||||||
| 4.250% due 01/15/34 ~ |
8,375,000 | 6,559,174 | ||||||
| 6.375% due 09/01/29 ~ |
2,500,000 | 2,389,750 | ||||||
| Charter Communications Operating LLC |
1,950,000 | 1,570,644 | ||||||
| 3.750% due 02/15/28 |
1,500,000 | 1,394,084 | ||||||
| 4.200% due 03/15/28 |
5,750,000 | 5,445,511 | ||||||
| 5.050% due 03/30/29 |
1,500,000 | 1,448,178 | ||||||
| CSC Holdings LLC |
1,500,000 | 1,039,050 | ||||||
| 4.625% due 12/01/30 ~ |
4,400,000 | 2,173,820 | ||||||
| 5.750% due 01/15/30 ~ |
2,300,000 | 1,213,250 | ||||||
| DISH Network Corp |
8,650,000 | 8,399,626 | ||||||
| Frontier Communications Holdings LLC |
4,250,000 | 3,692,740 | ||||||
| 8.625% due 03/15/31 ~ |
3,400,000 | 3,332,969 | ||||||
| Rogers Communications Inc (Canada) |
8,000,000 | 7,187,165 | ||||||
| Sirius XM Radio Inc |
7,775,000 | 6,052,721 | ||||||
| Sprint Capital Corp |
3,000,000 | 3,655,680 | ||||||
| T-Mobile USA Inc |
3,000,000 | 2,663,182 | ||||||
| 2.400% due 03/15/29 |
2,000,000 | 1,743,353 | ||||||
| 3.375% due 04/15/29 |
2,050,000 | 1,870,804 | ||||||
| 3.500% due 04/15/31 |
1,125,000 | 1,012,695 | ||||||
| Principal |
Value |
|||||||
| 3.750% due 04/15/27 |
$ | 7,000,000 | $ | 6,733,375 | ||||
| 3.875% due 04/15/30 |
6,000,000 | 5,634,612 | ||||||
| 4.375% due 04/15/40 |
3,900,000 | 3,497,925 | ||||||
| 5.200% due 01/15/33 |
1,700,000 | 1,734,946 | ||||||
| Uber Technologies Inc |
7,025,000 | 6,414,703 | ||||||
| Verizon Communications Inc |
11,500,000 | 9,801,698 | ||||||
|
|
|
|||||||
| 108,354,520 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 7.8% |
||||||||
| American Airlines Inc |
5,125,000 | 4,921,542 | ||||||
| American Airlines Pass-Through Trust ‘A’ |
1,632,707 | 1,360,409 | ||||||
| 4.100% due 07/15/29 |
1,035,911 | 932,875 | ||||||
| American Airlines Pass-Through Trust ‘AA’ |
2,469,992 | 2,166,987 | ||||||
| American Airlines Pass-Through Trust ‘B’ |
694,457 | 680,248 | ||||||
| British Airways Pass-Through Trust ‘AA’ (United Kingdom) |
2,412,923 | 2,089,461 | ||||||
| CDI Escrow Issuer Inc |
7,650,000 | 7,395,599 | ||||||
| Dornoch Debt Merger Sub Inc |
1,000,000 | 675,881 | ||||||
| Ferguson Finance PLC |
7,000,000 | 6,659,523 | ||||||
| Fertitta Entertainment LLC |
4,975,000 | 4,372,279 | ||||||
| 6.750% due 01/15/30 ~ |
5,000,000 | 4,118,150 | ||||||
| Ford Motor Co |
2,175,000 | 2,110,753 | ||||||
| Ford Motor Credit Co LLC |
7,500,000 | 6,218,967 | ||||||
| 3.375% due 11/13/25 |
400,000 | 375,446 | ||||||
| 4.000% due 11/13/30 |
400,000 | 340,443 | ||||||
| 4.125% due 08/17/27 |
3,500,000 | 3,211,617 | ||||||
| 4.950% due 05/28/27 |
1,600,000 | 1,528,480 | ||||||
| Foundation Building Materials Inc |
4,855,000 | 3,854,567 | ||||||
| General Motors Co |
1,950,000 | 1,988,024 | ||||||
| General Motors Financial Co Inc |
6,500,000 | 5,821,643 | ||||||
| 4.350% due 01/17/27 |
5,000,000 | 4,849,123 | ||||||
| 5.100% due 01/17/24 |
1,000,000 | 997,233 | ||||||
| Hilton Grand Vacations Borrower Escrow LLC |
5,775,000 | 4,937,105 | ||||||
| 5.000% due 06/01/29 ~ |
1,875,000 | 1,667,372 | ||||||
| Hyatt Hotels Corp |
5,450,000 | 5,538,813 | ||||||
| Hyundai Capital America |
5,000,000 | 4,428,860 | ||||||
| LBM Acquisition LLC |
2,250,000 | 1,724,615 | ||||||
| MajorDrive Holdings IV LLC |
8,050,000 | 5,971,162 | ||||||
| Marriott International Inc |
4,000,000 | 3,410,035 | ||||||
| 5.000% due 10/15/27 |
2,300,000 | 2,306,503 | ||||||
| Midwest Gaming Borrower LLC |
4,625,000 | 4,025,964 | ||||||
| New Red Finance Inc (Canada) |
7,200,000 | 6,180,480 | ||||||
| STL Holding Co LLC |
3,400,000 | 2,989,688 | ||||||
| United Airlines Pass-Through Trust ‘AA’ |
2,250,248 | 2,026,438 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-24
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS STRATEGIC INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Warnermedia Holdings Inc |
$ | 2,000,000 | $ | 1,787,038 | ||||
| 6.412% due 03/15/26 |
1,900,000 | 1,910,169 | ||||||
|
|
|
|||||||
| 115,573,492 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 8.3% |
|
|||||||
| Allied Universal Holdco LLC |
6,600,000 | 5,888,850 | ||||||
| AmerisourceBergen Corp |
8,000,000 | 6,865,234 | ||||||
| Amgen Inc |
7,000,000 | 7,150,879 | ||||||
| 5.600% due 03/02/43 |
4,000,000 | 4,124,185 | ||||||
| Anheuser-Busch InBev Worldwide Inc (Belgium) |
9,325,000 | 9,528,124 | ||||||
| Global Payments Inc |
8,000,000 | 7,094,914 | ||||||
| 5.400% due 08/15/32 |
5,000,000 | 4,906,646 | ||||||
| 5.950% due 08/15/52 |
5,000,000 | 4,767,597 | ||||||
| Haleon US Capital LLC |
8,000,000 | 7,384,289 | ||||||
| HCA Inc |
7,000,000 | 6,177,201 | ||||||
| JBS USA LUX SA |
700,000 | 677,324 | ||||||
| 5.750% due 04/01/33 ~ |
8,000,000 | 7,660,000 | ||||||
| MPH Acquisition Holdings LLC |
900,000 | 716,355 | ||||||
| 5.750% due 11/01/28 ~ |
4,300,000 | 3,097,780 | ||||||
| Sysco Corp |
4,000,000 | 3,495,895 | ||||||
| 2.450% due 12/14/31 |
3,000,000 | 2,501,377 | ||||||
| Tenet Healthcare Corp |
3,125,000 | 2,830,031 | ||||||
| 4.375% due 01/15/30 |
1,825,000 | 1,639,580 | ||||||
| 6.125% due 10/01/28 |
4,175,000 | 4,005,265 | ||||||
| The Cigna Group |
10,000,000 | 10,389,749 | ||||||
| The Hertz Corp |
4,000,000 | 3,317,360 | ||||||
| UnitedHealth Group Inc |
7,000,000 | 7,382,255 | ||||||
| US Foods Inc |
7,800,000 | 7,043,689 | ||||||
| Viatris Inc |
4,450,000 | 3,619,297 | ||||||
|
|
|
|||||||
| 122,263,876 | ||||||||
|
|
|
|||||||
| Energy - 6.8% |
|
|||||||
| Antero Midstream Partners LP |
7,400,000 | 6,973,098 | ||||||
| Archrock Partners LP |
2,025,000 | 1,945,944 | ||||||
| 6.875% due 04/01/27 ~ |
1,325,000 | 1,301,448 | ||||||
| Callon Petroleum Co |
3,700,000 | 3,481,570 | ||||||
| Cheniere Energy Partners LP |
10,925,000 | 9,035,958 | ||||||
| CQP Holdco LP |
5,225,000 | 4,702,604 | ||||||
| Energy Transfer Operating LP |
1,000,000 | 953,501 | ||||||
| 3.750% due 05/15/30 |
3,000,000 | 2,771,083 | ||||||
| 4.000% due 10/01/27 |
1,200,000 | 1,144,710 | ||||||
| 4.050% due 03/15/25 |
1,200,000 | 1,177,533 | ||||||
| 4.750% due 01/15/26 |
7,200,000 | 7,115,332 | ||||||
| 5.500% due 06/01/27 |
1,500,000 | 1,517,441 | ||||||
| 5.550% due 02/15/28 |
450,000 | 457,393 | ||||||
| 5.800% due 06/15/38 |
3,000,000 | 2,950,678 | ||||||
| Principal |
Value |
|||||||
| EnLink Midstream LLC |
$ | 4,625,000 | $ | 4,681,887 | ||||
| EQM Midstream Partners LP |
5,625,000 | 4,676,569 | ||||||
| 5.500% due 07/15/28 |
1,250,000 | 1,136,950 | ||||||
| 6.000% due 07/01/25 ~ |
184,000 | 182,127 | ||||||
| 6.500% due 07/01/27 ~ |
1,750,000 | 1,698,078 | ||||||
| 7.500% due 06/01/27 ~ |
50,000 | 50,249 | ||||||
| 7.500% due 06/01/30 ~ |
50,000 | 48,497 | ||||||
| Genesis Energy LP |
2,750,000 | 2,669,641 | ||||||
| 8.875% due 04/15/30 |
75,000 | 76,005 | ||||||
| ITT Holdings LLC |
3,500,000 | 2,958,270 | ||||||
| Kinder Morgan Inc |
2,000,000 | 1,988,512 | ||||||
| MPLX LP |
2,225,000 | 1,888,178 | ||||||
| 4.800% due 02/15/29 |
1,350,000 | 1,338,674 | ||||||
| 4.950% due 09/01/32 |
300,000 | 293,592 | ||||||
| 4.950% due 03/14/52 |
3,650,000 | 3,179,135 | ||||||
| 5.000% due 03/01/33 |
150,000 | 146,864 | ||||||
| SM Energy Co |
1,150,000 | 1,098,434 | ||||||
| Tallgrass Energy Partners LP |
3,100,000 | 2,774,516 | ||||||
| 6.000% due 09/01/31 ~ |
2,275,000 | 2,014,643 | ||||||
| Targa Resources Partners LP |
5,850,000 | 5,105,032 | ||||||
| 5.000% due 01/15/28 |
650,000 | 629,115 | ||||||
| 5.500% due 03/01/30 |
4,000,000 | 3,912,880 | ||||||
| Venture Global Calcasieu Pass LLC |
6,560,000 | 5,517,911 | ||||||
| 4.125% due 08/15/31 ~ |
7,400,000 | 6,508,966 | ||||||
| 6.250% due 01/15/30 ~ |
275,000 | 277,332 | ||||||
|
|
|
|||||||
| 100,380,350 | ||||||||
|
|
|
|||||||
| Financial - 20.7% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
3,250,000 | 2,920,947 | ||||||
| 4.450% due 10/01/25 |
2,000,000 | 1,934,205 | ||||||
| 4.625% due 10/15/27 |
1,000,000 | 967,437 | ||||||
| Air Lease Corp |
750,000 | 665,249 | ||||||
| 3.125% due 12/01/30 |
3,500,000 | 2,972,423 | ||||||
| 3.750% due 06/01/26 |
1,500,000 | 1,419,327 | ||||||
| 4.650% due 06/15/26 |
2,750,000 | 2,290,650 | ||||||
| Ally Financial Inc |
3,525,000 | 3,136,072 | ||||||
| Athene Holding Ltd |
1,000,000 | 832,300 | ||||||
| 6.150% due 04/03/30 |
4,925,000 | 4,947,643 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
6,450,000 | 5,739,199 | ||||||
| 2.750% due 02/21/28 ~ |
6,500,000 | 5,430,775 | ||||||
| 3.250% due 02/15/27 ~ |
3,200,000 | 2,842,923 | ||||||
| 3.950% due 07/01/24 ~ |
3,000,000 | 2,920,842 | ||||||
| Bank of America Corp |
1,000,000 | 798,221 | ||||||
| 2.087% due 06/14/29 |
7,300,000 | 6,292,118 | ||||||
| 2.482% due 09/21/36 |
6,750,000 | 5,130,933 | ||||||
| 2.551% due 02/04/28 |
3,000,000 | 2,731,647 | ||||||
| 2.592% due 04/29/31 |
7,500,000 | 6,355,873 | ||||||
| 2.651% due 03/11/32 |
5,000,000 | 4,177,611 | ||||||
| 2.687% due 04/22/32 |
1,450,000 | 1,210,961 | ||||||
| 2.972% due 02/04/33 |
6,000,000 | 5,056,565 | ||||||
| 6.125% due 04/27/27 |
2,400,000 | 2,367,000 | ||||||
| Citigroup Inc |
5,000,000 | 4,443,359 | ||||||
| 2.520% due 11/03/32 |
4,500,000 | 3,666,590 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-25
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS STRATEGIC INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| 2.561% due 05/01/32 |
$ | 450,000 | $ | 373,641 | ||||
| 2.666% due 01/29/31 |
1,000,000 | 854,197 | ||||||
| 3.668% due 07/24/28 |
4,000,000 | 3,792,490 | ||||||
| 3.980% due 03/20/30 |
3,000,000 | 2,798,838 | ||||||
| 4.075% due 04/23/29 |
3,000,000 | 2,862,897 | ||||||
| 4.450% due 09/29/27 |
10,500,000 | 10,189,741 | ||||||
| Corebridge Financial Inc |
5,000,000 | 4,570,054 | ||||||
| GLP Capital LP REIT |
2,925,000 | 2,511,728 | ||||||
| 5.300% due 01/15/29 |
9,000,000 | 8,596,080 | ||||||
| Host Hotels & Resorts LP REIT |
5,750,000 | 4,494,099 | ||||||
| 3.375% due 12/15/29 |
6,800,000 | 5,759,821 | ||||||
| 3.500% due 09/15/30 |
1,500,000 | 1,268,653 | ||||||
| HSBC Holdings PLC (United Kingdom) |
4,500,000 | 3,776,545 | ||||||
| 4.700% due 03/09/31 |
3,000,000 | 2,238,116 | ||||||
| Invitation Homes Operating Partnership LP REIT |
9,000,000 | 6,899,465 | ||||||
| Iron Mountain Inc REIT |
4,175,000 | 3,756,999 | ||||||
| 5.250% due 07/15/30 ~ |
1,000,000 | 902,627 | ||||||
| JPMorgan Chase & Co |
5,000,000 | 4,496,145 | ||||||
| 2.069% due 06/01/29 |
6,000,000 | 5,210,440 | ||||||
| 2.522% due 04/22/31 |
1,950,000 | 1,668,172 | ||||||
| 2.580% due 04/22/32 |
550,000 | 463,185 | ||||||
| 2.947% due 02/24/28 |
2,300,000 | 2,133,956 | ||||||
| 2.963% due 01/25/33 |
6,950,000 | 5,948,330 | ||||||
| 4.005% due 04/23/29 |
2,000,000 | 1,913,067 | ||||||
| 4.125% due 12/15/26 |
5,725,000 | 5,595,296 | ||||||
| 5.717% due 09/14/33 |
5,950,000 | 6,099,871 | ||||||
| Liberty Mutual Group Inc |
3,325,000 | 1,980,660 | ||||||
| Morgan Stanley |
5,000,000 | 4,447,577 | ||||||
| 2.484% due 09/16/36 |
550,000 | 418,192 | ||||||
| 2.943% due 01/21/33 |
7,500,000 | 6,359,640 | ||||||
| 3.591% due 07/22/28 |
11,000,000 | 10,398,615 | ||||||
| 5.000% due 11/24/25 |
3,150,000 | 3,125,179 | ||||||
| 5.050% due 01/28/27 |
1,800,000 | 1,796,393 | ||||||
| 5.297% due 04/20/37 |
550,000 | 519,004 | ||||||
| OneMain Finance Corp |
3,175,000 | 2,520,553 | ||||||
| 5.375% due 11/15/29 |
1,775,000 | 1,495,083 | ||||||
| Principal Financial Group Inc |
4,750,000 | 4,757,725 | ||||||
| Royal Bank of Canada (Canada) |
8,000,000 | 8,019,130 | ||||||
| State Street Corp |
3,000,000 | 3,131,819 | ||||||
| The Charles Schwab Corp |
5,000,000 | 4,250,000 | ||||||
| The Goldman Sachs Group Inc |
7,000,000 | 6,163,750 | ||||||
| 1.948% due 10/21/27 |
5,000,000 | 4,471,789 | ||||||
| 2.600% due 02/07/30 |
4,000,000 | 3,435,773 | ||||||
| 2.615% due 04/22/32 |
5,050,000 | 4,209,754 | ||||||
| 3.102% due 02/24/33 |
6,000,000 | 5,157,208 | ||||||
| 3.800% due 03/15/30 |
3,000,000 | 2,796,943 | ||||||
| The PNC Financial Services Group Inc |
6,900,000 | 6,369,253 | ||||||
| 6.250% due 03/15/30 |
2,250,000 | 2,098,125 | ||||||
| US Bancorp |
8,000,000 | 7,825,924 | ||||||
| VICI Properties LP REIT |
3,000,000 | 2,772,196 | ||||||
| 4.625% due 12/01/29 ~ |
5,000,000 | 4,556,173 | ||||||
| 4.750% due 02/15/28 |
450,000 | 427,012 | ||||||
| 5.125% due 05/15/32 |
3,000,000 | 2,829,120 | ||||||
| Principal |
Value |
|||||||
| Wells Fargo & Co |
$ | 4,500,000 | $ | 4,055,074 | ||||
| 3.000% due 10/23/26 |
3,000,000 | 2,808,943 | ||||||
| 3.196% due 06/17/27 |
5,000,000 | 4,705,385 | ||||||
| 3.526% due 03/24/28 |
5,985,000 | 5,652,061 | ||||||
| 3.908% due 04/25/26 |
1,900,000 | 1,845,570 | ||||||
|
|
|
|||||||
| 305,824,946 | ||||||||
|
|
|
|||||||
| Industrial - 11.0% |
||||||||
| ARD Finance SA (Luxembourg) |
1,968,194 | 1,508,030 | ||||||
| Berry Global Inc |
2,000,000 | 1,994,464 | ||||||
| Chart Industries Inc |
2,800,000 | 2,896,516 | ||||||
| 9.500% due 01/01/31 ~ |
2,525,000 | 2,666,286 | ||||||
| Clydesdale Acquisition Holdings Inc |
3,150,000 | 3,034,710 | ||||||
| 8.750% due 04/15/30 ~ |
2,150,000 | 1,956,349 | ||||||
| First Student Bidco Inc |
6,175,000 | 5,378,727 | ||||||
| Flowserve Corp |
5,050,000 | 4,010,801 | ||||||
| 3.500% due 10/01/30 |
7,050,000 | 6,109,829 | ||||||
| GFL Environmental Inc (Canada) |
2,375,000 | 2,151,596 | ||||||
| 4.000% due 08/01/28 ~ |
875,000 | 795,786 | ||||||
| 4.375% due 08/15/29 ~ |
1,950,000 | 1,747,882 | ||||||
| 4.750% due 06/15/29 ~ |
2,375,000 | 2,220,625 | ||||||
| Hillenbrand Inc |
6,375,000 | 5,332,751 | ||||||
| Husky III Holding Ltd (Canada) |
6,625,000 | 5,614,687 | ||||||
| LABL Inc |
275,000 | 277,750 | ||||||
| 5.875% due 11/01/28 ~ |
7,475,000 | 6,656,042 | ||||||
| 6.750% due 07/15/26 ~ |
2,500,000 | 2,413,244 | ||||||
| 8.250% due 11/01/29 ~ |
1,975,000 | 1,687,835 | ||||||
| Madison IAQ LLC |
1,875,000 | 1,623,966 | ||||||
| Masco Corp |
4,110,000 | 4,607,291 | ||||||
| Mauser Packaging Solutions Holding Co |
1,000,000 | 1,000,905 | ||||||
| 9.250% due 04/15/27 ~ |
6,700,000 | 6,197,500 | ||||||
| nVent Finance Sarl (United Kingdom) |
3,600,000 | 2,924,054 | ||||||
| OT Merger Corp |
5,500,000 | 3,281,233 | ||||||
| Owens-Brockway Glass Container Inc |
5,886,000 | 5,799,181 | ||||||
| Penske Truck Leasing Co LP |
3,675,000 | 3,238,914 | ||||||
| Rand Parent LLC |
2,050,000 | 1,929,204 | ||||||
| SPX FLOW Inc |
6,600,000 | 5,703,192 | ||||||
| Standard Industries Inc |
6,673,000 | 5,370,561 | ||||||
| 4.375% due 07/15/30 ~ |
7,500,000 | 6,533,475 | ||||||
| 4.750% due 01/15/28 ~ |
1,443,000 | 1,350,064 | ||||||
| TD SYNNEX Corp |
5,000,000 | 3,971,166 | ||||||
| Teledyne Technologies Inc |
3,500,000 | 3,129,988 | ||||||
| 2.750% due 04/01/31 |
8,500,000 | 7,254,694 | ||||||
| The Boeing Co |
12,200,000 | 12,296,599 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-26
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS STRATEGIC INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| The Weir Group PLC (United Kingdom) |
$ | 9,850,000 | $ | 8,880,274 | ||||
| TK Elevator US Newco Inc (Germany) |
5,000,000 | 4,727,025 | ||||||
| TransDigm Inc |
675,000 | 600,777 | ||||||
| 4.875% due 05/01/29 |
4,475,000 | 3,965,684 | ||||||
| 5.500% due 11/15/27 |
675,000 | 637,202 | ||||||
| 6.750% due 08/15/28 ~ |
500,000 | 505,625 | ||||||
| Triumph Group Inc |
1,150,000 | 1,152,645 | ||||||
| Vontier Corp |
4,500,000 | 3,606,255 | ||||||
| WRKCo Inc |
5,175,000 | 4,247,701 | ||||||
|
|
|
|||||||
| 162,989,085 | ||||||||
|
|
|
|||||||
| Technology - 2.2% |
|
|||||||
| Broadcom Inc |
2,700,000 | 2,078,561 | ||||||
| 3.187% due 11/15/36 ~ |
203,000 | 154,009 | ||||||
| 3.469% due 04/15/34 ~ |
2,000,000 | 1,644,109 | ||||||
| 4.150% due 11/15/30 |
1,589,000 | 1,474,273 | ||||||
| 4.926% due 05/15/37 ~ |
2,153,000 | 1,959,890 | ||||||
| Entegris Escrow Corp |
5,375,000 | 5,086,430 | ||||||
| Open Text Corp (Canada) |
3,000,000 | 3,097,500 | ||||||
| Open Text Holdings Inc (Canada) |
3,200,000 | 2,643,152 | ||||||
| Oracle Corp |
4,000,000 | 3,581,161 | ||||||
| 3.250% due 11/15/27 |
3,000,000 | 2,820,935 | ||||||
| 4.500% due 05/06/28 |
100,000 | 98,847 | ||||||
| 4.650% due 05/06/30 |
3,000,000 | 2,922,096 | ||||||
| 6.150% due 11/09/29 |
100,000 | 106,560 | ||||||
| 6.250% due 11/09/32 |
3,000,000 | 3,228,298 | ||||||
| Rackspace Technology Global Inc |
2,700,000 | 1,407,456 | ||||||
|
|
|
|||||||
| 32,303,277 | ||||||||
|
|
|
|||||||
| Utilities - 2.7% |
|
|||||||
| Arizona Public Service Co |
3,800,000 | 4,132,077 | ||||||
| IPALCO Enterprises Inc |
4,000,000 | 3,685,393 | ||||||
| KeySpan Gas East Corp |
8,000,000 | 8,254,617 | ||||||
| NextEra Energy Capital Holdings Inc |
4,000,000 | 4,029,613 | ||||||
| 5.000% due 02/28/30 |
5,000,000 | 5,053,467 | ||||||
| Southern California Edison Co |
8,000,000 | 8,674,006 | ||||||
| Vistra Operations Co LLC |
6,000,000 | 5,377,545 | ||||||
|
|
|
|||||||
| 39,206,718 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
|
1,042,980,930 |
| |||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 16.9% |
|
|||||||
| Communications - 0.4% |
||||||||
| Clear Channel Outdoor Holdings Inc Term B 8.325% (USD LIBOR + 3.500%) |
|
6,529,593 |
|
|
6,104,151 |
| ||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Consumer, Cyclical - 3.3% |
||||||||
| ClubCorp Holdings Inc Term B |
$ | 4,272,506 | $ | 4,094,933 | ||||
| Fertitta Entertainment LLC Term B |
2,944,791 | 2,905,219 | ||||||
| Great Outdoors Group LLC Term B-2 |
3,177,241 | 3,142,822 | ||||||
| LBM Acquisition LLC Term B |
6,380,172 | 6,031,540 | ||||||
| MIC Glen LLC (2nd Lien) |
1,750,000 | 1,624,583 | ||||||
| PetSmart LLC Term B |
6,250,000 | 6,209,637 | ||||||
| SRS Distribution Inc Term B |
19,812,500 | 19,143,828 | ||||||
| Tacala Investment Corp Term B |
3,809,596 | 3,742,928 | ||||||
| (2nd Lien) |
|
1,500,000 |
|
|
1,375,312 |
| ||
|
|
|
|||||||
| 48,270,802 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 4.9% |
||||||||
| Allied Universal Holdco LLC Term B |
9,850,000 | 9,363,656 | ||||||
| CoreLogic Inc Term B |
10,835,000 | 9,270,697 | ||||||
| Heartland Dental LLC Term B |
8,596,875 | 8,131,208 | ||||||
| Mavis Tire Express Services Topco Corp |
7,860,000 | 7,726,136 | ||||||
| Pathway Vet Alliance LLC Term B |
8,806,954 | 7,757,984 | ||||||
| PetVet Care Centers LLC |
2,900,779 | 2,796,531 | ||||||
| Term B |
|
2,923,469 |
|
|
2,818,406 |
| ||
| Term B-3 |
|
3,938,776 |
|
|
3,827,997 |
| ||
| Sunshine Luxembourg VII SARL Term B (Luxembourg) |
14,532,746 | 14,412,066 | ||||||
| WCG Purchaser Corp Term B |
5,893,939 | 5,584,508 | ||||||
|
|
|
|||||||
| 71,689,189 | ||||||||
|
|
|
|||||||
| Energy - 0.4% |
||||||||
| Traverse Midstream Partners LLC Term B |
6,640,081 | 6,565,380 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-27
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS STRATEGIC INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Financial - 0.6% |
||||||||
| Deerfield Dakota Holding LLC Term B |
$ | 8,823,589 | $ | 8,566,231 | ||||
|
|
|
|||||||
| Industrial - 4.2% |
||||||||
| Clydesdale Acquisition Holdings Inc |
5,984,925 | 5,862,503 | ||||||
| Dynasty Acquisition Co Inc |
3,688,649 | 3,616,554 | ||||||
| Engineered Machinery Holdings Inc |
3,767,993 | 3,724,032 | ||||||
| LABL Inc Term B |
9,628,125 | 9,338,617 | ||||||
| Madison IAQ LLC |
7,860,000 | 7,489,598 | ||||||
| Pregis TopCo LLC |
3,447,500 | 3,361,312 | ||||||
| Term B |
|
5,373,800 |
|
|
5,257,366 |
| ||
| Pro Mach Group Inc Term B |
4,445,007 | 4,431,116 | ||||||
| Proampac PG Borrower LLC Term B |
14,210,362 | 13,961,681 | ||||||
| Roper Industrial Products Investment Co |
3,250,000 | 3,230,500 | ||||||
| Standard Aero Ltd |
1,983,145 | 1,944,384 | ||||||
|
|
|
|||||||
| 62,217,663 | ||||||||
|
|
|
|||||||
| Technology - 3.1% |
||||||||
| Applied Systems Inc Term B |
14,190,215 | 14,187,264 | ||||||
| Epicor Software Corp Term C |
5,894,207 | 5,804,568 | ||||||
| Peraton Corp Term B |
7,696,900 | 7,606,461 | ||||||
| Polaris Newco LLC Term B |
7,880,000 | 7,206,260 | ||||||
| Rackspace Technology Global Inc Term B |
4,900,000 | 2,646,000 | ||||||
| UKG Inc |
8,823,325 | 8,609,041 | ||||||
|
|
|
|||||||
| 46,059,594 | ||||||||
|
|
|
|||||||
| Total Senior Loan Notes |
|
249,473,010 |
| |||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| ASSET-BACKED SECURITIES - 5.3% |
|
|||||||
| Boyce Park CLO Ltd (Jersey) |
$ |
2,500,000 |
|
$ |
2,222,840 |
| ||
| CarVal CLO I Ltd (Cayman) |
1,505,000 | 1,386,468 | ||||||
| CarVal CLO II Ltd (Cayman) |
2,750,000 | 2,574,850 | ||||||
| Cayuga Park CLO Ltd (Cayman) |
1,750,000 | 1,596,418 | ||||||
| CIFC Funding Ltd (Cayman) |
1,275,000 | 1,191,317 | ||||||
| Dryden 55 CLO Ltd (Cayman) |
250,000 | 235,777 | ||||||
| Dryden 58 CLO Ltd (Cayman) |
1,500,000 | 1,445,925 | ||||||
| 6.592% (USD LIBOR + 1.800%) |
1,500,000 | 1,414,529 | ||||||
| Dryden 61 CLO Ltd (Cayman) |
1,500,000 | 1,437,656 | ||||||
| 6.542% (USD LIBOR + 1.750%) |
|
1,500,000 |
|
|
1,406,549 |
| ||
| Dryden 64 CLO Ltd (Cayman) |
2,600,000 | 2,505,483 | ||||||
| Flatiron CLO 19 Ltd (Cayman) |
1,000,000 | 917,052 | ||||||
| Flatiron RR CLO 22 LLC |
7,000,000 | 6,673,150 | ||||||
| Madison Park Funding Ltd (Cayman) |
2,000,000 | 1,943,150 | ||||||
| 6.545% (USD LIBOR + 1.750%) |
|
2,650,000 |
|
|
2,590,420 |
| ||
| 6.642% (USD LIBOR + 1.850%) |
|
1,000,000 |
|
|
941,561 |
| ||
| Magnetite Ltd (Cayman) |
6,550,000 | 6,358,321 | ||||||
| 7.692% (USD LIBOR + 2.900%) |
|
3,000,000 |
|
|
2,847,924 |
| ||
| 7.708% (SOFR + 3.050%) |
|
2,600,000 |
|
|
2,420,466 |
| ||
| Neuberger Berman CLO XVIII Ltd (Cayman) |
3,000,000 | 2,826,090 | ||||||
| Neuberger Berman Loan Advisers CLO 35 Ltd (Cayman) |
1,750,000 | 1,665,553 | ||||||
| Neuberger Berman Loan Advisers CLO 38 Ltd (Cayman) |
5,000,000 | 4,822,750 | ||||||
| Neuberger Berman Loan Advisers CLO 42 Ltd (Cayman) |
2,250,000 | 2,017,991 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-28
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS STRATEGIC INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| OCP CLO Ltd (Cayman) |
$ | 1,000,000 | $ | 938,200 | ||||
| 8.361% (USD LIBOR + 3.150%) |
|
1,000,000 |
|
|
925,256 |
| ||
| OHA Credit Funding 1 Ltd (Cayman) |
1,500,000 | 1,393,137 | ||||||
| Palmer Square Loan Funding Ltd (Cayman) |
2,000,000 | 1,977,804 | ||||||
| 6.575% (USD LIBOR + 1.900%) |
|
1,000,000 |
|
|
970,288 |
| ||
| Rad CLO 9 Ltd (Cayman) |
2,000,000 | 1,987,115 | ||||||
| Rad CLO 12 Ltd (Cayman) |
4,000,000 | 3,867,107 | ||||||
| RR 7 Ltd (Cayman) |
2,000,000 | 1,785,106 | ||||||
| Sandstone Peak Ltd (Cayman) |
9,000,000 | 8,631,212 | ||||||
| TICP CLO XII Ltd (Cayman) |
1,100,000 | 1,022,261 | ||||||
| TICP CLO XIII Ltd (Cayman) |
1,000,000 | 923,664 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
77,863,390 | |||||||
|
|
|
|||||||
| Shares |
||||||||
| SHORT-TERM INVESTMENTS - 6.4% |
|
|||||||
| Money Market Fund - 3.2% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
46,555,332 | 46,555,332 | ||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| U.S. Treasury Bills - 3.2% |
|
|||||||
| 4.433% due 12/28/23 |
$8,000,000 | $ | 7,745,571 | |||||
| 4.497% due 05/23/23 |
8,000,000 | 7,949,069 | ||||||
| 4.608% due 01/25/24 |
7,500,000 | 7,227,363 | ||||||
| 4.704% due 07/20/23 |
8,000,000 | 7,888,940 | ||||||
| 4.803% due 08/17/23 |
7,500,000 | 7,367,188 | ||||||
| 4.811% due 08/24/23 |
10,000,000 | 9,813,802 | ||||||
|
|
|
|||||||
| 47,991,933 | ||||||||
|
|
|
|||||||
| Total Short-Term Investments |
94,547,265 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.2% |
|
1,464,897,027 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.8% |
|
11,507,945 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$1,476,404,972 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
70.6% | |||
| Senior Loan Notes |
16.9% | |||
| Short-Term Investments |
6.4% | |||
| Asset-Backed Securities |
5.3% | |||
|
|
|
|||
| 99.2% | ||||
| Other Assets & Liabilities, Net |
0.8% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
$32,432 | $— | $32,432 | $— | |||||||||||||
| Corporate Bonds & Notes |
1,042,980,930 | — | 1,042,980,930 | — | ||||||||||||||
| Senior Loan Notes |
249,473,010 | — | 242,907,630 | 6,565,380 | ||||||||||||||
| Asset-Backed Securities |
77,863,390 | — | 77,863,390 | — | ||||||||||||||
| Short-Term Investments |
94,547,265 | 46,555,332 | 47,991,933 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$1,464,897,027 | $46,555,332 | $1,411,776,315 | $6,565,380 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-29
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM FLOATING RATE INCOME
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 7.2% |
|
|||||||
| Communications - 1.2% |
|
|||||||
| Arches Buyer Inc |
$2,000,000 | $1,673,510 | ||||||
| Uber Technologies Inc |
8,000,000 | 8,110,422 | ||||||
| 7.500% due 09/15/27 ~ |
10,000,000 | 10,321,800 | ||||||
| 8.000% due 11/01/26 ~ |
25,470,000 | 26,137,314 | ||||||
|
|
|
|||||||
| 46,243,046 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 1.3% |
|
|||||||
| American Airlines Inc |
16,000,000 | 17,520,800 | ||||||
| Caesars Entertainment Inc |
7,125,000 | 7,273,913 | ||||||
| Carnival Corp |
14,335,000 | 14,779,672 | ||||||
| Merlin Entertainments Ltd (United Kingdom) |
9,533,000 | 9,053,017 | ||||||
|
|
|
|||||||
| 48,627,402 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 1.0% |
|
|||||||
| Allied Universal Holdco LLC |
9,000,000 | 7,572,623 | ||||||
| 6.625% due 07/15/26 ~ |
24,327,000 | 23,402,574 | ||||||
| CoreLogic Inc |
9,250,000 | 7,027,086 | ||||||
|
|
|
|||||||
| 38,002,283 | ||||||||
|
|
|
|||||||
| Financial - 2.4% |
|
|||||||
| Acrisure LLC |
22,071,000 | 20,706,902 | ||||||
| Alliant Holdings Intermediate LLC |
9,275,000 | 9,180,209 | ||||||
| AssuredPartners Inc |
44,066,000 | 42,918,081 | ||||||
| HUB International Ltd |
1,720,000 | 1,692,098 | ||||||
| Ryan Specialty Group LLC |
15,694,000 | 13,742,101 | ||||||
|
|
|
|||||||
| 88,239,391 | ||||||||
|
|
|
|||||||
| Industrial - 0.9% |
|
|||||||
| TransDigm Inc |
22,323,000 | 22,365,972 | ||||||
| 8.000% due 12/15/25 ~ |
12,572,000 | 12,815,582 | ||||||
|
|
|
|||||||
| 35,181,554 | ||||||||
|
|
|
|||||||
| Technology - 0.4% |
|
|||||||
| Central Parent Inc |
14,365,000 | 14,131,982 | ||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
270,425,658 | |||||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 85.8% |
|
|||||||
| Basic Materials - 1.8% |
||||||||
| Herens US Holdco Corp Term B |
36,678,196 | 34,141,275 | ||||||
| Nouryon USA LLC |
9,000,000 | 8,988,750 | ||||||
| Term B due 10/01/25 ∞ |
1,993,218 | 1,981,295 | ||||||
| Vibrantz Technologies Inc Term B |
27,043,648 | 24,001,238 | ||||||
|
|
|
|||||||
| 69,112,558 | ||||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Communications - 4.3% |
||||||||
| Arches Buyer Inc |
$40,481,622 | $38,293,105 | ||||||
| CNT Holdings I Corp Term B (2nd Lien) |
38,390,111 | 36,374,630 | ||||||
| MH Sub I LLC |
38,451,889 | 37,893,231 | ||||||
| Pug LLC Term B |
38,815,924 | 28,335,624 | ||||||
| 9.090% (USD LIBOR + 4.250%) due 02/13/27 § |
20,332,600 | 14,969,877 | ||||||
| Xplornet Communications Inc (Canada) (2nd Lien) |
10,500,000 | 6,825,000 | ||||||
|
|
|
|||||||
| 162,691,467 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 9.0% |
||||||||
| BCPE Empire Holdings Inc |
12,808,214 | 12,588,446 | ||||||
| 9.532% (SOFR + 4.625%) due 06/11/26 § |
11,560,227 | 11,456,185 | ||||||
| BJ’s Wholesale Club Inc Term B |
3,000,000 | 3,007,707 | ||||||
| Carnival Corp Term B |
28,504,561 | 28,191,011 | ||||||
| 8.090% (USD LIBOR + 3.250%) due 10/18/28 § |
37,986,983 | 37,203,501 | ||||||
| ClubCorp Holdings Inc Term B |
64,169,147 | 61,502,149 | ||||||
| Fertitta Entertainment LLC Term B |
38,056,909 | 37,545,501 | ||||||
| Hunter Douglas Inc Term B (Netherlands) |
26,404,032 | 23,875,846 | ||||||
| MIC Glen LLC (2nd Lien) |
4,750,000 | 4,409,582 | ||||||
| Radwell International LLC |
43,909,785 | 42,812,040 | ||||||
| SRS Distribution Inc Term B |
4,730,179 | 4,588,274 | ||||||
| 8.340% (USD LIBOR + 3.500%) due 06/04/28 § |
49,647,409 | 47,971,809 | ||||||
| Sunset Debt Merger Sub Inc Term B |
24,996,278 | 21,215,591 | ||||||
|
|
|
|||||||
| 336,367,642 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 20.5% |
||||||||
| Allied Universal Holdco LLC Term B |
42,630,062 | 40,525,202 | ||||||
| Bausch + Lomb Corp Term B |
38,800,693 | 37,785,201 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-30
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS FLOATING RATE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| CoreLogic Inc |
$23,802,823 | $17,777,734 | ||||||
| Term B 8.375% (USD LIBOR + 3.500%) due 06/02/28 § |
33,131,700 | 28,348,311 | ||||||
| Curium Bidco SARL Term B (Luxembourg) |
2,798,037 | 2,728,086 | ||||||
| Eyecare Partners LLC |
4,688,233 | 3,829,700 | ||||||
| 9.407% (SOFR + 4.500%) due 11/15/28 § |
249,375 | 204,487 | ||||||
| Flynn America LP Term B |
11,035,729 | 10,373,585 | ||||||
| Gainwell Acquisition Corp Term B |
48,850,267 | 46,560,411 | ||||||
| Heartland Dental LLC |
42,903,989 | 40,204,599 | ||||||
| Mavis Tire Express Services Topco Corp |
53,061,678 | 52,157,984 | ||||||
| Midwest Veterinary Partners LLC |
58,042,453 | 53,786,025 | ||||||
| Naked Juice LLC |
10,974,254 | 9,751,085 | ||||||
| Packaging Coordinators Midco Inc |
20,841,033 | 20,429,422 | ||||||
| Pathway Vet Alliance LLC Term B |
77,424,332 | 68,202,552 | ||||||
| PECF USS Intermediate Holding III Corp Term B |
11,146,780 | 9,432,963 | ||||||
| PetVet Care Centers LLC |
38,703,221 | 34,703,901 | ||||||
| Term B-3 8.340% (USD LIBOR + 3.500%) due 02/15/25 § |
77,460,587 | 75,282,008 | ||||||
| Southern Veterinary Partners LLC |
35,077,741 | 33,981,562 | ||||||
| Spin Holdco Inc Term B |
42,186,752 | 35,621,438 | ||||||
| Sunshine Luxembourg VII SARL Term B (Luxembourg) |
82,825,453 | 82,137,671 | ||||||
| Team Health Holdings Inc Term B |
37,787,972 | 26,388,588 | ||||||
| Verscend Holding Corp Term B |
14,463,198 | 14,468,622 | ||||||
| VetCor Professional Practices LLC |
20,000,000 | 19,300,000 | ||||||
|
|
|
|||||||
| 763,981,137 | ||||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Energy - 1.1% |
||||||||
| Traverse Midstream Partners LLC Term B |
$41,962,102 | $41,490,028 | ||||||
|
|
|
|||||||
| Financial - 12.5% |
||||||||
| Acrisure LLC |
9,075,694 | 8,792,078 | ||||||
| Term B-3 9.090% (USD LIBOR + 4.250%) due 02/15/27 § |
65,289,021 | 64,173,689 | ||||||
| Alliant Holdings Intermediate LLC Term B-5 |
10,979,720 | 10,875,073 | ||||||
| Apex Group Treasury LLC Term B |
39,612,894 | 38,523,540 | ||||||
| 9.658% (SOFR + 5.000%) due 07/27/28 § ∞ |
25,981,167 | 25,721,356 | ||||||
| AssuredPartners Inc |
21,476,202 | 21,270,395 | ||||||
| Term B 8.340% (USD LIBOR + 3.500%) due 02/13/27 § |
22,762,742 | 22,577,354 | ||||||
| 9.057% (SOFR + 4.250%) due 02/13/27 § ∞ |
29,480,413 | 29,452,760 | ||||||
| Deerfield Dakota Holding LLC Term B |
55,803,934 | 54,176,300 | ||||||
| (2nd Lien) 11.909% (USD LIBOR + 6.750%) due 04/14/28 § ∞ |
50,320,838 | 46,578,225 | ||||||
| HUB International Ltd |
19,937,119 | 19,904,263 | ||||||
| 8.728% (SOFR + 4.000%) due 11/10/29 ∞ |
3,743,226 | 3,738,079 | ||||||
| Term B-3 8.058% (USD LIBOR + 3.250%) due 04/25/25 § ∞ |
103,242,604 | 103,161,972 | ||||||
| Hyperion Refinance SARL Term B |
7,625,000 | 7,586,875 | ||||||
| USI Inc Term B |
8,545,716 | 8,535,034 | ||||||
|
|
|
|||||||
| 465,066,993 | ||||||||
|
|
|
|||||||
| Industrial - 16.3% |
||||||||
| ASP LS Acquisition Corp |
36,323,915 | 31,374,782 | ||||||
| Brown Group Holding LLC Term B-2 |
1,994,987 | 1,998,728 | ||||||
| Charter Next Generation Inc |
46,209,023 | 45,718,052 | ||||||
| Crosby US Acquisition Corp |
12,625,000 | 12,250,189 | ||||||
| Term B due 06/27/26 ∞ |
2,155,637 | 2,091,640 | ||||||
| Dynasty Acquisition Co Inc |
33,542,659 | 32,887,067 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-31
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS FLOATING RATE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Engineered Components & Systems LLC Term B |
$9,381,250 | $8,677,656 | ||||||
| Engineered Machinery Holdings Inc (2nd Lien) |
4,750,000 | 4,417,500 | ||||||
| 11.659% (USD LIBOR + 6.500%) due 05/21/29 § |
1,860,812 | 1,730,555 | ||||||
| GFL Environmental Inc Term B (Canada) |
2,067,788 | 2,070,373 | ||||||
| KKR Apple Bidco LLC |
14,503,161 | 14,252,981 | ||||||
| Term B 8.807% (SOFR + 4.000%) due 09/23/28 § |
5,785,500 | 5,781,884 | ||||||
| Kloeckner Pentaplast of America Inc Term B (Luxembourg) |
3,838,677 | 3,562,772 | ||||||
| LABL Inc Term B |
46,526,786 | 45,127,772 | ||||||
| LTI Holdings Inc Term B |
38,322,323 | 37,040,901 | ||||||
| Pregis TopCo LLC |
8,342,468 | 8,133,906 | ||||||
| Term B 8.672% (SOFR + 3.750%) due 08/01/26 § |
7,364,177 | 7,204,618 | ||||||
| Pretium PKG Holdings Inc |
21,952,654 | 17,428,848 | ||||||
| (2nd Lien) 11.538% - 11.758% (USD LIBOR + 6.750%) due 10/01/29 § |
8,397,966 | 5,393,073 | ||||||
| Pro Mach Group Inc Term B |
28,662,666 | 28,573,095 | ||||||
| 9.907% (SOFR + 5.100%) due 08/31/28 ± § |
1,000,000 | 1,005,000 | ||||||
| Proampac PG Borrower LLC Term B |
46,832,433 | 46,012,866 | ||||||
| Roper Industrial Products Investment Co |
53,249,000 | 52,929,506 | ||||||
| SPX FLOW Inc Term B |
41,522,724 | 39,809,912 | ||||||
| Standard Aero Ltd |
18,008,846 | 17,656,863 | ||||||
| Star US Bidco LLC Term B |
28,655,379 | 27,849,446 | ||||||
| Titan Acquisition Ltd Term B (Canada) |
14,636,483 | 13,919,910 | ||||||
| TransDigm Inc |
27,345,011 | 27,406,537 | ||||||
| Term I 8.148% (SOFR + 3.250%) due 08/24/28 § ∞ |
21,589,180 | 21,560,704 | ||||||
| USIC Holdings Inc |
10,678,783 | 9,877,874 | ||||||
| Principal |
Value |
|||||||
| Term B 8.340% (USD LIBOR + 3.500%) due 05/14/28 § |
$13,861,233 | $13,471,386 | ||||||
| WP CPP Holdings LLC Term B |
21,523,221 | 19,709,890 | ||||||
|
|
|
|||||||
| 606,926,286 | ||||||||
|
|
|
|||||||
| Technology - 19.7% |
||||||||
| Applied Systems Inc |
59,631,754 | 59,855,373 | ||||||
| Term B 9.398% (SOFR + 4.500%) due 09/19/26 § ∞ |
58,735,945 | 58,723,728 | ||||||
| AthenaHealth Group Inc Term B |
10,919,547 | 10,182,477 | ||||||
| Azalea Topco Inc Term B |
1,375,000 | 1,288,489 | ||||||
| 8.468% (SOFR + 3.850%) due 07/25/26 ± § |
10,395,000 | 9,771,300 | ||||||
| Central Parent Inc |
52,313,810 | 52,253,074 | ||||||
| Epicor Software Corp (2nd Lien) |
87,033,991 | 86,816,407 | ||||||
| Finastra USA Inc Term B |
60,446,287 | 56,882,495 | ||||||
| Peraton Corp |
25,560,188 | 24,921,183 | ||||||
| Term B 8.590% (USD LIBOR + 3.750%) due 02/01/28 § |
11,601,519 | 11,465,201 | ||||||
| Polaris Newco LLC Term B |
71,537,460 | 65,421,007 | ||||||
| Project Ruby Ultimate Parent Corp Term B |
13,971,169 | 13,504,001 | ||||||
| RealPage Inc (2nd Lien) |
81,973,525 | 77,618,682 | ||||||
| Sophia LP (2nd Lien) |
27,912,930 | 27,808,257 | ||||||
| Sovos Compliance LLC Term B |
64,579,608 | 61,269,903 | ||||||
| UKG Inc |
32,816,813 | 32,019,824 | ||||||
| 8.575% (USD LIBOR + 3.750%) due 05/03/26 § ∞ |
48,733,036 | 47,967,245 | ||||||
| (2nd Lien) 10.032% (USD LIBOR + 5.250%) due 05/03/27 § |
37,735,000 | 36,414,275 | ||||||
|
|
|
|||||||
| 734,182,921 | ||||||||
|
|
|
|||||||
| Utilities - 0.6% |
||||||||
| PG&E Corp Term B |
20,982,264 | 20,969,150 | ||||||
|
|
|
|||||||
| Total Senior Loan Notes |
3,200,788,182 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-32
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS FLOATING RATE INCOME
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 3.6% |
|
|||||||
| Money Market Fund - 3.6% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio |
||||||||
| ‘Institutional’ 4.700% |
134,900,347 | $134,900,347 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
134,900,347 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 96.6% |
|
3,606,114,187 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 3.4% |
|
125,488,930 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$3,731,603,117 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
21.5% | |||
| Technology |
20.1% | |||
| Industrial |
17.2% | |||
| Financial |
14.9% | |||
| Consumer, Cyclical |
10.3% | |||
| Communications |
5.5% | |||
| Short-Term Investment |
3.6% | |||
| Others (each less than 3.0%) |
3.5% | |||
|
|
|
|||
| 96.6% | ||||
| Other Assets & Liabilities, Net |
3.4% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$270,425,658 | $— | $270,425,658 | $— | |||||||||||||
| Senior Loan Notes |
3,200,788,182 | — | 2,964,579,566 | 236,208,616 | ||||||||||||||
| Short-Term Investment |
134,900,347 | 134,900,347 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$3,606,114,187 | $134,900,347 | $3,235,005,224 | $236,208,616 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
The following is a reconciliation of investments for significant unobservable inputs (Level 3) used in valuing the Fund’s assets and liabilities for the year ended March 31, 2023:
| Senior Loan Notes |
||||
| Value, Beginning of Year |
$220,993,061 | |||
| Purchases |
163,982,712 | |||
| Sales (Includes Paydowns) |
(58,965,716 | ) | ||
| Accrued Discounts (Premiums) |
293,543 | |||
| Net Realized Gains (Losses) |
(907,904 | ) | ||
| Change in Net Unrealized Appreciation (Depreciation) |
(16,276,196 | ) | ||
| Transfers In |
122,939,532 | |||
| Transfers Out |
(195,850,416 | ) | ||
|
|
|
|||
| Value, End of Year |
$236,208,616 | |||
|
|
|
|||
| Change in Net Unrealized Appreciation (Depreciation) on Level 3 Investments Held at the End of Year, if Applicable |
($3,286,165 | ) | ||
|
|
|
|||
The table below shows transfers to/from Level 3:
| Amount Transferred |
Level Transfer | Change in Fair Valuation Measurement Inputs | ||||||||||||
| From | To | From | To | |||||||||||
| $ | 122,939,532 | 2 | 3 | Vendor Price (Observable inputs) |
Unobservable Single Broker Quote | |||||||||
| 195,850,416 | 3 | 2 | Unobservable Single Broker Quote |
Vendor Price (Observable inputs) | ||||||||||
All significant unobservable inputs used to value Senior Loan Notes with an aggregate value of $236,208,616 were provided by a single broker quote. Significant changes to a single broker quote or a trade price would have direct and proportional changes to the fair value of the security.
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-33
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM HIGH INCOME
Schedule of Investments
March 31, 2023
|
Shares |
Value |
|||||||
| COMMON STOCKS - 0.0% |
||||||||
| Industrial - 0.0% |
||||||||
| TNT Crane & Rigging Inc |
709 | $5,672 | ||||||
|
|
|
|||||||
| Total Common Stocks |
5,672 | |||||||
|
|
|
|||||||
| Principal |
||||||||
| CORPORATE BONDS & NOTES - 82.0% |
|
|||||||
| Basic Materials - 5.6% |
|
|||||||
| Hecla Mining Co |
$660,000 | 667,395 | ||||||
| Herens Holdco Sarl (Luxembourg) |
400,000 | 322,426 | ||||||
| INEOS Quattro Finance 2 PLC |
525,000 | 476,396 | ||||||
| JW Aluminum Continuous Cast Co |
80,000 | 80,512 | ||||||
| Novelis Corp |
275,000 | 232,023 | ||||||
| 4.750% due 01/30/30 ~ |
485,000 | 446,200 | ||||||
| Perenti Finance Pty Ltd (Australia) |
615,000 | 597,319 | ||||||
| South32 Treasury Ltd (Australia) |
660,000 | 589,102 | ||||||
| SPCM SA (France) |
485,000 | 400,652 | ||||||
| TMS International Corp |
725,000 | 559,795 | ||||||
|
|
|
|||||||
| 4,371,820 | ||||||||
|
|
|
|||||||
| Communications - 11.0% |
|
|||||||
| CCO Holdings LLC |
300,000 | 245,649 | ||||||
| 4.750% due 03/01/30 ~ |
1,825,000 | 1,583,188 | ||||||
| 5.375% due 06/01/29 ~ |
265,000 | 243,622 | ||||||
| 6.375% due 09/01/29 ~ |
240,000 | 229,416 | ||||||
| Ciena Corp |
470,000 | 409,323 | ||||||
| Clear Channel Outdoor Holdings Inc |
775,000 | 696,368 | ||||||
| CommScope Inc |
185,000 | 151,700 | ||||||
| CommScope Technologies LLC |
354,000 | 333,729 | ||||||
| CSC Holdings LLC |
200,000 | 138,540 | ||||||
| 5.750% due 01/15/30 ~ |
400,000 | 211,000 | ||||||
| 6.500% due 02/01/29 ~ |
990,000 | 823,103 | ||||||
| DISH Network Corp |
825,000 | 801,120 | ||||||
| Frontier Communications Holdings LLC |
375,000 | 325,830 | ||||||
| 5.875% due 10/15/27 ~ |
125,000 | 113,750 | ||||||
| 8.625% due 03/15/31 ~ |
200,000 | 196,057 | ||||||
| Level 3 Financing Inc |
195,000 | 108,022 | ||||||
| 4.625% due 09/15/27 ~ |
630,000 | 379,355 | ||||||
| 10.500% due 05/15/30 ~ |
82,500 | 78,891 | ||||||
| Lumen Technologies Inc |
375,000 | 247,843 | ||||||
| Outfront Media Capital LLC |
215,000 | 178,692 | ||||||
| 5.000% due 08/15/27 ~ |
725,000 | 653,906 | ||||||
| Principal |
Value |
|||||||
| Uber Technologies Inc |
$485,000 | $442,866 | ||||||
|
|
|
|||||||
| 8,591,970 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 17.4% |
|
|||||||
| American Airlines Inc |
705,000 | 677,012 | ||||||
| American Airlines Pass-Through Trust ‘B’ |
191,000 | 168,085 | ||||||
| 5.250% due 07/15/25 |
81,020 | 79,362 | ||||||
| Boyd Gaming Corp |
712,000 | 647,279 | ||||||
| Caesars Entertainment Inc |
650,000 | 663,585 | ||||||
| Cedar Fair LP |
940,000 | 877,391 | ||||||
| Clarios Global LP |
245,000 | 244,666 | ||||||
| 8.500% due 05/15/27 ~ |
250,000 | 251,406 | ||||||
| Empire Resorts Inc |
200,000 | 165,705 | ||||||
| Fertitta Entertainment LLC |
425,000 | 373,511 | ||||||
| 6.750% due 01/15/30 ~ |
255,000 | 210,026 | ||||||
| Ford Motor Co |
1,525,000 | 1,200,734 | ||||||
| 4.750% due 01/15/43 |
560,000 | 430,203 | ||||||
| 6.100% due 08/19/32 |
144,000 | 139,746 | ||||||
| Foundation Building Materials Inc |
375,000 | 297,727 | ||||||
| Hilton Grand Vacations Borrower Escrow LLC |
370,000 | 316,317 | ||||||
| 5.000% due 06/01/29 ~ |
265,000 | 235,655 | ||||||
| Jacobs Entertainment Inc |
415,000 | 362,963 | ||||||
| Las Vegas Sands Corp |
750,000 | 677,723 | ||||||
| LBM Acquisition LLC |
560,000 | 429,237 | ||||||
| LGI Homes Inc |
575,000 | 467,757 | ||||||
| MajorDrive Holdings IV LLC |
770,000 | 571,155 | ||||||
| Marriott Ownership Resorts Inc |
590,000 | 527,985 | ||||||
| New Red Finance Inc (Canada) |
415,000 | 371,960 | ||||||
| 4.000% due 10/15/30 ~ |
700,000 | 600,880 | ||||||
| NMG Holding Co Inc |
350,000 | 328,920 | ||||||
| Royal Caribbean Cruises Ltd |
75,000 | 75,536 | ||||||
| 9.250% due 01/15/29 ~ |
325,000 | 345,626 | ||||||
| 11.625% due 08/15/27 ~ |
100,000 | 107,500 | ||||||
| SeaWorld Parks & Entertainment Inc |
475,000 | 429,272 | ||||||
| Six Flags Entertainment Corp |
590,000 | 572,507 | ||||||
| STL Holding Co LLC |
500,000 | 439,660 | ||||||
| Viking Cruises Ltd |
315,000 | 296,240 | ||||||
| Viking Ocean Cruises Ship VII Ltd |
50,000 | 42,969 | ||||||
|
|
|
|||||||
| 13,626,300 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 12.3% |
|
|||||||
| Albertsons Cos Inc |
50,000 | 43,552 | ||||||
| 5.875% due 02/15/28 ~ |
825,000 | 820,792 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-34
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS HIGH INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Allied Universal Holdco LLC |
$1,200,000 | $1,070,700 | ||||||
| Avantor Funding Inc |
50,000 | 44,796 | ||||||
| 4.625% due 07/15/28 ~ |
460,000 | 436,269 | ||||||
| Bausch Health Cos Inc |
450,000 | 265,905 | ||||||
| 11.000% due 09/30/28 ~ |
296,000 | 219,289 | ||||||
| Central Garden & Pet Co |
515,000 | 445,202 | ||||||
| Charles River Laboratories International Inc |
100,000 | 88,866 | ||||||
| 4.000% due 03/15/31 ~ |
100,000 | 87,589 | ||||||
| 4.250% due 05/01/28 ~ |
297,000 | 278,319 | ||||||
| Community Health Systems Inc |
180,000 | 133,074 | ||||||
| 5.625% due 03/15/27 ~ |
550,000 | 483,417 | ||||||
| CoreLogic Inc |
460,000 | 349,455 | ||||||
| Garda World Security Corp (Canada) |
100,000 | 79,628 | ||||||
| 9.500% due 11/01/27 ~ |
322,000 | 305,826 | ||||||
| MPH Acquisition Holdings LLC |
450,000 | 324,186 | ||||||
| Option Care Health Inc |
485,000 | 428,844 | ||||||
| PECF USS Intermediate Holding III Corp |
350,000 | 232,853 | ||||||
| Performance Food Group Inc |
485,000 | 436,043 | ||||||
| Pilgrim’s Pride Corp |
525,000 | 463,562 | ||||||
| Post Holdings Inc |
505,000 | 453,061 | ||||||
| Select Medical Corp |
710,000 | 689,414 | ||||||
| Tenet Healthcare Corp |
265,000 | 239,987 | ||||||
| 4.375% due 01/15/30 |
190,000 | 170,696 | ||||||
| 4.625% due 06/15/28 |
75,000 | 69,269 | ||||||
| 6.125% due 10/01/28 |
195,000 | 187,072 | ||||||
| The Hertz Corp |
410,000 | 340,029 | ||||||
| US Foods Inc |
460,000 | 415,397 | ||||||
|
|
|
|||||||
| 9,603,092 | ||||||||
|
|
|
|||||||
| Energy - 10.1% |
|
|||||||
| Antero Midstream Partners LP |
735,000 | 692,598 | ||||||
| Archrock Partners LP |
100,000 | 96,096 | ||||||
| 6.875% due 04/01/27 ~ |
355,000 | 348,690 | ||||||
| Ascent Resources Utica Holdings LLC |
400,000 | 353,398 | ||||||
| Callon Petroleum Co |
275,000 | 258,765 | ||||||
| Cheniere Energy Partners LP |
470,000 | 388,732 | ||||||
| Comstock Resources Inc |
225,000 | 193,515 | ||||||
| CQP Holdco LP |
615,000 | 553,512 | ||||||
| Crescent Energy Finance LLC |
75,000 | 71,982 | ||||||
| Endeavor Energy Resources LP |
725,000 | 720,280 | ||||||
| EnLink Midstream LLC |
485,000 | 490,966 | ||||||
| Principal |
Value |
|||||||
| EQM Midstream Partners LP |
$150,000 | $136,434 | ||||||
| 6.000% due 07/01/25 ~ |
28,000 | 27,715 | ||||||
| 6.500% due 07/01/27 ~ |
210,000 | 203,769 | ||||||
| Genesis Energy LP |
540,000 | 524,220 | ||||||
| 8.875% due 04/15/30 |
25,000 | 25,335 | ||||||
| ITT Holdings LLC |
385,000 | 325,410 | ||||||
| Occidental Petroleum Corp |
500,000 | 519,258 | ||||||
| SM Energy Co |
75,000 | 71,637 | ||||||
| Tallgrass Energy Partners LP |
485,000 | 434,077 | ||||||
| Tap Rock Resources LLC |
340,000 | 298,169 | ||||||
| Targa Resources Partners LP |
375,000 | 327,246 | ||||||
| USA Compression Partners LP |
325,000 | 310,880 | ||||||
| Venture Global Calcasieu Pass LLC |
125,000 | 112,863 | ||||||
| 3.875% due 11/01/33 ~ |
350,000 | 294,401 | ||||||
| 4.125% due 08/15/31 ~ |
125,000 | 109,949 | ||||||
| 6.250% due 01/15/30 ~ |
25,000 | 25,212 | ||||||
|
|
|
|||||||
| 7,915,109 | ||||||||
|
|
|
|||||||
| Financial - 4.0% |
|
|||||||
| Avolon Holdings Funding Ltd (Ireland) |
700,000 | 584,853 | ||||||
| Iron Mountain Inc REIT |
75,000 | 64,523 | ||||||
| 4.875% due 09/15/29 ~ |
405,000 | 364,451 | ||||||
| Iron Mountain Information Management |
125,000 | 107,460 | ||||||
| OneMain Finance Corp |
315,000 | 250,071 | ||||||
| 5.375% due 11/15/29 |
195,000 | 164,248 | ||||||
| Park Intermediate Holdings LLC REIT |
475,000 | 409,196 | ||||||
| The Howard Hughes Corp |
890,000 | 811,769 | ||||||
| VICI Properties LP REIT |
440,000 | 400,943 | ||||||
|
|
|
|||||||
| 3,157,514 | ||||||||
|
|
|
|||||||
| Industrial - 17.4% |
|
|||||||
| ARD Finance SA (Luxembourg) |
297,686 | 228,087 | ||||||
| BWX Technologies Inc |
485,000 | 430,664 | ||||||
| Chart Industries Inc |
175,000 | 181,032 | ||||||
| 9.500% due 01/01/31 ~ |
150,000 | 158,393 | ||||||
| Clean Harbors Inc |
330,000 | 337,029 | ||||||
| Clydesdale Acquisition Holdings Inc |
225,000 | 216,765 | ||||||
| 8.750% due 04/15/30 ~ |
225,000 | 204,734 | ||||||
| First Student Bidco Inc |
485,000 | 422,459 | ||||||
| GFL Environmental Inc (Canada) |
540,000 | 489,205 | ||||||
| 4.375% due 08/15/29 ~ |
170,000 | 152,379 | ||||||
| 4.750% due 06/15/29 ~ |
350,000 | 327,250 | ||||||
| Husky III Holding Ltd (Canada) |
500,000 | 423,750 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-35
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS HIGH INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| LABL Inc |
$25,000 | $25,250 | ||||||
| 5.875% due 11/01/28 ~ |
585,000 | 520,908 | ||||||
| 6.750% due 07/15/26 ~ |
125,000 | 120,662 | ||||||
| 8.250% due 11/01/29 ~ |
170,000 | 145,282 | ||||||
| Madison IAQ LLC |
190,000 | 164,562 | ||||||
| 5.875% due 06/30/29 ~ |
290,000 | 224,312 | ||||||
| Mauser Packaging Solutions Holding Co |
75,000 | 75,068 | ||||||
| 9.250% due 04/15/27 ~ |
1,015,000 | 938,875 | ||||||
| OT Merger Corp |
590,000 | 351,987 | ||||||
| Owens-Brockway Glass Container Inc |
675,000 | 665,044 | ||||||
| Pentair Finance Sarl |
750,000 | 777,144 | ||||||
| Rand Parent LLC |
225,000 | 211,742 | ||||||
| Sealed Air Corp |
350,000 | 354,270 | ||||||
| Sensata Technologies BV |
150,000 | 135,656 | ||||||
| Sensata Technologies Inc |
550,000 | 501,786 | ||||||
| Spirit AeroSystems Inc |
225,000 | 245,813 | ||||||
| SPX FLOW Inc |
575,000 | 496,869 | ||||||
| Standard Industries Inc |
75,000 | 60,361 | ||||||
| 4.375% due 07/15/30 ~ |
145,000 | 126,314 | ||||||
| 4.750% due 01/15/28 ~ |
1,015,000 | 949,629 | ||||||
| The Weir Group PLC (United Kingdom) |
450,000 | 405,698 | ||||||
| TK Elevator Holdco GmbH (Germany) |
550,000 | 475,826 | ||||||
| TK Elevator US Newco Inc (Germany) |
285,000 | 269,440 | ||||||
| TransDigm Inc |
440,000 | 389,922 | ||||||
| 5.500% due 11/15/27 |
250,000 | 236,001 | ||||||
| 6.250% due 03/15/26 ~ |
240,000 | 240,462 | ||||||
| 6.750% due 08/15/28 ~ |
125,000 | 126,406 | ||||||
| TransDigm UK Holdings PLC |
500,000 | 492,988 | ||||||
| Triumph Group Inc |
300,000 | 300,690 | ||||||
|
|
|
|||||||
| 13,600,714 | ||||||||
|
|
|
|||||||
| Technology - 1.6% |
|
|||||||
| Entegris Escrow Corp |
240,000 | 232,858 | ||||||
| Entegris Inc |
150,000 | 129,609 | ||||||
| 4.375% due 04/15/28 ~ |
390,000 | 352,777 | ||||||
| Open Text Corp (Canada) |
170,000 | 143,292 | ||||||
| Open Text Holdings Inc (Canada) |
290,000 | 239,536 | ||||||
| Rackspace Technology Global Inc |
265,000 | 138,139 | ||||||
|
|
|
|||||||
| 1,236,211 | ||||||||
|
|
|
|||||||
| Utilities - 2.6% |
|
|||||||
| Calpine Corp |
740,000 | 678,513 | ||||||
| Clearway Energy Operating LLC |
440,000 | 379,896 | ||||||
| Principal |
Value |
|||||||
| Vistra Operations Co LLC |
$550,000 | $487,732 | ||||||
| 5.000% due 07/31/27 ~ |
325,000 | 307,744 | ||||||
| 5.500% due 09/01/26 ~ |
170,000 | 165,292 | ||||||
|
|
|
|||||||
| 2,019,177 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
64,121,907 | |||||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 6.6% |
|
|||||||
| Consumer, Cyclical - 3.4% |
||||||||
| Great Outdoors Group LLC Term B-2 |
498,734 | 493,331 | ||||||
| MIC Glen LLC (2nd Lien) |
250,000 | 232,083 | ||||||
| PetSmart LLC Term B |
750,000 | 745,157 | ||||||
| Pilot Travel Centers LLC Term B |
500,000 | 498,437 | ||||||
| SRS Distribution Inc Term B |
500,000 | 483,125 | ||||||
| Tacala Investment Corp Term B (2nd Lien) |
250,000 | 229,219 | ||||||
|
|
|
|||||||
| 2,681,352 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 1.3% |
||||||||
| Gainwell Acquisition Corp Term B |
498,724 | 475,347 | ||||||
| Sunshine Luxembourg VII SARL Term B (Luxembourg) |
498,728 | 494,586 | ||||||
|
|
|
|||||||
| 969,933 | ||||||||
|
|
|
|||||||
| Industrial - 0.7% |
||||||||
| Roper Industrial Products Investment Co |
500,000 | 497,000 | ||||||
|
|
|
|||||||
| Technology - 1.2% |
||||||||
| Peraton Corp Term B |
498,704 | 492,844 | ||||||
| Polaris Newco LLC Term B |
498,734 | 456,093 | ||||||
|
|
|
|||||||
| 948,937 | ||||||||
|
|
|
|||||||
| Total Senior Loan Notes |
5,097,222 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 5.0% |
|
|||||||
| Benefit Street Partners CLO Ltd (Cayman) |
250,000 | 213,804 | ||||||
| 11.492% (USD LIBOR + 6.700%) |
||||||||
| due 01/17/32 ~ § |
250,000 | 223,898 | ||||||
| CarVal CLO III Ltd (Cayman) |
525,000 | 454,815 | ||||||
| CIFC Funding Ltd (Cayman) |
550,000 | 515,204 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-36
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS HIGH INCOME
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Dryden CLO Fund (Cayman) |
$250,000 | $169,938 | ||||||
| Magnetite XXII Ltd (Cayman) |
500,000 | 465,343 | ||||||
| Neuberger Berman Loan Advisers CLO Ltd (Cayman) |
750,000 | 671,754 | ||||||
| 11.308% (USD LIBOR + 6.500%) |
||||||||
| due 04/20/31 ~ § |
500,000 | 447,880 | ||||||
| OHA Credit Partners VII Ltd (Cayman) |
250,000 | 224,567 | ||||||
| Rad CLO 2 Ltd (Cayman) |
400,000 | 351,452 | ||||||
| 12.242% (USD LIBOR + 7.450%) |
||||||||
| due 10/15/31 ~ § |
250,000 | 173,819 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
3,912,474 | |||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 5.9% |
||||||||
| Money Market Fund - 5.9% |
||||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
4,650,109 | $4,650,109 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
4,650,109 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.5% |
77,787,384 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.5% |
391,209 | |||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$78,178,593 | |||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Cyclical |
20.8% | |||
| Industrial |
18.1% | |||
| Consumer, Non-Cyclical |
13.6% | |||
| Communications |
11.0% | |||
| Energy |
10.1% | |||
| Short-Term Investment |
5.9% | |||
| Basic Materials |
5.6% | |||
| Asset-Backed Securities |
5.0% | |||
| Financial |
4.0% | |||
| Others (each less than 3.0%) |
5.4% | |||
|
|
|
|||
| 99.5% | ||||
| Other Assets & Liabilities, Net |
0.5% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
$5,672 | $— | $5,672 | $— | |||||||||||||
| Corporate Bonds & Notes |
64,121,907 | — | 64,121,907 | — | ||||||||||||||
| Senior Loan Notes |
5,097,222 | — | 5,097,222 | — | ||||||||||||||
| Asset-Backed Securities |
3,912,474 | — | 3,912,474 | — | ||||||||||||||
| Short-Term Investment |
4,650,109 | 4,650,109 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$77,787,384 | $4,650,109 | $73,137,275 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-37
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM SMALL/MID-CAP
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 98.2% |
|
|||||||
| Basic Materials - 4.7% |
||||||||
| AdvanSix Inc |
21,927 | $839,146 | ||||||
| Alcoa Corp |
9,167 | 390,147 | ||||||
| Arconic Corp * |
46,159 | 1,210,751 | ||||||
| Celanese Corp |
9,277 | 1,010,173 | ||||||
| Ecovyst Inc * |
75,829 | 837,910 | ||||||
|
|
|
|||||||
| 4,288,127 | ||||||||
|
|
|
|||||||
| Communications - 2.4% |
||||||||
| Calix Inc * |
16,755 | 897,900 | ||||||
| Revolve Group Inc * |
17,426 | 458,304 | ||||||
| Ziff Davis Inc * |
10,541 | 822,725 | ||||||
|
|
|
|||||||
| 2,178,929 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 13.3% |
||||||||
| Academy Sports & Outdoors Inc |
17,012 | 1,110,033 | ||||||
| American Eagle Outfitters Inc |
48,725 | 654,864 | ||||||
| BJ’s Wholesale Club Holdings Inc * |
13,174 | 1,002,146 | ||||||
| Bloomin’ Brands Inc |
41,018 | 1,052,112 | ||||||
| Bowlero Corp * |
44,573 | 755,512 | ||||||
| Darden Restaurants Inc |
6,522 | 1,011,954 | ||||||
| Deckers Outdoor Corp * |
3,086 | 1,387,311 | ||||||
| Hilton Grand Vacations Inc * |
19,750 | 877,492 | ||||||
| KB Home |
20,460 | 822,083 | ||||||
| Lithia Motors Inc |
4,157 | 951,662 | ||||||
| Petco Health & Wellness Co Inc * |
73,756 | 663,804 | ||||||
| SeaWorld Entertainment Inc * |
17,905 | 1,097,756 | ||||||
| Steven Madden Ltd |
20,227 | 728,172 | ||||||
|
|
|
|||||||
| 12,114,901 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 24.6% |
||||||||
| AdaptHealth Corp * |
56,158 | 698,044 | ||||||
| Amicus Therapeutics Inc * |
61,301 | 679,828 | ||||||
| ANI Pharmaceuticals Inc * |
9,056 | 359,704 | ||||||
| Avantor Inc * |
41,450 | 876,253 | ||||||
| CBIZ Inc * |
15,211 | 752,792 | ||||||
| Charles River Laboratories International Inc * |
4,840 | 976,809 | ||||||
| Edgewell Personal Care Co |
20,621 | 874,743 | ||||||
| Exact Sciences Corp * |
10,272 | 696,544 | ||||||
| FTI Consulting Inc * |
4,505 | 889,062 | ||||||
| Harmony Biosciences Holdings Inc * |
21,621 | 705,926 | ||||||
| I3 Verticals Inc ‘A’ * |
23,403 | 574,076 | ||||||
| Iovance Biotherapeutics Inc * |
41,199 | 251,726 | ||||||
| Jazz Pharmaceuticals PLC * |
9,073 | 1,327,652 | ||||||
| Lantheus Holdings Inc * |
15,023 | 1,240,299 | ||||||
| Merit Medical Systems Inc * |
15,230 | 1,126,258 | ||||||
| Neurocrine Biosciences Inc * |
9,979 | 1,010,074 | ||||||
| Orthofix Medical Inc * |
30,766 | 515,330 | ||||||
| Performance Food Group Co * |
9,164 | 552,956 | ||||||
| Prestige Consumer Healthcare Inc * |
21,736 | 1,361,326 | ||||||
| Progyny Inc * |
16,229 | 521,275 | ||||||
| Quanta Services Inc |
14,273 | 2,378,453 | ||||||
| Revance Therapeutics Inc * |
30,295 | 975,802 | ||||||
| Spectrum Brands Holdings Inc |
18,298 | 1,211,694 | ||||||
| Textainer Group Holdings Ltd (China) |
41,010 | 1,316,831 | ||||||
| Ultragenyx Pharmaceutical Inc * |
14,098 | 565,330 | ||||||
|
|
|
|||||||
| 22,438,787 | ||||||||
|
|
|
|||||||
| Energy - 5.3% |
||||||||
| Civitas Resources Inc |
22,219 | 1,518,446 | ||||||
| Diamondback Energy Inc |
8,538 | 1,154,082 | ||||||
| HF Sinclair Corp |
15,509 | 750,325 | ||||||
| Magnolia Oil & Gas Corp ‘A’ |
48,835 | 1,068,510 | ||||||
| Sunnova Energy International Inc * |
19,915 | 311,072 | ||||||
|
|
|
|||||||
| 4,802,435 | ||||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Financial - 17.2% |
||||||||
| Agree Realty Corp REIT |
23,264 | $1,596,143 | ||||||
| Brixmor Property Group Inc REIT |
74,478 | 1,602,767 | ||||||
| Cadence Bank |
52,216 | 1,084,004 | ||||||
| Everest Re Group Ltd |
5,042 | 1,805,137 | ||||||
| First Industrial Realty Trust Inc REIT |
30,351 | 1,614,673 | ||||||
| Hancock Whitney Corp |
30,151 | 1,097,496 | ||||||
| Home BancShares Inc |
45,967 | 997,944 | ||||||
| Host Hotels & Resorts Inc REIT |
53,249 | 878,076 | ||||||
| James River Group Holdings Ltd |
41,040 | 847,476 | ||||||
| Mid-America Apartment Communities Inc REIT |
8,154 | 1,231,580 | ||||||
| Pinnacle Financial Partners Inc |
14,150 | 780,514 | ||||||
| Selective Insurance Group Inc |
10,418 | 993,148 | ||||||
| Stifel Financial Corp |
19,596 | 1,157,928 | ||||||
|
|
|
|||||||
| 15,686,886 | ||||||||
|
|
|
|||||||
| Industrial - 14.7% |
||||||||
| Atkore Inc * |
10,254 | 1,440,482 | ||||||
| Coherent Corp * |
22,313 | 849,679 | ||||||
| EnPro Industries Inc |
9,301 | 966,281 | ||||||
| Evoqua Water Technologies Corp * |
26,855 | 1,335,231 | ||||||
| Graphic Packaging Holding Co |
55,664 | 1,418,875 | ||||||
| Heritage-Crystal Clean Inc * |
21,282 | 757,852 | ||||||
| Hillenbrand Inc |
32,056 | 1,523,622 | ||||||
| Jacobs Solutions Inc |
8,571 | 1,007,178 | ||||||
| Knight-Swift Transportation Holdings Inc |
14,325 | 810,508 | ||||||
| Littelfuse Inc |
3,767 | 1,009,895 | ||||||
| Sterling Infrastructure Inc * |
27,004 | 1,022,912 | ||||||
| The Timken Co |
15,933 | 1,302,045 | ||||||
|
|
|
|||||||
| 13,444,560 | ||||||||
|
|
|
|||||||
| Technology - 12.6% |
||||||||
| Amdocs Ltd |
11,437 | 1,098,295 | ||||||
| Box Inc ‘A’ * |
45,337 | 1,214,578 | ||||||
| CommVault Systems Inc * |
12,480 | 708,115 | ||||||
| Crane NXT Co |
6,750 | 766,125 | ||||||
| Elastic NV * |
8,688 | 503,035 | ||||||
| Marvell Technology Inc |
18,541 | 802,825 | ||||||
| ON Semiconductor Corp * |
15,215 | 1,252,499 | ||||||
| Onto Innovation Inc * |
11,317 | 994,538 | ||||||
| SentinelOne Inc ‘A’ * |
33,718 | 551,627 | ||||||
| Silicon Laboratories Inc * |
7,488 | 1,311,074 | ||||||
| Sprout Social Inc ‘A’ * |
12,426 | 756,495 | ||||||
| Zeta Global Holdings Corp ‘A’ * |
99,531 | 1,077,921 | ||||||
| ZoomInfo Technologies Inc ‘A’ * |
17,703 | 437,441 | ||||||
|
|
|
|||||||
| 11,474,568 | ||||||||
|
|
|
|||||||
| Utilities - 3.4% |
||||||||
| NiSource Inc |
45,772 | 1,279,785 | ||||||
| Portland General Electric Co |
18,783 | 918,301 | ||||||
| The AES Corp |
35,775 | 861,462 | ||||||
|
|
|
|||||||
| 3,059,548 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
89,488,741 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-38
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SMALL/MID-CAP
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 2.0% |
|
|||||||
| Money Market Fund - 2.0% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
1,834,778 | $1,834,778 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
1,834,778 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.2% |
|
91,323,519 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.2%) |
|
(217,850 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$91,105,669 | ||||||
|
|
|
|||||||
Notes to Schedule of Investment
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
24.6% | |||
| Financial |
17.2% | |||
| Industrial |
14.7% | |||
| Consumer, Cyclical |
13.3% | |||
| Technology |
12.6% | |||
| Energy |
5.3% | |||
| Basic Materials |
4.7% | |||
| Utilities |
3.4% | |||
| Others (each less than 3.0%) |
4.4% | |||
|
|
|
|||
| 100.2% | ||||
| Other Assets & Liabilities, Net |
(0.2% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of
March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant |
Level 3 Significant |
|||||||||||||||
| Assets |
Common Stocks |
$89,488,741 | $89,488,741 | $— | $— | |||||||||||||
| Short-Term Investment |
1,834,778 | 1,834,778 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$91,323,519 | $91,323,519 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-39
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM SMALL-CAP
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 97.7% |
|
|||||||
| Basic Materials - 4.7% |
||||||||
| AdvanSix Inc |
3,349 | $128,166 | ||||||
| Arconic Corp * |
4,286 | 112,422 | ||||||
| Avient Corp |
2,296 | 94,503 | ||||||
| Ecovyst Inc * |
8,941 | 98,798 | ||||||
| Kaiser Aluminum Corp |
1,196 | 89,258 | ||||||
|
|
|
|||||||
| 523,147 | ||||||||
|
|
|
|||||||
| Communications - 3.4% |
||||||||
| Calix Inc * |
2,119 | 113,557 | ||||||
| Revolve Group Inc * |
2,058 | 54,125 | ||||||
| Viavi Solutions Inc * |
7,025 | 76,081 | ||||||
| Ziff Davis Inc * |
1,663 | 129,797 | ||||||
|
|
|
|||||||
| 373,560 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 13.5% |
||||||||
| Academy Sports & Outdoors Inc |
1,740 | 113,535 | ||||||
| American Eagle Outfitters Inc |
6,045 | 81,245 | ||||||
| BJ’s Restaurants Inc * |
2,641 | 76,959 | ||||||
| BJ’s Wholesale Club Holdings Inc * |
1,302 | 99,043 | ||||||
| Bloomin’ Brands Inc |
5,112 | 131,123 | ||||||
| Bowlero Corp * |
5,026 | 85,191 | ||||||
| Dave & Buster’s Entertainment Inc * |
3,495 | 128,581 | ||||||
| Deckers Outdoor Corp * |
200 | 89,910 | ||||||
| Hilton Grand Vacations Inc * |
2,879 | 127,914 | ||||||
| KB Home |
3,105 | 124,759 | ||||||
| Lithia Motors Inc |
340 | 77,836 | ||||||
| Petco Health & Wellness Co Inc * |
9,072 | 81,648 | ||||||
| SeaWorld Entertainment Inc * |
2,389 | 146,469 | ||||||
| Steven Madden Ltd |
3,359 | 120,924 | ||||||
|
|
|
|||||||
| 1,485,137 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 27.5% |
||||||||
| Acadia Healthcare Co Inc * |
1,171 | 84,605 | ||||||
| AdaptHealth Corp * |
7,243 | 90,030 | ||||||
| Addus HomeCare Corp * |
1,315 | 140,389 | ||||||
| Alphatec Holdings Inc * |
9,443 | 147,311 | ||||||
| Amicus Therapeutics Inc * |
7,671 | 85,071 | ||||||
| AtriCure Inc * |
2,086 | 86,465 | ||||||
| Avid Bioservices Inc * |
4,946 | 92,787 | ||||||
| CBIZ Inc * |
2,472 | 122,339 | ||||||
| Edgewell Personal Care Co |
2,609 | 110,674 | ||||||
| elf Beauty Inc * |
1,890 | 155,642 | ||||||
| FTI Consulting Inc * |
376 | 74,204 | ||||||
| Halozyme Therapeutics Inc * |
3,515 | 134,238 | ||||||
| Harmony Biosciences Holdings Inc * |
3,362 | 109,769 | ||||||
| Herc Holdings Inc |
865 | 98,523 | ||||||
| I3 Verticals Inc ‘A’ * |
4,703 | 115,365 | ||||||
| Iovance Biotherapeutics Inc * |
4,501 | 27,501 | ||||||
| Lantheus Holdings Inc * |
2,054 | 169,578 | ||||||
| LivaNova PLC * |
1,203 | 52,427 | ||||||
| Medpace Holdings Inc * |
678 | 127,498 | ||||||
| NuVasive Inc * |
1,620 | 66,922 | ||||||
| Performance Food Group Co * |
1,491 | 89,967 | ||||||
| Prestige Consumer Healthcare Inc * |
2,454 | 153,694 | ||||||
| Progyny Inc * |
2,611 | 83,865 | ||||||
| Protagonist Therapeutics Inc * |
3,162 | 72,726 | ||||||
| Revance Therapeutics Inc * |
3,472 | 111,833 | ||||||
| SP Plus Corp * |
3,335 | 114,357 | ||||||
| Spectrum Brands Holdings Inc |
2,083 | 137,936 | ||||||
| Textainer Group Holdings Ltd (China) |
3,744 | 120,220 | ||||||
| Ultragenyx Pharmaceutical Inc * |
1,466 | 58,787 | ||||||
|
|
|
|||||||
| 3,034,723 | ||||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Energy - 5.5% |
||||||||
| Civitas Resources Inc |
2,193 | $149,870 | ||||||
| Earthstone Energy Inc ‘A’ * |
6,191 | 80,545 | ||||||
| Magnolia Oil & Gas Corp ‘A’ |
5,762 | 126,072 | ||||||
| Oceaneering International Inc * |
5,584 | 98,446 | ||||||
| Sitio Royalties Corp ‘A’ |
4,925 | 111,305 | ||||||
| Sunnova Energy International Inc * |
2,388 | 37,301 | ||||||
|
|
|
|||||||
| 603,539 | ||||||||
|
|
|
|||||||
| Financial - 18.2% |
||||||||
| Agree Realty Corp REIT |
2,186 | 149,982 | ||||||
| Avantax Inc * |
3,547 | 93,357 | ||||||
| Cadence Bank |
4,918 | 102,098 | ||||||
| DiamondRock Hospitality Co REIT |
15,085 | 122,641 | ||||||
| Enterprise Financial Services Corp |
2,477 | 110,449 | ||||||
| First Industrial Realty Trust Inc REIT |
1,969 | 104,751 | ||||||
| Hancock Whitney Corp |
3,336 | 121,430 | ||||||
| Heritage Financial Corp |
2,851 | 61,011 | ||||||
| Home BancShares Inc |
5,788 | 125,658 | ||||||
| James River Group Holdings Ltd |
4,856 | 100,276 | ||||||
| NexPoint Residential Trust Inc REIT |
2,397 | 104,677 | ||||||
| Origin Bancorp Inc |
2,102 | 67,579 | ||||||
| Plymouth Industrial Inc REIT |
5,181 | 108,853 | ||||||
| Radian Group Inc |
4,371 | 96,599 | ||||||
| Seacoast Banking Corp of Florida |
4,337 | 102,787 | ||||||
| Selective Insurance Group Inc |
1,129 | 107,628 | ||||||
| SITE Centers Corp REIT |
10,864 | 133,410 | ||||||
| Stifel Financial Corp |
1,771 | 104,648 | ||||||
| United Community Banks Inc |
3,358 | 94,427 | ||||||
|
|
|
|||||||
| 2,012,261 | ||||||||
|
|
|
|||||||
| Industrial - 13.3% |
||||||||
| Atkore Inc * |
1,286 | 180,657 | ||||||
| Coherent Corp * |
2,621 | 99,808 | ||||||
| EnPro Industries Inc |
1,376 | 142,953 | ||||||
| Evoqua Water Technologies Corp * |
1,870 | 92,976 | ||||||
| Heritage-Crystal Clean Inc * |
3,427 | 122,035 | ||||||
| Hillenbrand Inc |
4,336 | 206,090 | ||||||
| Masonite International Corp * |
902 | 81,875 | ||||||
| MYR Group Inc * |
1,419 | 178,808 | ||||||
| Saia Inc * |
470 | 127,878 | ||||||
| Sanmina Corp * |
1,711 | 104,354 | ||||||
| Sterling Infrastructure Inc * |
3,491 | 132,239 | ||||||
|
|
|
|||||||
| 1,469,673 | ||||||||
|
|
|
|||||||
| Technology - 8.6% |
||||||||
| Box Inc ‘A’ * |
6,579 | 176,251 | ||||||
| Cohu Inc * |
2,404 | 92,290 | ||||||
| CommVault Systems Inc * |
1,945 | 110,359 | ||||||
| DigitalOcean Holdings Inc * |
1,522 | 59,617 | ||||||
| Onto Innovation Inc * |
1,609 | 141,399 | ||||||
| Silicon Laboratories Inc * |
838 | 146,726 | ||||||
| Sprout Social Inc ‘A’ * |
1,331 | 81,031 | ||||||
| Zeta Global Holdings Corp ‘A’ * |
13,281 | 143,833 | ||||||
|
|
|
|||||||
| 951,506 | ||||||||
|
|
|
|||||||
| Utilities - 3.0% |
||||||||
| Portland General Electric Co |
3,224 | 157,621 | ||||||
| Unitil Corp |
2,998 | 171,006 | ||||||
|
|
|
|||||||
| 328,627 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
10,782,173 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-40
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SMALL-CAP
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 1.8% |
|
|||||||
| Money Market Fund - 1.8% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
204,132 | $204,132 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
204,132 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.5% |
|
10,986,305 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.5% |
|
54,415 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$11,040,720 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
27.5% | |||
| Financial |
18.2% | |||
| Consumer, Cyclical |
13.5% | |||
| Industrial |
13.3% | |||
| Technology |
8.6% | |||
| Energy |
5.5% | |||
| Basic Materials |
4.7% | |||
| Communications |
3.4% | |||
| Utilities |
3.0% | |||
| Others (each less than 3.0%) |
1.8% | |||
|
|
|
|||
| 99.5% | ||||
| Other Assets & Liabilities, Net |
0.5% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant |
Level 3 Significant |
|||||||||||||||
| Assets |
Common Stocks |
$10,782,173 | $10,782,173 | $— | $— | |||||||||||||
| Short-Term Investment |
204,132 | 204,132 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$10,986,305 | $10,986,305 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-41
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDSSM SMALL-CAP VALUE
Schedule of Investments
March 31, 2023
| Shares |
|
|||||||
| COMMON STOCKS - 97.8% |
| |||||||
| Basic Materials - 4.0% |
||||||||
| AdvanSix Inc |
7,343 | $281,017 | ||||||
| Arconic Corp * |
9,111 | 238,981 | ||||||
| Ecovyst Inc * |
15,096 | 166,811 | ||||||
|
|
|
|||||||
| 686,809 | ||||||||
|
|
|
|||||||
| Communications - 1.8% |
||||||||
| Viavi Solutions Inc * |
9,970 | 107,975 | ||||||
| Ziff Davis Inc * |
2,605 | 203,320 | ||||||
|
|
|
|||||||
| 311,295 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 10.4% |
||||||||
| Academy Sports & Outdoors Inc |
2,934 | 191,443 | ||||||
| American Eagle Outfitters Inc |
12,003 | 161,320 | ||||||
| BJ’s Restaurants Inc * |
3,651 | 106,390 | ||||||
| Bloomin’ Brands Inc |
7,465 | 191,477 | ||||||
| Bowlero Corp * |
8,453 | 143,278 | ||||||
| Dana Inc |
7,844 | 118,052 | ||||||
| Dave & Buster’s Entertainment Inc * |
3,972 | 146,130 | ||||||
| Hilton Grand Vacations Inc * |
3,013 | 133,868 | ||||||
| KB Home |
4,953 | 199,012 | ||||||
| Petco Health & Wellness Co Inc * |
10,149 | 91,341 | ||||||
| SeaWorld Entertainment Inc * |
2,447 | 150,026 | ||||||
| Steven Madden Ltd |
5,047 | 181,692 | ||||||
|
|
|
|||||||
| 1,814,029 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 23.1% |
||||||||
| Acadia Healthcare Co Inc * |
1,367 | 98,766 | ||||||
| AdaptHealth Corp * |
11,910 | 148,041 | ||||||
| ANI Pharmaceuticals Inc * |
1,761 | 69,947 | ||||||
| CBIZ Inc * |
3,171 | 156,933 | ||||||
| Edgewell Personal Care Co |
4,431 | 187,963 | ||||||
| FTI Consulting Inc * |
687 | 135,579 | ||||||
| Halozyme Therapeutics Inc * |
4,431 | 169,220 | ||||||
| Harmony Biosciences Holdings Inc * |
4,116 | 134,387 | ||||||
| Herc Holdings Inc |
1,331 | 151,601 | ||||||
| Hostess Brands Inc * |
11,831 | 294,355 | ||||||
| Lantheus Holdings Inc * |
2,248 | 185,595 | ||||||
| LivaNova PLC * |
1,811 | 78,923 | ||||||
| Merit Medical Systems Inc * |
3,565 | 263,632 | ||||||
| Orthofix Medical Inc * |
5,776 | 96,748 | ||||||
| Patterson Cos Inc |
8,217 | 219,969 | ||||||
| Performance Food Group Co * |
2,248 | 135,644 | ||||||
| Prestige Consumer Healthcare Inc * |
4,666 | 292,232 | ||||||
| Protagonist Therapeutics Inc * |
3,443 | 79,189 | ||||||
| Revance Therapeutics Inc * |
4,251 | 136,925 | ||||||
| SP Plus Corp * |
10,085 | 345,815 | ||||||
| Spectrum Brands Holdings Inc |
3,049 | 201,905 | ||||||
| Textainer Group Holdings Ltd (China) |
9,326 | 299,458 | ||||||
| UFP Technologies Inc * |
995 | 129,191 | ||||||
|
|
|
|||||||
| 4,012,018 | ||||||||
|
|
|
|||||||
| Energy - 5.5% |
||||||||
| Civitas Resources Inc |
3,937 | 269,055 | ||||||
| Earthstone Energy Inc ‘A’ * |
13,535 | 176,090 | ||||||
| Magnolia Oil & Gas Corp ‘A’ |
8,489 | 185,739 | ||||||
| Oceaneering International Inc * |
8,624 | 152,041 | ||||||
| Sitio Royalties Corp ‘A’ |
5,099 | 115,238 | ||||||
| Sunnova Energy International Inc * |
3,807 | 59,465 | ||||||
|
|
|
|||||||
| 957,628 | ||||||||
|
|
|
|||||||
| Financial - 30.2% |
||||||||
| Agree Realty Corp REIT |
4,145 | 284,389 | ||||||
| Avantax Inc * |
4,666 | 122,809 | ||||||
| Brixmor Property Group Inc REIT |
11,960 | 257,379 | ||||||
| Cadence Bank |
9,720 | 201,787 | ||||||
| DiamondRock Hospitality Co REIT |
29,160 | 237,071 | ||||||
| Enterprise Financial Services Corp |
5,347 | 238,423 | ||||||
| First Bancorp |
5,110 | 181,507 | ||||||
| Shares |
|
|||||||
| First Industrial Realty Trust Inc REIT |
4,567 | $ | 242,964 | |||||
| First Merchants Corp |
4,867 | 160,368 | ||||||
| Hancock Whitney Corp |
6,306 | 229,539 | ||||||
| Healthcare Realty Trust Inc REIT |
10,200 | 197,166 | ||||||
| Heritage Financial Corp |
8,110 | 173,554 | ||||||
| Home BancShares Inc |
11,137 | 241,784 | ||||||
| James River Group Holdings Ltd |
10,816 | 223,350 | ||||||
| NexPoint Residential Trust Inc REIT |
3,492 | 152,496 | ||||||
| Old Second Bancorp Inc |
14,265 | 200,566 | ||||||
| Origin Bancorp Inc |
5,054 | 162,486 | ||||||
| Plymouth Industrial Inc REIT |
9,835 | 206,633 | ||||||
| Radian Group Inc |
2,999 | 66,278 | ||||||
| Seacoast Banking Corp of Florida |
9,033 | 214,082 | ||||||
| Selective Insurance Group Inc |
3,643 | 347,287 | ||||||
| SITE Centers Corp REIT |
19,454 | 238,895 | ||||||
| Stifel Financial Corp |
2,598 | 153,516 | ||||||
| United Community Banks Inc |
7,358 | 206,907 | ||||||
| Westamerica BanCorp |
3,435 | 152,171 | ||||||
| WSFS Financial Corp |
4,330 | 162,851 | ||||||
|
|
|
|||||||
| 5,256,258 | ||||||||
|
|
|
|||||||
| Industrial - 13.8% |
||||||||
| Atkore Inc * |
1,304 | 183,186 | ||||||
| Coherent Corp * |
3,865 | 147,179 | ||||||
| EnPro Industries Inc |
2,197 | 228,246 | ||||||
| Heritage-Crystal Clean Inc * |
5,913 | 210,562 | ||||||
| Hillenbrand Inc |
6,986 | 332,045 | ||||||
| Masonite International Corp * |
1,667 | 151,314 | ||||||
| MYR Group Inc * |
2,326 | 293,099 | ||||||
| Sanmina Corp * |
2,490 | 151,865 | ||||||
| Schneider National Inc ‘B’ |
4,745 | 126,929 | ||||||
| Sterling Infrastructure Inc * |
6,199 | 234,818 | ||||||
| The Timken Co |
2,913 | 238,050 | ||||||
| UFP Industries Inc |
1,346 | 106,967 | ||||||
|
|
|
|||||||
| 2,404,260 | ||||||||
|
|
|
|||||||
| Technology - 3.8% |
||||||||
| Cohu Inc * |
4,939 | 189,608 | ||||||
| Crane NXT Co |
2,090 | 237,215 | ||||||
| EverCommerce Inc * |
12,819 | 135,625 | ||||||
| Synaptics Inc * |
873 | 97,034 | ||||||
|
|
|
|||||||
| 659,482 | ||||||||
|
|
|
|||||||
| Utilities - 5.2% |
||||||||
| Portland General Electric Co |
8,039 | 393,027 | ||||||
| Unitil Corp |
8,883 | 506,686 | ||||||
|
|
|
|||||||
| 899,713 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
17,001,492 | |||||||
|
|
|
|||||||
| EXCHANGE-TRADED FUND - 0.3% |
||||||||
| iShares Russell 2000 Value |
265 | 36,310 | ||||||
|
|
|
|||||||
| Total Exchange-Traded Fund |
36,310 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 2.1% |
||||||||
| Money Market Fund - 2.1% |
||||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
372,623 | 372,623 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
372,623 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.2% |
17,410,425 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.2%) |
(27,784 | ) | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$17,382,641 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-42
Table of Contents
PACIFIC FUNDS
PACIFIC FUNDS SMALL-CAP VALUE
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Financial |
30.2% | |||
| Consumer, Non-Cyclical |
23.1% | |||
| Industrial |
13.8% | |||
| Consumer, Cyclical |
10.4% | |||
| Energy |
5.5% | |||
| Utilities |
5.2% | |||
| Basic Materials |
4.0% | |||
| Technology |
3.8% | |||
| Others (each less than 3.0%) |
4.2% | |||
|
|
|
|||
| 100.2% | ||||
| Other Assets & Liabilities, Net |
(0.2% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant |
Level 3 Significant |
|||||||||||||||
| Assets |
Common Stocks |
$17,001,492 | $17,001,492 | $— | $— | |||||||||||||
| Exchange-Traded Fund |
36,310 | 36,310 | — | — | ||||||||||||||
| Short-Term Investment |
372,623 | 372,623 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$17,410,425 | $17,410,425 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-43
Table of Contents
PACIFIC FUNDS
PF INFLATION MANAGED FUND
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 0.3% |
|
|||||||
| Financial - 0.3% |
|
|||||||
| Avolon Holdings Funding Ltd (Ireland) |
$100,000 | $97,361 | ||||||
| Bank of America Corp |
10,000 | 9,010 | ||||||
|
|
|
|||||||
| 106,371 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
106,371 | |||||||
|
|
|
|||||||
| MORTGAGE-BACKED SECURITIES - 5.2% |
|
|||||||
| Collateralized Mortgage Obligations - Residential - 0.6% |
|
|||||||
| Fannie Mae REMICS |
8,839 | 8,664 | ||||||
| 5.225% (USD LIBOR + 0.380%) |
13,491 | 13,243 | ||||||
| 5.285% (USD LIBOR + 0.440%) |
7,179 | 7,079 | ||||||
| 5.290% (USD LIBOR + 0.445%) |
2,065 | 2,025 | ||||||
| Government National Mortgage Association |
47,638 | 46,391 | ||||||
| JP Morgan Mortgage Trust |
450 | 446 | ||||||
| Towd Point Mortgage Funding PLC (United Kingdom) |
GBP 94,654 | 116,905 | ||||||
|
|
|
|||||||
| 194,753 | ||||||||
|
|
|
|||||||
| Fannie Mae - 4.6% |
|
|||||||
| due 04/01/53 # |
$400,000 | 398,969 | ||||||
| due 04/01/53 # |
500,000 | 460,499 | ||||||
| due 04/01/53 # |
700,000 | 685,912 | ||||||
|
|
|
|||||||
| 1,545,380 | ||||||||
|
|
|
|||||||
| Total Mortgage-Backed Securities |
1,740,133 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 0.0% |
|
|||||||
| Freddie Mac Structured Pass-Through |
387 | 385 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
385 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 96.1% |
|
|||||||
| U.S. Treasury Inflation Protected Securities - 96.1% |
|
|||||||
| 0.125% due 07/15/24 ^ |
1,511,940 | 1,482,599 | ||||||
| 0.125% due 10/15/24 ^ |
1,049,454 | 1,025,136 | ||||||
| 0.125% due 04/15/25 ^ |
694,932 | 673,392 | ||||||
| 0.125% due 10/15/25 ^ |
807,100 | 782,075 | ||||||
| 0.125% due 04/15/26 ^ |
570,390 | 547,501 | ||||||
| 0.125% due 07/15/26 ^ |
249,618 | 240,508 | ||||||
| 0.125% due 10/15/26 ^ |
1,204,313 | 1,156,718 | ||||||
| 0.125% due 01/15/30 ^ |
1,406,988 | 1,311,977 | ||||||
| 0.125% due 07/15/30 ^ |
933,480 | 869,110 | ||||||
| 0.125% due 01/15/31 ^ |
999,856 | 924,720 | ||||||
| 0.125% due 07/15/31 ^ |
334,866 | 308,634 | ||||||
| 0.125% due 01/15/32 ^ |
1,295,100 | 1,183,882 | ||||||
| 0.125% due 02/15/51 ^ |
229,820 | 159,444 | ||||||
| 0.125% due 02/15/52 ^ |
644,820 | 448,517 | ||||||
| Principal |
Value |
|||||||
| 0.250% due 01/15/25 ^ |
$ | 442,085 | $ | 431,437 | ||||
| 0.250% due 07/15/29 ^ |
584,790 | 554,398 | ||||||
| 0.375% due 07/15/25 ^ |
510,932 | 499,855 | ||||||
| 0.375% due 01/15/27 ^ |
990,800 | 955,202 | ||||||
| 0.375% due 07/15/27 ^ |
1,846,745 | 1,784,595 | ||||||
| 0.500% due 04/15/24 ^ |
1,779,300 | 1,750,774 | ||||||
| 0.500% due 01/15/28 ^ |
2,462,106 | 2,377,114 | ||||||
| 0.625% due 01/15/26 ^ |
692,489 | 677,175 | ||||||
| 0.625% due 07/15/32 ^ |
720,769 | 689,023 | ||||||
| 0.625% due 02/15/43 ^ |
1,067,017 | 901,980 | ||||||
| 0.750% due 07/15/28 ^ |
4,064,140 | 3,986,939 | ||||||
| 0.750% due 02/15/42 ^ |
132,399 | 115,771 | ||||||
| 0.750% due 02/15/45 ^ |
724,162 | 617,628 | ||||||
| 0.875% due 01/15/29 ^ |
1,836,471 | 1,805,132 | ||||||
| 0.875% due 02/15/47 ^ |
526,724 | 456,667 | ||||||
| 1.000% due 02/15/46 ^ |
1,093,429 | 979,227 | ||||||
| 1.000% due 02/15/49 ^ |
47,556 | 42,362 | ||||||
| 1.375% due 02/15/44 ^ |
1,386,364 | 1,344,597 | ||||||
| 1.625% due 10/15/27 ^ |
100,993 | 103,003 | ||||||
| 2.000% due 01/15/26 ^ |
319,554 | 324,252 | ||||||
| 2.125% due 02/15/41 ^ |
409,839 | 452,944 | ||||||
| 3.375% due 04/15/32 ^ |
99,442 | 117,697 | ||||||
| 3.875% due 04/15/29 ^ |
63,694 | 73,412 | ||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
32,155,397 | |||||||
|
|
|
|||||||
| FOREIGN GOVERNMENT BONDS & NOTES - 3.5% |
|
|||||||
| French Republic Government Bond OAT |
EUR 114,115 | 124,597 | ||||||
| 0.100% due 07/25/38 ^ ~ |
112,218 | 114,062 | ||||||
| 0.250% due 07/25/24 ^ ~ |
121,634 | 133,865 | ||||||
| Italy Buoni Poliennali Del Tesoro (Italy) |
115,884 | 115,755 | ||||||
| 1.400% due 05/26/25 ^ ~ |
625,632 | 674,135 | ||||||
|
|
|
|||||||
| Total Foreign Government Bonds & Notes |
1,162,414 | |||||||
|
|
|
|||||||
| Shares |
||||||||
| SHORT-TERM INVESTMENTS - 1.6% |
||||||||
| Money Market Fund - 0.4% |
||||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
140,951 | 140,951 | ||||||
|
|
|
|||||||
| Principal |
||||||||
| U.S. Government Agency Issue - 1.2% |
||||||||
| Federal Home Loan Banks |
$400,000 | 398,952 | ||||||
|
|
|
|||||||
| Total Short-Term Investments |
539,903 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 106.7% |
35,704,603 | |||||||
|
|
|
|||||||
| TOTAL SECURITIES SOLD SHORT - (3.8%) |
(1,271,367 | ) | ||||||
|
|
|
|||||||
| DERIVATIVES - (0.8%) |
|
(279,248 | ) | |||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (2.1%) |
(704,042 | ) | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$33,449,946 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-44
Table of Contents
PACIFIC FUNDS
PF INFLATION MANAGED FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| U.S. Treasury Obligations |
96.1% | |||
| Mortgage-Backed Securities |
5.2% | |||
| Foreign Government Bonds & Notes |
3.5% | |||
| Others (each less than 3.0%) |
1.9% | |||
|
|
|
|||
| 106.7% | ||||
| Securities Sold Short |
(3.8% | ) | ||
| Derivatives |
(0.8% | ) | ||
| Other Assets & Liabilities, Net |
(2.1% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | The average amount of borrowings by the Fund on sale-buyback financing transactions during the year ended March 31, 2023 was $1,243,274 at a weighted average interest rate of 1.465%. |
| (c) | Securities sold short outstanding as of March 31, 2023 were as follows: |
| Description | Principal Amount |
Value | ||||||
| U.S. TREASURY OBLIGATIONS - (3.8%) |
|
|||||||
| U.S. Treasury Inflation Protected Securities |
$1,282,170 | ($1,271,367 | ) | |||||
|
|
|
|||||||
| Total Securities Sold Short |
|
($1,271,367 | ) | |||||
|
|
|
|||||||
| (d) | Open futures contracts outstanding as of March 31, 2023 were as follows: |
| Long Futures Outstanding | Expiration Month |
Number of Contracts |
Notional Amount |
Value | Unrealized Appreciation (Depreciation) |
|||||||||||||||
| Euro-Bund |
06/23 | 6 | $855,764 | $883,911 | $28,147 | |||||||||||||||
| U.S. Treasury 2-Year Notes |
06/23 | 5 | 1,020,865 | 1,032,265 | 11,400 | |||||||||||||||
| U.S. Treasury Ultra 10-Year Notes |
06/23 | 17 | 2,051,537 | 2,059,391 | 7,854 | |||||||||||||||
|
|
|
|||||||||||||||||||
| 47,401 | ||||||||||||||||||||
|
|
|
|||||||||||||||||||
| Short Futures Outstanding |
||||||||||||||||||||
| Australia 3-Year Bonds |
06/23 | 2 | 143,442 | 145,476 | (2,034 | ) | ||||||||||||||
| Euro-Bobl |
06/23 | 2 | 249,878 | 255,682 | (5,804 | ) | ||||||||||||||
| Euro-BTP |
06/23 | 7 | 847,367 | 875,679 | (28,312 | ) | ||||||||||||||
| Euro-Buxl |
06/23 | 1 | 143,262 | 152,763 | (9,501 | ) | ||||||||||||||
| Euro-OAT |
06/23 | 2 | 273,444 | 282,469 | (9,025 | ) | ||||||||||||||
| Euro-Schatz |
06/23 | 67 | 7,621,759 | 7,679,957 | (58,198 | ) | ||||||||||||||
| Japan 10-Year Bonds |
06/23 | 2 | 2,188,848 | 2,231,143 | (42,295 | ) | ||||||||||||||
| Short Term Euro-BTP |
06/23 | 5 | 565,161 | 571,369 | (6,208 | ) | ||||||||||||||
| U.S. Treasury 5-Year Notes |
06/23 | 9 | 985,354 | 985,570 | (216 | ) | ||||||||||||||
| U.S. Treasury 10-Year Notes |
06/23 | 8 | 901,899 | 919,375 | (17,476 | ) | ||||||||||||||
| U.S. Treasury Long Bonds |
06/23 | 9 | 1,126,744 | 1,180,406 | (53,662 | ) | ||||||||||||||
| U.S. Treasury Ultra 30-Year Bonds |
06/23 | 3 | 409,455 | 423,375 | (13,920 | ) | ||||||||||||||
|
|
|
|||||||||||||||||||
| (246,651 | ) | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| Total Futures Contracts |
($199,250 | ) | ||||||||||||||||||
|
|
|
|||||||||||||||||||
| (e) | Forward foreign currency contracts outstanding as of March 31, 2023 were as follows: |
| Currency Purchased |
Currency Sold |
Settlement Month |
Counterparty | Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||||||||
| EUR | 16,000 | USD | 17,270 | 04/23 | BRC | $86 | $— | |||||||||||||||||||||||||
| EUR | 20,000 | USD | 21,714 | 04/23 | DUB | — | (19 | ) | ||||||||||||||||||||||||
| EUR | 36,000 | USD | 38,756 | 04/23 | DUB | 295 | — | |||||||||||||||||||||||||
| EUR | 22,000 | USD | 23,940 | 04/23 | RBS | — | (76 | ) | ||||||||||||||||||||||||
| EUR | 34,000 | USD | 36,191 | 04/23 | SCB | 690 | — | |||||||||||||||||||||||||
| JPY | 8,000,000 | USD | 60,313 | 04/23 | JPM | — | (22 | ) | ||||||||||||||||||||||||
| USD | 123,595 | EUR | 115,000 | 04/23 | DUB | — | (1,151 | ) | ||||||||||||||||||||||||
| USD | 74,340 | EUR | 70,000 | 04/23 | JPM | — | (1,592 | ) | ||||||||||||||||||||||||
| USD | 1,134,980 | EUR | 1,069,000 | 04/23 | UBS | — | (24,610 | ) | ||||||||||||||||||||||||
| USD | 123,012 | GBP | 102,000 | 04/23 | UBS | — | (2,826 | ) | ||||||||||||||||||||||||
| USD | 42,525 | JPY | 5,787,957 | 04/23 | DUB | — | (1,096 | ) | ||||||||||||||||||||||||
| USD | 40,485 | JPY | 5,400,000 | 04/23 | JPM | — | (212 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||||||||||||
| Total Forward Foreign Currency Contracts |
$1,071 | ($31,604 | ) | |||||||||||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-45
Table of Contents
PACIFIC FUNDS
PF INFLATION MANAGED FUND
Schedule of Investments (Continued)
March 31, 2023
| (f) | Purchased options outstanding as of March 31, 2023 were as follows: |
Interest Rate Swaptions
| Description | Pay/Receive Floating Rate |
Floating Rate Index | Exercise Rate |
Expiration Date |
Counter- party |
Notional Amount |
Cost | Value | ||||||||||||||||||||||||
| Call - 5-Year Interest Rate Swap |
Pay | USD-SOFR | 2.200% | 04/26/23 | GSC | $600,000 | $6,405 | $94 | ||||||||||||||||||||||||
| Call - 5-Year Interest Rate Swap |
Pay | USD-SOFR | 2.200% | 05/31/23 | MSC | 1,200,000 | 14,400 | 1,113 | ||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| 20,805 | 1,207 | |||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Put - 30-Year Interest Rate Swap |
Receive | USD-LIBOR | 2.237% | 11/17/23 | DUB | 300,000 | 18,621 | 55,521 | ||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Total Interest Rate Swaptions |
$39,426 | $56,728 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Total Purchased Options |
$39,426 | $56,728 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| (g) | Premiums received and value of written options outstanding as of March 31, 2023 were as follows: |
Inflation Floor/Cap Options
| Description | Initial Index |
Floating Rate | Expiration Date |
Counter- party |
Notional Amount |
Premium | Value | |||||||||||||||||
| Cap - U.S. CPI Urban Consumers |
$233.92 | Maximum of [0, Final Index/ Initial Index - (1 + 4.000%)10] |
04/22/24 | JPM | $700,000 | $5,093 | $— | |||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||
Interest Rate Swaptions
| Description | Pay/Receive Floating Rate |
Floating Rate Index | Exercise Rate |
Expiration Date |
Counter- party |
Notional Amount |
Premium | Value | ||||||||||||||||||||
| Call - 10-Year Interest Rate Swap |
Receive | USD-SOFR | 2.350% | 04/26/23 | GSC | $400,000 | $7,898 | ($83) | ||||||||||||||||||||
| Call - 10-Year Interest Rate Swap |
Receive | USD-SOFR | 2.350% | 05/31/23 | MSC | 600,000 | 13,073 | (855) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 20,971 | (938) | |||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Put - 5-Year Interest Rate Swap |
Pay | USD-LIBOR | 2.340% | 11/17/23 | DUB | 1,300,000 | 16,380 | (66,503) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Interest Rate Swaptions |
$37,351 | ($67,441) | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
Options on Futures
| Description | Exercise Price |
Expiration Date |
Exchange | Number of Contracts |
Notional Amount |
Premium | Value | |||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
$119.00 | 04/21/23 | CME | 1 | $119,000 | $914 | ($125 | ) | ||||||||||||||||||||
| Call - Euro-Bund (05/23) |
EUR 140.00 | 04/21/23 | EUX | 2 | EUR 280,000 | 1,950 | (651 | ) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 2,864 | (776 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (05/23) |
$112.00 | 04/21/23 | CME | 1 | $112,000 | 536 | (109 | ) | ||||||||||||||||||||
| Put - Euro-Bund (05/23) |
EUR 132.50 | 04/21/23 | EUX | 2 | EUR 265,000 | 1,755 | (781 | ) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 2,291 | (890 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Options on Futures |
$5,155 | ($1,666 | ) | |||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Written Options |
$47,599 | ($69,107 | ) | |||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| (h) | Swap agreements outstanding as of March 31, 2023 were as follows: |
Interest Rate Swaps – Long
| Receive | Pay | Payment Frequency Receive Rate/ Pay Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||
| 5.150% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/23/23 | $100,000 | ($263 | ) | $— | ($263 | ) | ||||||||||||||||||
| 5.185% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/24/23 | 200,000 | (400 | ) | — | (400 | ) | ||||||||||||||||||
| (0.526%) | EUR-LIBOR | A / Q | LCH | 11/21/23 | EUR 800,000 | (25,566 | ) | — | (25,566 | ) | ||||||||||||||||||
| 0.650% | EUR-LIBOR | A / S | LCH | 04/12/27 | 100,000 | (10,259 | ) | — | (10,259 | ) | ||||||||||||||||||
| 0.650% | EUR-LIBOR | A / S | LCH | 05/11/27 | 100,000 | (10,358 | ) | — | (10,358 | ) | ||||||||||||||||||
| 1.000% | EUR-LIBOR | A / S | LCH | 05/13/27 | 100,000 | (8,633 | ) | — | (8,633 | ) | ||||||||||||||||||
| 2.335% | U.S. CPI Urban Consumers | Z / Z | LCH | 02/05/28 | $190,000 | (18,515 | ) | 338 | (18,853 | ) | ||||||||||||||||||
| 2.364% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/10/28 | 50,000 | (4,683 | ) | — | (4,683 | ) | ||||||||||||||||||
| 2.379% | U.S. CPI Urban Consumers | Z / Z | LCH | 07/09/28 | 500,000 | (46,297 | ) | (287 | ) | (46,010 | ) | |||||||||||||||||
| 2.165% | U.S. CPI Urban Consumers | Z / Z | LCH | 04/16/29 | 100,000 | (12,311 | ) | — | (12,311 | ) | ||||||||||||||||||
| 1.998% | U.S. CPI Urban Consumers | Z / Z | LCH | 07/25/29 | 100,000 | (13,582 | ) | — | (13,582 | ) | ||||||||||||||||||
| 1.760% | U.S. CPI Urban Consumers | Z / Z | LCH | 11/04/29 | 400,000 | (64,532 | ) | (708 | ) | (63,824 | ) | |||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-46
Table of Contents
PACIFIC FUNDS
PF INFLATION MANAGED FUND
Schedule of Investments (Continued)
March 31, 2023
| Receive | Pay | Payment Frequency Receive Rate/ Pay Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||
| 1.380% | Eurostat Eurozone HICP | Z / Z | LCH | 03/15/31 | EUR 200,000 | ($44,630 | ) | ($1,361 | ) | ($43,269 | ) | |||||||||||||||||
| 2.879% | EUR-LIBOR | A / S | LCH | 08/15/32 | 400,000 | (2,172 | ) | — | (2,172 | ) | ||||||||||||||||||
| 0.000% | EUR-LIBOR | A / S | LCH | 11/04/32 | 200,000 | (54,897 | ) | — | (54,897 | ) | ||||||||||||||||||
| 0.000% | EUR-LIBOR | A / S | LCH | 11/08/32 | 600,000 | (164,896 | ) | — | (164,896 | ) | ||||||||||||||||||
| 2.547% | EUR-LIBOR | A / S | LCH | 03/09/33 | 100,000 | (3,884 | ) | — | (3,884 | ) | ||||||||||||||||||
| 3.000% | EUR-LIBOR | A / S | LCH | 09/20/33 | 400,000 | 2,482 | (4,856 | ) | 7,338 | |||||||||||||||||||
| 3.085% | USD-SOFR | A / A | LCH | 02/13/34 | $1,000,000 | 3,906 | (7,726 | ) | 11,632 | |||||||||||||||||||
| 2.488% | Eurostat Eurozone HICP | Z / Z | LCH | 05/15/37 | EUR 70,000 | (4,269 | ) | 60 | (4,329 | ) | ||||||||||||||||||
| 1.387% | Eurostat Eurozone HICP | Z / Z | LCH | 08/15/49 | 20,000 | (8,766 | ) | — | (8,766 | ) | ||||||||||||||||||
| 2.421% | Eurostat Eurozone HICP | Z / Z | LCH | 05/15/52 | 10,000 | (1,347 | ) | — | (1,347 | ) | ||||||||||||||||||
| 1.888% | USD-LIBOR | S / Q | LCH | 11/21/53 | $100,000 | (24,376 | ) | — | (24,376 | ) | ||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||
| ($518,248 | ) | ($14,540 | ) | ($503,708 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||
Interest Rate Swaps – Short
| Pay | Receive | Payment Frequency Pay Rate/ Receive Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||
| 2.263% | U.S. CPI Urban Consumers | Z / Z | LCH | 04/27/23 | $60,000 | $5,361 | $— | $5,361 | ||||||||||||||||||||
| 2.263% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/09/23 | 120,000 | 10,832 | — | 10,832 | ||||||||||||||||||||
| 2.281% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/10/23 | 180,000 | 15,760 | — | 15,760 | ||||||||||||||||||||
| 1.030% | France CPI Ex Tobacco | Z / Z | LCH | 03/15/24 | EUR 140,000 | 13,424 | (53 | ) | 13,477 | |||||||||||||||||||
| 2.314% | U.S. CPI Urban Consumers | Z / Z | LCH | 02/26/26 | $200,000 | 20,372 | — | 20,372 | ||||||||||||||||||||
| 2.419% | U.S. CPI Urban Consumers | Z / Z | LCH | 03/05/26 | 100,000 | 9,673 | — | 9,673 | ||||||||||||||||||||
| 2.768% | U.S. CPI Urban Consumers | Z / Z | LCH | 05/13/26 | 100,000 | 7,622 | — | 7,622 | ||||||||||||||||||||
| 2.690% | U.S. CPI Urban Consumers | Z / Z | LCH | 06/01/26 | 100,000 | 7,837 | — | 7,837 | ||||||||||||||||||||
| 3.000% | Eurostat Eurozone HICP | Z / Z | LCH | 05/15/27 | EUR 100,000 | 3,412 | 50 | 3,362 | ||||||||||||||||||||
| 1.798% | U.S. CPI Urban Consumers | Z / Z | LCH | 08/25/27 | $500,000 | 75,978 | — | 75,978 | ||||||||||||||||||||
| 1.890% | U.S. CPI Urban Consumers | Z / Z | LCH | 08/27/27 | 500,000 | 72,745 | — | 72,745 | ||||||||||||||||||||
| 3.250% | 3-Month NZD-Bank Bills | S / Q | CME | 03/21/28 | NZD 100,000 | 3,274 | 290 | 2,984 | ||||||||||||||||||||
| 2.645% | U.S. CPI Urban Consumers | Z / Z | LCH | 09/10/28 | $100,000 | 6,130 | — | 6,130 | ||||||||||||||||||||
| 1.840% | USD-LIBOR | S / Q | LCH | 11/21/28 | 400,000 | 27,581 | — | 27,581 | ||||||||||||||||||||
| 2.359% | Eurostat Eurozone HICP | Z / Z | LCH | 08/15/30 | EUR 200,000 | 9,026 | 1,107 | 7,919 | ||||||||||||||||||||
| 2.311% | U.S. CPI Urban Consumers | Z / Z | LCH | 02/24/31 | $200,000 | 23,303 | 94 | 23,209 | ||||||||||||||||||||
| 2.720% | Eurostat Eurozone HICP | Z / Z | LCH | 06/15/32 | EUR 100,000 | 1,585 | (965 | ) | 2,550 | |||||||||||||||||||
| 0.190% | EUR-LIBOR | A / S | LCH | 11/04/52 | 60,000 | 30,954 | — | 30,954 | ||||||||||||||||||||
| 0.197% | EUR-LIBOR | A / S | LCH | 11/08/52 | 200,000 | 102,898 | — | 102,898 | ||||||||||||||||||||
| 2.500% | EUR-LIBOR | A / S | LCH | 09/20/53 | 200,000 | (1,820 | ) | 5,225 | (7,045 | ) | ||||||||||||||||||
| 2.865% | USD-SOFR | A / A | LCH | 02/13/54 | $500,000 | (368 | ) | 9,568 | (9,936 | ) | ||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||
| $445,579 | $15,316 | $430,263 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||
| Total Interest Rate Swaps |
($72,669 | ) | $776 | ($73,445 | ) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total Return Swaps – Long
| Receive | Pay | Payment Frequency |
Counter- party |
Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| U.S. Treasury Inflation Protected Securities |
4.770% | Z | MSC | 04/21/23 | $1,000,000 | $6,955 | $— | $6,955 | ||||||||||||||||||||||||
| U.S. Treasury Inflation Protected Securities |
4.770% | Z | MSC | 04/21/23 | 1,000,000 | 7,585 | — | 7,585 | ||||||||||||||||||||||||
| U.S. Treasury Inflation Protected Securities |
4.770% | Z | MSC | 04/21/23 | 1,000,000 | 5,904 | — | 5,904 | ||||||||||||||||||||||||
| U.S. Treasury Inflation Protected Securities |
4.770% | Z | MSC | 04/21/23 | 500,000 | 5,056 | — | 5,056 | ||||||||||||||||||||||||
| U.S. Treasury Inflation Protected Securities |
4.770% | Z | MSC | 04/21/23 | 1,000,000 | 10,859 | — | 10,859 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $36,359 | $— | $36,359 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Swap Agreements |
($36,310 | ) | $776 | ($37,086 | ) | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-47
Table of Contents
PACIFIC FUNDS
PF INFLATION MANAGED FUND
Schedule of Investments (Continued)
March 31, 2023
Balances reported in the Statement of Assets and Liabilities for Over the Counter (OTC) Swaps and Centrally Cleared Swaps
| Upfront Premium Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||
| OTC Swap Agreements |
||||||||
| Assets |
$— | $36,359 | ||||||
| Liabilities |
— | — | ||||||
| Centrally Cleared Swap Agreements (1) |
||||||||
| Assets |
16,732 | 466,214 | ||||||
| Liabilities |
(15,956 | ) | (539,659 | ) | ||||
|
|
|
|
|
|||||
| $776 | ($37,086 | ) | ||||||
|
|
|
|
|
|||||
| (1) | Includes cumulative value on centrally cleared swaps, as reported in the Schedule of Investments. Only variation margin is reported within the Statement of Assets and Liabilities. |
| (i) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$106,371 | $— | $106,371 | $— | |||||||||||||
| Mortgage-Backed Securities |
1,740,133 | — | 1,740,133 | — | ||||||||||||||
| Asset-Backed Securities |
385 | — | 385 | — | ||||||||||||||
| U.S. Treasury Obligations |
32,155,397 | — | 32,155,397 | — | ||||||||||||||
| Foreign Government Bonds & Notes |
1,162,414 | — | 1,162,414 | — | ||||||||||||||
| Short-Term Investments |
539,903 | 140,951 | 398,952 | — | ||||||||||||||
| Derivatives: |
||||||||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
1,071 | — | 1,071 | — | ||||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
47,401 | 47,401 | — | — | ||||||||||||||
| Purchased Options |
56,728 | — | 56,728 | — | ||||||||||||||
| Swaps |
502,573 | — | 502,573 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Interest Rate Contracts |
606,702 | 47,401 | 559,301 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets - Derivatives |
607,773 | 47,401 | 560,372 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets |
36,312,376 | 188,352 | 36,124,024 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Liabilities |
Sale-buyback Financing Transactions |
(1,148,696 | ) | — | (1,148,696 | ) | — | |||||||||||
| Securities Sold Short |
||||||||||||||||||
| U.S. Treasury Obligations |
(1,271,367 | ) | — | (1,271,367 | ) | — | ||||||||||||
| Derivatives: |
||||||||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
(31,604 | ) | — | (31,604 | ) | — | ||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
(246,651 | ) | (246,651 | ) | — | — | ||||||||||||
| Written Options |
(69,107 | ) | — | (69,107 | ) | — | ||||||||||||
| Swaps |
(539,659 | ) | — | (539,659 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Interest Rate Contracts |
(855,417 | ) | (246,651 | ) | (608,766 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities - Derivatives |
(887,021 | ) | (246,651 | ) | (640,370 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities |
(3,307,084 | ) | (246,651 | ) | (3,060,433 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$33,005,292 | ($58,299 | ) | $33,063,591 | $— | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-48
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 0.0% |
|
|||||||
| Financial - 0.0% |
||||||||
| CBL & Associates Properties Inc REIT |
2,876 | $73,741 | ||||||
|
|
|
|||||||
| Total Common Stocks |
73,741 | |||||||
|
|
|
|||||||
| Principal |
||||||||
| CORPORATE BONDS & NOTES - 18.1% |
|
|||||||
| Basic Materials - 0.2% |
|
|||||||
| Anglo American Capital PLC (South Africa) |
$215,000 | 209,943 | ||||||
| CF Industries Inc |
85,000 | 73,453 | ||||||
| DuPont de Nemours Inc |
55,000 | 55,437 | ||||||
| Glencore Funding LLC (Australia) |
135,000 | 113,164 | ||||||
| International Flavors & Fragrances Inc |
200,000 | 169,913 | ||||||
| 2.300% due 11/01/30 ~ |
66,000 | 53,013 | ||||||
| LYB International Finance III LLC |
59,000 | 53,482 | ||||||
| Nutrien Ltd (Canada) |
30,000 | 27,577 | ||||||
|
|
|
|||||||
| 755,982 | ||||||||
|
|
|
|||||||
| Communications - 1.1% |
|
|||||||
| Amazon.com Inc |
75,000 | 66,648 | ||||||
| AT&T Inc |
110,000 | 89,975 | ||||||
| 3.500% due 06/01/41 |
110,000 | 86,906 | ||||||
| 3.550% due 09/15/55 |
181,000 | 130,153 | ||||||
| Charter Communications Operating LLC |
300,000 | 250,360 | ||||||
| 3.500% due 06/01/41 |
40,000 | 27,484 | ||||||
| 3.700% due 04/01/51 |
225,000 | 144,273 | ||||||
| 4.400% due 04/01/33 |
300,000 | 266,465 | ||||||
| Comcast Corp |
472,000 | 319,279 | ||||||
| 3.250% due 11/01/39 |
175,000 | 142,195 | ||||||
| Corning Inc |
20,000 | 21,121 | ||||||
| Cox Communications Inc |
60,000 | 38,549 | ||||||
| Discovery Communications LLC |
100,000 | 88,750 | ||||||
| eBay Inc |
200,000 | 205,522 | ||||||
| Expedia Group Inc |
800,000 | 758,517 | ||||||
| Paramount Global |
50,000 | 45,595 | ||||||
| T-Mobile USA Inc |
840,000 | 788,846 | ||||||
| Verizon Communications Inc |
921,000 | 658,342 | ||||||
|
|
|
|||||||
| 4,128,980 | ||||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Consumer, Cyclical - 1.5% |
|
|||||||
| 7-Eleven Inc |
$ | 60,000 | $ | 53,977 | ||||
| 2.500% due 02/10/41 ~ |
49,000 | 33,141 | ||||||
| Alimentation Couche-Tard Inc (Canada) |
85,000 | 63,656 | ||||||
| 3.625% due 05/13/51 ~ |
90,000 | 63,155 | ||||||
| American Airlines Pass-Through Trust ‘A’ |
129,510 | 112,086 | ||||||
| American Airlines Pass-Through Trust ‘AA’ |
251,106 | 225,793 | ||||||
| American Airlines Pass-Through Trust ‘B’ |
211,055 | 185,734 | ||||||
| AutoZone Inc |
100,000 | 97,504 | ||||||
| Delta Air Lines Pass-Through Trust ‘A’ |
187,333 | 164,567 | ||||||
| Delta Air Lines Pass-Through Trust ‘B’ |
82,196 | 81,422 | ||||||
| Ford Motor Credit Co LLC |
EUR 300,000 | 306,099 | ||||||
| 3.250% due 09/15/25 |
300,000 | 312,564 | ||||||
| General Motors Financial Co Inc |
$45,000 | 42,144 | ||||||
| 2.700% due 06/10/31 |
65,000 | 52,124 | ||||||
| 3.800% due 04/07/25 |
35,000 | 34,051 | ||||||
| 4.350% due 01/17/27 |
40,000 | 38,793 | ||||||
| Hasbro Inc |
50,000 | 45,560 | ||||||
| Hyundai Capital America |
40,000 | 35,939 | ||||||
| 2.650% due 02/10/25 ~ |
150,000 | 143,136 | ||||||
| JetBlue Pass-Through Trust ‘B’ |
102,872 | 103,180 | ||||||
| Las Vegas Sands Corp |
300,000 | 290,417 | ||||||
| Lear Corp |
25,000 | 19,594 | ||||||
| Lennar Corp |
35,000 | 34,591 | ||||||
| Lowe’s Cos Inc |
540,000 | 533,883 | ||||||
| MDC Holdings Inc |
40,000 | 31,147 | ||||||
| Mileage Plus Holdings LLC |
2,503 | 2,498 | ||||||
| Nissan Motor Acceptance Co LLC |
300,000 | 266,042 | ||||||
| 2.750% due 03/09/28 ~ |
300,000 | 253,939 | ||||||
| O’Reilly Automotive Inc |
100,000 | 95,503 | ||||||
| Sands China Ltd (Macao) |
250,000 | 214,683 | ||||||
| 3.350% due 03/08/29 |
200,000 | 166,297 | ||||||
| 5.625% due 08/08/25 |
310,000 | 302,418 | ||||||
| Starbucks Corp |
40,000 | 29,865 | ||||||
| The Home Depot Inc |
253,000 | 253,079 | ||||||
| Tractor Supply Co |
100,000 | 79,643 | ||||||
| United Airlines Pass-Through Trust ‘A’ |
77,247 | 66,959 | ||||||
| 3.700% due 09/01/31 |
200,004 | 173,293 | ||||||
| United Airlines Pass-Through Trust ‘B’ |
208,692 | 193,955 | ||||||
| 3.650% due 07/07/27 |
137,222 | 128,112 | ||||||
|
|
|
|||||||
| 5,330,543 | ||||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-49
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Consumer, Non-Cyclical - 2.1% |
|
|||||||
| AbbVie Inc |
$ | 120,000 | $ | 111,409 | ||||
| 4.050% due 11/21/39 |
100,000 | 89,454 | ||||||
| 4.250% due 11/21/49 |
640,000 | 565,360 | ||||||
| Altria Group Inc |
100,000 | 78,794 | ||||||
| Amgen Inc |
115,000 | 118,214 | ||||||
| 5.600% due 03/02/43 |
145,000 | 149,502 | ||||||
| Anheuser-Busch Cos LLC (Belgium) |
1,190,000 | 1,168,735 | ||||||
| AstraZeneca PLC (United Kingdom) |
35,000 | 41,325 | ||||||
| Baptist Healthcare System Obligated Group |
95,000 | 71,773 | ||||||
| BAT Capital Corp (United Kingdom) |
200,000 | 171,616 | ||||||
| 4.390% due 08/15/37 |
40,000 | 32,672 | ||||||
| Bon Secours Mercy Health Inc |
125,000 | 88,708 | ||||||
| Boston Scientific Corp |
30,000 | 28,248 | ||||||
| Bristol-Myers Squibb Co |
25,000 | 18,036 | ||||||
| 4.550% due 02/20/48 |
90,000 | 85,136 | ||||||
| Bunge Ltd Finance Corp |
95,000 | 80,860 | ||||||
| CommonSpirit Health |
185,000 | 157,360 | ||||||
| 6.073% due 11/01/27 |
200,000 | 205,468 | ||||||
| CVS Health Corp |
630,000 | 615,254 | ||||||
| DH Europe Finance II Sarl |
60,000 | 50,117 | ||||||
| Elevance Health Inc |
105,000 | 90,214 | ||||||
| Gilead Sciences Inc |
90,000 | 66,443 | ||||||
| Global Payments Inc |
122,000 | 107,425 | ||||||
| 5.400% due 08/15/32 |
300,000 | 294,399 | ||||||
| HCA Inc |
440,000 | 440,654 | ||||||
| Humana Inc |
20,000 | 18,289 | ||||||
| Illumina Inc |
300,000 | 302,998 | ||||||
| Kellogg Co |
87,000 | 89,348 | ||||||
| Keurig Dr Pepper Inc |
165,000 | 150,672 | ||||||
| Kraft Heinz Foods Co |
35,000 | 30,523 | ||||||
| 4.625% due 10/01/39 |
65,000 | 59,651 | ||||||
| MedStar Health Inc |
90,000 | 65,763 | ||||||
| MyMichigan Health |
55,000 | 39,812 | ||||||
| PeaceHealth Obligated Group |
115,000 | 81,802 | ||||||
| Philip Morris International Inc |
300,000 | 307,190 | ||||||
| Piedmont Healthcare Inc |
55,000 | 35,723 | ||||||
| Quanta Services Inc |
90,000 | 71,508 | ||||||
| Regeneron Pharmaceuticals Inc |
600,000 | 485,815 | ||||||
| Principal |
Value |
|||||||
| S&P Global Inc |
$ | 82,000 | $ | 74,638 | ||||
| Smithfield Foods Inc |
100,000 | 79,862 | ||||||
| Takeda Pharmaceutical Co Ltd (Japan) |
225,000 | 190,075 | ||||||
| Thermo Fisher Scientific Inc |
85,000 | 70,916 | ||||||
| Triton Container International Ltd (Bermuda) |
150,000 | 133,256 | ||||||
| Tyson Foods Inc |
75,000 | 71,574 | ||||||
| UnitedHealth Group Inc |
230,000 | 173,132 | ||||||
| 5.875% due 02/15/53 |
40,000 | 45,031 | ||||||
| Universal Health Services Inc |
4,000 | 3,210 | ||||||
| University of Miami |
20,000 | 17,190 | ||||||
| Utah Acquisition Sub Inc |
105,000 | 100,085 | ||||||
| Verisk Analytics Inc |
75,000 | 78,797 | ||||||
| Viatris Inc |
60,000 | 42,165 | ||||||
| West Virginia United Health System Obligated Group |
55,000 | 37,162 | ||||||
|
|
|
|||||||
| 7,783,363 | ||||||||
|
|
|
|||||||
| Energy - 1.0% |
|
|||||||
| Boardwalk Pipelines LP |
85,000 | 82,886 | ||||||
| BP Capital Markets America Inc |
225,000 | 152,607 | ||||||
| 2.939% due 06/04/51 |
55,000 | 38,215 | ||||||
| Continental Resources Inc |
300,000 | 288,486 | ||||||
| Coterra Energy Inc |
85,000 | 81,183 | ||||||
| DT Midstream Inc |
70,000 | 62,822 | ||||||
| Enbridge Inc (Canada) |
80,000 | 83,259 | ||||||
| Energy Transfer Operating LP |
230,000 | 225,242 | ||||||
| 3.900% due 07/15/26 |
305,000 | 293,544 | ||||||
| 6.750% due 05/15/25 |
20,000 | 17,677 | ||||||
| 7.125% due 05/15/30 |
10,000 | 8,435 | ||||||
| 8.892% (USD LIBOR + 4.028%) |
20,000 | 17,813 | ||||||
| Eni SPA (Italy) |
200,000 | 198,394 | ||||||
| Exxon Mobil Corp |
180,000 | 145,744 | ||||||
| Flex Intermediate Holdco LLC |
45,000 | 37,020 | ||||||
| 4.317% due 12/30/39 ~ |
35,000 | 26,673 | ||||||
| Gray Oak Pipeline LLC |
300,000 | 278,300 | ||||||
| 3.450% due 10/15/27 ~ |
125,000 | 113,403 | ||||||
| HF Sinclair Corp |
35,000 | 34,448 | ||||||
| 5.875% due 04/01/26 |
63,000 | 63,711 | ||||||
| Kinder Morgan Inc |
200,000 | 199,855 | ||||||
| MPLX LP |
105,000 | 93,425 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-50
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| NGPL PipeCo LLC |
$ | 50,000 | $ | 42,481 | ||||
| Phillips 66 Co |
100,000 | 95,468 | ||||||
| 4.900% due 10/01/46 ~ |
50,000 | 45,816 | ||||||
| Pioneer Natural Resources Co |
135,000 | 109,985 | ||||||
| Sabine Pass Liquefaction LLC |
200,000 | 201,350 | ||||||
| Schlumberger Holdings Corp |
40,000 | 38,491 | ||||||
| Shell International Finance BV (Netherlands) |
50,000 | 37,366 | ||||||
| Targa Resources Corp |
20,000 | 18,006 | ||||||
| 5.200% due 07/01/27 |
91,000 | 90,303 | ||||||
| TransCanada PipeLines Ltd (Canada) |
55,000 | 58,065 | ||||||
| Western Midstream Operating LP |
30,000 | 28,677 | ||||||
| 4.300% due 02/01/30 |
60,000 | 54,675 | ||||||
| 4.500% due 03/01/28 |
30,000 | 28,410 | ||||||
| 4.650% due 07/01/26 |
50,000 | 48,375 | ||||||
| 5.300% due 03/01/48 |
57,000 | 48,384 | ||||||
| 5.500% due 08/15/48 |
60,000 | 51,757 | ||||||
| 5.500% due 02/01/50 |
30,000 | 25,500 | ||||||
|
|
|
|||||||
| 3,566,251 | ||||||||
|
|
|
|||||||
| Financial - 8.2% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
150,000 | 134,813 | ||||||
| 3.150% due 02/15/24 |
150,000 | 145,497 | ||||||
| AIB Group PLC (Ireland) |
200,000 | 195,818 | ||||||
| Air Lease Corp |
555,000 | 547,826 | ||||||
| 3.375% due 07/01/25 |
60,000 | 57,211 | ||||||
| Alexandria Real Estate Equities Inc REIT |
100,000 | 75,039 | ||||||
| American Express Co |
40,000 | 39,226 | ||||||
| American Homes 4 Rent LP REIT |
200,000 | 187,890 | ||||||
| American International Group Inc |
140,000 | 119,791 | ||||||
| American Tower Corp REIT |
135,000 | 114,947 | ||||||
| 2.950% due 01/15/51 |
41,000 | 26,301 | ||||||
| 3.100% due 06/15/50 |
64,000 | 42,089 | ||||||
| Athene Global Funding |
215,000 | 203,041 | ||||||
| Australia & New Zealand Banking Group Ltd (Australia) |
205,000 | 198,155 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
45,000 | 40,041 | ||||||
| 2.528% due 11/18/27 ~ |
523,000 | 443,024 | ||||||
| 4.250% due 04/15/26 ~ |
365,000 | 343,585 | ||||||
| Banco Santander SA (Spain) |
200,000 | 199,915 | ||||||
| Bank of America Corp |
275,000 | 224,952 | ||||||
| 2.676% due 06/19/41 |
420,000 | 297,483 | ||||||
| 3.705% due 04/24/28 |
370,000 | 350,050 | ||||||
| 4.376% due 04/27/28 |
1,265,000 | 1,224,659 | ||||||
| Bank of Ireland Group PLC (Ireland) |
300,000 | 298,505 | ||||||
| Bank of Montreal (Canada) |
40,000 | 36,145 | ||||||
| Principal |
Value |
|||||||
| Barclays PLC (United Kingdom) |
$ | 200,000 | $ | 193,060 | ||||
| 7.325% due 11/02/26 |
200,000 | 205,007 | ||||||
| 7.385% due 11/02/28 |
200,000 | 212,169 | ||||||
| 7.750% due 09/15/23 |
300,000 | 275,936 | ||||||
| Berkshire Hathaway Finance Corp |
150,000 | 125,883 | ||||||
| BNP Paribas SA (France) |
900,000 | 766,110 | ||||||
| 2.159% due 09/15/29 ~ |
200,000 | 166,871 | ||||||
| 2.219% due 06/09/26 ~ |
200,000 | 183,829 | ||||||
| 4.375% due 03/01/33 ~ |
250,000 | 227,964 | ||||||
| 5.125% due 01/13/29 ~ |
200,000 | 200,569 | ||||||
| BPCE SA (France) |
295,000 | 265,300 | ||||||
| Brixmor Operating Partnership LP REIT |
70,000 | 60,140 | ||||||
| 2.500% due 08/16/31 |
25,000 | 19,340 | ||||||
| Brookfield Finance Inc (Canada) |
115,000 | 76,766 | ||||||
| Brown & Brown Inc |
220,000 | 176,025 | ||||||
| Capital One Financial Corp |
170,000 | 156,086 | ||||||
| Citigroup Inc |
840,000 | 711,477 | ||||||
| 5.950% due 05/15/25 |
50,000 | 46,660 | ||||||
| 8.870% (USD LIBOR + 4.068%) |
90,000 | 89,550 | ||||||
| Cooperatieve Rabobank UA (Netherlands) |
260,000 | 251,706 | ||||||
| 4.655% due 08/22/28 ~ |
300,000 | 291,773 | ||||||
| Corebridge Financial Inc |
135,000 | 126,647 | ||||||
| 3.850% due 04/05/29 ~ |
25,000 | 22,850 | ||||||
| Credit Agricole SA (France) |
250,000 | 223,495 | ||||||
| Credit Suisse AG (Switzerland) |
250,000 | 237,608 | ||||||
| 4.750% due 08/09/24 |
300,000 | 291,090 | ||||||
| Credit Suisse Group AG (Switzerland) |
250,000 | 223,176 | ||||||
| 3.869% due 01/12/29 ~ |
300,000 | 267,841 | ||||||
| 4.194% due 04/01/31 ~ |
420,000 | 373,926 | ||||||
| 4.282% due 01/09/28 ~ |
250,000 | 225,938 | ||||||
| 6.537% due 08/12/33 ~ |
400,000 | 412,000 | ||||||
| 9.750% due 06/23/27 ~ |
230,000 | 13,225 | ||||||
| Crown Castle Inc REIT |
100,000 | 88,952 | ||||||
| Danske Bank AS (Denmark) |
300,000 | 283,484 | ||||||
| 5.375% due 01/12/24 ~ |
400,000 | 396,414 | ||||||
| Deutsche Bank AG (Germany) |
GBP 200,000 | 228,089 | ||||||
| 3.961% due 11/26/25 |
$300,000 | 284,033 | ||||||
| 6.119% due 07/14/26 |
300,000 | 290,717 | ||||||
| Empower Finance LP (Canada) |
115,000 | 75,175 | ||||||
| Equinix Inc REIT |
109,000 | 93,275 | ||||||
| F&G Global Funding |
45,000 | 40,498 | ||||||
| Federation des Caisses Desjardins du Quebec (Canada) |
400,000 | 390,432 | ||||||
| 5.700% due 03/14/28 ~ |
200,000 | 205,014 | ||||||
| Fifth Third Bancorp |
200,000 | 201,506 | ||||||
| Healthcare Realty Holdings LP REIT |
200,000 | 156,296 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-51
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Healthpeak OP LLC REIT |
$ | 79,000 | $ | 68,597 | ||||
| HSBC Holdings PLC (United Kingdom) |
200,000 | 162,343 | ||||||
| 4.041% due 03/13/28 |
230,000 | 215,979 | ||||||
| 5.210% due 08/11/28 |
200,000 | 198,131 | ||||||
| 7.336% due 11/03/26 |
200,000 | 207,710 | ||||||
| 7.390% due 11/03/28 |
200,000 | 213,038 | ||||||
| Hudson Pacific Properties LP REIT |
800,000 | 562,223 | ||||||
| ING Groep NV (Netherlands) |
700,000 | 669,684 | ||||||
| Intesa Sanpaolo SPA (Italy) |
370,000 | 355,611 | ||||||
| JPMorgan Chase & Co |
500,000 | 503,695 | ||||||
| KKR Group Finance Co II LLC |
30,000 | 28,493 | ||||||
| Life Storage LP REIT |
75,000 | 60,542 | ||||||
| Lloyds Banking Group PLC (United Kingdom) |
500,000 | 475,044 | ||||||
| Macquarie Group Ltd (Australia) |
185,000 | 165,220 | ||||||
| MassMutual Global Funding II |
300,000 | 303,934 | ||||||
| MetLife Inc |
110,000 | 92,349 | ||||||
| Mitsubishi UFJ Financial Group Inc (Japan) |
230,000 | 203,716 | ||||||
| Mizuho Financial Group Inc (Japan) |
300,000 | 266,082 | ||||||
| 5.414% due 09/13/28 |
240,000 | 241,216 | ||||||
| Morgan Stanley |
1,810,000 | 1,654,958 | ||||||
| 3.737% due 04/24/24 |
70,000 | 69,877 | ||||||
| 4.457% due 04/22/39 |
150,000 | 137,297 | ||||||
| NatWest Group PLC (United Kingdom) |
200,000 | 187,968 | ||||||
| 4.892% due 05/18/29 |
200,000 | 192,212 | ||||||
| New York Life Global Funding |
40,000 | 36,849 | ||||||
| New York Life Insurance Co |
150,000 | 121,412 | ||||||
| Northwestern Mutual Global Funding |
50,000 | 43,069 | ||||||
| Office Properties Income Trust REIT |
50,000 | 43,201 | ||||||
| Omega Healthcare Investors Inc REIT |
800,000 | 632,759 | ||||||
| Physicians Realty LP REIT |
30,000 | 23,666 | ||||||
| Principal Life Global Funding II |
20,000 | 18,309 | ||||||
| Public Storage REIT |
38,000 | 33,404 | ||||||
| 2.250% due 11/09/31 |
32,000 | 26,577 | ||||||
| Sabra Health Care LP REIT |
50,000 | 36,727 | ||||||
| Santander Holdings USA Inc |
700,000 | 655,892 | ||||||
| 4.500% due 07/17/25 |
100,000 | 95,610 | ||||||
| Scentre Group Trust 1 REIT (Australia) |
220,000 | 210,837 | ||||||
| Societe Generale SA (France) |
300,000 | 260,405 | ||||||
| 4.250% due 04/14/25 ~ |
200,000 | 187,713 | ||||||
| Standard Chartered PLC (United Kingdom) |
500,000 | 439,673 | ||||||
| Principal |
Value |
|||||||
| Sumitomo Mitsui Financial Group Inc (Japan) |
$ | 300,000 | $ | 258,262 | ||||
| Teachers Insurance & Annuity Association of America |
50,000 | 36,152 | ||||||
| 6.850% due 12/16/39 ~ |
18,000 | 20,225 | ||||||
| The Bank of Nova Scotia (Canada) |
70,000 | 61,762 | ||||||
| The Goldman Sachs Group Inc |
360,000 | 321,969 | ||||||
| 2.383% due 07/21/32 |
330,000 | 268,140 | ||||||
| 2.640% due 02/24/28 |
320,000 | 292,190 | ||||||
| 4.017% due 10/31/38 |
620,000 | 537,322 | ||||||
| Truist Financial Corp |
300,000 | 299,377 | ||||||
| UBS Group AG (Switzerland) |
200,000 | 172,433 | ||||||
| 7.000% due 01/31/24 ~ |
250,000 | 237,803 | ||||||
| UDR Inc REIT |
30,000 | 22,464 | ||||||
| 2.100% due 08/01/32 |
200,000 | 154,609 | ||||||
| Wells Fargo & Co |
1,600,000 | 1,441,804 | ||||||
| 4.611% due 04/25/53 |
70,000 | 62,185 | ||||||
| Westpac Banking Corp (Australia) |
53,000 | 36,583 | ||||||
| WP Carey Inc REIT |
55,000 | 41,965 | ||||||
| 2.400% due 02/01/31 |
75,000 | 61,288 | ||||||
|
|
|
|||||||
| 29,828,460 | ||||||||
|
|
|
|||||||
| Industrial - 0.7% |
|
|||||||
| CSX Corp |
70,000 | 57,593 | ||||||
| Graphic Packaging International LLC |
95,000 | 84,738 | ||||||
| Kansas City Southern |
292,000 | 268,171 | ||||||
| Martin Marietta Materials Inc |
40,000 | 37,989 | ||||||
| Masco Corp |
125,000 | 100,001 | ||||||
| Norfolk Southern Corp |
80,000 | 55,589 | ||||||
| Northrop Grumman Corp |
65,000 | 61,790 | ||||||
| 3.850% due 04/15/45 |
500,000 | 419,913 | ||||||
| Otis Worldwide Corp |
85,000 | 66,032 | ||||||
| Raytheon Technologies Corp |
170,000 | 140,870 | ||||||
| 5.150% due 02/27/33 |
68,000 | 70,807 | ||||||
| Textron Inc |
700,000 | 590,704 | ||||||
| The Boeing Co |
305,000 | 283,118 | ||||||
| 3.100% due 05/01/26 |
455,000 | 431,193 | ||||||
|
|
|
|||||||
| 2,668,508 | ||||||||
|
|
|
|||||||
| Technology - 1.1% |
|
|||||||
| Activision Blizzard Inc |
58,000 | 47,012 | ||||||
| Analog Devices Inc |
20,000 | 15,285 | ||||||
| Apple Inc |
140,000 | 120,290 | ||||||
| 3.950% due 08/08/52 |
215,000 | 192,991 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-52
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Broadcom Inc |
$ | 500,000 | $ | 409,589 | ||||
| 3.187% due 11/15/36 ~ |
26,000 | 19,725 | ||||||
| 3.469% due 04/15/34 ~ |
300,000 | 246,616 | ||||||
| CGI Inc (Canada) |
90,000 | 71,311 | ||||||
| Dell International LLC |
60,000 | 62,606 | ||||||
| KLA Corp |
425,000 | 325,397 | ||||||
| 4.650% due 07/15/32 |
97,000 | 97,983 | ||||||
| Leidos Inc |
35,000 | 28,421 | ||||||
| Marvell Technology Inc |
30,000 | 25,072 | ||||||
| Microchip Technology Inc |
32,000 | 30,729 | ||||||
| 0.983% due 09/01/24 |
18,000 | 16,998 | ||||||
| 2.670% due 09/01/23 |
22,000 | 21,694 | ||||||
| NXP BV (China) |
625,000 | 517,073 | ||||||
| 3.250% due 05/11/41 |
90,000 | 65,672 | ||||||
| Open Text Corp (Canada) |
500,000 | 516,250 | ||||||
| Oracle Corp |
200,000 | 197,329 | ||||||
| 3.950% due 03/25/51 |
270,000 | 203,570 | ||||||
| 6.150% due 11/09/29 |
100,000 | 106,560 | ||||||
| Roper Technologies Inc |
100,000 | 79,999 | ||||||
| Take-Two Interactive Software Inc |
79,000 | 76,458 | ||||||
| VMware Inc |
100,000 | 88,500 | ||||||
| 4.700% due 05/15/30 |
165,000 | 160,260 | ||||||
| Workday Inc |
52,000 | 49,787 | ||||||
| Xilinx Inc |
153,000 | 133,599 | ||||||
|
|
|
|||||||
| 3,926,776 | ||||||||
|
|
|
|||||||
| Utilities - 2.2% |
|
|||||||
| Alexander Funding Trust |
200,000 | 194,058 | ||||||
| APA Infrastructure Ltd (Australia) |
40,000 | 39,203 | ||||||
| Atmos Energy Corp |
60,000 | 40,852 | ||||||
| Berkshire Hathaway Energy Co |
100,000 | 68,880 | ||||||
| Consolidated Edison Co of New York Inc |
90,000 | 101,594 | ||||||
| Constellation Energy Generation LLC |
2,235,000 | 2,156,048 | ||||||
| 5.800% due 03/01/33 |
92,000 | 94,964 | ||||||
| Consumers Energy Co |
45,000 | 33,732 | ||||||
| Duke Energy Carolinas LLC |
300,000 | 261,118 | ||||||
| Duke Energy Corp |
100,000 | 96,772 | ||||||
| Duquesne Light Holdings Inc |
60,000 | 48,523 | ||||||
| Edison International |
70,000 | 71,552 | ||||||
| Emera US Finance LP (Canada) |
100,000 | 81,281 | ||||||
| Enel Finance America LLC (Italy) |
300,000 | 322,670 | ||||||
| Principal |
Value |
|||||||
| Enel Finance International NV (Italy) |
$ | 400,000 | $ | 386,306 | ||||
| Entergy Arkansas LLC |
45,000 | 29,205 | ||||||
| Entergy Louisiana LLC |
50,000 | 34,134 | ||||||
| Evergy Inc |
130,000 | 116,622 | ||||||
| Eversource Energy |
91,000 | 91,179 | ||||||
| Fells Point Funding Trust |
135,000 | 125,374 | ||||||
| Fortis Inc (Canada) |
135,000 | 126,805 | ||||||
| Indiana Michigan Power Co |
45,000 | 31,913 | ||||||
| ITC Holdings Corp |
65,000 | 57,299 | ||||||
| 4.950% due 09/22/27 ~ |
84,000 | 84,560 | ||||||
| Jersey Central Power & Light Co |
125,000 | 122,783 | ||||||
| JSW Hydro Energy Ltd (India) |
265,500 | 220,539 | ||||||
| NextEra Energy Capital Holdings Inc |
185,000 | 186,345 | ||||||
| NRG Energy Inc |
80,000 | 72,118 | ||||||
| 2.450% due 12/02/27 ~ |
90,000 | 77,070 | ||||||
| OGE Energy Corp |
35,000 | 34,756 | ||||||
| Pacific Gas and Electric Co |
345,000 | 336,647 | ||||||
| 2.950% due 03/01/26 |
50,000 | 46,562 | ||||||
| 3.150% due 01/01/26 |
200,000 | 186,792 | ||||||
| 3.250% due 02/16/24 |
115,000 | 112,678 | ||||||
| 3.450% due 07/01/25 |
85,000 | 81,086 | ||||||
| 3.750% due 08/15/42 |
33,000 | 23,484 | ||||||
| PacifiCorp |
80,000 | 68,657 | ||||||
| PG&E Energy Recovery Funding LLC |
205,000 | 150,385 | ||||||
| PG&E Wildfire Recovery Funding LLC |
30,000 | 29,082 | ||||||
| 5.099% due 06/01/54 |
65,000 | 66,329 | ||||||
| 5.212% due 12/01/49 |
190,000 | 195,216 | ||||||
| Public Service Co of Oklahoma |
120,000 | 83,354 | ||||||
| ReNew Wind Energy AP2 (India) |
400,000 | 336,311 | ||||||
| San Diego Gas & Electric Co |
100,000 | 69,718 | ||||||
| Southern California Edison Co |
95,000 | 85,574 | ||||||
| 3.700% due 08/01/25 |
300,000 | 292,546 | ||||||
| 4.125% due 03/01/48 |
60,000 | 49,760 | ||||||
| Southern Co Gas Capital Corp |
75,000 | 58,294 | ||||||
| Southern Power Co |
70,000 | 65,961 | ||||||
| Union Electric Co |
51,000 | 42,922 | ||||||
| Vistra Operations Co LLC |
92,000 | 90,763 | ||||||
| Xcel Energy Inc |
200,000 | 194,331 | ||||||
|
|
|
|||||||
| 8,074,707 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
66,063,570 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-53
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| SENIOR LOAN NOTES - 0.2% |
|
|||||||
| Financial - 0.2% |
||||||||
| Qatar National Bank QPSC (Qatar) |
$ | 600,000 | $ | 599,300 | ||||
|
|
|
|||||||
| Total Senior Loan Notes |
599,300 | |||||||
|
|
|
|||||||
| MORTGAGE-BACKED SECURITIES - 28.6% |
|
|||||||
| Collateralized Mortgage Obligations - Commercial - 2.6% |
|
|||||||
| ACRE Commercial Mortgage Ltd (Cayman) |
171,630 | 168,847 | ||||||
| 6.161% (USD LIBOR + 1.400%) |
180,000 | 174,767 | ||||||
| BAMLL Re-REMIC Trust |
190,000 | 173,823 | ||||||
| BDS LLC |
300,000 | 300,322 | ||||||
| Benchmark Mortgage Trust |
300,000 | 264,735 | ||||||
| BPR Trust |
320,000 | 312,778 | ||||||
| Citigroup Commercial Mortgage Trust |
700,000 | 671,773 | ||||||
| CLNC Ltd CLO (Cayman) |
263,202 | 260,162 | ||||||
| Commercial Mortgage Trust |
300,000 | 263,624 | ||||||
| CSMC Trust |
560,000 | 488,054 | ||||||
| Fannie Mae |
300,000 | 244,296 | ||||||
| 2.151% due 04/25/32 § |
1,050,000 | 886,430 | ||||||
| 3.700% due 01/25/36 |
100,000 | 93,419 | ||||||
| Fannie Mae (IO) |
4,907,980 | 457,760 | ||||||
| FHLMC Multifamily Structured Pass-Through Certificates |
2,700,000 | 203,206 | ||||||
| 1.981% due 12/25/31 § |
400,000 | 333,731 | ||||||
| 2.400% due 03/25/32 |
400,000 | 348,987 | ||||||
| 3.710% due 09/25/32 § |
290,000 | 278,697 | ||||||
| 3.820% due 12/25/32 § |
300,000 | 290,818 | ||||||
| FHLMC Multifamily Structured Pass-Through Certificates (IO) |
3,235,000 | 241,167 | ||||||
| 1.364% due 12/25/29 § |
1,490,000 | 94,635 | ||||||
| Freddie Mac Multiclass Certificates (IO) |
2,670,000 | 298,554 | ||||||
| Freddie Mac Multifamily Structured Credit Risk |
358,164 | 326,878 | ||||||
| FREMF Mortgage Trust |
350,000 | 326,285 | ||||||
| 3.881% due 01/25/50 ~ § |
415,000 | 393,019 | ||||||
| 3.933% due 12/25/46 ~ § |
300,000 | 296,880 | ||||||
| FRR Re-REMIC Trust |
100,000 | 98,237 | ||||||
| Government National Mortgage Association |
295,109 | 234,681 | ||||||
| 2.843% due 11/16/47 § |
38,297 | 34,907 | ||||||
| 3.000% due 10/16/64 § |
100,000 | 78,890 | ||||||
| Principal |
Value |
|||||||
| Government National Mortgage Association (IO) |
$ | 3,818,147 | $ | 33,095 | ||||
| 0.421% due 04/16/47 § |
1,918,277 | 18,278 | ||||||
| 0.640% due 02/16/61 § |
685,055 | 39,171 | ||||||
| PFP Ltd CLO (Cayman) |
261,987 | 246,401 | ||||||
| Ready Capital Mortgage Financing LLC |
299,574 | 297,942 | ||||||
| SLG Office Trust |
235,000 | 187,857 | ||||||
| Wells Fargo Commercial Mortgage Trust |
199,985 | 189,522 | ||||||
|
|
|
|||||||
| 9,652,628 | ||||||||
|
|
|
|||||||
| Collateralized Mortgage Obligations - Residential - 3.1% |
|
|||||||
| Ajax Mortgage Loan Trust |
215,303 | 202,501 | ||||||
| Alternative Loan Trust |
50,154 | 36,654 | ||||||
| Anchor Mortgage Trust |
206,493 | 200,631 | ||||||
| CFMT LLC |
125,408 | 122,349 | ||||||
| 1.374% due 02/25/31 ~ § |
665,000 | 629,150 | ||||||
| Chase Mortgage Finance Trust |
32,362 | 26,487 | ||||||
| CSMC Trust |
278,921 | 232,642 | ||||||
| 1.668% due 09/27/60 ~ § |
448,751 | 429,762 | ||||||
| Fannie Mae |
300,000 | 232,101 | ||||||
| 2.500% due 02/25/44 |
125,725 | 109,404 | ||||||
| 3.500% due 09/25/45 |
130,347 | 113,588 | ||||||
| 3.500% due 11/25/57 |
674,314 | 646,119 | ||||||
| 5.395% (USD LIBOR + 0.550%) |
59,345 | 58,775 | ||||||
| 5.500% due 04/25/35 |
217,590 | 227,497 | ||||||
| 6.375% (US PRIME - 1.625%) |
3,880 | 3,842 | ||||||
| Fannie Mae (IO) |
810,065 | 93,798 | ||||||
| 1.255% (6.100% - USD LIBOR) |
212,366 | 15,389 | ||||||
| 2.500% due 01/25/49 |
840,036 | 107,349 | ||||||
| 4.000% due 03/25/43 |
109,219 | 18,055 | ||||||
| 4.000% due 04/25/43 |
438,072 | 73,273 | ||||||
| Freddie Mac REMICS |
47,092 | 41,914 | ||||||
| 4.000% due 04/25/52 |
100,000 | 94,652 | ||||||
| 5.138% (USD LIBOR + 0.190%) |
170,558 | 165,920 | ||||||
| 8.000% due 04/15/30 |
31,997 | 34,087 | ||||||
| Freddie Mac REMICS (IO) |
85,658 | 11,583 | ||||||
| 2.500% due 05/25/49 |
272,659 | 37,817 | ||||||
| 2.500% due 09/25/50 |
149,896 | 22,824 | ||||||
| 3.500% due 04/15/43 |
131,609 | 21,383 | ||||||
| 4.000% due 04/15/43 |
34,566 | 1,421 | ||||||
| Freddie Mac Strips (IO) |
106,024 | 12,653 | ||||||
| Government National Mortgage Association |
408,177 | 407,945 | ||||||
| 2.500% due 10/20/51 |
98,226 | 85,925 | ||||||
| 4.625% due 09/20/66 § |
519,502 | 533,735 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-54
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| 5.166% (USD LIBOR + 0.600%) |
$ | 534,329 | $ | 528,868 | ||||
| 5.366% (USD LIBOR + 0.800%) |
395,591 | 393,499 | ||||||
| 5.366% (USD LIBOR + 0.800%) |
697,283 | 693,662 | ||||||
| 5.579% (SOFR + 1.020%) |
201,479 | 203,257 | ||||||
| 5.699% (SOFR + 1.140%) |
252,530 | 256,460 | ||||||
| 5.846% (USD LIBOR + 1.280%) |
790,974 | 792,175 | ||||||
| 5.846% (USD LIBOR + 1.280%) |
569,896 | 569,590 | ||||||
| Government National Mortgage Association (IO) |
7,470,981 | 240,743 | ||||||
| 1.152% (6.100% - USD LIBOR) |
151,066 | 23,997 | ||||||
| 1.389% (6.150% - USD LIBOR) |
700,918 | 84,934 | ||||||
| 2.500% due 08/20/50 |
157,248 | 21,845 | ||||||
| 2.500% due 09/20/50 |
80,543 | 11,132 | ||||||
| 2.500% due 10/20/50 |
164,341 | 22,154 | ||||||
| 4.000% due 11/20/44 |
331,764 | 58,959 | ||||||
| 4.500% due 11/16/45 |
139,913 | 27,831 | ||||||
| Great Hall Mortgages PLC (United Kingdom) |
88,531 | 87,420 | ||||||
| GS Mortgage-Backed Securities Corp Trust |
620,000 | 509,690 | ||||||
| HarborView Mortgage Loan Trust |
69,178 | 53,839 | ||||||
| New Residential Mortgage Loan Trust |
64,253 | 59,045 | ||||||
| PRPM LLC |
235,277 | 222,303 | ||||||
| Seasoned Credit Risk Transfer Trust |
180,999 | 163,137 | ||||||
| 3.500% due 05/25/57 |
242,898 | 230,774 | ||||||
| 3.500% due 06/25/57 |
260,806 | 247,382 | ||||||
| Towd Point Mortgage Trust |
240,000 | 182,439 | ||||||
| 3.250% due 10/25/57 ~ § |
180,000 | 159,609 | ||||||
| 3.429% due 10/25/53 ~ § |
300,000 | 269,729 | ||||||
| 4.000% due 11/25/47 ~ |
130,800 | 126,976 | ||||||
|
|
|
|||||||
| 11,292,674 | ||||||||
|
|
|
|||||||
| Fannie Mae - 18.8% |
|
|||||||
| due 04/01/53 # |
4,200,000 | 4,189,172 | ||||||
| due 04/01/53 # |
4,600,000 | 4,646,809 | ||||||
| due 04/01/53 # |
6,400,000 | 5,742,961 | ||||||
| due 04/01/53 # |
7,900,000 | 6,809,738 | ||||||
| due 04/01/53 # |
7,800,000 | 7,248,211 | ||||||
| due 04/01/53 # |
10,300,000 | 10,092,702 | ||||||
| due 04/01/53 # |
12,000,000 | 11,477,858 | ||||||
| due 04/01/53 # |
2,100,000 | 1,736,298 | ||||||
| 1.500% due 03/01/51 |
77,970 | 61,454 | ||||||
| 1.754% due 03/01/32 § |
449,830 | 370,132 | ||||||
| 2.000% due 02/01/51 - 03/01/51 |
386,862 | 325,309 | ||||||
| 2.010% due 01/01/32 |
350,000 | 295,239 | ||||||
| 2.140% due 12/01/33 |
250,000 | 209,388 | ||||||
| 2.160% due 12/01/33 |
300,000 | 251,727 | ||||||
| 2.500% due 09/01/36 - 09/01/61 |
2,804,675 | 2,388,071 | ||||||
| 3.000% due 09/01/28 - 03/01/52 |
4,455,828 | 4,053,476 | ||||||
| 3.500% due 12/01/34 - 09/01/61 |
2,101,912 | 1,981,162 | ||||||
| 3.861% (USD LIBOR + 1.611%) |
11,540 | 11,294 | ||||||
| 3.890% due 07/01/32 |
100,000 | 95,706 | ||||||
| 4.000% due 06/01/25 - 08/01/59 |
1,022,295 | 997,315 | ||||||
| Principal |
Value |
|||||||
| 4.043% (UST + 2.043%) |
$ | 6,408 | $ | 6,343 | ||||
| 4.140% due 07/01/32 |
660,000 | 653,828 | ||||||
| 4.293% (COFI + 1.927%) |
485 | 481 | ||||||
| 4.338% (US FED + 1.200%) |
4,219 | 4,022 | ||||||
| 4.405% (UST + 2.360%) |
11,740 | 12,061 | ||||||
| 4.410% due 10/01/32 |
474,567 | 480,264 | ||||||
| 4.500% due 06/01/24 - 09/01/57 |
724,668 | 720,986 | ||||||
| 4.510% due 10/01/32 |
500,000 | 509,519 | ||||||
| 4.550% due 10/01/32 |
515,000 | 527,172 | ||||||
| 4.600% due 10/01/32 |
343,000 | 352,298 | ||||||
| 4.900% due 12/01/32 |
409,000 | 430,405 | ||||||
| 5.000% due 02/01/35 - 01/01/59 |
244,542 | 252,583 | ||||||
| 5.500% due 09/01/23 - 05/01/58 |
1,448,758 | 1,492,179 | ||||||
| 6.000% due 02/01/33 - 06/01/40 |
77,488 | 80,455 | ||||||
| 6.500% due 01/01/53 |
98,098 | 102,241 | ||||||
|
|
|
|||||||
| 68,608,859 | ||||||||
|
|
|
|||||||
| Freddie Mac - 1.8% |
|
|||||||
| 1.500% due 11/01/41 - 02/01/51 |
142,197 | 113,931 | ||||||
| 2.000% due 09/01/41 - 11/01/51 |
628,879 | 532,478 | ||||||
| 2.500% due 10/01/50 - 12/01/51 |
1,052,098 | 919,219 | ||||||
| 2.850% due 03/01/33 |
1,280,165 | 1,143,902 | ||||||
| 2.877% (USD LIBOR + 1.619%) |
119,030 | 115,277 | ||||||
| 3.000% due 10/01/46 - 05/01/47 |
379,045 | 348,820 | ||||||
| 3.007% (USD LIBOR + 1.628%) |
319,524 | 305,753 | ||||||
| 3.097% (USD LIBOR + 1.621%) |
190,368 | 184,249 | ||||||
| 3.250% (UST + 2.250%) |
3,299 | 3,266 | ||||||
| 3.500% due 04/01/37 - 06/01/46 |
588,495 | 563,198 | ||||||
| 3.501% (USD LIBOR + 1.733%) |
18,051 | 18,261 | ||||||
| 3.585% (USD LIBOR + 1.345%) |
2,253 | 2,252 | ||||||
| 3.750% due 08/01/32 |
300,000 | 288,165 | ||||||
| 4.000% due 11/01/33 - 07/01/49 |
1,625,587 | 1,587,525 | ||||||
| 4.120% (USD LIBOR + 1.870%) |
5,455 | 5,363 | ||||||
| 4.339% (UST + 2.250%) |
676 | 661 | ||||||
| 4.500% due 11/01/44 |
42,213 | 42,194 | ||||||
| 5.000% due 08/01/48 - 07/01/52 |
312,976 | 315,098 | ||||||
| 5.500% due 04/01/38 - 05/01/40 |
235,577 | 244,400 | ||||||
|
|
|
|||||||
| 6,734,012 | ||||||||
|
|
|
|||||||
| Government National Mortgage Association - 2.3% |
|
|||||||
| 2.000% due 12/20/50 |
270,076 | 228,345 | ||||||
| 2.500% due 01/20/51 - 09/20/52 |
1,233,982 | 1,089,601 | ||||||
| 2.808% due 07/20/71 § |
260,376 | 234,095 | ||||||
| 3.000% due 09/15/42 - 04/20/52 |
1,181,567 | 1,077,186 | ||||||
| 3.093% due 12/20/71 § |
288,084 | 262,156 | ||||||
| 3.500% due 01/20/46 - 11/20/50 |
726,287 | 690,502 | ||||||
| 4.000% due 02/20/49 - 08/20/52 |
1,324,256 | 1,280,206 | ||||||
| 4.500% due 03/20/49 - 06/20/52 |
966,263 | 966,341 | ||||||
| 5.000% due 10/15/38 - 06/20/52 |
1,293,924 | 1,312,828 | ||||||
| 5.500% due 09/20/52 - 03/20/53 |
541,223 | 547,984 | ||||||
| 6.424% (UST + 1.735%) |
251,883 | 261,818 | ||||||
| 6.536% (UST + 1.836%) |
249,483 | 260,518 | ||||||
|
|
|
|||||||
| 8,211,580 | ||||||||
|
|
|
|||||||
| Total Mortgage-Backed Securities |
104,499,753 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-55
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| ASSET-BACKED SECURITIES - 4.6% |
|
|||||||
| ACE Securities Corp Home Equity Loan Trust |
$ | 37,882 | $ | 37,760 | ||||
| American Homes 4 Rent LP |
300,000 | 295,686 | ||||||
| AmeriCredit Automobile Receivables Trust |
540,000 | 491,900 | ||||||
| AMSR Trust |
365,000 | 330,983 | ||||||
| 2.327% due 10/17/38 ~ |
128,000 | 110,902 | ||||||
| 2.751% due 06/17/38 ~ § |
350,000 | 292,710 | ||||||
| 4.000% due 10/17/39 ~ |
250,000 | 214,067 | ||||||
| Aqua Finance Trust |
210,000 | 179,817 | ||||||
| Bear Stearns Asset-Backed Securities I Trust |
154,199 | 146,881 | ||||||
| Business Jet Securities LLC |
208,763 | 192,367 | ||||||
| 2.981% due 11/15/35 ~ |
197,464 | 187,346 | ||||||
| Cars Net Lease Mortgage Notes |
98,875 | 88,015 | ||||||
| Cascade MH Asset Trust |
284,000 | 219,158 | ||||||
| Continental Finance Credit Card ABS Master Trust |
370,000 | 353,030 | ||||||
| Credit Acceptance Auto Loan Trust |
665,000 | 613,664 | ||||||
| 8.450% due 02/15/33 ~ |
300,000 | 308,883 | ||||||
| Crossroads Asset Trust |
116,000 | 114,629 | ||||||
| DataBank Issuer |
250,000 | 222,197 | ||||||
| Exeter Automobile Receivables Trust |
160,000 | 158,796 | ||||||
| 6.760% due 09/15/28 |
400,000 | 402,834 | ||||||
| FirstKey Homes Trust |
300,000 | 255,906 | ||||||
| 2.668% due 10/19/37 ~ |
500,000 | 454,467 | ||||||
| 4.500% due 07/17/26 ~ |
289,000 | 277,591 | ||||||
| 4.500% due 07/17/39 ~ |
350,000 | 310,485 | ||||||
| FMC GMSR Issuer Trust |
300,000 | 258,025 | ||||||
| 3.650% due 02/25/24 ~ § |
630,000 | 605,210 | ||||||
| 3.850% due 10/25/26 ~ § |
210,000 | 180,568 | ||||||
| 4.450% due 01/25/26 ~ § |
500,000 | 459,713 | ||||||
| FORT CRE Issuer LLC CLO |
300,000 | 290,564 | ||||||
| Freddie Mac Structured Pass-Through Certificates |
187,565 | 176,623 | ||||||
| Freed ABS Trust |
240,000 | 238,476 | ||||||
| GLS Auto Receivables Issuer Trust |
92,080 | 90,822 | ||||||
| 1.640% due 10/15/26 ~ |
75,000 | 71,834 | ||||||
| GSAA Home Equity Trust |
270,000 | 211,034 | ||||||
| JP Morgan Mortgage Acquisition Trust |
160,000 | 153,042 | ||||||
| KREF Ltd CLO |
300,000 | 295,834 | ||||||
| Lendmark Funding Trust |
450,000 | 393,504 | ||||||
| Principal |
Value |
|||||||
| 2.470% due 11/20/31 ~ |
$ | 100,000 | $ | 85,205 | ||||
| 6.600% due 07/20/32 ~ |
400,000 | 386,983 | ||||||
| LFT CRE Ltd CLO (Cayman) |
250,000 | 239,756 | ||||||
| Mariner Finance Issuance Trust |
146,154 | 144,541 | ||||||
| Marlette Funding Trust |
400,000 | 364,351 | ||||||
| Merrill Lynch Mortgage Investors Trust |
311,915 | 156,859 | ||||||
| NRZ Excess Spread-Collateralized Notes |
303,778 | 273,698 | ||||||
| 3.844% due 12/25/25 ~ |
186,787 | 174,557 | ||||||
| Oak Street Investment Grade Net Lease Fund |
191,862 | 173,309 | ||||||
| OneMain Financial Issuance Trust |
120,000 | 102,937 | ||||||
| Pagaya AI Debt Selection Trust |
74,955 | 74,350 | ||||||
| Pagaya AI Technology in Housing Trust |
400,000 | 384,190 | ||||||
| PNMAC GMSR Issuer Trust |
150,000 | 150,164 | ||||||
| PRET LLC |
340,681 | 321,402 | ||||||
| Progress Residential Trust |
565,000 | 485,172 | ||||||
| Regional Management Issuance Trust |
198,000 | 184,921 | ||||||
| 3.040% due 03/17/31 ~ |
191,000 | 165,057 | ||||||
| Santander Consumer Auto Receivables Trust |
100,000 | 92,009 | ||||||
| Santander Drive Auto Receivables Trust |
210,000 | 207,279 | ||||||
| 6.690% due 03/17/31 |
413,000 | 428,024 | ||||||
| SCF Equipment Leasing LLC |
345,000 | 310,138 | ||||||
| Securitized Asset-Backed Receivables LLC Trust |
48,611 | 36,248 | ||||||
| United Auto Credit Securitization Trust |
450,000 | 440,403 | ||||||
| United States Small Business Administration |
43,100 | 38,376 | ||||||
| 2.980% due 04/01/39 |
42,585 | 39,808 | ||||||
| US Auto Funding Trust |
300,000 | 289,458 | ||||||
| VCAT LLC |
248,275 | 237,920 | ||||||
| VOLT XCII LLC |
109,312 | 100,478 | ||||||
| VOLT XCIII LLC |
404,269 | 373,460 | ||||||
| VOLT XCIV LLC |
272,770 | 256,521 | ||||||
| Westlake Automobile Receivables Trust |
290,000 | 283,949 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
16,686,846 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 24.0% |
|
|||||||
| U.S. Treasury Bonds - 11.2% |
||||||||
| 1.125% due 08/15/40 |
460,000 | 304,445 | ||||||
| 1.250% due 05/15/50 |
614,000 | 357,319 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-56
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| 1.375% due 08/15/50 |
$ | 45,000 | $ | 27,051 | ||||
| 1.625% due 11/15/50 |
400,000 | 256,750 | ||||||
| 1.750% due 08/15/41 |
2,655,000 | 1,924,460 | ||||||
| 1.875% due 02/15/41 |
1,400,000 | 1,048,277 | ||||||
| 1.875% due 11/15/51 |
1,030,000 | 701,828 | ||||||
| 2.000% due 11/15/41 |
225,000 | 169,994 | ||||||
| 2.000% due 02/15/50 |
450,000 | 319,219 | ||||||
| 2.000% due 08/15/51 |
765,000 | 538,443 | ||||||
| 2.250% due 05/15/41 |
1,015,000 | 806,945 | ||||||
| 2.250% due 08/15/46 |
50,000 | 37,773 | ||||||
| 2.250% due 08/15/49 |
700,000 | 526,805 | ||||||
| 2.250% due 02/15/52 |
1,530,000 | 1,141,703 | ||||||
| 2.375% due 02/15/42 |
950,000 | 764,472 | ||||||
| 2.375% due 05/15/51 |
1,380,000 | 1,060,255 | ||||||
| 2.875% due 05/15/43 |
1,700,000 | 1,470,201 | ||||||
| 2.875% due 08/15/45 |
1,300,000 | 1,108,834 | ||||||
| 2.875% due 05/15/52 |
2,925,000 | 2,503,446 | ||||||
| 3.000% due 05/15/42 |
600,000 | 533,285 | ||||||
| 3.000% due 08/15/48 |
300,000 | 262,172 | ||||||
| 3.000% due 08/15/52 |
2,245,000 | 1,972,794 | ||||||
| 3.125% due 02/15/43 |
102,000 | 91,798 | ||||||
| 3.125% due 08/15/44 |
1,800,000 | 1,607,414 | ||||||
| 3.250% due 05/15/42 |
9,835,000 | 9,079,703 | ||||||
| 3.375% due 08/15/42 |
8,400,000 | 7,890,750 | ||||||
| 3.375% due 05/15/44 |
900,000 | 837,773 | ||||||
| 3.500% due 02/15/39 |
150,000 | 148,356 | ||||||
| 3.875% due 08/15/40 |
320,000 | 328,450 | ||||||
| 3.875% due 02/15/43 |
1,045,000 | 1,054,552 | ||||||
| 4.000% due 11/15/42 |
1,030,000 | 1,058,325 | ||||||
| 4.000% due 11/15/52 |
10,000 | 10,616 | ||||||
| 4.250% due 05/15/39 |
400,000 | 431,891 | ||||||
| 4.625% due 02/15/40 |
400,000 | 450,484 | ||||||
|
|
|
|||||||
| 40,826,583 | ||||||||
|
|
|
|||||||
| U.S. Treasury Inflation Protected Securities - 1.8% |
|
|||||||
| 0.125% due 07/15/31 ^ |
1,004,598 | 925,901 | ||||||
| 0.125% due 01/15/32 ^ |
539,625 | 493,284 | ||||||
| 0.250% due 02/15/50 ^ |
232,732 | 169,100 | ||||||
| 0.625% due 01/15/24 ^ |
3,333,642 | 3,305,554 | ||||||
| 0.625% due 07/15/32 ^ |
514,835 | 492,160 | ||||||
| 0.625% due 02/15/43 ^ |
390,372 | 329,993 | ||||||
| 1.000% due 02/15/49 ^ |
118,890 | 105,904 | ||||||
| 1.125% due 01/15/33 ^ |
903,906 | 902,374 | ||||||
|
|
|
|||||||
| 6,724,270 | ||||||||
|
|
|
|||||||
| U.S. Treasury Notes - 11.0% |
|
|||||||
| 0.500% due 02/28/26 |
940,000 | 854,611 | ||||||
| 0.500% due 10/31/27 |
1,675,000 | 1,453,979 | ||||||
| 0.625% due 10/15/24 |
100,000 | 94,605 | ||||||
| 0.750% due 01/31/28 |
1,145,000 | 1,000,421 | ||||||
| 0.875% due 06/30/26 |
194,000 | 176,953 | ||||||
| 0.875% due 09/30/26 |
166,300 | 150,657 | ||||||
| 1.250% due 03/31/28 |
540,000 | 481,813 | ||||||
| 1.375% due 11/15/31 |
88,500 | 74,724 | ||||||
| 1.500% due 02/15/30 |
95,000 | 83,311 | ||||||
| 1.875% due 02/28/29 |
700,000 | 636,139 | ||||||
| 2.250% due 11/15/25 |
2,090,000 | 2,006,073 | ||||||
| 2.625% due 05/31/27 |
6,775,000 | 6,497,781 | ||||||
| 2.750% due 04/30/27 |
40,000 | 38,562 | ||||||
| 2.750% due 07/31/27 |
1,270,000 | 1,223,367 | ||||||
| 2.750% due 05/31/29 |
3,755,000 | 3,580,011 | ||||||
| 2.750% due 08/15/32 |
1,550,000 | 1,459,059 | ||||||
| 2.875% due 04/30/29 |
1,340,000 | 1,286,897 | ||||||
| 2.875% due 05/15/32 |
4,180,000 | 3,978,837 | ||||||
| 3.125% due 08/31/27 |
605,000 | 591,907 | ||||||
| 3.125% due 08/31/29 |
1,595,000 | 1,552,944 | ||||||
| 3.500% due 02/15/33 |
3,000,000 | 3,004,922 | ||||||
| 3.625% due 03/31/30 |
1,670,000 | 1,678,089 | ||||||
| Principal |
Value |
|||||||
| 3.875% due 12/31/29 |
$ | 780,000 | $ | 794,259 | ||||
| 4.000% due 10/31/29 |
1,930,000 | 1,977,044 | ||||||
| 4.125% due 10/31/27 |
5,370,000 | 5,474,044 | ||||||
| 4.625% due 03/15/26 |
10,000 | 10,229 | ||||||
|
|
|
|||||||
| 40,161,238 | ||||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
87,712,091 | |||||||
|
|
|
|||||||
| FOREIGN GOVERNMENT BONDS & NOTES - 0.6% |
|
|||||||
| Chile Government (Chile) |
200,000 | 171,229 | ||||||
| Chile Government International (Chile) |
300,000 | 267,580 | ||||||
| Israel Government (Israel) |
600,000 | 527,381 | ||||||
| Mexico Government (Mexico) |
200,000 | 167,410 | ||||||
| 4.125% due 01/21/26 |
200,000 | 197,343 | ||||||
| Panama Government (Panama) |
200,000 | 152,828 | ||||||
| Peruvian Government (Peru) |
PEN 1,800,000 | 466,803 | ||||||
| Romanian Government International (Romania) |
$300,000 | 273,597 | ||||||
| Russian Federal (Russia) |
RUB 87,222,000 | 67,396 | ||||||
| 7.250% due 05/10/34 |
5,970,000 | 4,613 | ||||||
| 7.700% due 03/16/39 |
50,360,000 | 38,913 | ||||||
|
|
|
|||||||
| Total Foreign Government Bonds & Notes |
2,335,093 | |||||||
|
|
|
|||||||
| MUNICIPAL BONDS - 0.3% |
|
|||||||
| New York State Urban Development Corp |
$700,000 | 645,536 | ||||||
| Regents of the University of California Medical Center Pooled Revenue ‘N’ |
120,000 | 81,636 | ||||||
| State of California |
180,000 | 233,153 | ||||||
|
|
|
|||||||
| Total Municipal Bonds |
960,325 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENTS - 34.7% |
|
|||||||
| Commercial Paper - 0.3% |
|
|||||||
| American Electric Power Co Inc |
400,000 | 399,774 | ||||||
| Duke Energy Corp |
400,000 | 398,840 | ||||||
| Republic Services Inc |
600,000 | 598,534 | ||||||
|
|
|
|||||||
| 1,397,148 | ||||||||
|
|
|
|||||||
| Shares |
||||||||
| Money Market Fund - 11.2% |
||||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
40,821,940 | 40,821,940 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-57
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Repurchase Agreements - 5.5% |
||||||||
| BNP Paribas |
$100,000 | $ | 100,000 | |||||
| BNP Paribas |
100,000 | 100,000 | ||||||
| BNP Paribas |
100,000 | 100,000 | ||||||
| Citigroup Global Markets, Inc. |
100,000 | 100,000 | ||||||
| Citigroup Global Markets, Inc. |
8,000,000 | 8,000,000 | ||||||
| Citigroup Global Markets, Inc. |
100,000 | 100,000 | ||||||
| Citigroup Global Markets, Inc. |
100,000 | 100,000 | ||||||
| Deutsche Bank |
1,000,000 | 1,000,000 | ||||||
| Deutsche Bank |
9,900,000 | 9,900,000 | ||||||
| Deutsche Bank |
100,000 | 100,000 | ||||||
| Deutsche Bank |
100,000 | 100,000 | ||||||
| Deutsche Bank |
100,000 | 100,000 | ||||||
| JP Morgan Securities LLC |
100,000 | 100,000 | ||||||
| Principal |
Value |
|||||||
| JP Morgan Securities LLC |
$ | 100,000 | $ | 100,000 | ||||
|
|
|
|||||||
| 20,000,000 | ||||||||
|
|
|
|||||||
| U.S. Government Agency Issues - 6.4% |
|
|||||||
| Federal Home Loan Banks |
||||||||
| 4.281% due 05/03/23 |
3,800,000 | 3,785,624 | ||||||
| 4.405% due 05/16/23 |
2,500,000 | 2,486,456 | ||||||
| 4.424% due 05/19/23 |
15,300,000 | 15,211,345 | ||||||
| 4.680% due 06/21/23 |
1,900,000 | 1,880,576 | ||||||
|
|
|
|||||||
| 23,364,001 | ||||||||
|
|
|
|||||||
| U.S. Treasury Bills - 11.3% |
|
|||||||
| 1.170% due 04/04/23 |
300,000 | 299,962 | ||||||
| 3.433% due 04/11/23 |
590,000 | 589,400 | ||||||
| 4.115% due 04/25/23 |
15,900,000 | 15,856,142 | ||||||
| 4.235% due 04/27/23 |
1,200,000 | 1,196,324 | ||||||
| 4.289% due 05/09/23 |
2,000,000 | 1,991,045 | ||||||
| 4.310% due 05/02/23 ‡ |
810,000 | 807,009 | ||||||
| 4.366% due 05/04/23 |
1,600,000 | 1,593,643 | ||||||
| 4.410% due 05/16/23 |
12,900,000 | 12,830,027 | ||||||
| 4.472% due 05/11/23 |
1,600,000 | 1,592,156 | ||||||
| 4.487% due 06/01/23 |
240,000 | 238,217 | ||||||
| 4.534% due 05/25/23 |
500,000 | 496,671 | ||||||
| 4.558% due 05/18/23 |
520,000 | 516,961 | ||||||
| 4.641% due 06/15/23 |
2,500,000 | 2,476,497 | ||||||
| 4.811% due 09/07/23 |
780,000 | 764,097 | ||||||
|
|
|
|||||||
| 41,248,151 | ||||||||
|
|
|
|||||||
| Total Short-Term Investments |
126,831,240 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 111.1% |
|
405,761,959 | ||||||
|
|
|
|||||||
| TOTAL SECURITIES SOLD SHORT - (0.1%) |
|
(496,085 | ) | |||||
|
|
|
|||||||
| DERIVATIVES - 0.6% |
|
2,336,676 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (11.6%) |
|
(42,359,240 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$365,243,310 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Short-Term Investments |
34.7% | |||
| Mortgage-Backed Securities |
28.6% | |||
| U.S. Treasury Obligations |
24.0% | |||
| Corporate Bonds & Notes |
18.1% | |||
| Asset-Backed Securities |
4.6% | |||
| Others (each less than 3.0%) |
1.1% | |||
|
|
|
|||
| 111.1% | ||||
| Securities Sold Short |
(0.1% | ) | ||
| Derivatives |
0.6% | |||
| Other Assets & Liabilities, Net |
(11.6% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, an investment with a value of $60,775 was fully or partially segregated with the broker(s)/custodian as collateral for open futures contracts, forward foreign currency contracts, option contracts and swap agreements. |
| (c) | The average amount of borrowings by the Fund on sale-buyback financing transactions during the year ended March 31, 2023 was $577,620 at a weighted average interest rate of 0.560%. |
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-58
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| (d) | Securities sold short outstanding as of March 31, 2023 were as follows: |
| Description | Principal Amount |
Value | ||||||
| Mortgage-Backed Securities - (0.1%) |
|
|||||||
| Fannie Mae |
||||||||
| due 04/13/53 # |
$600,000 | ($496,085 | ) | |||||
|
|
|
|||||||
| Total Securities Sold Short |
($496,085 | ) | ||||||
|
|
|
|||||||
| (e) | Open futures contracts outstanding as of March 31, 2023 were as follows: |
| Long Futures Outstanding | Expiration Month |
Number of Contracts |
Notional Amount |
Value | Unrealized Appreciation (Depreciation) |
|||||||||||||||
| SOFR |
09/23 | 18 | $4,344,575 | $4,280,625 | ($63,950 | ) | ||||||||||||||
| SOFR |
12/23 | 8 | 1,905,149 | 1,907,900 | 2,751 | |||||||||||||||
| SOFR |
03/26 | 13 | 3,132,532 | 3,154,613 | 22,081 | |||||||||||||||
| U.S. Fed Funds |
04/23 | 15 | 5,949,566 | 5,949,538 | (28 | ) | ||||||||||||||
| U.S. Treasury 5-Year Notes |
06/23 | 632 | 68,050,990 | 69,208,936 | 1,157,946 | |||||||||||||||
| U.S. Treasury 10-Year Notes |
06/23 | 128 | 14,298,183 | 14,710,001 | 411,818 | |||||||||||||||
| U.S. Treasury Long Bonds |
06/23 | 102 | 13,150,719 | 13,377,937 | 227,218 | |||||||||||||||
| U.S. Treasury Ultra 10-Year Notes |
06/23 | 25 | 2,998,325 | 3,028,516 | 30,191 | |||||||||||||||
| U.S. Treasury Ultra Long Bonds |
06/23 | 65 | 8,888,552 | 9,173,125 | 284,573 | |||||||||||||||
|
|
|
|||||||||||||||||||
| 2,072,600 | ||||||||||||||||||||
|
|
|
|||||||||||||||||||
| Short Futures Outstanding |
||||||||||||||||||||
| Euro-Bund |
06/23 | 28 | 4,001,905 | 4,124,917 | (123,012 | ) | ||||||||||||||
| Euro-OAT |
06/23 | 2 | 273,444 | 282,469 | (9,025 | ) | ||||||||||||||
| Japan 10-Year Bonds |
06/23 | 4 | 4,379,918 | 4,462,286 | (82,368 | ) | ||||||||||||||
| SOFR |
03/24 | 82 | 19,614,026 | 19,618,500 | (4,474 | ) | ||||||||||||||
| SOFR |
03/25 | 32 | 7,694,908 | 7,750,000 | (55,092 | ) | ||||||||||||||
| U.S. Treasury 2-Year Notes |
06/23 | 109 | 22,328,989 | 22,503,391 | (174,402 | ) | ||||||||||||||
| U.S. Treasury 10-Year Notes |
06/23 | 184 | 20,997,307 | 21,145,626 | (148,319 | ) | ||||||||||||||
|
|
|
|||||||||||||||||||
| (596,692 | ) | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| Total Futures Contracts |
$1,475,908 | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| (f) | Forward foreign currency contracts outstanding as of March 31, 2023 were as follows: |
| Currency Purchased |
Currency Sold |
Settlement Month |
Counterparty | Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||||||
| AUD | 809,000 | USD | 540,071 | 04/23 | DUB | $783 | $— | |||||||||||||||||||||||
| AUD | 860,372 | USD | 599,906 | 04/23 | MSC | — | (24,420 | ) | ||||||||||||||||||||||
| BRL | 2,982,258 | USD | 587,012 | 04/23 | BRC | 985 | — | |||||||||||||||||||||||
| BRL | 2,860,385 | USD | 538,719 | 04/23 | JPM | 25,249 | — | |||||||||||||||||||||||
| CAD | 2,731,563 | USD | 2,045,272 | 04/23 | JPM | — | (23,605 | ) | ||||||||||||||||||||||
| CLP | 12,047,036 | USD | 13,994 | 04/23 | SCB | 1,139 | — | |||||||||||||||||||||||
| CNH | 7,999,228 | USD | 1,181,163 | 04/23 | JPM | — | (15,666 | ) | ||||||||||||||||||||||
| CNH | 4,981,029 | USD | 725,216 | 04/23 | JPM | 526 | — | |||||||||||||||||||||||
| DKK | 245,000 | USD | 35,760 | 04/23 | DUB | — | (87 | ) | ||||||||||||||||||||||
| DKK | 1,560,000 | USD | 224,838 | 04/23 | DUB | 2,302 | — | |||||||||||||||||||||||
| EUR | 381,054 | NOK | 4,325,456 | 04/23 | MSC | 186 | — | |||||||||||||||||||||||
| EUR | 2,100,538 | USD | 2,291,142 | 04/23 | BNP | — | (10,811 | ) | ||||||||||||||||||||||
| EUR | 704,000 | USD | 762,041 | 04/23 | DUB | 1,618 | — | |||||||||||||||||||||||
| EUR | 595,000 | USD | 636,680 | 04/23 | HSB | 8,743 | — | |||||||||||||||||||||||
| EUR | 876,000 | USD | 951,758 | 04/23 | UBS | — | (1,524 | ) | ||||||||||||||||||||||
| GBP | 3,915,585 | USD | 4,768,842 | 04/23 | BRC | 62,832 | — | |||||||||||||||||||||||
| GBP | 347,114 | USD | 429,949 | 04/23 | MSC | — | (1,588 | ) | ||||||||||||||||||||||
| GBP | 3,114,000 | USD | 3,858,171 | 04/23 | RBS | — | (15,621 | ) | ||||||||||||||||||||||
| GBP | 275,000 | USD | 334,692 | 04/23 | RBS | 4,647 | — | |||||||||||||||||||||||
| IDR | 11,366,062,982 | USD | 756,275 | 04/23 | JPM | 2,560 | — | |||||||||||||||||||||||
| ILS | 10,000 | USD | 2,766 | 04/23 | HSB | 16 | — | |||||||||||||||||||||||
| INR | 12,452,848 | USD | 149,512 | 04/23 | JPM | 1,869 | — | |||||||||||||||||||||||
| JPY | 131,600,000 | USD | 964,750 | 04/23 | DUB | 27,047 | — | |||||||||||||||||||||||
| JPY | 101,332,685 | USD | 767,875 | 04/23 | GSC | — | (2,437 | ) | ||||||||||||||||||||||
| MXN | 42,755,588 | USD | 2,355,435 | 04/23 | GSC | 8,918 | — | |||||||||||||||||||||||
| NOK | 4,325,456 | EUR | 407,232 | 04/23 | MSC | — | (28,605 | ) | ||||||||||||||||||||||
| USD | 213,998 | AUD | 317,584 | 04/23 | DUB | 1,679 | — | |||||||||||||||||||||||
| USD | 576,806 | AUD | 860,372 | 04/23 | MSC | 1,321 | — | |||||||||||||||||||||||
| USD | 368,061 | AUD | 542,496 | 04/23 | UBS | 5,378 | — | |||||||||||||||||||||||
| USD | 568,862 | BRL | 2,982,258 | 04/23 | BRC | — | (19,137 | ) | ||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-59
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Currency Purchased |
Currency Sold |
Settlement Month |
Counterparty | Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||||||||
| USD | 563,023 | BRL | 2,860,385 | 04/23 | JPM | $— | ($945 | ) | ||||||||||||||||||||||||
| USD | 1,553,164 | CAD | 2,102,288 | 04/23 | JPM | — | (2,768 | ) | ||||||||||||||||||||||||
| USD | 468,237 | CAD | 629,275 | 04/23 | JPM | 2,502 | — | |||||||||||||||||||||||||
| USD | 7,465 | CLP | 6,023,518 | 04/23 | SCB | — | (101 | ) | ||||||||||||||||||||||||
| USD | 1,896,354 | CNH | 12,980,257 | 04/23 | JPM | 5,114 | — | |||||||||||||||||||||||||
| USD | 35,785 | DKK | 245,000 | 04/23 | DUB | 87 | — | |||||||||||||||||||||||||
| USD | 257,228 | DKK | 1,803,989 | 04/23 | UBS | — | (5,438 | ) | ||||||||||||||||||||||||
| USD | 2,273,666 | EUR | 2,100,538 | 04/23 | BNP | — | (6,664 | ) | ||||||||||||||||||||||||
| USD | 28,823 | EUR | 27,000 | 04/23 | DUB | — | (466 | ) | ||||||||||||||||||||||||
| USD | 49,402 | EUR | 46,000 | 04/23 | HSB | — | (496 | ) | ||||||||||||||||||||||||
| USD | 26,550 | EUR | 25,000 | 04/23 | JPM | — | (569 | ) | ||||||||||||||||||||||||
| USD | 2,959,016 | EUR | 2,787,000 | 04/23 | UBS | — | (64,162 | ) | ||||||||||||||||||||||||
| USD | 9,496,247 | GBP | 7,831,170 | 04/23 | BRC | — | (167,101 | ) | ||||||||||||||||||||||||
| USD | 423,983 | GBP | 347,114 | 04/23 | MSC | — | (4,378 | ) | ||||||||||||||||||||||||
| USD | 727,370 | IDR | 11,366,062,982 | 04/23 | JPM | — | (31,465 | ) | ||||||||||||||||||||||||
| USD | 151,495 | INR | 12,452,848 | 04/23 | JPM | 114 | — | |||||||||||||||||||||||||
| USD | 186,586 | JPY | 24,700,000 | 04/23 | BRC | 131 | — | |||||||||||||||||||||||||
| USD | 773,845 | JPY | 101,332,685 | 04/23 | GSC | 8,407 | — | |||||||||||||||||||||||||
| USD | 2,160,028 | MXN | 42,755,588 | 04/23 | GSC | — | (204,325 | ) | ||||||||||||||||||||||||
| USD | 820,460 | PEN | 3,119,399 | 04/23 | BRC | — | (7,738 | ) | ||||||||||||||||||||||||
| USD | 107,611 | ZAR | 1,923,122 | 04/23 | GSC | — | (226 | ) | ||||||||||||||||||||||||
| ZAR | 1,923,122 | USD | 112,276 | 04/23 | GSC | — | (4,439 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Total Forward Foreign Currency Contracts |
$174,153 | ($644,782 | ) | |||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| (g) | Purchased options outstanding as of March 31, 2023 were as follows: |
Interest Rate Swaptions
| Description | Pay/Receive Floating Rate |
Floating Rate Index | Exercise Rate |
Expiration Date |
Counter- party |
Notional Amount |
Cost | Value | ||||||||||||||||||
| Put - 1-Year Interest Rate Swap |
Receive | USD-SOFR | 3.750% | 09/11/23 | MSC | $9,300,000 | $70,680 | $63,505 | ||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||
Options on Futures
| Description | Exercise Price |
Expiration Date |
Exchange | Number of Contracts |
Notional Amount |
Cost | Value | |||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
$110.25 | 04/21/23 | CME | 2 | $220,500 | $1,105 | $906 | |||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
111.00 | 04/21/23 | CME | 2 | 222,000 | 980 | 578 | |||||||||||||||||||||
| Call - U.S. Treasury 30-Year Bonds (05/23) |
134.00 | 04/21/23 | CME | 1 | 134,000 | 877 | 719 | |||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 2,962 | 2,203 | |||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Put - USD-SOFR (12/23) |
95.88 | 12/15/23 | CME | 13 | 3,116,100 | 11,702 | 5,607 | |||||||||||||||||||||
| Put - USD-SOFR (12/23) |
96.00 | 12/15/23 | CME | 32 | 7,680,000 | 29,480 | 16,400 | |||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 41,182 | 22,007 | |||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Options on Futures |
$44,144 | $24,210 | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Purchased Options |
|
$114,824 | $87,715 | |||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| (h) | Premiums received and value of written options outstanding as of March 31, 2023 were as follows: |
Interest Rate Swaptions
| Description | Pay/Receive Floating Rate |
Floating Rate Index | Exercise Rate |
Expiration Date |
Counter- party |
Notional Amount |
Premium | Value | ||||||||||||||||||||||||
| Call - 1-Year Interest Rate Swap |
Receive | USD-SOFR | 2.993% | 10/11/23 | MSC | $2,800,000 | $18,914 | ($5,552) | ||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Put - 1-Year Interest Rate Swap |
Pay | USD-SOFR | 4.233% | 09/11/23 | MSC | 9,300,000 | 44,640 | (37,547) | ||||||||||||||||||||||||
| Put - 1-Year Interest Rate Swap |
Pay | USD-SOFR | 4.715% | 09/11/23 | MSC | 9,300,000 | 26,040 | (19,274) | ||||||||||||||||||||||||
| Put - 1-Year Interest Rate Swap |
Pay | USD-SOFR | 2.993% | 10/11/23 | MSC | 2,800,000 | 18,914 | (33,158) | ||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| 89,594 | (89,979) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| Total Interest Rate Swaptions |
|
$108,508 | ($95,531) | |||||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-60
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
Options on Futures
| Description | Exercise Price |
Expiration Date |
Exchange | Number of Contracts |
Notional Amount |
Premium | Value | |||||||||||||||||||||
| Call - GBP-FX (04/23) |
$122.00 | 04/06/23 | CME | 1 | $76,250 | $922 | ($1,006 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
107.00 | 04/21/23 | CME | 5 | 535,000 | 2,648 | (12,695 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
107.50 | 04/21/23 | CME | 6 | 645,000 | 2,380 | (12,469 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
109.00 | 04/21/23 | CME | 6 | 654,000 | 4,865 | (5,766 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
109.75 | 04/21/23 | CME | 4 | 439,000 | 2,931 | (2,469 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 5-Year Notes (05/23) |
110.00 | 04/21/23 | CME | 35 | 3,850,000 | 22,697 | (18,594 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
114.00 | 04/21/23 | CME | 11 | 1,254,000 | 5,918 | (15,813 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
115.00 | 04/21/23 | CME | 8 | 920,000 | 7,549 | (7,250 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
115.50 | 04/21/23 | CME | 13 | 1,501,500 | 14,665 | (9,141 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
116.00 | 04/21/23 | CME | 6 | 696,000 | 6,474 | (3,281 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (05/23) |
117.00 | 04/21/23 | CME | 2 | 234,000 | 2,168 | (656 | ) | ||||||||||||||||||||
| Call - Euro-Bund (05/23) |
EUR 136.50 | 04/21/23 | EUX | 2 | EUR 273,000 | 3,262 | (2,494 | ) | ||||||||||||||||||||
| Call - U.S. Treasury 10-Year Notes (06/23) |
$115.00 | 05/26/23 | CME | 3 | $345,000 | 2,104 | (4,312 | ) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 78,583 | (95,946 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Put - AUD-FX (04/23) |
69.00 | 04/06/23 | CME | 1 | 69,000 | 978 | (2,000 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (04/23) |
113.50 | 04/07/23 | CME | 3 | 340,500 | 2,010 | (328 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (04/23) |
114.00 | 04/07/23 | CME | 5 | 570,000 | 1,898 | (1,094 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 30-Year Bonds (04/23) |
130.00 | 04/07/23 | CME | 1 | 130,000 | 967 | (500 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 5-Year Notes (05/23) |
106.50 | 04/21/23 | CME | 12 | 1,278,000 | 4,253 | (281 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 5-Year Notes (05/23) |
107.00 | 04/21/23 | CME | 8 | 856,000 | 2,392 | (313 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 5-Year Notes (05/23) |
107.75 | 04/21/23 | CME | 10 | 1,077,500 | 4,006 | (1,094 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 5-Year Notes (05/23) |
108.50 | 04/21/23 | CME | 31 | 3,363,500 | 11,986 | (8,234 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 5-Year Notes (05/23) |
109.00 | 04/21/23 | CME | 19 | 2,071,000 | 12,100 | (8,609 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (05/23) |
112.50 | 04/21/23 | CME | 6 | 675,000 | 3,599 | (937 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (05/23) |
113.00 | 04/21/23 | CME | 4 | 452,000 | 3,274 | (1,000 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 10-Year Notes (05/23) |
114.00 | 04/21/23 | CME | 25 | 2,850,000 | 18,441 | (12,891 | ) | ||||||||||||||||||||
| Put - U.S. Treasury 30-Year Bonds (05/23) |
130.00 | 04/21/23 | CME | 2 | 260,000 | 3,559 | (2,313 | ) | ||||||||||||||||||||
| Put - Euro-Bund (05/23) |
EUR 134.00 | 04/21/23 | EUX | 1 | EUR 134,000 | 1,593 | (759 | ) | ||||||||||||||||||||
| Put - USD-SOFR (12/23) |
$95.25 | 12/15/23 | CME | 26 | $6,191,250 | 10,345 | (4,712 | ) | ||||||||||||||||||||
| Put - USD-SOFR (12/23) |
95.38 | 12/15/23 | CME | 64 | 15,260,000 | 26,766 | (13,600 | ) | ||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| 108,167 | (58,665 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Options on Futures |
$186,750 | ($154,611 | ) | |||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| Total Written Options |
$295,258 | ($250,142 | ) | |||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||
| (i) | Swap agreements outstanding as of March 31, 2023 were as follows: |
Credit Default Swaps on Corporate and Sovereign Issues – Sell Protection (1)
| Referenced Obligation | Payment Frequency |
Fixed Deal Receive Rate |
Expiration Date |
Counterparty | Implied Credit Spread at 03/31/23 (2) |
Notional Amount(3) |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||||||||||||||||||||||
| Colombia Government |
Q | 1.000% | 06/20/27 | MSC | 2.348% | $200,000 | ($10,046 | ) | ($11,307 | ) | $1,261 | |||||||||||||||||||||||||
| Colombia Government |
Q | 1.000% | 12/20/27 | MSC | 2.611% | 300,000 | (19,834 | ) | (26,745 | ) | 6,911 | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| (29,880 | ) | (38,052 | ) | 8,172 | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| Exchange | ||||||||||||||||||||||||||||||||||||
| AT&T Inc |
Q | 1.000% | 06/20/23 | ICE | 0.424% | 300,000 | 484 | 430 | 54 | |||||||||||||||||||||||||||
| Barclays Bank PLC |
Q | 1.000% | 12/20/23 | ICE | 0.899% | EUR 100,000 | 115 | 120 | (5 | ) | ||||||||||||||||||||||||||
| Rolls-Royce PLC |
Q | 1.000% | 12/20/24 | ICE | 1.341% | 800,000 | (4,640 | ) | (4,034 | ) | (606 | ) | ||||||||||||||||||||||||
| Boeing Co |
Q | 1.000% | 06/20/25 | ICE | 0.631% | $400,000 | 3,258 | (5,621 | ) | 8,879 | ||||||||||||||||||||||||||
| General Electric Co |
Q | 1.000% | 06/20/26 | ICE | 0.599% | 400,000 | 4,967 | 2,736 | 2,231 | |||||||||||||||||||||||||||
| Boeing Co |
Q | 1.000% | 12/20/26 | ICE | 0.784% | 300,000 | 2,323 | (1,695 | ) | 4,018 | ||||||||||||||||||||||||||
| Verizon Communications Inc |
Q | 1.000% | 06/20/27 | ICE | 0.862% | 300,000 | 1,693 | (788 | ) | 2,481 | ||||||||||||||||||||||||||
| British Telecommunications PLC |
Q | 1.000% | 06/20/28 | ICE | 1.163% | EUR 300,000 | (2,403 | ) | (1,477 | ) | (926 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| 5,797 | (10,329 | ) | 16,126 | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| Total Credit Default Swaps on Corporate and Sovereign Issues - Sell Protection |
|
($24,083 | ) | ($48,381 | ) | $24,298 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-61
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
Credit Default Swaps on Credit Indices – Buy Protection (4)
| Referenced Obligation |
Payment Frequency |
Fixed Deal Pay Rate |
Expiration Date |
Exchange | Notional Amount(3) |
Value(5) | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| CDX HY 38 5Y |
Q | 5.000% | 06/20/27 | ICE | $495,000 | ($12,300 | ) | ($1,386 | ) | ($10,914 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Credit Default Swaps on Credit Indices – Sell Protection (1)
| Referenced Obligation |
Payment Frequency |
Fixed Deal Receive Rate |
Expiration Date |
Exchange | Notional Amount(3) |
Value(5) | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| CDX IG 39 5Y |
Q | 1.000% | 12/20/27 | ICE | $5,400,000 | $64,607 | $12,730 | $51,877 | ||||||||||||||||||||||||
| CDX IG 40 5Y |
Q | 1.000% | 06/20/28 | ICE | 51,488,500 | 606,044 | 429,009 | 177,035 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $670,651 | $441,739 | $228,912 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Credit Default Swaps |
|
$634,268 | $391,972 | $242,296 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| (1) | If the Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying investments comprising the referenced index or (ii) pay a net settlement amount in the form of cash or investments equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying investments comprising the referenced index. |
| (2) | An implied credit spread is the spread in yield between a U.S. Treasury security and the referenced obligation or underlying investment that are identical in all respects except for the quality rating. Implied credit spreads, represented in absolute terms, utilized in determining the value of credit default swap agreements on corporate and sovereign issues as of year end serve as an indicator of the current status of the payment/performance risk and represent the likelihood of risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads, in comparison to narrower credit spreads, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood of risk of default or other credit event occurring as defined under the terms of the agreement. |
| (3) | The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement. |
| (4) | If the Fund is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and deliver the referenced obligation or underlying investments comprising the referenced index or (ii) receive a net settlement amount in the form of cash or investments equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying investments comprising the referenced index. |
| (5) | The quoted market prices and resulting values for credit default swap agreements on credit indices serve as an indicator of the current status of the payment/performance risk and represent the expected amount paid or received for the credit derivative had the notional amount of the swap agreement been closed/sold as of year end. Increasing values (buy protection) or decreasing values (sell protection), when compared to the notional amount of the swap, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood of risk of default or other credit event occurring as defined under the terms of the agreement. |
Interest Rate Swaps - Long
| Receive | Pay | Payment Frequency Receive Rate/ Pay Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||
| 0.000% |
1-Day JPY-TONAR |
A / A | LCH | 03/17/24 | JPY 1,300,000,000 | ($5,125 | ) | $19,440 | ($24,565 | ) | ||||||||||||||||||||
| 12.275% |
BRL-CETIP Interbank |
Z / Z | CME | 01/02/25 | BRL 4,210,000 | (2,851 | ) | — | (2,851 | ) | ||||||||||||||||||||
| (0.068%) |
1-Day JPY-TONAR |
S / S | LCH | 09/18/26 | JPY 120,000,000 | (11,191 | ) | — | (11,191 | ) | ||||||||||||||||||||
| (0.097%) |
1-Day JPY-TONAR |
S / S | LCH | 09/24/26 | 82,000,000 | (8,322 | ) | 106 | (8,428 | ) | ||||||||||||||||||||
| 12.980% |
BRL-CETIP Interbank |
Z / Z | CME | 01/04/27 | BRL 4,600,000 | 19,811 | — | 19,811 | ||||||||||||||||||||||
| 13.024% |
BRL-CETIP Interbank |
Z / Z | CME | 01/04/27 | 2,110,000 | 9,518 | — | 9,518 | ||||||||||||||||||||||
| 0.300% |
1-Day JPY-TONAR |
S / S | LCH | 03/20/28 | JPY 166,000,000 | (4,778 | ) | 24,874 | (29,652 | ) | ||||||||||||||||||||
| 3.250% |
USD-SOFR |
A / A | CME | 12/31/29 | $1,498,000 | 5,529 | (9,071 | ) | 14,600 | |||||||||||||||||||||
| 3.400% |
USD-SOFR |
A / A | CME | 12/31/29 | 1,026,000 | 12,653 | 2,412 | 10,241 | ||||||||||||||||||||||
| 3.000% |
EUR-LIBOR |
A / S | LCH | 09/20/33 | EUR 2,900,000 | 17,992 | (29,183 | ) | 47,175 | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| $33,236 | $8,578 | $24,658 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Interest Rate Swaps – Short
| Pay | Receive | Payment Frequency Pay Rate/ Receive Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||
| 12.351% |
BRL-CETIP Interbank |
Z / Z | CME | 01/04/27 | BRL 2,000,000 | ($2,014 | ) | $— | ($2,014 | ) | ||||||||||||||||
| 12.417% |
BRL-CETIP Interbank |
Z / Z | CME | 01/04/27 | 4,900,000 | (6,895 | ) | — | (6,895 | ) | ||||||||||||||||
| 1.130% |
USD-SOFR |
A / A | CME | 08/15/28 | $1,150,000 | 143,002 | 5,617 | 137,385 | ||||||||||||||||||
| 1.220% |
USD-SOFR |
A / A | CME | 08/15/28 | 1,264,000 | 151,272 | (82 | ) | 151,354 | |||||||||||||||||
| 2.850% |
USD-SOFR |
A / A | CME | 02/15/29 | 976,000 | 26,026 | 3,882 | 22,144 | ||||||||||||||||||
| 3.270% |
USD-SOFR |
A / A | CME | 04/30/29 | 1,879,000 | 10,363 | (21,184 | ) | 31,547 | |||||||||||||||||
| 3.850% |
USD-SOFR |
A / A | CME | 06/30/29 | 1,228,000 | (36,580 | ) | 1,467 | (38,047 | ) | ||||||||||||||||
| 3.250% |
USD-SOFR |
A / A | CME | 09/30/29 | 455,000 | 605 | 180 | 425 | ||||||||||||||||||
| 2.000% |
USD-SOFR |
A / A | CME | 03/18/32 | 558,000 | 52,584 | 4,523 | 48,061 | ||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-62
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Pay | Receive | Payment Frequency Pay Rate/ Receive Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||
| 1.750% |
USD-SOFR |
A / A | CME | 06/15/32 | $ | 2,600,000 | $332,002 | $ | 384,506 | ($52,504 | ) | |||||||||||||||||||
| 0.800% |
1-Day JPY-TONAR |
S / S | LCH | 10/22/38 | JPY 10,000,000 | 1,167 | — | 1,167 | ||||||||||||||||||||||
| 0.785% |
1-Day JPY-TONAR |
S / S | LCH | 11/12/38 | 13,260,000 | 1,872 | 45 | 1,827 | ||||||||||||||||||||||
| 0.500% |
1-Day JPY-TONAR |
A / A | LCH | 03/15/42 | 103,000,000 | 65,539 | 29,385 | 36,154 | ||||||||||||||||||||||
| 0.662% |
1-Day JPY-TONAR |
A / A | LCH | 04/19/42 | 6,000,000 | 2,263 | — | 2,263 | ||||||||||||||||||||||
| 0.641% |
1-Day JPY-TONAR |
S / S | CME | 05/09/46 | 187,300,000 | 132,751 | 250 | 132,501 | ||||||||||||||||||||||
| 1.520% |
USD-SOFR |
A / A | CME | 02/15/47 | $1,005,000 | 266,331 | 4,958 | 261,373 | ||||||||||||||||||||||
| 1.729% |
USD-SOFR |
A / A | CME | 02/15/47 | 92,000 | 21,155 | — | 21,155 | ||||||||||||||||||||||
| 1.650% |
USD-SOFR |
A / A | CME | 08/15/47 | 1,493,000 | 361,244 | 166,245 | 194,999 | ||||||||||||||||||||||
| 2.510% |
USD-SOFR |
A / A | CME | 02/15/48 | 187,000 | 18,264 | 1,869 | 16,395 | ||||||||||||||||||||||
| 2.600% |
USD-SOFR |
A / A | CME | 02/15/48 | 508,000 | 41,706 | 34,919 | 6,787 | ||||||||||||||||||||||
| 3.050% |
USD-SOFR |
A / A | CME | 02/15/48 | 364,000 | 1,545 | 11,221 | (9,676 | ) | |||||||||||||||||||||
| 3.150% |
USD-SOFR |
A / A | CME | 05/15/48 | 357,000 | (5,691 | ) | (114,914 | ) | 109,223 | ||||||||||||||||||||
| 0.800% |
1-Day JPY-TONAR |
A / A | LCH | 06/15/52 | JPY 194,000,000 | 89,633 | 736 | 88,897 | ||||||||||||||||||||||
| 1.750% |
USD-SOFR |
A / A | CME | 12/21/52 | $1,900,000 | 462,463 | 368,789 | 93,674 | ||||||||||||||||||||||
| 3.250% |
1-Day GBP-SONIA |
A / A | LCH | 09/20/53 | GBP 400,000 | (9,176 | ) | 12,149 | (21,325 | ) | ||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| $2,121,431 | $894,561 | $1,226,870 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Interest Rate Swaps |
|
$2,154,667 | $903,139 | $1,251,528 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
| Total Swap Agreements |
|
$2,788,935 | $1,295,111 | $1,493,824 | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Balances reported in the Statement of Assets and Liabilities for Over the Counter (OTC) Swaps and Centrally Cleared Swaps
| Upfront Premium Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||
| OTC Swap Agreements |
|
|||||||
| Assets |
$— | $8,172 | ||||||
| Liabilities |
(38,052 | ) | — | |||||
| Centrally Cleared Swap Agreements (1) |
||||||||
| Assets |
1,522,598 | 1,705,251 | ||||||
| Liabilities |
(189,435 | ) | (219,599 | ) | ||||
|
|
|
|
|
|||||
| $1,295,111 | $1,493,824 | |||||||
|
|
|
|
|
|||||
| (1) | Includes cumulative value on centrally cleared swaps, as reported in the Schedule of Investments. Only variation margin is reported within the Statement of Assets and Liabilities. |
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-63
Table of Contents
PACIFIC FUNDS
PF MANAGED BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| (j) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
$73,741 | $73,741 | $— | $— | |||||||||||||
| Corporate Bonds & Notes |
66,063,570 | — | 66,063,570 | — | ||||||||||||||
| Senior Loan Notes |
599,300 | — | 599,300 | — | ||||||||||||||
| Mortgage-Backed Securities |
104,499,753 | — | 104,499,753 | — | ||||||||||||||
| Asset-Backed Securities |
16,686,846 | — | 16,686,846 | — | ||||||||||||||
| U.S. Treasury Obligations |
87,712,091 | — | 87,712,091 | — | ||||||||||||||
| Foreign Government Bonds & Notes |
2,335,093 | — | 2,335,093 | — | ||||||||||||||
| Municipal Bonds |
960,325 | — | 960,325 | — | ||||||||||||||
| Short-Term Investments |
126,831,240 | 40,821,940 | 86,009,300 | — | ||||||||||||||
| Derivatives: |
||||||||||||||||||
| Credit Contracts |
||||||||||||||||||
| Swaps |
254,747 | — | 254,747 | — | ||||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
174,153 | — | 174,153 | — | ||||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
2,136,578 | 2,136,578 | — | — | ||||||||||||||
| Purchased Options |
87,715 | — | 87,715 | — | ||||||||||||||
| Swaps |
1,458,676 | — | 1,458,676 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Interest Rate Contracts |
3,682,969 | 2,136,578 | 1,546,391 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets - Derivatives |
4,111,869 | 2,136,578 | 1,975,291 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets |
409,873,828 | 43,032,259 | 366,841,569 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Liabilities |
Securities Sold Short |
|||||||||||||||||
| Mortgaged-Backed Securities |
(496,085 | ) | — | (496,085 | ) | — | ||||||||||||
| Derivatives: |
||||||||||||||||||
| Credit Contracts |
||||||||||||||||||
| Swaps |
(12,451 | ) | — | (12,451 | ) | — | ||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
(644,782 | ) | — | (644,782 | ) | — | ||||||||||||
| Written Options |
(3,006 | ) | — | (3,006 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Foreign Currency Contracts |
(647,788 | ) | — | (647,788 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
(660,670 | ) | (660,670 | ) | — | — | ||||||||||||
| Written Options |
(247,136 | ) | — | (247,136 | ) | — | ||||||||||||
| Swaps |
(207,148 | ) | — | (207,148 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Interest Rate Contracts |
(1,114,954 | ) | (660,670 | ) | (454,284 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities - Derivatives |
(1,775,193 | ) | (660,670 | ) | (1,114,523 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities |
(2,271,278 | ) | (660,670 | ) | (1,610,608 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$407,602,550 | $42,371,589 | $365,230,961 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-64
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments
March 31, 2023
| Principal Amount |
Value |
|||||||
| CORPORATE BONDS & NOTES - 40.6% |
|
|||||||
| Basic Materials - 1.4% |
|
|||||||
| ArcelorMittal SA (Luxembourg) |
$110,000 | $107,767 | ||||||
| Celanese US Holdings LLC |
||||||||
| 5.900% due 07/05/24 |
485,000 | 485,402 | ||||||
| 6.050% due 03/15/25 |
410,000 | 412,639 | ||||||
| Celulosa Arauco y Constitucion SA (Chile) |
200,000 | 196,309 | ||||||
| Ecolab Inc |
||||||||
| 1.650% due 02/01/27 |
100,000 | 90,708 | ||||||
| 5.250% due 01/15/28 |
290,000 | 301,055 | ||||||
| LYB International Finance III LLC |
276,000 | 250,185 | ||||||
| Nucor Corp |
||||||||
| 2.000% due 06/01/25 |
130,000 | 122,337 | ||||||
| 3.950% due 05/23/25 |
100,000 | 98,474 | ||||||
| Nutrien Ltd (Canada) |
125,000 | 125,057 | ||||||
| POSCO (South Korea) |
550,000 | 541,520 | ||||||
| The Sherwin-Williams Co |
||||||||
| 4.050% due 08/08/24 |
75,000 | 74,083 | ||||||
| 4.250% due 08/08/25 |
110,000 | 108,832 | ||||||
| Westlake Corp |
230,000 | 217,980 | ||||||
|
|
|
|||||||
| 3,132,348 | ||||||||
|
|
|
|||||||
| Communications - 2.4% |
|
|||||||
| Charter Communications Operating LLC |
1,140,000 | 1,129,083 | ||||||
| Comcast Corp |
105,000 | 107,341 | ||||||
| Cox Communications Inc |
495,000 | 482,662 | ||||||
| KT Corp (South Korea) |
450,000 | 440,685 | ||||||
| NBN Co Ltd (Australia) |
250,000 | 226,124 | ||||||
| NTT Finance Corp (Japan) |
||||||||
| 4.142% due 07/26/24 ~ |
200,000 | 198,244 | ||||||
| 4.239% due 07/25/25 ~ |
200,000 | 197,384 | ||||||
| Rogers Communications Inc (Canada) |
310,000 | 291,892 | ||||||
| SES SA (Luxembourg) |
98,000 | 98,000 | ||||||
| Sky Ltd (United Kingdom) |
930,000 | 912,400 | ||||||
| T-Mobile USA Inc |
||||||||
| 2.250% due 02/15/26 |
290,000 | 269,979 | ||||||
| 3.500% due 04/15/25 |
190,000 | 184,791 | ||||||
| Verizon Communications Inc |
||||||||
| 0.850% due 11/20/25 |
300,000 | 273,231 | ||||||
| 1.450% due 03/20/26 |
330,000 | 303,770 | ||||||
| 2.625% due 08/15/26 |
390,000 | 368,895 | ||||||
|
|
|
|||||||
| 5,484,481 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 3.7% |
|
|||||||
| Advance Auto Parts Inc |
65,000 | 66,365 | ||||||
| American Airlines Pass-Through Trust ‘B’ |
103,554 | 96,727 | ||||||
| Aptiv PLC |
225,000 | 214,449 | ||||||
| AutoZone Inc |
275,000 | 268,137 | ||||||
| Brunswick Corp |
320,000 | 299,026 | ||||||
| Principal Amount |
Value |
|||||||
| Daimler Truck Finance North America LLC |
||||||||
| 1.625% due 12/13/24 ~ |
$300,000 | $284,065 | ||||||
| 5.150% due 01/16/26 ~ |
150,000 | 150,676 | ||||||
| 5.200% due 01/17/25 ~ |
150,000 | 150,328 | ||||||
| General Motors Financial Co Inc |
420,000 | 401,144 | ||||||
| Genuine Parts Co |
100,000 | 94,524 | ||||||
| Hasbro Inc |
560,000 | 540,299 | ||||||
| Hyatt Hotels Corp |
150,000 | 146,869 | ||||||
| Hyundai Capital America |
||||||||
| 0.800% due 01/08/24 ~ |
240,000 | 231,282 | ||||||
| 0.875% due 06/14/24 ~ |
100,000 | 94,713 | ||||||
| 1.000% due 09/17/24 ~ |
120,000 | 112,543 | ||||||
| Hyundai Capital Services Inc (South Korea) |
200,000 | 187,661 | ||||||
| Lowe’s Cos Inc |
||||||||
| 3.350% due 04/01/27 |
60,000 | 57,566 | ||||||
| 4.400% due 09/08/25 |
310,000 | 308,655 | ||||||
| Marriott International Inc |
||||||||
| 3.600% due 04/15/24 |
580,000 | 569,210 | ||||||
| 3.750% due 03/15/25 |
55,000 | 53,533 | ||||||
| Nissan Motor Co Ltd (Japan) |
660,000 | 650,247 | ||||||
| Nordstrom Inc |
40,000 | 38,253 | ||||||
| QVC Inc |
365,000 | 292,463 | ||||||
| Ross Stores Inc |
920,000 | 918,599 | ||||||
| Starbucks Corp |
245,000 | 246,543 | ||||||
| Stellantis Finance US Inc |
400,000 | 354,130 | ||||||
| Toyota Motor Credit Corp |
410,000 | 401,113 | ||||||
| United Airlines Pass-Through Trust ‘B’ |
64,367 | 58,269 | ||||||
| Volkswagen Group of America Finance LLC |
400,000 | 392,513 | ||||||
| Warnermedia Holdings Inc |
||||||||
| 3.755% due 03/15/27 ~ |
700,000 | 659,802 | ||||||
| 6.412% due 03/15/26 |
140,000 | 140,749 | ||||||
|
|
|
|||||||
| 8,480,453 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 6.3% |
|
|||||||
| AbbVie Inc |
||||||||
| 2.600% due 11/21/24 |
865,000 | 835,140 | ||||||
| 2.950% due 11/21/26 |
520,000 | 495,108 | ||||||
| 3.200% due 05/14/26 |
50,000 | 48,305 | ||||||
| AmerisourceBergen Corp |
470,000 | 460,895 | ||||||
| Amgen Inc |
||||||||
| 5.150% due 03/02/28 |
225,000 | 229,850 | ||||||
| 5.250% due 03/02/25 |
110,000 | 111,265 | ||||||
| Anheuser-Busch Cos LLC (Belgium) |
320,000 | 314,282 | ||||||
| Astrazeneca Finance LLC (United Kingdom) |
380,000 | 346,278 | ||||||
| BAT International Finance PLC (United Kingdom) |
420,000 | 382,462 | ||||||
| 4.448% due 03/16/28 |
360,000 | 342,513 | ||||||
| Bayer US Finance II LLC (Germany) |
200,000 | 197,794 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-65
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| Becton Dickinson & Co |
||||||||
| 3.363% due 06/06/24 |
$190,000 | $186,562 | ||||||
| 3.734% due 12/15/24 |
116,000 | 113,471 | ||||||
| 4.693% due 02/13/28 |
420,000 | 421,977 | ||||||
| Cardinal Health Inc |
540,000 | 526,871 | ||||||
| Coca-Cola Europacific Partners PLC |
665,000 | 634,535 | ||||||
| Constellation Brands Inc |
245,000 | 241,903 | ||||||
| CSL Finance PLC (Australia) |
70,000 | 68,287 | ||||||
| CVS Health Corp |
||||||||
| 2.875% due 06/01/26 |
130,000 | 123,599 | ||||||
| 3.000% due 08/15/26 |
100,000 | 95,474 | ||||||
| Diageo Capital PLC (United Kingdom) |
200,000 | 202,768 | ||||||
| Elevance Health Inc |
85,000 | 85,797 | ||||||
| HCA Inc |
||||||||
| 3.125% due 03/15/27 ~ |
260,000 | 241,880 | ||||||
| 5.250% due 04/15/25 |
300,000 | 300,001 | ||||||
| 5.375% due 02/01/25 |
135,000 | 135,144 | ||||||
| Health Care Service Corp |
380,000 | 354,271 | ||||||
| HPHT Finance 19 Ltd (Hong Kong) |
500,000 | 483,780 | ||||||
| Humana Inc |
||||||||
| 1.350% due 02/03/27 |
40,000 | 35,150 | ||||||
| 3.850% due 10/01/24 |
225,000 | 221,289 | ||||||
| 4.500% due 04/01/25 |
450,000 | 446,285 | ||||||
| 5.750% due 03/01/28 |
50,000 | 51,966 | ||||||
| Imperial Brands Finance PLC (United Kingdom) |
||||||||
| 3.125% due 07/26/24 ~ |
400,000 | 387,653 | ||||||
| 4.250% due 07/21/25 ~ |
200,000 | 193,779 | ||||||
| JDE Peet’s NV (Netherlands) |
300,000 | 279,719 | ||||||
| Kenvue Inc |
||||||||
| 5.350% due 03/22/26 ~ |
130,000 | 133,457 | ||||||
| 5.500% due 03/22/25 ~ |
245,000 | 249,162 | ||||||
| Mondelez International Holdings Netherlands BV |
200,000 | 198,076 | ||||||
| Mondelez International Inc |
||||||||
| 2.125% due 03/17/24 |
200,000 | 194,442 | ||||||
| 2.625% due 03/17/27 |
190,000 | 177,746 | ||||||
| PeaceHealth Obligated Group |
80,000 | 72,860 | ||||||
| PerkinElmer Inc |
560,000 | 525,990 | ||||||
| Perrigo Finance Unlimited Co |
510,000 | 500,022 | ||||||
| Philip Morris International Inc |
165,000 | 166,371 | ||||||
| 5.125% due 11/15/24 |
325,000 | 327,251 | ||||||
| Royalty Pharma PLC |
380,000 | 370,584 | ||||||
| S&P Global Inc |
500,000 | 469,239 | ||||||
| Shire Acquisitions Investments Ireland DAC |
110,000 | 108,673 | ||||||
| Triton Container International Ltd (Bermuda) |
400,000 | 390,900 | ||||||
| UnitedHealth Group Inc |
||||||||
| 3.700% due 05/15/27 |
220,000 | 215,385 | ||||||
| 5.150% due 10/15/25 |
245,000 | 249,784 | ||||||
| 5.250% due 02/15/28 |
180,000 | 187,309 | ||||||
| Viatris Inc |
105,000 | 96,349 | ||||||
| Principal Amount |
Value |
|||||||
| Zoetis Inc |
$255,000 | $259,440 | ||||||
|
|
|
|||||||
| 14,489,093 | ||||||||
|
|
|
|||||||
| Diversified - 0.2% |
|
|||||||
| CK Hutchison International 19 Ltd |
500,000 | 492,679 | ||||||
|
|
|
|||||||
| Energy - 2.8% |
|
|||||||
| Aker BP ASA (Norway) |
610,000 | 588,025 | ||||||
| Canadian Natural Resources Ltd (Canada) |
520,000 | 486,159 | ||||||
| Cheniere Corpus Christi Holdings LLC |
470,000 | 473,578 | ||||||
| Devon Energy Corp |
140,000 | 140,604 | ||||||
| Enbridge Inc (Canada) |
||||||||
| 2.150% due 02/16/24 |
275,000 | 267,029 | ||||||
| 2.500% due 01/15/25 |
310,000 | 297,174 | ||||||
| 2.500% due 02/14/25 |
150,000 | 143,724 | ||||||
| Energy Transfer LP |
||||||||
| 2.900% due 05/15/25 |
120,000 | 114,420 | ||||||
| 4.250% due 04/01/24 |
204,000 | 201,447 | ||||||
| 5.875% due 01/15/24 |
745,000 | 744,903 | ||||||
| Eni SPA (Italy) |
540,000 | 535,663 | ||||||
| Gray Oak Pipeline LLC |
||||||||
| 2.000% due 09/15/23 ~ |
90,000 | 88,501 | ||||||
| 2.600% due 10/15/25 ~ |
180,000 | 166,980 | ||||||
| Sabine Pass Liquefaction LLC |
||||||||
| 5.625% due 03/01/25 |
360,000 | 362,430 | ||||||
| 5.750% due 05/15/24 |
410,000 | 411,084 | ||||||
| Saudi Arabian Oil Co (Saudi Arabia) |
500,000 | 487,984 | ||||||
| Schlumberger Finance Canada Ltd |
140,000 | 129,480 | ||||||
| The Williams Cos Inc |
150,000 | 152,905 | ||||||
| TransCanada PipeLines Ltd (Canada) |
470,000 | 473,406 | ||||||
|
|
|
|||||||
| 6,265,496 | ||||||||
|
|
|
|||||||
| Financial - 17.2% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
||||||||
| 1.650% due 10/29/24 |
500,000 | 468,053 | ||||||
| 4.500% due 09/15/23 |
390,000 | 386,362 | ||||||
| 4.875% due 01/16/24 |
300,000 | 296,715 | ||||||
| American Express Co |
||||||||
| 2.250% due 03/04/25 |
440,000 | 419,393 | ||||||
| 3.375% due 05/03/24 |
220,000 | 215,745 | ||||||
| 3.950% due 08/01/25 |
495,000 | 485,701 | ||||||
| American International Group Inc |
266,000 | 251,795 | ||||||
| American Tower Corp REIT |
170,000 | 161,566 | ||||||
| Athene Global Funding |
||||||||
| 1.716% due 01/07/25 ~ |
430,000 | 400,007 | ||||||
| 2.514% due 03/08/24 ~ |
630,000 | 608,051 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
||||||||
| 2.125% due 02/21/26 ~ |
325,000 | 289,184 | ||||||
| 2.875% due 02/15/25 ~ |
250,000 | 234,771 | ||||||
| 3.950% due 07/01/24 ~ |
130,000 | 126,570 | ||||||
| Banco Bilbao Vizcaya Argentaria SA (Spain) |
800,000 | 781,986 | ||||||
| Banco Santander SA (Spain) |
400,000 | 391,328 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-66
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| Bank of America Corp |
||||||||
| 0.976% due 04/22/25 |
$300,000 | $285,957 | ||||||
| 1.734% due 07/22/27 |
210,000 | 188,481 | ||||||
| 1.843% due 02/04/25 |
225,000 | 218,382 | ||||||
| 3.384% due 04/02/26 |
300,000 | 287,843 | ||||||
| 3.841% due 04/25/25 |
150,000 | 147,321 | ||||||
| 5.080% due 01/20/27 |
210,000 | 209,504 | ||||||
| Bank of Ireland Group PLC (Ireland) |
890,000 | 878,901 | ||||||
| Bank of Montreal (Canada) |
||||||||
| 3.700% due 06/07/25 |
280,000 | 272,150 | ||||||
| 4.250% due 09/14/24 |
390,000 | 385,386 | ||||||
| Banque Federative du Credit Mutuel SA (France) |
||||||||
| 0.650% due 02/27/24 ~ |
590,000 | 565,290 | ||||||
| 0.998% due 02/04/25 ~ |
300,000 | 277,634 | ||||||
| 4.935% due 01/26/26 ~ |
210,000 | 207,700 | ||||||
| Barclays PLC (United Kingdom) |
||||||||
| 1.007% due 12/10/24 |
400,000 | 385,565 | ||||||
| 5.304% due 08/09/26 |
205,000 | 200,958 | ||||||
| 7.325% due 11/02/26 |
205,000 | 210,133 | ||||||
| BPCE SA (France) |
800,000 | 794,014 | ||||||
| Brighthouse Financial Global Funding |
||||||||
| 0.600% due 06/28/23 ~ |
275,000 | 271,699 | ||||||
| 1.000% due 04/12/24 ~ |
240,000 | 229,355 | ||||||
| Brixmor Operating Partnership LP REIT |
475,000 | 460,224 | ||||||
| CaixaBank SA (Spain) |
305,000 | 307,145 | ||||||
| Canadian Imperial Bank of Commerce (Canada) |
960,000 | 933,525 | ||||||
| Capital One Financial Corp |
||||||||
| 2.636% due 03/03/26 |
270,000 | 250,354 | ||||||
| 3.500% due 06/15/23 |
130,000 | 129,362 | ||||||
| 3.900% due 01/29/24 |
175,000 | 171,971 | ||||||
| 4.985% due 07/24/26 |
215,000 | 207,426 | ||||||
| Citigroup Inc |
||||||||
| 0.981% due 05/01/25 |
250,000 | 237,622 | ||||||
| 3.106% due 04/08/26 |
275,000 | 263,096 | ||||||
| 4.140% due 05/24/25 |
300,000 | 294,812 | ||||||
| CNO Global Funding |
||||||||
| 1.650% due 01/06/25 ~ |
300,000 | 280,945 | ||||||
| 1.750% due 10/07/26 ~ |
600,000 | 538,344 | ||||||
| Cooperatieve Rabobank UA (Netherlands) |
550,000 | 541,834 | ||||||
| Corebridge Financial Inc |
170,000 | 163,436 | ||||||
| Credicorp Ltd (Peru) |
500,000 | 466,827 | ||||||
| Crown Castle Inc REIT |
||||||||
| 1.050% due 07/15/26 |
300,000 | 264,519 | ||||||
| 2.900% due 03/15/27 |
210,000 | 195,047 | ||||||
| Danske Bank AS (Denmark) |
||||||||
| 3.773% due 03/28/25 ~ |
400,000 | 390,591 | ||||||
| 5.375% due 01/12/24 ~ |
560,000 | 554,979 | ||||||
| EMG SUKUK Ltd (United Arab Emirates) |
500,000 | 494,756 | ||||||
| Equitable Financial Life Global Funding |
||||||||
| 1.100% due 11/12/24 ~ |
250,000 | 236,251 | ||||||
| 1.400% due 07/07/25 ~ |
510,000 | 472,024 | ||||||
| Essex Portfolio LP REIT |
500,000 | 493,286 | ||||||
| Fifth Third Bank NA |
335,000 | 330,436 | ||||||
| First American Financial Corp |
465,000 | 458,468 | ||||||
| HSBC Holdings PLC (United Kingdom) |
430,000 | 395,196 | ||||||
| Jackson Financial Inc |
280,000 | 271,697 | ||||||
| Principal Amount |
Value |
|||||||
| Jackson National Life Global Funding |
$300,000 | $281,140 | ||||||
| JPMorgan Chase & Co |
||||||||
| 0.824% due 06/01/25 |
280,000 | 265,480 | ||||||
| 4.080% due 04/26/26 |
680,000 | 668,011 | ||||||
| 5.512% (SOFR + 0.885%) |
175,000 | 172,743 | ||||||
| LeasePlan Corp NV (Netherlands) |
400,000 | 380,257 | ||||||
| LSEGA Financing PLC (United Kingdom) |
400,000 | 380,823 | ||||||
| Marsh & McLennan Cos Inc |
||||||||
| 3.750% due 03/14/26 |
50,000 | 48,947 | ||||||
| 3.875% due 03/15/24 |
175,000 | 172,582 | ||||||
| MassMutual Global Funding II |
200,000 | 197,696 | ||||||
| Metropolitan Life Global Funding I |
695,000 | 683,679 | ||||||
| Mitsubishi UFJ Financial Group Inc (Japan) |
||||||||
| 0.953% due 07/19/25 |
440,000 | 414,532 | ||||||
| 5.063% due 09/12/25 |
200,000 | 198,743 | ||||||
| Morgan Stanley |
||||||||
| 0.731% due 04/05/24 |
375,000 | 374,892 | ||||||
| 1.164% due 10/21/25 |
335,000 | 313,054 | ||||||
| 2.630% due 02/18/26 |
260,000 | 246,959 | ||||||
| 3.620% due 04/17/25 |
580,000 | 569,667 | ||||||
| 5.050% due 01/28/27 |
120,000 | 119,760 | ||||||
| 6.138% due 10/16/26 |
245,000 | 249,843 | ||||||
| NatWest Markets PLC (United Kingdom) |
485,000 | 482,465 | ||||||
| Northwestern Mutual Global Funding |
220,000 | 218,166 | ||||||
| Protective Life Global Funding |
300,000 | 288,921 | ||||||
| Public Storage REIT |
140,000 | 139,365 | ||||||
| QNB Finance Ltd (Qatar) |
480,000 | 472,253 | ||||||
| Royal Bank of Canada (Canada) |
935,000 | 922,705 | ||||||
| Santander Holdings USA Inc |
190,000 | 164,493 | ||||||
| SBA Tower Trust REIT |
||||||||
| 1.631% due 05/15/51 ~ |
70,000 | 61,394 | ||||||
| 1.884% due 07/15/50 ~ |
70,000 | 63,317 | ||||||
| 2.836% due 01/15/50 ~ |
500,000 | 474,011 | ||||||
| 6.599% due 01/15/28 ~ |
180,000 | 190,305 | ||||||
| Simon Property Group LP REIT |
||||||||
| 2.000% due 09/13/24 |
130,000 | 124,220 | ||||||
| 3.375% due 10/01/24 |
250,000 | 244,256 | ||||||
| Standard Chartered PLC (United Kingdom) |
400,000 | 372,428 | ||||||
| State Street Corp |
130,000 | 129,193 | ||||||
| Synchrony Financial |
535,000 | 506,034 | ||||||
| The Bank of New York Mellon Corp |
245,000 | 241,871 | ||||||
| The Charles Schwab Corp |
490,000 | 439,706 | ||||||
| The Goldman Sachs Group Inc |
||||||||
| 0.925% due 10/21/24 |
410,000 | 399,033 | ||||||
| 1.757% due 01/24/25 |
300,000 | 290,461 | ||||||
| 3.500% due 04/01/25 |
270,000 | 262,321 | ||||||
| 4.482% due 08/23/28 |
215,000 | 210,456 | ||||||
| The PNC Financial Services Group Inc |
||||||||
| 4.758% due 01/26/27 |
230,000 | 227,326 | ||||||
| 5.671% due 10/28/25 |
335,000 | 335,416 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-67
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| The Toronto-Dominion Bank (Canada) |
$465,000 | $459,809 | ||||||
| The Western Union Co |
630,000 | 601,659 | ||||||
| Truist Financial Corp |
200,000 | 191,573 | ||||||
| UBS AG (Switzerland) |
500,000 | 467,493 | ||||||
| UBS Group AG (Switzerland) |
515,000 | 502,708 | ||||||
| US Bancorp |
||||||||
| 4.548% due 07/22/28 |
385,000 | 375,476 | ||||||
| 5.727% due 10/21/26 |
145,000 | 145,763 | ||||||
| Wells Fargo & Co |
||||||||
| 2.188% due 04/30/26 |
190,000 | 178,193 | ||||||
| 3.908% due 04/25/26 |
230,000 | 223,411 | ||||||
| 4.540% due 08/15/26 |
275,000 | 270,186 | ||||||
| Westpac Banking Corp (Australia) |
940,000 | 947,037 | ||||||
| Willis North America Inc |
180,000 | 177,441 | ||||||
| WP Carey Inc REIT |
||||||||
| 4.000% due 02/01/25 |
245,000 | 237,481 | ||||||
| 4.600% due 04/01/24 |
315,000 | 308,366 | ||||||
|
|
|
|||||||
| 39,423,193 | ||||||||
|
|
|
|||||||
| Industrial - 2.1% |
|
|||||||
| Amcor Flexibles North America Inc |
215,000 | 210,674 | ||||||
| Amphenol Corp |
225,000 | 214,368 | ||||||
| Canadian Pacific Railway Co (Canada) |
||||||||
| 1.350% due 12/02/24 |
325,000 | 306,342 | ||||||
| 1.750% due 12/02/26 |
150,000 | 136,054 | ||||||
| Carrier Global Corp |
120,000 | 114,562 | ||||||
| DAE Funding LLC (United Arab Emirates) |
200,000 | 188,207 | ||||||
| GATX Corp |
375,000 | 370,490 | ||||||
| Martin Marietta Materials Inc |
760,000 | 754,989 | ||||||
| Otis Worldwide Corp |
290,000 | 273,869 | ||||||
| Parker-Hannifin Corp |
410,000 | 403,966 | ||||||
| Penske Truck Leasing Co LP |
||||||||
| 3.450% due 07/01/24 ~ |
265,000 | 258,088 | ||||||
| 3.900% due 02/01/24 ~ |
400,000 | 393,868 | ||||||
| Republic Services Inc |
255,000 | 247,108 | ||||||
| SMBC Aviation Capital Finance DAC (Ireland) |
400,000 | 390,459 | ||||||
| 4.125% due 07/15/23 ~ |
530,000 | 526,545 | ||||||
|
|
|
|||||||
| 4,789,589 | ||||||||
|
|
|
|||||||
| Technology - 1.7% |
|
|||||||
| CDW LLC |
80,000 | 79,987 | ||||||
| Fidelity National Information Services Inc |
||||||||
| 0.600% due 03/01/24 |
200,000 | 191,323 | ||||||
| 4.500% due 07/15/25 |
100,000 | 98,943 | ||||||
| Fiserv Inc |
475,000 | 461,014 | ||||||
| Fortinet Inc |
190,000 | 170,639 | ||||||
| Intel Corp |
200,000 | 202,635 | ||||||
| Principal Amount |
Value |
|||||||
| Marvell Technology Inc |
$140,000 | $139,413 | ||||||
| Microchip Technology Inc |
||||||||
| 0.972% due 02/15/24 |
320,000 | 307,286 | ||||||
| 0.983% due 09/01/24 |
270,000 | 254,961 | ||||||
| 2.670% due 09/01/23 |
410,000 | 404,305 | ||||||
| NXP BV (China) |
||||||||
| 2.700% due 05/01/25 |
310,000 | 294,374 | ||||||
| 3.875% due 06/18/26 |
170,000 | 164,270 | ||||||
| 4.400% due 06/01/27 |
30,000 | 29,653 | ||||||
| 4.875% due 03/01/24 |
245,000 | 243,242 | ||||||
| Oracle Corp |
140,000 | 143,560 | ||||||
| Qorvo Inc |
130,000 | 120,813 | ||||||
| Roper Technologies Inc |
200,000 | 192,624 | ||||||
| Skyworks Solutions Inc |
45,000 | 44,624 | ||||||
| Take-Two Interactive Software Inc |
||||||||
| 3.300% due 03/28/24 |
235,000 | 229,924 | ||||||
| 3.550% due 04/14/25 |
60,000 | 58,465 | ||||||
| Workday Inc |
100,000 | 95,744 | ||||||
|
|
|
|||||||
| 3,927,799 | ||||||||
|
|
|
|||||||
| Utilities - 2.8% |
|
|||||||
| Alexander Funding Trust |
240,000 | 232,870 | ||||||
| APA Infrastructure Ltd (Australia) |
645,000 | 632,150 | ||||||
| Constellation Energy Generation LLC |
165,000 | 169,957 | ||||||
| DTE Energy Co |
365,000 | 361,122 | ||||||
| Enel Finance International NV (Italy) |
||||||||
| 1.375% due 07/12/26 ~ |
400,000 | 356,493 | ||||||
| 2.650% due 09/10/24 ~ |
475,000 | 458,738 | ||||||
| 6.800% due 10/14/25 ~ |
200,000 | 206,879 | ||||||
| Eversource Energy |
265,000 | 262,564 | ||||||
| Israel Electric Corp Ltd (Israel) |
500,000 | 494,556 | ||||||
| NextEra Energy Capital Holdings Inc |
||||||||
| 1.875% due 01/15/27 |
320,000 | 289,566 | ||||||
| 4.450% due 06/20/25 |
180,000 | 178,894 | ||||||
| 6.051% due 03/01/25 |
135,000 | 137,406 | ||||||
| NRG Energy Inc |
260,000 | 252,346 | ||||||
| Pacific Gas and Electric Co |
270,000 | 257,629 | ||||||
| Sempra Energy |
130,000 | 125,900 | ||||||
| Southern California Gas Co |
180,000 | 168,771 | ||||||
| The AES Corp |
310,000 | 294,317 | ||||||
| Vistra Operations Co LLC |
||||||||
| 3.550% due 07/15/24 ~ |
1,425,000 | 1,376,558 | ||||||
| 5.125% due 05/13/25 ~ |
220,000 | 214,655 | ||||||
|
|
|
|||||||
| 6,471,371 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
92,956,502 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-68
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| MORTGAGE-BACKED SECURITIES - 9.4% |
|
|||||||
| Collateralized Mortgage Obligations - Commercial - 3.9% |
|
|||||||
| BAMLL Commercial Mortgage Securities Trust |
||||||||
| 3.490% due 04/14/33 ~ |
$130,000 | $119,044 | ||||||
| 5.535% (USD LIBOR + 0.850%) |
455,000 | 445,060 | ||||||
| Bank 2019-BNK 19 |
47,386 | 44,835 | ||||||
| Bank 2019-BNK 24 |
33,609 | 32,757 | ||||||
| BCP Trust |
70,000 | 64,633 | ||||||
| BFLD Trust |
515,000 | 505,752 | ||||||
| BIG Commercial Mortgage Trust |
485,000 | 458,235 | ||||||
| BPR Trust |
105,000 | 98,607 | ||||||
| BX Commercial Mortgage Trust |
||||||||
| 5.862% (SOFR + 1.034%) |
75,266 | 74,461 | ||||||
| 6.085% (USD LIBOR + 1.400%) |
98,414 | 92,533 | ||||||
| 6.942% (SOFR + 2.115%) |
400,000 | 394,862 | ||||||
| 7.968% (SOFR + 3.141%) |
100,000 | 98,056 | ||||||
| BX Trust |
75,000 | 70,309 | ||||||
| BXSC Commercial Mortgage Trust |
470,000 | 457,094 | ||||||
| CGDB Commercial Mortgage Trust |
350,000 | 328,364 | ||||||
| Citigroup Commercial Mortgage Trust |
||||||||
| 3.251% due 05/10/35 ~ |
500,000 | 458,594 | ||||||
| 4.149% due 01/10/36 ~ |
330,000 | 323,420 | ||||||
| Commercial Mortgage Trust |
||||||||
| 3.221% due 10/10/48 |
35,997 | 35,420 | ||||||
| 3.359% due 10/10/48 |
450,989 | 430,488 | ||||||
| 3.926% due 03/10/48 § |
65,000 | 61,044 | ||||||
| 4.048% due 12/10/47 |
225,000 | 216,201 | ||||||
| 4.672% due 02/10/47 § |
650,000 | 574,920 | ||||||
| 4.698% due 08/10/47 ~ § |
100,000 | 86,598 | ||||||
| 4.701% due 03/10/47 |
195,000 | 189,771 | ||||||
| Credit Suisse Mortgage Capital Certificates |
256,362 | 253,898 | ||||||
| CSAIL Commercial Mortgage Trust |
49,752 | 48,449 | ||||||
| Extended Stay America Trust |
112,262 | 108,983 | ||||||
| 6.385% (USD LIBOR + 1.700%) |
112,262 | 108,936 | ||||||
| Great Wolf Trust |
145,000 | 140,993 | ||||||
| GS Mortgage Securities Corp Trust |
100,000 | 88,220 | ||||||
| Principal Amount |
Value |
|||||||
| GS Mortgage Securities Trust |
||||||||
| 3.430% due 08/10/50 |
$545,000 | $503,594 | ||||||
| 3.853% due 11/10/49 § |
510,000 | 452,628 | ||||||
| JP Morgan Chase Commercial Mortgage Securities Trust |
||||||||
| 6.455% (USD LIBOR + 1.770%) |
205,000 | 180,345 | ||||||
| 6.534% (USD LIBOR + 1.850%) |
120,000 | 106,261 | ||||||
| 6.855% (USD LIBOR + 2.170%) |
165,000 | 138,111 | ||||||
| KIND Trust |
129,067 | 120,266 | ||||||
| KKR Industrial Portfolio Trust |
||||||||
| 5.942% (SOFR + 1.114%) |
75,000 | 71,693 | ||||||
| 6.192% (SOFR + 1.364%) |
75,000 | 71,011 | ||||||
| MHC Commercial Mortgage Trust |
465,000 | 450,285 | ||||||
| Morgan Stanley Capital I Trust |
255,000 | 222,175 | ||||||
| New Orleans Hotel Trust |
284,757 | 270,770 | ||||||
|
|
|
|||||||
| 8,997,676 | ||||||||
|
|
|
|||||||
| Collateralized Mortgage Obligations - Residential - 2.6% |
|
|||||||
| Angel Oak Mortgage Trust |
||||||||
| 1.068% due 05/25/66 ~ § |
53,198 | 44,015 | ||||||
| 1.115% due 01/25/66 ~ § |
22,475 | 18,758 | ||||||
| 1.579% due 05/25/65 ~ § |
30,804 | 27,956 | ||||||
| Barclays Mortgage Loan Trust |
133,833 | 116,348 | ||||||
| BINOM Securitization Trust |
77,136 | 67,572 | ||||||
| CIM Trust |
417,604 | 401,622 | ||||||
| COLT Mortgage Loan Trust |
||||||||
| 1.167% due 06/25/66 ~ § |
66,267 | 53,886 | ||||||
| 1.506% due 04/27/65 ~ § |
14,163 | 13,173 | ||||||
| Connecticut Avenue Securities Trust |
||||||||
| 5.560% (SOFR + 1.000%) |
39,517 | 39,072 | ||||||
| 6.560% (SOFR + 2.000%) |
53,594 | 53,653 | ||||||
| 6.660% (SOFR + 2.100%) |
80,412 | 80,300 | ||||||
| 7.110% (SOFR + 2.550%) |
197,864 | 199,252 | ||||||
| 7.310% (SOFR + 2.750%) |
33,064 | 33,611 | ||||||
| Deephaven Residential Mortgage Trust |
||||||||
| 0.899% due 04/25/66 ~ § |
54,251 | 46,644 | ||||||
| 0.973% due 05/25/65 ~ § |
30,120 | 27,048 | ||||||
| 1.260% due 04/25/66 ~ § |
54,251 | 46,444 | ||||||
| Eagle RE Ltd |
117,741 | 117,434 | ||||||
| Ellington Financial Mortgage Trust |
||||||||
| 0.797% due 02/25/66 ~ § |
35,559 | 29,841 | ||||||
| 0.931% due 06/25/66 ~ § |
61,528 | 49,748 | ||||||
| 1.291% due 06/25/66 ~ § |
61,528 | 49,238 | ||||||
| 1.550% due 09/25/66 ~ § |
81,028 | 61,140 | ||||||
| Fannie Mae Connecticut Avenue Securities |
4,893 | 4,892 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-69
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| Flagstar Mortgage Trust |
||||||||
| 3.500% due 10/25/49 ~ § |
$30,670 | $28,075 | ||||||
| 4.000% due 09/25/48 ~ § |
24,238 | 23,472 | ||||||
| 5.467% (USD LIBOR + 0.850%) |
55,238 | 50,833 | ||||||
| Freddie Mac STACR REMIC Trust |
||||||||
| 5.260% (SOFR + 0.700%) |
7,549 | 7,547 | ||||||
| 5.260% (SOFR + 0.700%) |
84,019 | 83,534 | ||||||
| 5.860% (SOFR + 1.300%) |
326,853 | 323,722 | ||||||
| 6.360% (SOFR + 1.800%) |
45,000 | 42,816 | ||||||
| 6.560% (SOFR + 2.000%) |
414,484 | 414,667 | ||||||
| 6.660% (SOFR + 2.100%) |
181,131 | 181,193 | ||||||
| 6.695% (USD LIBOR + 1.850%) |
81,155 | 80,694 | ||||||
| 6.710% (SOFR + 2.150%) |
92,519 | 92,795 | ||||||
| 6.860% (SOFR + 2.300%) |
172,273 | 172,810 | ||||||
| 7.945% (USD LIBOR + 3.100%) |
83,745 | 85,872 | ||||||
| Freddie Mac Structured Agency Credit Risk Debt Notes |
||||||||
| 5.360% (SOFR + 0.800%) |
2,962 | 2,958 | ||||||
| 7.210% (SOFR + 2.650%) |
103,709 | 104,981 | ||||||
| Freddie Mac Whole Loan Securities Trust |
13,265 | 12,905 | ||||||
| Galton Funding Mortgage Trust |
||||||||
| 2.832% due 01/25/60 ~ § |
145,000 | 107,892 | ||||||
| 3.339% due 10/25/59 ~ § |
140,000 | 126,581 | ||||||
| 3.500% due 11/25/57 ~ § |
16,303 | 14,843 | ||||||
| 4.000% due 02/25/59 ~ § |
13,312 | 12,631 | ||||||
| GS Mortgage-Backed Securities Corp Trust |
180,721 | 156,758 | ||||||
| GS Mortgage-Backed Securities Trust |
2,127 | 2,094 | ||||||
| Hundred Acre Wood Trust |
117,363 | 102,782 | ||||||
| Imperial Fund Mortgage Trust |
73,672 | 57,801 | ||||||
| Mello Mortgage Capital Acceptance |
94,336 | 81,827 | ||||||
| New Residential Mortgage Loan Trust |
79,742 | 69,367 | ||||||
| 2.500% due 09/25/51 ~ § |
198,549 | 172,716 | ||||||
| NLT Trust |
83,685 | 66,626 | ||||||
| OBX Trust |
||||||||
| 2.500% due 05/25/51 ~ § |
126,873 | 110,050 | ||||||
| 3.000% due 05/25/60 ~ § |
27,135 | 23,427 | ||||||
| 3.500% due 12/25/49 ~ § |
22,715 | 20,296 | ||||||
| 3.500% due 02/25/60 ~ § |
79,125 | 70,689 | ||||||
| 5.456% (USD LIBOR + 1.200%) |
30,353 | 28,995 | ||||||
| 5.595% (USD LIBOR + 0.750%) |
34,515 | 32,000 | ||||||
| 5.795% (USD LIBOR + 0.950%) |
17,700 | 16,520 | ||||||
| PSMC Trust |
183,198 | 160,624 | ||||||
| Sequoia Mortgage Trust |
||||||||
| 4.000% due 06/25/48 ~ § |
30,336 | 28,557 | ||||||
| 4.000% due 08/25/48 ~ § |
8,372 | 8,144 | ||||||
| 4.500% due 08/25/48 ~ § |
1,395 | 1,363 | ||||||
| Principal Amount |
Value |
|||||||
| SG Residential Mortgage Trust |
||||||||
| 1.381% due 05/25/65 ~ § |
$27,983 | $24,263 | ||||||
| 2.703% due 09/25/59 ~ § |
4,157 | 4,031 | ||||||
| 3.166% due 03/27/62 ~ § |
97,754 | 88,239 | ||||||
| Starwood Mortgage Residential Trust |
||||||||
| 0.943% due 05/25/65 ~ § |
39,555 | 35,470 | ||||||
| 1.162% due 08/25/56 ~ § |
62,722 | 52,078 | ||||||
| 2.408% due 02/25/50 ~ § |
103,771 | 98,940 | ||||||
| UWM Mortgage Trust |
38,103 | 33,051 | ||||||
| Verus Securitization Trust |
||||||||
| 0.918% due 02/25/64 ~ § |
45,366 | 39,004 | ||||||
| 1.052% due 01/25/66 ~ § |
39,841 | 33,060 | ||||||
| 1.977% due 03/25/60 ~ § |
13,567 | 13,250 | ||||||
| 2.692% due 11/25/59 ~ § |
69,046 | 65,942 | ||||||
| 2.724% due 01/25/60 ~ |
92,811 | 87,807 | ||||||
| 3.100% due 11/25/59 ~ § |
66,074 | 62,893 | ||||||
| 3.117% due 07/25/59 ~ § |
63,601 | 61,624 | ||||||
| 3.288% due 01/25/67 ~ § |
156,084 | 131,939 | ||||||
| 4.910% due 06/25/67 ~ |
309,259 | 302,265 | ||||||
| Vista Point Securitization Trust |
26,124 | 23,118 | ||||||
| Wells Fargo Mortgage Backed Securities Trust |
150,513 | 131,979 | ||||||
|
|
|
|||||||
| 6,052,057 | ||||||||
|
|
|
|||||||
| Fannie Mae - 1.7% |
|
|||||||
| 2.000% due 10/01/50 |
56,032 | 46,598 | ||||||
| 2.500% due 07/01/51 - 02/01/52 |
526,307 | 455,635 | ||||||
| 3.000% due 09/01/28 - 06/01/52 |
580,595 | 533,140 | ||||||
| 3.500% due 09/01/47 - 01/01/52 |
596,970 | 563,109 | ||||||
| 4.000% due 07/01/52 |
412,686 | 395,123 | ||||||
| 4.500% due 05/01/41 - 08/01/52 |
1,044,529 | 1,028,230 | ||||||
| 5.000% due 09/01/25 - 08/01/52 |
239,450 | 243,875 | ||||||
| 5.500% due 05/01/44 |
321,932 | 332,539 | ||||||
| 6.000% due 11/01/35 - 02/01/49 |
199,163 | 210,131 | ||||||
|
|
|
|||||||
| 3,808,380 | ||||||||
|
|
|
|||||||
| Freddie Mac - 0.2% |
|
|||||||
| 2.500% due 01/01/52 |
50,930 | 44,254 | ||||||
| 3.000% due 05/01/31 |
140,111 | 134,697 | ||||||
| 4.000% due 02/01/50 |
82,501 | 80,036 | ||||||
| 4.500% due 09/01/37 |
48,651 | 48,598 | ||||||
| 5.000% due 12/01/41 |
42,013 | 42,580 | ||||||
| 7.000% due 03/01/39 |
18,958 | 19,918 | ||||||
| 7.500% due 06/01/38 |
18,575 | 19,431 | ||||||
|
|
|
|||||||
| 389,514 | ||||||||
|
|
|
|||||||
| Government National Mortgage Association - 1.0% |
|
|||||||
| 3.000% due 09/20/47 - 11/20/47 |
349,852 | 323,752 | ||||||
| 3.500% due 10/20/52 |
496,470 | 465,820 | ||||||
| 4.000% due 10/20/50 - 10/20/52 |
369,464 | 356,762 | ||||||
| 4.500% due 10/20/52 |
439,803 | 433,832 | ||||||
| 5.000% due 01/20/48 - 12/20/48 |
279,106 | 283,940 | ||||||
| 5.500% due 09/15/45 - 11/20/52 |
331,347 | 339,904 | ||||||
|
|
|
|||||||
| 2,204,010 | ||||||||
|
|
|
|||||||
| Total Mortgage-Backed Securities |
21,451,637 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 8.2% |
|
|||||||
| AmeriCredit Automobile Receivables Trust |
||||||||
| 0.890% due 10/19/26 |
115,000 | 107,253 | ||||||
| 0.970% due 02/18/26 |
78,996 | 77,784 | ||||||
| 1.210% due 12/18/26 |
65,000 | 59,210 | ||||||
| 1.290% due 06/18/27 |
140,000 | 126,282 | ||||||
| 1.590% due 10/20/25 |
165,000 | 160,860 | ||||||
| 1.800% due 12/18/25 |
160,000 | 152,662 | ||||||
| Amur Equipment Finance Receivables LLC |
245,000 | 244,104 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-70
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| ARI Fleet Lease Trust |
$190,000 | $188,245 | ||||||
| Avis Budget Rental Car Funding AESOP LLC |
100,000 | 97,979 | ||||||
| Blackbird Capital Aircraft Lease Securitization Ltd (Cayman) |
53,133 | 50,904 | ||||||
| BRE Grand Islander Timeshare Issuer LLC |
145,518 | 138,725 | ||||||
| Capital One Prime Auto Receivables Trust |
400,000 | 389,807 | ||||||
| CarMax Auto Owner Trust |
||||||||
| 0.850% due 06/15/26 |
277,000 | 257,367 | ||||||
| 2.340% due 11/17/25 |
105,000 | 101,744 | ||||||
| 4.980% due 02/15/28 |
195,000 | 193,377 | ||||||
| Cedar Funding XIV CLO Ltd (Cayman) |
255,000 | 251,787 | ||||||
| CIFC Funding Ltd (Cayman) |
||||||||
| 5.842% (USD LIBOR + 1.050%) |
290,000 | 284,446 | ||||||
| 5.866% (USD LIBOR + 1.050%) |
466,337 | 462,748 | ||||||
| Dryden 86 CLO Ltd (Cayman) |
250,000 | 242,943 | ||||||
| Elara HGV Timeshare Issuer LLC |
||||||||
| 2.690% due 03/25/30 ~ |
17,172 | 16,557 | ||||||
| 2.730% due 04/25/28 ~ |
48,930 | 48,823 | ||||||
| Exeter Automobile Receivables Trust |
||||||||
| 0.690% due 01/15/26 |
131,830 | 130,315 | ||||||
| 3.020% due 06/15/28 |
165,000 | 152,848 | ||||||
| 3.850% due 07/17/28 |
130,000 | 126,345 | ||||||
| 5.980% due 12/15/28 |
230,000 | 227,743 | ||||||
| 6.510% due 12/15/27 |
445,000 | 452,429 | ||||||
| Finance of America HECM Buyout |
409,553 | 397,415 | ||||||
| FirstKey Homes Trust |
505,000 | 460,086 | ||||||
| Ford Credit Auto Lease Trust |
190,000 | 186,236 | ||||||
| Ford Credit Auto Owner Trust |
||||||||
| 1.740% due 04/15/33 ~ |
115,000 | 104,556 | ||||||
| 2.040% due 12/15/26 |
185,000 | 178,470 | ||||||
| GM Financial Automobile Leasing Trust |
||||||||
| 4.330% due 05/20/26 |
1,135,000 | 1,113,709 | ||||||
| 5.130% due 08/20/26 |
615,000 | 611,130 | ||||||
| GM Financial Consumer Automobile Receivables Trust |
85,000 | 79,556 | ||||||
| 5.030% due 09/18/28 |
90,000 | 90,238 | ||||||
| GMF Floorplan Owner Revolving Trust |
205,000 | 201,347 | ||||||
| 1.480% due 08/15/25 ~ |
270,000 | 265,471 | ||||||
| Hilton Grand Vacations Trust |
||||||||
| 2.660% due 12/26/28 ~ |
25,242 | 25,008 | ||||||
| 2.960% due 12/26/28 ~ |
10,517 | 10,376 | ||||||
| Hyundai Auto Lease Securitization Trust |
330,000 | 326,316 | ||||||
| Hyundai Auto Receivables Trust |
150,000 | 142,702 | ||||||
| JPMorgan Chase Bank NA |
||||||||
| 0.875% due 09/25/28 ~ |
285,465 | 276,489 | ||||||
| 0.889% due 12/26/28 ~ |
560,930 | 540,841 | ||||||
| 0.969% due 12/26/28 ~ |
112,892 | 108,764 | ||||||
| Madison Park Funding Ltd (Cayman) |
470,000 | 463,221 | ||||||
| 5.862% (USD LIBOR + 1.070%) |
250,000 | 246,720 | ||||||
| Principal Amount |
Value |
|||||||
| MVW LLC |
$37,041 | $34,336 | ||||||
| MVW Owner Trust |
||||||||
| 2.420% due 12/20/34 ~ |
98,640 | 97,176 | ||||||
| 2.890% due 11/20/36 ~ |
104,717 | 99,264 | ||||||
| Navient Private Education Loan Trust |
140,188 | 130,955 | ||||||
| Navient Private Education Refi Loan Trust |
87,109 | 76,149 | ||||||
| 1.220% due 07/15/69 ~ |
107,844 | 96,461 | ||||||
| 2.230% due 07/15/70 ~ |
189,016 | 169,974 | ||||||
| 2.640% due 05/15/68 ~ |
148,244 | 139,899 | ||||||
| OCP CLO Ltd (Cayman) |
250,000 | 244,395 | ||||||
| Octane Receivables Trust |
||||||||
| 1.210% due 09/20/28 ~ |
46,832 | 44,983 | ||||||
| 4.900% due 05/22/28 ~ |
100,000 | 97,872 | ||||||
| 5.110% due 02/22/28 ~ |
435,119 | 431,723 | ||||||
| Palmer Square CLO Ltd (Cayman) |
250,000 | 246,953 | ||||||
| Progress Residential Trust |
||||||||
| 3.077% due 06/17/37 ~ |
250,000 | 235,926 | ||||||
| 4.451% due 07/20/39 ~ |
245,000 | 237,033 | ||||||
| Santander Bank Auto Credit-Linked Notes |
297,727 | 297,537 | ||||||
| 5.916% due 08/16/32 ~ |
180,751 | 180,062 | ||||||
| Santander Bank NA |
110,661 | 106,265 | ||||||
| Santander Drive Auto Receivables Trust |
||||||||
| 1.010% due 01/15/26 |
46,924 | 46,547 | ||||||
| 1.640% due 11/16/26 |
475,000 | 460,722 | ||||||
| 1.670% due 10/15/27 |
70,000 | 65,338 | ||||||
| 2.560% due 04/17/28 |
200,000 | 191,998 | ||||||
| 3.760% due 07/16/29 |
185,000 | 178,625 | ||||||
| 4.740% due 10/16/28 |
340,000 | 333,552 | ||||||
| 4.960% due 11/15/28 |
460,000 | 452,467 | ||||||
| 5.000% due 11/15/29 |
655,000 | 644,764 | ||||||
| Santander Retail Auto Lease Trust |
||||||||
| 1.140% due 03/20/26 ~ |
255,000 | 243,959 | ||||||
| 3.850% due 03/22/27 ~ |
30,000 | 29,082 | ||||||
| Sierra Timeshare Receivables Funding LLC |
||||||||
| 1.340% due 11/20/37 ~ |
33,615 | 31,099 | ||||||
| 3.510% due 07/20/37 ~ |
34,500 | 32,670 | ||||||
| SMB Private Education Loan Trust |
||||||||
| 1.290% due 07/15/53 ~ |
59,769 | 53,582 | ||||||
| 6.184% (USD LIBOR + 1.500%) |
73,693 | 73,566 | ||||||
| Symphony Static CLO I Ltd (Cayman) |
250,000 | 243,338 | ||||||
| Synchrony Credit Card Master Note Trust |
150,000 | 149,568 | ||||||
| Toyota Auto Receivables Owner Trust |
190,000 | 185,480 | ||||||
| Tricon American Homes Trust |
||||||||
| 3.198% due 03/17/38 ~ |
200,000 | 185,985 | ||||||
| 3.473% due 01/17/36 ~ |
765,000 | 748,699 | ||||||
| World Omni Auto Receivables Trust |
||||||||
| 1.640% due 08/17/26 |
120,000 | 115,450 | ||||||
| 3.680% due 09/15/28 |
350,000 | 340,155 | ||||||
| World Omni Select Auto Trust |
||||||||
| 0.840% due 06/15/26 |
280,000 | 273,351 | ||||||
| 1.250% due 10/15/26 |
140,000 | 133,453 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
18,752,351 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-71
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| U.S. GOVERNMENT AGENCY ISSUE - 0.3% |
|
|||||||
| Federal Home Loan Banks |
$720,000 | $730,015 | ||||||
|
|
|
|||||||
| Total U.S. Government Agency Issue |
730,015 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 39.9% |
|
|||||||
| U.S. Treasury Notes - 39.9% |
|
|||||||
| 1.750% due 03/15/25 |
1,595,000 | 1,525,935 | ||||||
| 2.750% due 05/15/25 |
3,130,000 | 3,048,754 | ||||||
| 4.000% due 12/15/25 |
14,155,000 | 14,212,228 | ||||||
| 4.125% due 01/31/25 |
2,025,000 | 2,024,684 | ||||||
| 4.375% due 10/31/24 |
22,375,000 | 22,405,154 | ||||||
| 4.500% due 11/30/24 |
7,180,000 | 7,209,449 | ||||||
| 4.500% due 11/15/25 |
5,145,000 | 5,221,874 | ||||||
| 4.625% due 02/28/25 |
35,430,000 | 35,777,380 | ||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
91,425,458 | |||||||
|
|
|
|||||||
| FOREIGN GOVERNMENT BONDS & NOTES - 0.4% |
|
|||||||
| Korea Housing Finance Corp (South Korea) |
500,000 | 500,366 | ||||||
| Korea Hydro & Nuclear Power Co Ltd (South Korea) |
490,000 | 482,422 | ||||||
|
|
|
|||||||
| Total Foreign Government Bonds & Notes |
982,788 | |||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 0.4% |
|
|||||||
| Money Market Fund - 0.4% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
1,018,641 | $1,018,641 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
1,018,641 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.2% |
|
227,317,392 | ||||||
|
|
|
|||||||
| DERIVATIVES - 0.1% |
|
146,210 | ||||||
|
|
|
|||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.7% |
|
1,633,059 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$229,096,661 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
40.6% | |||
| U.S. Treasury Obligations |
39.9% | |||
| Mortgage-Backed Securities |
9.4% | |||
| Asset-Backed Securities |
8.2% | |||
| Others (each less than 3.0%) |
1.1% | |||
|
|
|
|||
| 99.2% | ||||
| Derivatives |
0.1% | |||
| Other Assets & Liabilities, Net |
0.7% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Open futures contracts outstanding as of March 31, 2023 were as follows: |
| Long Futures Outstanding | Expiration Month |
Number of Contracts |
Notional Amount |
Value | Unrealized Appreciation (Depreciation) |
|||||||||||||||
| U.S. Treasury 2-Year Notes |
06/23 | 130 | $26,558,183 | $26,838,907 | $280,724 | |||||||||||||||
|
|
|
|||||||||||||||||||
| Short Futures Outstanding |
||||||||||||||||||||
| U.S. Treasury 10-Year Notes |
06/23 | 21 | 2,343,157 | 2,413,360 | (70,203 | ) | ||||||||||||||
| U.S. Treasury Ultra 10-Year Notes |
06/23 | 10 | 1,172,619 | 1,211,406 | (38,787 | ) | ||||||||||||||
| U.S. Treasury Ultra Long Bonds |
06/23 | 4 | 538,976 | 564,500 | (25,524 | ) | ||||||||||||||
|
|
|
|||||||||||||||||||
| (134,514 | ) | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| Total Futures Contracts |
$146,210 | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-72
Table of Contents
PACIFIC FUNDS
PF SHORT DURATION BOND FUND
Schedule of Investments (Continued)
March 31, 2023
| (c) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$92,956,502 | $— | $92,956,502 | $— | |||||||||||||
| Mortgage-Backed Securities |
21,451,637 | — | 21,451,637 | — | ||||||||||||||
| Asset-Backed Securities |
18,752,351 | — | 18,752,351 | — | ||||||||||||||
| U.S. Government Agency Issue |
730,015 | — | 730,015 | — | ||||||||||||||
| U.S. Treasury Obligations |
91,425,458 | — | 91,425,458 | — | ||||||||||||||
| Foreign Government Bonds & Notes |
982,788 | — | 982,788 | — | ||||||||||||||
| Short-Term Investment |
1,018,641 | 1,018,641 | — | — | ||||||||||||||
| Derivatives: |
||||||||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
280,724 | 280,724 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets |
227,598,116 | 1,299,365 | 226,298,751 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Liabilities |
Derivatives: |
|||||||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
(134,514 | ) | (134,514 | ) | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities |
(134,514 | ) | (134,514 | ) | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$227,463,602 | $1,164,851 | $226,298,751 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-73
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments
March 31, 2023
| Principal |
Value |
|||||||
| CORPORATE BONDS & NOTES - 31.7% |
|
|||||||
| Azerbaijan - 0.4% |
|
|||||||
| SOCAR Turkey Enerji AS via Steas Funding 1 DAC |
$130,000 | $125,320 | ||||||
|
|
|
|||||||
| Brazil - 1.1% |
|
|||||||
| CSN Inova Ventures |
200,000 | 187,713 | ||||||
| Rede D’or Finance SARL |
164,000 | 134,869 | ||||||
|
|
|
|||||||
| 322,582 | ||||||||
|
|
|
|||||||
| Chile - 0.7% |
|
|||||||
| Corp Nacional del Cobre de Chile |
200,000 | 202,187 | ||||||
|
|
|
|||||||
| China - 2.9% |
|
|||||||
| Country Garden Holdings Co Ltd |
200,000 | 110,650 | ||||||
| 4.200% due 02/06/26 ~ |
400,000 | 233,975 | ||||||
| Prosus NV |
425,000 | 386,630 | ||||||
| 4.193% due 01/19/32 ~ |
200,000 | 170,026 | ||||||
|
|
|
|||||||
| 901,281 | ||||||||
|
|
|
|||||||
| Colombia - 0.3% |
|
|||||||
| Ecopetrol SA |
100,000 | 101,300 | ||||||
|
|
|
|||||||
| Czech Republic - 0.9% |
|
|||||||
| Energo-Pro AS |
300,000 | 289,125 | ||||||
|
|
|
|||||||
| Ghana - 1.4% |
|
|||||||
| Kosmos Energy Ltd |
300,000 | 257,764 | ||||||
| 7.500% due 03/01/28 ~ |
225,000 | 183,353 | ||||||
|
|
|
|||||||
| 441,117 | ||||||||
|
|
|
|||||||
| Hong Kong - 0.9% |
|
|||||||
| Melco Resorts Finance Ltd |
325,000 | 286,325 | ||||||
|
|
|
|||||||
| Hungary - 0.4% |
|
|||||||
| OTP Bank Nyrt |
EUR 100,000 | 108,411 | ||||||
|
|
|
|||||||
| Israel - 6.5% |
|
|||||||
| Bank Hapoalim BM |
$425,000 | 355,088 | ||||||
| Bank Leumi Le-Israel BM |
225,000 | 218,925 | ||||||
| Energean Israel Finance Ltd |
150,000 | 139,312 | ||||||
| 5.375% due 03/30/28 ~ |
350,000 | 314,125 | ||||||
| Israel Discount Bank Ltd |
300,000 | 295,777 | ||||||
| Principal |
Value |
|||||||
| Leviathan Bond Ltd |
$100,000 | $99,850 | ||||||
| 6.125% due 06/30/25 ~ |
225,000 | 219,656 | ||||||
| 6.500% due 06/30/27 ~ |
350,000 | 336,875 | ||||||
|
|
|
|||||||
| 1,979,608 | ||||||||
|
|
|
|||||||
| Kazakhstan - 1.8% |
|
|||||||
| KazMunayGas National Co JSC |
400,000 | 357,739 | ||||||
| Tengizchevroil Finance Co International Ltd |
200,000 | 177,260 | ||||||
|
|
|
|||||||
| 534,999 | ||||||||
|
|
|
|||||||
| Malaysia - 0.6% |
|
|||||||
| Gohl Capital Ltd |
200,000 | 183,193 | ||||||
|
|
|
|||||||
| Mexico - 2.9% |
|
|||||||
| Banco Mercantil del Norte SA |
250,000 | 213,125 | ||||||
| Cemex SAB de CV |
200,000 | 179,240 | ||||||
| Comision Federal de Electricidad |
224,400 | 188,864 | ||||||
| Petroleos Mexicanos |
350,000 | 317,655 | ||||||
|
|
|
|||||||
| 898,884 | ||||||||
|
|
|
|||||||
| Nigeria - 0.9% |
|
|||||||
| IHS Holding Ltd |
325,000 | 274,560 | ||||||
|
|
|
|||||||
| Oman - 0.7% |
|
|||||||
| Lamar Funding Ltd |
225,000 | 214,605 | ||||||
|
|
|
|||||||
| Romania - 0.3% |
|
|||||||
| NE Property BV |
EUR 100,000 | 95,547 | ||||||
|
|
|
|||||||
| Saudi Arabia - 1.4% |
|
|||||||
| Greensaif Pipelines Bidco Sarl |
$225,000 | 231,682 | ||||||
| TMS Issuer Sarl |
200,000 | 208,904 | ||||||
|
|
|
|||||||
| 440,586 | ||||||||
|
|
|
|||||||
| South Africa - 3.8% |
|
|||||||
| Sasol Financing USA LLC |
225,000 | 203,641 | ||||||
| 6.500% due 09/27/28 |
200,000 | 187,098 | ||||||
| Stillwater Mining Co |
325,000 | 291,265 | ||||||
| 4.500% due 11/16/29 ~ |
250,000 | 206,299 | ||||||
| Transnet SOC Ltd |
275,000 | 274,289 | ||||||
|
|
|
|||||||
| 1,162,592 | ||||||||
|
|
|
|||||||
| South Korea - 0.7% |
|
|||||||
| SK Hynix Inc |
200,000 | 202,135 | ||||||
|
|
|
|||||||
| Supranational - 0.8% |
|
|||||||
| Africa Finance Corp |
300,000 | 246,645 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-74
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Tanzania - 0.6% |
|
|||||||
| HTA Group Ltd |
$200,000 | $190,270 | ||||||
|
|
|
|||||||
| Ukraine - 0.2% |
|
|||||||
| NPC Ukrenergo |
275,000 | 47,459 | ||||||
|
|
|
|||||||
| United Arab Emirates - 1.5% |
|
|||||||
| Galaxy Pipeline Assets Bidco Ltd |
532,260 | 459,031 | ||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
9,707,762 | |||||||
|
|
|
|||||||
| CONVERTIBLE CORPORATE BONDS & NOTES - 1.3% |
|
|||||||
| United Arab Emirates - 1.3% |
|
|||||||
| Abu Dhabi National Oil Co |
400,000 | 379,600 | ||||||
|
|
|
|||||||
| Total Convertible Corporate Bonds & Notes |
379,600 | |||||||
|
|
|
|||||||
| FOREIGN GOVERNMENT BONDS & NOTES - 56.0% |
|
|||||||
| Angola - 1.3% |
|
|||||||
| Angolan Government International |
450,000 | 387,180 | ||||||
|
|
|
|||||||
| Bahamas - 0.7% |
|
|||||||
| Bahamas Government International |
300,000 | 228,190 | ||||||
|
|
|
|||||||
| Brazil - 4.9% |
|
|||||||
| Brazil Notas do Tesouro Nacional ‘F’ |
BRL 8,100,000 | 1,504,470 | ||||||
|
|
|
|||||||
| Colombia - 2.4% |
|
|||||||
| Colombia Government International |
$300,000 | 236,052 | ||||||
| 4.500% due 03/15/29 |
200,000 | 176,766 | ||||||
| Colombian TES |
COP 1,800,000,000 | 310,104 | ||||||
|
|
|
|||||||
| 722,922 | ||||||||
|
|
|
|||||||
| Czech Republic - 2.6% |
|
|||||||
| Czech Republic Government |
CZK 7,700,000 | 314,762 | ||||||
| 1.250% due 02/14/25 |
5,200,000 | 223,483 | ||||||
| 2.400% due 09/17/25 ~ |
6,200,000 | 268,332 | ||||||
|
|
|
|||||||
| 806,577 | ||||||||
|
|
|
|||||||
| Ecuador - 0.8% |
|
|||||||
| Ecuador Government International |
$750,000 | 253,169 | ||||||
|
|
|
|||||||
| El Salvador - 1.3% |
|
|||||||
| El Salvador Government International |
||||||||
| 6.375% due 01/18/27 ~ |
350,000 | 197,334 | ||||||
| 7.625% due 09/21/34 ~ |
108,000 | 51,206 | ||||||
| 7.625% due 02/01/41 ~ |
300,000 | 141,703 | ||||||
|
|
|
|||||||
| 390,243 | ||||||||
|
|
|
|||||||
| Principal |
Value |
|||||||
| Hungary - 1.4% |
|
|||||||
| Hungary Government International |
||||||||
| 6.125% due 05/22/28 ~ |
$225,000 | $231,020 | ||||||
| 6.250% due 09/22/32 ~ |
200,000 | 204,371 | ||||||
|
|
|
|||||||
| 435,391 | ||||||||
|
|
|
|||||||
| Indonesia - 4.2% |
|
|||||||
| Indonesia Treasury |
||||||||
| 5.125% due 04/15/27 |
IDR 900,000,000 | 57,576 | ||||||
| 6.375% due 08/15/28 |
6,500,000,000 | 434,292 | ||||||
| 6.500% due 02/15/31 |
4,700,000,000 | 311,724 | ||||||
| 7.000% due 02/15/33 |
6,900,000,000 | 468,337 | ||||||
|
|
|
|||||||
| 1,271,929 | ||||||||
|
|
|
|||||||
| Iraq - 2.2% |
|
|||||||
| Iraq International |
||||||||
| 5.800% due 01/15/28 ~ |
$718,750 | 671,964 | ||||||
|
|
|
|||||||
| Israel - 1.2% |
|
|||||||
| Israel Government International |
||||||||
| 4.500% due 01/17/33 |
360,000 | 360,000 | ||||||
|
|
|
|||||||
| Ivory Coast - 2.3% |
|
|||||||
| Ivory Coast Government International |
||||||||
| 4.875% due 01/30/32 ~ |
EUR 700,000 | 580,651 | ||||||
| 5.875% due 10/17/31 ~ |
125,000 | 111,748 | ||||||
|
|
|
|||||||
| 692,399 | ||||||||
|
|
|
|||||||
| Mexico - 8.4% |
|
|||||||
| Mexican Bonos |
||||||||
| 7.750% due 11/23/34 |
MXN 29,800,000 | 1,526,349 | ||||||
| 7.750% due 11/13/42 |
4,800,000 | 232,434 | ||||||
| Mexico Government International |
||||||||
| 4.875% due 05/19/33 |
$400,000 | 383,453 | ||||||
| 6.350% due 02/09/35 |
400,000 | 425,759 | ||||||
|
|
|
|||||||
| 2,567,995 | ||||||||
|
|
|
|||||||
| Nigeria - 1.0% |
|
|||||||
| Nigeria Government International |
||||||||
| 6.125% due 09/28/28 ~ |
410,000 | 320,517 | ||||||
|
|
|
|||||||
| Peru - 2.9% |
|
|||||||
| Peru Government |
||||||||
| 5.400% due 08/12/34 |
PEN 1,400,000 | 312,496 | ||||||
| 5.940% due 02/12/29 |
1,200,000 | 301,257 | ||||||
| Peruvian Government International |
||||||||
| 6.350% due 08/12/28 ~ |
1,000,000 | 259,335 | ||||||
|
|
|
|||||||
| 873,088 | ||||||||
|
|
|
|||||||
| Poland - 3.9% |
|
|||||||
| Republic of Poland Government |
||||||||
| 2.500% due 07/25/26 |
PLN 1,300,000 | 270,362 | ||||||
| 5.865% due 07/25/24 |
2,000,000 | 429,744 | ||||||
| Republic of Poland Government International |
||||||||
| due 10/04/33 # |
$500,000 | 498,425 | ||||||
|
|
|
|||||||
| 1,198,531 | ||||||||
|
|
|
|||||||
| Romania - 3.5% |
|
|||||||
| Romania Government |
||||||||
| 4.850% due 07/25/29 |
RON 1,000,000 | 192,324 | ||||||
| 5.000% due 02/12/29 |
925,000 | 180,922 | ||||||
| Romanian Government International |
||||||||
| 1.375% due 12/02/29 ~ |
EUR 100,000 | 81,816 | ||||||
| 2.000% due 04/14/33 ~ |
425,000 | 315,423 | ||||||
| 3.624% due 05/26/30 ~ |
100,000 | 92,043 | ||||||
| 6.625% due 09/27/29 ~ |
200,000 | 222,093 | ||||||
|
|
|
|||||||
| 1,084,621 | ||||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-75
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal |
Value |
|||||||
| Saudi Arabia - 3.2% |
|
|||||||
| Saudi Government International |
||||||||
| 4.500% due 10/26/46 ~ |
$325,000 | $286,048 | ||||||
| 4.750% due 01/18/28 ~ |
250,000 | 253,259 | ||||||
| 4.875% due 07/18/33 ~ |
250,000 | 252,766 | ||||||
| 5.000% due 01/18/53 ~ |
200,000 | 186,316 | ||||||
|
|
|
|||||||
| 978,389 | ||||||||
|
|
|
|||||||
| Senegal - 1.0% |
|
|||||||
| Senegal Government International |
||||||||
| 4.750% due 03/13/28 ~ |
EUR 350,000 | 320,209 | ||||||
|
|
|
|||||||
| Serbia - 0.7% |
|
|||||||
| Serbia International |
||||||||
| 6.250% due 05/26/28 ~ |
$200,000 | 202,464 | ||||||
|
|
|
|||||||
| South Africa - 2.7% |
|
|||||||
| Republic of South Africa Government |
||||||||
| 8.875% due 02/28/35 |
ZAR 16,924,000 | 815,831 | ||||||
|
|
|
|||||||
| Sri Lanka - 0.3% |
|
|||||||
| Sri Lanka Government International |
||||||||
| 6.850% due 11/03/25 * ~ Y |
$275,000 | 101,782 | ||||||
|
|
|
|||||||
| Tunisia - 1.3% |
|
|||||||
| Tunisian Republic |
||||||||
| 6.375% due 07/15/26 ~ |
EUR 675,000 | 393,792 | ||||||
|
|
|
|||||||
| Ukraine - 0.9% |
|
|||||||
| State Agency of Roads of Ukraine |
||||||||
| 6.250% due 06/24/30 ~ Y |
$700,000 | 124,046 | ||||||
| Ukraine Government International |
||||||||
| 6.876% due 05/21/31 ~ Y |
300,000 | 54,339 | ||||||
| 7.411% due 08/01/41 * ~ § Y |
75,000 | 20,199 | ||||||
| 7.750% due 09/01/27 * ~ Y |
200,000 | 37,325 | ||||||
| 7.750% due 09/01/28 * ~ Y |
250,000 | 46,790 | ||||||
|
|
|
|||||||
| 282,699 | ||||||||
|
|
|
|||||||
| Uzbekistan - 0.6% |
||||||||
| Republic of Uzbekistan International |
||||||||
| 5.375% due 02/20/29 ~ |
200,000 | 183,506 | ||||||
|
|
|
|||||||
| Zambia - 0.3% |
|
|||||||
| Zambia Government International |
||||||||
| 8.500% due 04/14/24 * ~ Y |
200,000 | 91,250 | ||||||
|
|
|
|||||||
| Total Foreign Government Bonds & Notes |
17,139,108 | |||||||
|
|
|
|||||||
|
|
Value |
|||||||
| SHORT-TERM INVESTMENT - 10.2% |
|
|||||||
| Money Market Fund - 10.2% |
|
|||||||
| BlackRock Liquidity Funds T-Fund
Portfolio |
3,106,806 | $3,106,806 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
3,106,806 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.2% |
|
30,333,276 | ||||||
|
|
|
|||||||
| DERIVATIVES - (0.1%) |
|
(26,313 | ) | |||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.9% |
|
257,983 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$30,564,946 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Foreign Government Bonds & Notes |
56.0% | |||
| Corporate Bonds & Notes |
31.7% | |||
| Short-Term Investment |
10.2% | |||
| Others (each less than 3.0%) |
1.3% | |||
|
|
|
|||
| 99.2% | ||||
| Derivatives |
(0.1% | ) | ||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, the Fund’s composition by country of risk as a percentage of net assets was as follows: |
| Mexico |
11.3% | |||
| United States (Includes Short-Term Investment) |
10.2% | |||
| Israel |
7.7% | |||
| South Africa |
6.5% | |||
| Brazil |
6.0% | |||
| Saudi Arabia |
4.6% | |||
| Indonesia |
4.2% | |||
| Poland |
3.9% | |||
| Romania |
3.8% | |||
| Czech Republic |
3.5% | |||
| Others (each less than 3.0%) |
37.5% | |||
|
|
|
|||
| 99.2% | ||||
| Derivatives |
(0.1% | ) | ||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (c) | Investments with a total aggregate value of $523,190 or 1.7% of the Fund’s net assets were in default as of March 31, 2023. |
| (d) | Open futures contracts outstanding as of March 31, 2023 were as follows: |
| Short Futures Outstanding | Expiration Month |
Number of Contracts |
Notional Amount |
Value | Unrealized Appreciation (Depreciation) |
|||||||||||||||
| Euro-BTP |
06/23 | 4 | $487,108 | $500,388 | ($13,280 | ) | ||||||||||||||
|
|
|
|||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-76
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments (Continued)
March 31, 2023
| (e) | Forward foreign currency contracts outstanding as of March 31, 2023 were as follows: |
| Currency Purchased |
Currency Sold |
Settlement Month |
Counterparty | Unrealized Appreciation |
Unrealized Depreciation |
|||||||||||||||||||||||||
| BRL | 2,400,000 | USD | 453,333 | 04/23 | JPM | $18,264 | $— | |||||||||||||||||||||||
| CZK | 13,425,000 | USD | 606,274 | 04/23 | JPM | 13,317 | — | |||||||||||||||||||||||
| EUR | 225,000 | USD | 240,976 | 04/23 | JPM | 3,269 | — | |||||||||||||||||||||||
| HUF | 260,000,000 | USD | 727,424 | 04/23 | JPM | 8,815 | — | |||||||||||||||||||||||
| ILS | 2,130,000 | USD | 602,184 | 04/23 | JPM | — | (9,526 | ) | ||||||||||||||||||||||
| INR | 73,250,000 | USD | 889,874 | 04/23 | CIT | 287 | — | |||||||||||||||||||||||
| PLN | 3,000,000 | USD | 695,639 | 04/23 | JPM | — | (1,661 | ) | ||||||||||||||||||||||
| THB | 15,200,000 | USD | 443,666 | 04/23 | HSB | 2,043 | — | |||||||||||||||||||||||
| THB | 14,000,000 | USD | 409,472 | 04/23 | JPM | 1,049 | — | |||||||||||||||||||||||
| USD | 455,124 | BRL | 2,400,000 | 04/23 | CIT | — | (16,473 | ) | ||||||||||||||||||||||
| USD | 1,516,602 | CNH | 10,400,000 | 04/23 | CIT | 596 | — | |||||||||||||||||||||||
| USD | 289,621 | COP | 1,400,000,000 | 04/23 | JPM | — | (9,512 | ) | ||||||||||||||||||||||
| USD | 2,902,293 | EUR | 2,712,309 | 04/23 | JPM | — | (42,157 | ) | ||||||||||||||||||||||
| USD | 81,733 | EUR | 75,000 | 04/23 | JPM | 318 | — | |||||||||||||||||||||||
| USD | 477,757 | MXN | 9,000,000 | 04/23 | CIT | — | (19,355 | ) | ||||||||||||||||||||||
| USD | 687,899 | PLN | 3,000,000 | 04/23 | JPM | — | (6,079 | ) | ||||||||||||||||||||||
| USD | 1,654,433 | ZAR | 30,850,000 | 04/23 | CIT | — | (74,527 | ) | ||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Forward Foreign Currency Contracts |
$47,958 | ($179,290 | ) | |||||||||||||||||||||||||||
|
|
|
|
|
|||||||||||||||||||||||||||
| (f) | Swap agreements outstanding as of March 31, 2023 were as follows: |
Credit Default Swaps on Corporate and Sovereign Issues – Buy Protection (1)
| Referenced Obligation | Payment Frequency |
Fixed Deal Pay Rate |
Expiration Date |
Counterparty | Implied Credit Spread at 03/31/23 (2) |
Notional Amount (3) |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||||||||||||||||||||||
| China Construction Bank |
Q | 1.000% | 12/20/25 | GSC | 0.551% | $700,000 | ($8,328 | ) | ($7,512 | ) | ($816 | ) | ||||||||||||||||||||||||
| China Development Bank Corp |
Q | 1.000% | 12/20/25 | GSC | 0.534% | 600,000 | (7,389 | ) | (7,045 | ) | (344 | ) | ||||||||||||||||||||||||
| China Government |
Q | 1.000% | 12/20/25 | GSC | 0.553% | 800,000 | (9,476 | ) | (8,409 | ) | (1,067 | ) | ||||||||||||||||||||||||
| Industrial and Commercial Bank of China Ltd |
Q | 1.000% | 12/20/25 | GSC | 0.539% | 700,000 | (8,540 | ) | (7,500 | ) | (1,040 | ) | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| (33,733 | ) | (30,466 | ) | (3,267 | ) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| Exchange | ||||||||||||||||||||||||||||||||||||
| Bahrain Government |
Q | 1.000% | 06/20/28 | ICE | 2.439% | 225,000 | 14,428 | 16,917 | (2,489 | ) | ||||||||||||||||||||||||||
| South Africa Government |
Q | 1.000% | 06/20/28 | ICE | 2.720% | 1,200,000 | 92,065 | 90,830 | 1,235 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| 106,493 | 107,747 | (1,254 | ) | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| Total Credit Default Swaps on Corporate and Sovereign Issues – Buy Protection |
|
$72,760 | $77,281 | ($4,521 | ) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
Credit Default Swaps on Corporate and Sovereign Issues – Sell Protection (4)
| Referenced Obligation | Payment Frequency |
Fixed Deal Receive Rate |
Expiration Date |
Exchange | Implied Credit Spread at 03/31/23 (2) |
Notional Amount (3) |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||||||||||||||||||
| South Africa Government |
Q | 1.000% | 06/20/28 | ICE | 2.720% | $400,000 | ($30,688 | ) | ($34,683 | ) | $3,995 | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Credit Default Swaps on Credit Indices – Buy Protection (1)
| Referenced Obligation | Payment Frequency |
Fixed Deal Pay Rate |
Expiration Date |
Exchange | Notional Amount (3) |
Value (5) | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| CDX iTraxx Series 38 |
Q | 5.000% | 12/20/27 | ICE | EUR 3,075,000 | ($125,008 | ) | ($75,222 | ) | ($49,786 | ) | |||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Credit Default Swaps on Credit Indices – Sell Protection (4)
| Referenced Obligation | Payment Frequency |
Fixed Deal Receive Rate |
Expiration Date |
Exchange | Notional Amount (3) |
Value (5) | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||||||
| CDX iTraxx Series 38 |
Q | 5.000% | 12/20/27 | ICE | EUR 2,000,000 | $80,402 | $33,071 | $47,331 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| Total Credit Default Swaps |
($2,534 | ) | $447 | ($2,981 | ) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-77
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments (Continued)
March 31, 2023
| (1) | If the Fund is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and deliver the referenced obligation or underlying investments comprising the referenced index or (ii) receive a net settlement amount in the form of cash or investments equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying investments comprising the referenced index. |
| (2) | An implied credit spread is the spread in yield between a U.S. Treasury security and the referenced obligation or underlying investment that are identical in all respects except for the quality rating. Implied credit spreads, represented in absolute terms, utilized in determining the value of credit default swap agreements on corporate and sovereign issues as of year end serve as an indicator of the current status of the payment/performance risk and represent the likelihood of risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads, in comparison to narrower credit spreads, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood of risk of default or other credit event occurring as defined under the terms of the agreement. |
| (3) | The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement. |
| (4) | If the Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying investments comprising the referenced index or (ii) pay a net settlement amount in the form of cash or investments equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying investments comprising the referenced index. |
| (5) | The quoted market prices and resulting values for credit default swap agreements on credit indices serve as an indicator of the current status of the payment/performance risk and represent the expected amount paid or received for the credit derivative had the notional amount of the swap agreement been closed/sold as of year end. Increasing values (buy protection) or decreasing values (sell protection), when compared to the notional amount of the swap, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood of risk of default or other credit event occurring as defined under the terms of the agreement. |
Interest Rate Swaps – Long
| Receive | Pay | Payment Frequency Receive Rate/ Pay Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| 11.770% |
BRL-CETIP Interbank | Z / Z | LCH | 01/02/25 | BRL 27,320,410 | ($63,745 | ) | ($96,318 | ) | $32,573 | ||||||||||||||||||||||
| 9.481% |
28-Day MXN-TIIE | L / L | LCH | 06/18/25 | MXN 61,800,000 | (6,980 | ) | — | (6,980 | ) | ||||||||||||||||||||||
| 11.950% |
BRL-CETIP Interbank | Z / Z | LCH | 01/04/27 | BRL 5,241,362 | (537 | ) | — | (537 | ) | ||||||||||||||||||||||
| 3.208% |
3-Month ILS-TELBOR | A / Q | LCH | 03/15/28 | ILS 4,900,000 | (30,143 | ) | — | (30,143 | ) | ||||||||||||||||||||||
| 3.488% |
3-Month ILS-TELBOR | A / Q | LCH | 06/21/28 | 4,800,000 | (9,192 | ) | — | (9,192 | ) | ||||||||||||||||||||||
| 3.634% |
3-Month KRW-KWCDC | Q / Q | LCH | 06/21/28 | KRW 1,200,000,000 | 21,740 | — | 21,740 | ||||||||||||||||||||||||
| 8.763% |
28-Day MXN-TIIE | L / L | LCH | 12/08/32 | MXN 6,700,000 | 9,126 | — | 9,126 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| ($79,731 | ) | ($96,318 | ) | $16,587 | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Interest Rate Swaps – Short
| Pay | Receive | Payment Frequency Pay Rate/ Receive Rate |
Exchange | Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| 7.372% |
1-Day CLP-CAMARA | S / S | LCH | 11/29/24 | CLP 3,050,000,000 | $100,122 | $1,889 | $98,233 | ||||||||||||||||||||||||
| 3.952% |
USD-SOFR | A / A | LCH | 06/18/25 | $3,200,000 | (2,730 | ) | — | (2,730 | ) | ||||||||||||||||||||||
| 3.208% |
3-Month ILS-TELBOR | Q / A | LCH | 03/15/28 | ILS 4,900,000 | 30,143 | 20,988 | 9,155 | ||||||||||||||||||||||||
| 8.763% |
28-Day MXN-TIIE | L / L | LCH | 12/08/32 | MXN 6,700,000 | (9,194 | ) | (9,229 | ) | 35 | ||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $118,341 | $13,648 | $104,693 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Interest Rate Swaps |
|
$38,610 | ($82,670 | ) | $121,280 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Swap Agreements |
|
$36,076 | ($82,223 | ) | $118,299 | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Balances reported in the Statement of Assets and Liabilities for Over the Counter (OTC) Swaps and Centrally Cleared Swaps
| Upfront Premium Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||
| OTC Swap Agreements |
|
|||||||
| Assets |
$— | $— | ||||||
| Liabilities |
(30,466 | ) | (3,267 | ) | ||||
| Centrally Cleared Swap Agreements (1) |
|
|||||||
| Assets |
163,695 | 223,423 | ||||||
| Liabilities |
(215,452 | ) | (101,857 | ) | ||||
|
|
|
|
|
|||||
| ($82,223 | ) | $118,299 | ||||||
|
|
|
|
|
|||||
| (1) | Includes cumulative value on centrally cleared swaps, as reported in the Schedule of Investments. Only variation margin is reported within the Statement of Assets and Liabilities. |
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-78
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS DEBT FUND
Schedule of Investments (Continued)
March 31, 2023
| (g) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$9,707,762 | $— | $9,707,762 | $— | |||||||||||||
| Convertible Corporate Bonds & Notes |
379,600 | — | 379,600 | — | ||||||||||||||
| Foreign Government Bonds & Notes |
17,139,108 | — | 17,139,108 | — | ||||||||||||||
| Short-Term Investment |
3,106,806 | 3,106,806 | — | — | ||||||||||||||
| Derivatives: |
||||||||||||||||||
| Credit Contracts |
||||||||||||||||||
| Swaps |
52,561 | — | 52,561 | — | ||||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
47,958 | — | 47,958 | — | ||||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Swaps |
170,862 | — | 170,862 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets - Derivatives |
271,381 | — | 271,381 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets |
30,604,657 | 3,106,806 | 27,497,851 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Liabilities |
Derivatives: |
|||||||||||||||||
| Credit Contracts |
||||||||||||||||||
| Swaps |
(55,542 | ) | — | (55,542 | ) | — | ||||||||||||
| Foreign Currency Contracts |
||||||||||||||||||
| Forward Foreign Currency Contracts |
(179,290 | ) | — | (179,290 | ) | — | ||||||||||||
| Interest Rate Contracts |
||||||||||||||||||
| Futures |
(13,280 | ) | (13,280 | ) | — | — | ||||||||||||
| Swaps |
(49,582 | ) | — | (49,582 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Interest Rate Contracts |
(62,862 | ) | (13,280 | ) | (49,582 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities - Derivatives |
(297,694 | ) | (13,280 | ) | (284,414 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities |
(297,694 | ) | (13,280 | ) | (284,414 | ) | — | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$30,306,963 | $3,093,526 | $27,213,437 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-79
Table of Contents
PACIFIC FUNDS
PF GROWTH FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 98.5% |
||||||||
| Basic Materials - 3.7% |
||||||||
| Air Products and Chemicals Inc |
6,824 | $1,959,921 | ||||||
| Linde PLC |
5,358 | 1,904,448 | ||||||
| The Sherwin-Williams Co |
6,781 | 1,524,165 | ||||||
|
|
|
|||||||
| 5,388,534 | ||||||||
|
|
|
|||||||
| Communications - 10.0% |
||||||||
| Alphabet Inc ‘A’ * |
59,803 | 6,203,365 | ||||||
| Alphabet Inc ‘C’ * |
17,327 | 1,802,008 | ||||||
| Amazon.com Inc * |
59,720 | 6,168,479 | ||||||
| Match Group Inc * |
11,496 | 441,331 | ||||||
|
|
|
|||||||
| 14,615,183 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 4.9% |
||||||||
| Chipotle Mexican Grill Inc * |
470 | 802,896 | ||||||
| Dollar Tree Inc * |
4,106 | 589,416 | ||||||
| Hilton Worldwide Holdings Inc |
12,650 | 1,782,006 | ||||||
| Lululemon Athletica Inc * |
1,310 | 477,089 | ||||||
| LVMH Moet Hennessy Louis Vuitton SE (France) |
2,376 | 2,180,951 | ||||||
| O’Reilly Automotive Inc * |
1,535 | 1,303,184 | ||||||
|
|
|
|||||||
| 7,135,542 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 21.1% |
||||||||
| Abbott Laboratories |
15,513 | 1,570,846 | ||||||
| Becton Dickinson & Co |
4,861 | 1,203,292 | ||||||
| Block Inc * |
6,194 | 425,218 | ||||||
| Boston Scientific Corp * |
63,250 | 3,164,398 | ||||||
| Colgate-Palmolive Co |
11,894 | 893,834 | ||||||
| CoStar Group Inc * |
23,753 | 1,635,394 | ||||||
| Danaher Corp |
8,031 | 2,024,133 | ||||||
| Equifax Inc |
4,887 | 991,279 | ||||||
| Gartner Inc * |
3,541 | 1,153,552 | ||||||
| ICON PLC * |
6,018 | 1,285,385 | ||||||
| Regeneron Pharmaceuticals Inc * |
1,727 | 1,419,024 | ||||||
| STERIS PLC |
3,518 | 672,923 | ||||||
| The Estee Lauder Cos Inc ‘A’ |
9,144 | 2,253,630 | ||||||
| Thermo Fisher Scientific Inc |
5,644 | 3,253,032 | ||||||
| TransUnion |
6,070 | 377,190 | ||||||
| UnitedHealth Group Inc |
4,220 | 1,994,330 | ||||||
| Verisk Analytics Inc |
12,354 | 2,370,238 | ||||||
| Vertex Pharmaceuticals Inc * |
8,407 | 2,648,794 | ||||||
| Zoetis Inc |
9,327 | 1,552,386 | ||||||
|
|
|
|||||||
| 30,888,878 | ||||||||
|
|
|
|||||||
| Energy - 1.5% |
||||||||
| Enphase Energy Inc * |
1,161 | 244,135 | ||||||
| EOG Resources Inc |
6,747 | 773,409 | ||||||
| Hess Corp |
9,220 | 1,220,175 | ||||||
|
|
|
|||||||
| 2,237,719 | ||||||||
|
|
|
|||||||
| Financial - 12.3% |
||||||||
| American Express Co |
2,919 | 481,489 | ||||||
| American Tower Corp REIT |
8,374 | 1,711,143 | ||||||
| Aon PLC ‘A’ |
8,232 | 2,595,467 | ||||||
| Arthur J Gallagher & Co |
3,868 | 739,987 | ||||||
| CME Group Inc |
6,454 | 1,236,070 | ||||||
| Mastercard Inc ‘A’ |
16,663 | 6,055,501 | ||||||
| Visa Inc ‘A’ |
23,130 | 5,214,890 | ||||||
|
|
|
|||||||
| 18,034,547 | ||||||||
|
|
|
|||||||
| Industrial - 9.4% |
||||||||
| Agilent Technologies Inc |
3,696 | 511,305 | ||||||
| AMETEK Inc |
13,577 | 1,973,145 | ||||||
| Amphenol Corp ‘A’ |
13,475 | 1,101,177 | ||||||
| Canadian Pacific Railway Ltd (Canada) |
18,125 | 1,394,538 | ||||||
| Caterpillar Inc |
2,135 | 488,573 | ||||||
| Eaton Corp PLC |
8,713 | 1,492,885 | ||||||
| Shares |
Value |
|||||||
| Howmet Aerospace Inc |
17,686 | $ | 749,356 | |||||
| Johnson Controls International PLC |
28,351 | 1,707,297 | ||||||
| Martin Marietta Materials Inc |
1,484 | 526,909 | ||||||
| Rockwell Automation Inc |
3,842 | 1,127,435 | ||||||
| Vulcan Materials Co |
15,044 | 2,580,949 | ||||||
|
|
|
|||||||
| 13,653,569 | ||||||||
|
|
|
|||||||
| Technology - 35.6% |
||||||||
| Accenture PLC ‘A’ |
1,576 | 450,437 | ||||||
| Adobe Inc * |
6,802 | 2,621,287 | ||||||
| Advanced Micro Devices Inc * |
12,464 | 1,221,597 | ||||||
| Apple Inc |
41,603 | 6,860,335 | ||||||
| Applied Materials Inc |
7,026 | 863,004 | ||||||
| ASML Holding NV (Netherlands) |
3,311 | 2,253,831 | ||||||
| Autodesk Inc * |
1,871 | 389,467 | ||||||
| Black Knight Inc * |
4,743 | 273,007 | ||||||
| Cadence Design Systems Inc * |
8,684 | 1,824,422 | ||||||
| Electronic Arts Inc |
10,009 | 1,205,584 | ||||||
| Intuit Inc |
7,676 | 3,422,191 | ||||||
| KLA Corp |
1,568 | 625,898 | ||||||
| Lam Research Corp |
2,567 | 1,360,818 | ||||||
| Microsoft Corp |
53,566 | 15,443,078 | ||||||
| MSCI Inc |
6,308 | 3,530,524 | ||||||
| NVIDIA Corp |
21,359 | 5,932,889 | ||||||
| ServiceNow Inc * |
3,682 | 1,711,099 | ||||||
| Synopsys Inc * |
2,822 | 1,089,997 | ||||||
| Take-Two Interactive Software Inc * |
5,337 | 636,704 | ||||||
| Veeva Systems Inc ‘A’ * |
1,364 | 250,690 | ||||||
|
|
|
|||||||
| 51,966,859 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
143,920,831 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 1.7% |
|
|||||||
| Money Market Fund - 1.7% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
2,479,383 | 2,479,383 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
2,479,383 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.2% |
146,400,214 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.2%) |
|
(232,139 | ) | |||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$146,168,075 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows |
| Technology |
35.6% | |||
| Consumer, Non-Cyclical |
21.1% | |||
| Financial |
12.3% | |||
| Communications |
10.0% | |||
| Industrial |
9.4% | |||
| Consumer, Cyclical |
4.9% | |||
| Basic Materials |
3.7% | |||
| Others (each less than 3.0%) |
3.2% | |||
|
|
|
|||
| 100.2% | ||||
| Other Assets & Liabilities, Net |
(0.2% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-80
Table of Contents
PACIFIC FUNDS
PF GROWTH FUND
Schedule of Investments (Continued)
March 31, 2023
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
|||||||||||||||||
| Basic Materials |
$5,388,534 | $5,388,534 | $— | $— | ||||||||||||||
| Communications |
14,615,183 | 14,615,183 | — | — | ||||||||||||||
| Consumer, Cyclical |
7,135,542 | 4,954,591 | 2,180,951 | — | ||||||||||||||
| Consumer, Non-Cyclical |
30,888,878 | 30,888,878 | — | — | ||||||||||||||
| Energy |
2,237,719 | 2,237,719 | — | — | ||||||||||||||
| Financial |
18,034,547 | 18,034,547 | — | — | ||||||||||||||
| Industrial |
13,653,569 | 13,653,569 | — | — | ||||||||||||||
| Technology |
51,966,859 | 51,966,859 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
143,920,831 | 141,739,880 | 2,180,951 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Short-Term Investment |
2,479,383 | 2,479,383 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$146,400,214 | $144,219,263 | $2,180,951 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-81
Table of Contents
PACIFIC FUNDS
PF LARGE-CAP VALUE FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 96.8% |
|
|||||||
| Basic Materials - 3.9% |
||||||||
| Air Products and Chemicals Inc |
10,264 | $2,947,923 | ||||||
| PPG Industries Inc |
15,682 | 2,094,802 | ||||||
|
|
|
|||||||
| 5,042,725 | ||||||||
|
|
|
|||||||
| Communications - 13.8% |
||||||||
| Alphabet Inc ‘A’ * |
14,222 | 1,475,248 | ||||||
| Charter Communications Inc ‘A’ * |
7,134 | 2,551,190 | ||||||
| Cisco Systems Inc |
65,058 | 3,400,907 | ||||||
| Comcast Corp ‘A’ |
54,539 | 2,067,573 | ||||||
| DISH Network Corp ‘A’ * |
91,274 | 851,586 | ||||||
| Meta Platforms Inc ‘A’ * |
17,769 | 3,765,962 | ||||||
| Motorola Solutions Inc |
13,644 | 3,903,958 | ||||||
|
|
|
|||||||
| 18,016,424 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 1.6% |
||||||||
| The Home Depot Inc |
7,208 | 2,127,225 | ||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 14.7% |
||||||||
| Amgen Inc |
6,705 | 1,620,934 | ||||||
| Becton Dickinson & Co |
9,290 | 2,299,647 | ||||||
| Elevance Health Inc |
6,848 | 3,148,779 | ||||||
| Haleon PLC ADR |
265,466 | 2,160,893 | ||||||
| Johnson & Johnson |
15,950 | 2,472,250 | ||||||
| Merck & Co Inc |
15,796 | 1,680,536 | ||||||
| PepsiCo Inc |
11,673 | 2,127,988 | ||||||
| UnitedHealth Group Inc |
7,728 | 3,652,175 | ||||||
|
|
|
|||||||
| 19,163,202 | ||||||||
|
|
|
|||||||
| Energy - 9.6% |
||||||||
| Chevron Corp |
22,168 | 3,616,931 | ||||||
| ConocoPhillips |
56,701 | 5,625,306 | ||||||
| Enterprise Products Partners LP |
124,849 | 3,233,589 | ||||||
|
|
|
|||||||
| 12,475,826 | ||||||||
|
|
|
|||||||
| Financial - 22.9% |
||||||||
| American Express Co |
25,500 | 4,206,225 | ||||||
| American Tower Corp REIT |
10,194 | 2,083,042 | ||||||
| Bank of America Corp |
142,496 | 4,075,386 | ||||||
| Berkshire Hathaway Inc ‘B’ * |
7,483 | 2,310,526 | ||||||
| JPMorgan Chase & Co |
37,311 | 4,861,996 | ||||||
| Marsh & McLennan Cos Inc |
12,387 | 2,063,055 | ||||||
| The Bank of New York Mellon Corp |
35,163 | 1,597,807 | ||||||
| The Charles Schwab Corp |
20,599 | 1,078,976 | ||||||
| The Progressive Corp |
16,483 | 2,358,058 | ||||||
| The Travelers Cos Inc |
10,873 | 1,863,741 | ||||||
| US Bancorp |
26,748 | 964,265 | ||||||
| Visa Inc ‘A’ |
10,037 | 2,262,942 | ||||||
|
|
|
|||||||
| 29,726,019 | ||||||||
|
|
|
|||||||
| Industrial - 19.3% |
||||||||
| Deere & Co |
9,679 | 3,996,265 | ||||||
| Illinois Tool Works Inc |
9,228 | 2,246,557 | ||||||
| Shares |
Value |
|||||||
| Martin Marietta Materials Inc |
4,814 | $1,709,259 | ||||||
| Northrop Grumman Corp |
5,540 | 2,557,929 | ||||||
| Otis Worldwide Corp |
20,016 | 1,689,350 | ||||||
| Raytheon Technologies Corp |
42,899 | 4,201,099 | ||||||
| TE Connectivity Ltd |
30,743 | 4,031,944 | ||||||
| United Parcel Service Inc ‘B’ |
14,134 | 2,741,855 | ||||||
| Vertiv Holdings Co |
133,289 | 1,907,366 | ||||||
|
|
|
|||||||
| 25,081,624 | ||||||||
|
|
|
|||||||
| Technology - 4.5% |
||||||||
| Intel Corp |
48,087 | 1,571,002 | ||||||
| Microsoft Corp |
5,080 | 1,464,564 | ||||||
| Oracle Corp |
19,229 | 1,786,759 | ||||||
| QUALCOMM Inc |
7,931 | 1,011,837 | ||||||
|
|
|
|||||||
| 5,834,162 | ||||||||
|
|
|
|||||||
| Utilities - 6.5% |
||||||||
| Edison International |
36,661 | 2,587,900 | ||||||
| Sempra Energy |
38,396 | 5,803,939 | ||||||
|
|
|
|||||||
| 8,391,839 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
125,859,046 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 1.6% |
|
|||||||
| Money Market Fund - 1.6% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
2,109,034 | 2,109,034 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
2,109,034 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 98.4% |
127,968,080 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 1.6% |
|
2,100,460 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$130,068,540 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Financial |
22.9% | |||
| Industrial |
19.3% | |||
| Consumer, Non-Cyclical |
14.7% | |||
| Communications |
13.8% | |||
| Energy |
9.6% | |||
| Utilities |
6.5% | |||
| Technology |
4.5% | |||
| Basic Materials |
3.9% | |||
| Others (each less than 3.0%) |
3.2% | |||
|
|
|
|||
| 98.4% | ||||
| Other Assets & Liabilities, Net |
1.6% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant |
Level 3 Significant |
|||||||||||||||
| Assets |
Common Stocks |
$125,859,046 | $125,859,046 | $— | $— | |||||||||||||
| Short-Term Investment |
2,109,034 | 2,109,034 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$127,968,080 | $127,968,080 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-82
Table of Contents
PACIFIC FUNDS
PF SMALL-CAP GROWTH FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| WARRANTS - 0.0% |
|
|||||||
| Consumer, Non-Cyclical - 0.0% |
||||||||
| Optinose Inc Exercise @ $2.57 |
5,653 | $— | ||||||
|
|
|
|||||||
| Total Warrants |
— | |||||||
|
|
|
|||||||
| COMMON STOCKS - 96.1% |
|
|||||||
| Basic Materials - 5.6% |
||||||||
| Axalta Coating Systems Ltd * |
22,758 | 689,340 | ||||||
| Element Solutions Inc |
30,864 | 595,984 | ||||||
| Ingevity Corp * |
7,160 | 512,083 | ||||||
|
|
|
|||||||
| 1,797,407 | ||||||||
|
|
|
|||||||
| Communications - 1.7% |
||||||||
| Q2 Holdings Inc * |
10,454 | 257,378 | ||||||
| Vivid Seats Inc ‘A’ * |
35,986 | 274,573 | ||||||
|
|
|
|||||||
| 531,951 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 14.5% |
||||||||
| Brunswick Corp |
5,862 | 480,684 | ||||||
| Five Below Inc * |
1,652 | 340,262 | ||||||
| Funko Inc ‘A’ * |
13,029 | 122,863 | ||||||
| Genius Sports Ltd (United Kingdom) * |
41,959 | 208,956 | ||||||
| Leslie’s Inc * |
13,273 | 146,136 | ||||||
| Manchester United PLC ‘A’ (United Kingdom) |
6,011 | 133,144 | ||||||
| Methode Electronics Inc |
8,971 | 393,648 | ||||||
| Ollie’s Bargain Outlet Holdings Inc * |
9,545 | 553,037 | ||||||
| On Holding AG ‘A’ (Switzerland) * |
8,761 | 271,854 | ||||||
| Penn Entertainment Inc * |
19,444 | 576,709 | ||||||
| Petco Health & Wellness Co Inc * |
28,806 | 259,254 | ||||||
| Skechers USA Inc ‘A’ * |
11,122 | 528,517 | ||||||
| Univar Solutions Inc * |
5,776 | 202,333 | ||||||
| Visteon Corp * |
2,773 | 434,890 | ||||||
|
|
|
|||||||
| 4,652,287 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 24.7% |
||||||||
| Abcam PLC ADR (United Kingdom) * |
25,989 | 349,812 | ||||||
| Adaptive Biotechnologies Corp * |
13,836 | 122,172 | ||||||
| Allovir Inc * |
8,387 | 33,045 | ||||||
| Annexon Inc * |
8,166 | 31,439 | ||||||
| BioAtla Inc * |
5,337 | 14,303 | ||||||
| Bioxcel Therapeutics Inc * |
3,294 | 61,466 | ||||||
| Boyd Group Services Inc (Canada) |
1,930 | 308,514 | ||||||
| Bright Horizons Family Solutions Inc * |
4,190 | 322,588 | ||||||
| Bruker Corp |
5,750 | 453,330 | ||||||
| Certara Inc * |
9,713 | 234,181 | ||||||
| Collegium Pharmaceutical Inc * |
6,095 | 146,219 | ||||||
| Envista Holdings Corp * |
16,006 | 654,325 | ||||||
| European Wax Center Inc ‘A’ |
17,375 | 330,125 | ||||||
| Harmony Biosciences Holdings Inc * |
3,681 | 120,185 | ||||||
| HealthEquity Inc * |
6,435 | 377,799 | ||||||
| Immunocore Holdings PLC ADR (United Kingdom) * |
3,614 | 178,676 | ||||||
| Kymera Therapeutics Inc * |
3,006 | 89,068 | ||||||
| Legend Biotech Corp ADR * |
2,856 | 137,716 | ||||||
| Lyell Immunopharma Inc * |
10,603 | 25,023 | ||||||
| Maravai LifeSciences Holdings Inc ‘A’ * |
10,251 | 143,617 | ||||||
| MaxCyte Inc * |
18,841 | 93,263 | ||||||
| Neurocrine Biosciences Inc * |
1,515 | 153,348 | ||||||
| Nuvei Corp (Canada) * ~ |
9,230 | 401,736 | ||||||
| Oatly Group AB ADR * |
35,299 | 85,424 | ||||||
| Optinose Inc * |
28,710 | 55,410 | ||||||
| Oxford Nanopore Technologies PLC (United Kingdom)* |
32,076 | 87,944 | ||||||
| Paylocity Holding Corp * |
1,039 | 206,532 | ||||||
| Payoneer Global Inc * |
46,212 | 290,211 | ||||||
| Prelude Therapeutics Inc * |
5,152 | 29,366 | ||||||
| Shares |
Value |
|||||||
| PROCEPT BioRobotics Corp * |
4,755 | $135,042 | ||||||
| Remitly Global Inc * |
14,657 | 248,436 | ||||||
| Ritchie Bros Auctioneers Inc (Canada) |
9,727 | 547,533 | ||||||
| Sabre Corp * |
50,960 | 218,618 | ||||||
| Sana Biotechnology Inc * |
8,208 | 26,840 | ||||||
| Shockwave Medical Inc * |
1,335 | 289,468 | ||||||
| Silk Road Medical Inc * |
4,069 | 159,220 | ||||||
| SpringWorks Therapeutics Inc * |
4,471 | 115,084 | ||||||
| The Duckhorn Portfolio Inc * |
22,818 | 362,806 | ||||||
| TriNet Group Inc * |
3,004 | 242,153 | ||||||
|
|
|
|||||||
| 7,882,037 | ||||||||
|
|
|
|||||||
| Energy - 5.8% |
||||||||
| ChampionX Corp |
26,944 | 730,991 | ||||||
| Magnolia Oil & Gas Corp ‘A’ |
14,894 | 325,881 | ||||||
| Matador Resources Co |
9,785 | 466,255 | ||||||
| Permian Resources Corp |
31,845 | 334,372 | ||||||
|
|
|
|||||||
| 1,857,499 | ||||||||
|
|
|
|||||||
| Financial - 5.3% |
||||||||
| First Interstate BancSystem Inc ‘A’ |
1,170 | 34,936 | ||||||
| GCM Grosvenor Inc ‘A’ |
29,747 | 232,324 | ||||||
| Hamilton Lane Inc ‘A’ |
4,755 | 351,775 | ||||||
| Pacific Premier Bancorp Inc |
1,801 | 43,260 | ||||||
| STAG Industrial Inc REIT |
15,478 | 523,466 | ||||||
| WisdomTree Inc |
85,133 | 498,880 | ||||||
|
|
|
|||||||
| 1,684,641 | ||||||||
|
|
|
|||||||
| Industrial - 17.4% |
||||||||
| Advanced Energy Industries Inc |
4,088 | 400,624 | ||||||
| AeroVironment Inc * |
2,001 | 183,412 | ||||||
| Cactus Inc ‘A’ |
11,023 | 454,478 | ||||||
| Crane Co * |
660 | 49,236 | ||||||
| CryoPort Inc * |
7,488 | 179,712 | ||||||
| Gerresheimer AG (Germany) |
4,529 | 449,078 | ||||||
| GFL Environmental Inc (Canada) |
24,422 | 841,094 | ||||||
| Jacobs Solutions Inc |
4,997 | 587,197 | ||||||
| Knight-Swift Transportation Holdings Inc |
8,342 | 471,990 | ||||||
| Kratos Defense & Security Solutions Inc * |
9,685 | 130,554 | ||||||
| Littelfuse Inc |
1,374 | 368,355 | ||||||
| NEXTracker Inc ‘A’ * |
2,518 | 91,303 | ||||||
| Saia Inc * |
729 | 198,346 | ||||||
| Sensata Technologies Holding PLC |
15,443 | 772,459 | ||||||
| The AZEK Co Inc * |
9,815 | 231,045 | ||||||
| Trex Co Inc * |
3,128 | 152,240 | ||||||
|
|
|
|||||||
| 5,561,123 | ||||||||
|
|
|
|||||||
| Technology - 21.1% |
||||||||
| ACV Auctions Inc ‘A’ * |
19,415 | 250,648 | ||||||
| Alkami Technology Inc * |
19,588 | 247,984 | ||||||
| Allegro MicroSystems Inc (Japan) * |
3,521 | 168,973 | ||||||
| CACI International Inc ‘A’ * |
1,109 | 328,574 | ||||||
| Corsair Gaming Inc * |
7,875 | 144,506 | ||||||
| Definitive Healthcare Corp * |
18,620 | 192,345 | ||||||
| DoubleVerify Holdings Inc * |
11,805 | 355,921 | ||||||
| ExlService Holdings Inc * |
4,162 | 673,536 | ||||||
| Five9 Inc * |
5,883 | 425,282 | ||||||
| FormFactor Inc * |
6,985 | 222,472 | ||||||
| KBR Inc |
7,352 | 404,728 | ||||||
| Keywords Studios PLC (Ireland) |
10,790 | 367,105 | ||||||
| Kinaxis Inc (Canada) * |
2,211 | 303,569 | ||||||
| nCino Inc * |
6,497 | 160,996 | ||||||
| Outset Medical Inc * |
4,643 | 85,431 | ||||||
| Paycor HCM Inc * |
15,083 | 400,001 | ||||||
| Procore Technologies Inc * |
5,206 | 326,052 | ||||||
| Rapid7 Inc * |
6,194 | 284,366 | ||||||
| TaskUS Inc ‘A’ (Philippines) * |
12,681 | 183,114 | ||||||
| Thoughtworks Holding Inc * |
50,445 | 371,275 | ||||||
| WNS Holdings Ltd ADR (India) * |
8,999 | 838,437 | ||||||
|
|
|
|||||||
| 6,735,315 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
30,702,260 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-83
Table of Contents
PACIFIC FUNDS
PF SMALL-CAP GROWTH FUND
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| SHORT-TERM INVESTMENT - 3.5% |
|
|||||||
| Money Market Fund - 3.5% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
1,122,233 | $1,122,233 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
1,122,233 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.6% |
31,824,493 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.4% |
|
127,190 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$31,951,683 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
24.7% | |||
| Technology |
21.1% | |||
| Industrial |
17.4% | |||
| Consumer, Cyclical |
14.5% | |||
| Energy |
5.8% | |||
| Basic Materials |
5.6% | |||
| Financial |
5.3% | |||
| Short-Term Investment |
3.5% | |||
| Others (each less than 3.0%) |
1.7% | |||
|
|
|
|||
| 99.6% | ||||
| Other Assets & Liabilities, Net |
0.4% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
|||||||||||||||||
| Basic Materials |
$1,797,407 | $1,797,407 | $— | $— | ||||||||||||||
| Communications |
531,951 | 531,951 | — | — | ||||||||||||||
| Consumer, Cyclical |
4,652,287 | 4,652,287 | — | — | ||||||||||||||
| Consumer, Non-Cyclical |
7,882,037 | 7,794,093 | 87,944 | — | ||||||||||||||
| Energy |
1,857,499 | 1,857,499 | — | — | ||||||||||||||
| Financial |
1,684,641 | 1,684,641 | — | — | ||||||||||||||
| Industrial |
5,561,123 | 5,112,045 | 449,078 | — | ||||||||||||||
| Technology |
6,735,315 | 6,735,315 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
30,702,260 | 30,165,238 | 537,022 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Short-Term Investment |
1,122,233 | 1,122,233 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$31,824,493 | $31,287,471 | $537,022 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-84
Table of Contents
PACIFIC FUNDS
PF SMALL-CAP VALUE FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 99.6% |
|
|||||||
| Basic Materials - 4.4% |
||||||||
| AdvanSix Inc |
11,920 | $456,179 | ||||||
| ATI Inc * |
11,640 | 459,314 | ||||||
| Haynes International Inc |
9,918 | 496,793 | ||||||
| HB Fuller Co |
5,720 | 391,534 | ||||||
| Innospec Inc |
230 | 23,614 | ||||||
|
|
|
|||||||
| 1,827,434 | ||||||||
|
|
|
|||||||
| Communications - 2.5% |
||||||||
| A10 Networks Inc |
30,377 | 470,539 | ||||||
| Casa Systems Inc * |
54,862 | 69,675 | ||||||
| Criteo SA ADR (France) * |
15,461 | 487,099 | ||||||
|
|
|
|||||||
| 1,027,313 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 20.1% |
||||||||
| Alaska Air Group Inc * |
10,746 | 450,902 | ||||||
| Blue Bird Corp * |
24,263 | 495,693 | ||||||
| Citi Trends Inc * |
12,938 | 246,081 | ||||||
| Dana Inc |
27,076 | 407,494 | ||||||
| Dine Brands Global Inc |
6,962 | 470,910 | ||||||
| Genesco Inc * |
9,981 | 368,099 | ||||||
| H&E Equipment Services Inc |
8,055 | 356,273 | ||||||
| Hilton Grand Vacations Inc * |
12,758 | 566,838 | ||||||
| IMAX Corp * |
23,640 | 453,415 | ||||||
| KB Home |
17,500 | 703,150 | ||||||
| Papa John’s International Inc |
5,574 | 417,660 | ||||||
| REV Group Inc |
37,280 | 446,987 | ||||||
| Sally Beauty Holdings Inc * |
46,082 | 717,958 | ||||||
| Six Flags Entertainment Corp * |
20,139 | 537,913 | ||||||
| Taylor Morrison Home Corp * |
19,855 | 759,652 | ||||||
| The Goodyear Tire & Rubber Co * |
42,620 | 469,672 | ||||||
| The Shyft Group Inc |
23,827 | 542,064 | ||||||
|
|
|
|||||||
| 8,410,761 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 12.7% |
||||||||
| Acadia Healthcare Co Inc * |
6,327 | 457,126 | ||||||
| Adtalem Global Education Inc * |
14,110 | 544,928 | ||||||
| Envista Holdings Corp * |
12,949 | 529,355 | ||||||
| Herc Holdings Inc |
5,215 | 593,988 | ||||||
| Integra LifeSciences Holdings Corp * |
12,120 | 695,809 | ||||||
| Korn Ferry |
11,069 | 572,710 | ||||||
| Nomad Foods Ltd (United Kingdom) * |
29,411 | 551,162 | ||||||
| Pediatrix Medical Group Inc * |
34,783 | 518,615 | ||||||
| Syneos Health Inc * |
7,190 | 256,108 | ||||||
| The Hain Celestial Group Inc * |
35,618 | 610,849 | ||||||
|
|
|
|||||||
| 5,330,650 | ||||||||
|
|
|
|||||||
| Energy - 3.7% |
||||||||
| ChampionX Corp |
13,550 | 367,611 | ||||||
| Helmerich & Payne Inc |
704 | 25,168 | ||||||
| HF Sinclair Corp |
8,819 | 426,663 | ||||||
| Magnolia Oil & Gas Corp ‘A’ |
32,429 | 709,547 | ||||||
|
|
|
|||||||
| 1,528,989 | ||||||||
|
|
|
|||||||
| Financial - 29.4% |
||||||||
| 1st Source Corp |
9,564 | 412,687 | ||||||
| Associated Banc-Corp |
30,522 | 548,786 | ||||||
| Bank of Marin Bancorp |
9,699 | 212,311 | ||||||
| BankUnited Inc |
14,808 | 334,365 | ||||||
| Berkshire Hills Bancorp Inc |
21,980 | 550,819 | ||||||
| Broadstone Net Lease Inc REIT |
29,100 | 494,991 | ||||||
| Carter Bankshares Inc * |
16,423 | 229,922 | ||||||
| First BanCorp (Puerto Rico) |
51,764 | 591,145 | ||||||
| First Busey Corp |
13,684 | 278,333 | ||||||
| HarborOne Bancorp Inc |
36,805 | 449,021 | ||||||
| Heritage Financial Corp |
23,936 | 512,230 | ||||||
| Independence Realty Trust Inc REIT |
22,313 | 357,677 | ||||||
| Independent Bank Group Inc |
6,989 | 323,940 | ||||||
| Shares |
Value |
|||||||
| Moelis & Co ‘A’ |
12,150 | $467,046 | ||||||
| National Storage Affiliates Trust REIT |
8,823 | 368,625 | ||||||
| NETSTREIT Corp REIT |
24,666 | 450,894 | ||||||
| Nicolet Bankshares Inc * |
1,880 | 118,534 | ||||||
| Pacific Premier Bancorp Inc |
18,495 | 444,250 | ||||||
| Peoples Bancorp Inc |
9,214 | 237,261 | ||||||
| Physicians Realty Trust REIT |
32,711 | 488,375 | ||||||
| Premier Financial Corp |
20,955 | 434,397 | ||||||
| Sandy Spring Bancorp Inc |
10,483 | 272,348 | ||||||
| Selective Insurance Group Inc |
7,685 | 732,611 | ||||||
| STAG Industrial Inc REIT |
20,542 | 694,730 | ||||||
| Synovus Financial Corp |
8,050 | 248,182 | ||||||
| Texas Capital Bancshares Inc * |
11,051 | 541,057 | ||||||
| The Hanover Insurance Group Inc |
3,880 | 498,580 | ||||||
| TriCo Bancshares |
12,453 | 517,920 | ||||||
| WSFS Financial Corp |
12,785 | 480,844 | ||||||
|
|
|
|||||||
| 12,291,881 | ||||||||
|
|
|
|||||||
| Industrial - 18.8% |
||||||||
| ArcBest Corp |
7,524 | 695,368 | ||||||
| Arcosa Inc |
10,106 | 637,790 | ||||||
| Belden Inc |
5,135 | 445,564 | ||||||
| Cactus Inc ‘A’ |
6,147 | 253,441 | ||||||
| Dycom Industries Inc * |
7,772 | 727,848 | ||||||
| Fluor Corp * |
18,010 | 556,689 | ||||||
| Great Lakes Dredge & Dock Corp * |
53,984 | 293,133 | ||||||
| Heritage-Crystal Clean Inc * |
15,894 | 565,985 | ||||||
| Hillman Solutions Corp * |
50,337 | 423,838 | ||||||
| Ichor Holdings Ltd * |
19,990 | 654,473 | ||||||
| Masonite International Corp * |
5,917 | 537,086 | ||||||
| O-I Glass Inc * |
20,030 | 454,881 | ||||||
| Spirit AeroSystems Holdings Inc ‘A’ |
15,570 | 537,632 | ||||||
| Star Bulk Carriers Corp (Greece) |
26,346 | 556,427 | ||||||
| TTM Technologies Inc * |
39,581 | 533,948 | ||||||
|
|
|
|||||||
| 7,874,103 | ||||||||
|
|
|
|||||||
| Technology - 5.6% |
||||||||
| ACI Worldwide Inc * |
17,963 | 484,642 | ||||||
| CommVault Systems Inc * |
5,729 | 325,063 | ||||||
| FormFactor Inc * |
12,240 | 389,844 | ||||||
| Kulicke & Soffa Industries Inc (Singapore) |
11,086 | 584,121 | ||||||
| MagnaChip Semiconductor Corp (South Korea) * |
43,981 | 408,144 | ||||||
| Unisys Corp * |
43,040 | 166,995 | ||||||
|
|
|
|||||||
| 2,358,809 | ||||||||
|
|
|
|||||||
| Utilities - 2.4% |
||||||||
| IDACORP Inc |
6,380 | 691,145 | ||||||
| Southwest Gas Holdings Inc |
5,230 | 326,614 | ||||||
|
|
|
|||||||
| 1,017,759 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
41,667,699 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 0.9% |
|
|||||||
| Money Market Fund - 0.9% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
|
392,813 |
|
392,813 | ||||
|
|
|
|||||||
| Total Short-Term Investment |
392,813 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 100.5% |
42,060,512 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - (0.5%) |
(215,685 | ) | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$41,844,827 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-85
Table of Contents
PACIFIC FUNDS
PF SMALL-CAP VALUE FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Financial |
29.4% | |||
| Consumer, Cyclical |
20.1% | |||
| Industrial |
18.8% | |||
| Consumer, Non-Cyclical |
12.7% | |||
| Technology |
5.6% | |||
| Basic Materials |
4.4% | |||
| Energy |
3.7% | |||
| Others (each less than 3.0%) |
5.8% | |||
|
|
|
|||
| 100.5% | ||||
| Other Assets & Liabilities, Net |
(0.5% | ) | ||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant |
Level 3 Significant |
|||||||||||||||
| Assets |
Common Stocks |
$41,667,699 | $41,667,699 | $— | $— | |||||||||||||
| Short-Term Investment |
392,813 | 392,813 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$42,060,512 | $42,060,512 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-86
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| WARRANTS - 0.1% |
|
|||||||
| Switzerland - 0.1% |
|
|||||||
| Cie Financiere Richemont SA Exercise @ CHF 67.00 Exp 11/22/23 * |
30,788 | $38,698 | ||||||
|
|
|
|||||||
| Total Warrants |
38,698 | |||||||
|
|
|
|||||||
| PREFERRED STOCKS - 0.4% |
|
|||||||
| Brazil - 0.4% |
|
|||||||
| Banco Bradesco SA |
78,944 | 205,753 | ||||||
|
|
|
|||||||
| Total Preferred Stocks |
205,753 | |||||||
|
|
|
|||||||
|
|
|
|||||||
| COMMON STOCKS - 94.6% |
|
|||||||
| Australia - 0.7% |
|
|||||||
| Glencore PLC |
71,532 | 411,611 | ||||||
|
|
|
|||||||
| Brazil - 4.9% |
|
|||||||
| Ambev SA |
393,900 | 1,116,780 | ||||||
| B3 SA - Brasil Bolsa Balcao |
103,500 | 210,943 | ||||||
| Lojas Renner SA |
32,188 | 105,421 | ||||||
| NU Holdings Ltd ‘A’ * |
112,089 | 533,544 | ||||||
| Vale SA ADR |
32,667 | 515,485 | ||||||
| WEG SA |
30,043 | 240,062 | ||||||
|
|
|
|||||||
| 2,722,235 | ||||||||
|
|
|
|||||||
| Chile - 0.6% |
|
|||||||
| Antofagasta PLC |
3,391 | 66,421 | ||||||
| Banco Santander Chile |
6,239,524 | 276,697 | ||||||
|
|
|
|||||||
| 343,118 | ||||||||
|
|
|
|||||||
| China - 27.0% |
|
|||||||
| BeiGene Ltd ADR * |
2,596 | 559,516 | ||||||
| Brii Biosciences Ltd * |
2,000 | 1,102 | ||||||
| H World Group Ltd * |
4,400 | 21,538 | ||||||
| H World Group Ltd ADR * |
53,554 | 2,623,075 | ||||||
| Meituan ‘B’ * ~ |
24,688 | 447,895 | ||||||
| MicroTech Medical Hangzhou Co Ltd ‘H’ * ~ |
12,900 | 12,265 | ||||||
| NetEase Inc ADR |
20,386 | 1,802,938 | ||||||
| New Horizon Health Ltd * ~ |
28,500 | 98,764 | ||||||
| Silergy Corp |
14,000 | 222,272 | ||||||
| Tencent Holdings Ltd |
39,881 | 1,948,957 | ||||||
| Wuxi Biologics Cayman Inc * ~ |
76,500 | 471,390 | ||||||
| Yum China Holdings Inc |
63,958 | 4,054,298 | ||||||
| Zai Lab Ltd ADR * |
9,294 | 309,118 | ||||||
| ZTO Express Cayman Inc |
5,613 | 160,716 | ||||||
| ZTO Express Cayman Inc ADR |
82,771 | 2,372,217 | ||||||
|
|
|
|||||||
| 15,106,061 | ||||||||
|
|
|
|||||||
| France - 6.1% |
|
|||||||
| L’Oreal SA |
257 | 114,839 | ||||||
| Pernod Ricard SA |
12,096 | 2,738,909 | ||||||
| TotalEnergies SE |
8,945 | 527,430 | ||||||
|
|
|
|||||||
| 3,381,178 | ||||||||
|
|
|
|||||||
| Hong Kong - 1.5% |
|
|||||||
| AIA Group Ltd |
62,600 | 656,508 | ||||||
| Hongkong Land Holdings Ltd |
37,500 | 164,980 | ||||||
|
|
|
|||||||
| 821,488 | ||||||||
|
|
|
|||||||
| India - 18.8% |
|
|||||||
| Havells India Ltd |
13,859 | 200,947 | ||||||
| Housing Development Finance Corp Ltd |
123,125 | 3,948,381 | ||||||
| Infosys Ltd |
15,475 | 270,552 | ||||||
| Kotak Mahindra Bank Ltd |
131,938 | 2,788,755 | ||||||
| Oberoi Realty Ltd |
37,126 | 381,815 | ||||||
| Tata Consultancy Services Ltd |
69,894 | 2,739,694 | ||||||
| Zee Entertainment Enterprises Ltd |
78,151 | 202,172 | ||||||
|
|
|
|||||||
| 10,532,316 | ||||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Indonesia - 0.7% |
|
|||||||
| P.T. Bank Central Asia Tbk |
693,100 | $ | 405,494 | |||||
|
|
|
|||||||
| Italy - 2.2% |
|
|||||||
| Ermenegildo Zegna NV |
11,568 | 157,787 | ||||||
| PRADA SPA |
153,300 | 1,087,061 | ||||||
|
|
|
|||||||
| 1,244,848 | ||||||||
|
|
|
|||||||
| Japan - 0.5% |
|
|||||||
| Daiichi Sankyo Co Ltd |
8,200 | 299,117 | ||||||
|
|
|
|||||||
| Mexico - 10.6% |
|
|||||||
| America Movil SAB de CV ADR * |
50,297 | 1,058,752 | ||||||
| Fomento Economico Mexicano SAB de CV |
84,869 | 807,951 | ||||||
| Grupo Mexico SAB de CV ‘B’ |
600,619 | 2,841,108 | ||||||
| Wal-Mart de Mexico SAB de CV |
303,052 | 1,210,862 | ||||||
|
|
|
|||||||
| 5,918,673 | ||||||||
|
|
|
|||||||
| Peru - 0.9% |
|
|||||||
| Credicorp Ltd |
3,767 | 498,713 | ||||||
|
|
|
|||||||
| Philippines - 1.3% |
|
|||||||
| SM Investments Corp |
43,367 | 711,839 | ||||||
|
|
|
|||||||
| Russia - 0.0% |
|
|||||||
| Novatek PJSC GDR * ± W |
800 | — | ||||||
| Polyus PJSC * ± W |
3,943 | — | ||||||
| Polyus PJSC GDR * ~ ± W |
3,202 | — | ||||||
| Sberbank of Russia PJSC * ± W |
14,210 | — | ||||||
|
|
|
|||||||
| — | ||||||||
|
|
|
|||||||
| South Africa - 0.5% |
|
|||||||
| FirstRand Ltd |
79,815 | 270,525 | ||||||
|
|
|
|||||||
| South Korea - 6.9% |
|
|||||||
| LG Chem Ltd |
3,233 | 1,775,544 | ||||||
| LG H&H Co Ltd |
329 | 151,998 | ||||||
| Samsung Biologics Co Ltd * ~ |
1,567 | 949,859 | ||||||
| Samsung Electronics Co Ltd |
20,040 | 990,997 | ||||||
|
|
|
|||||||
| 3,868,398 | ||||||||
|
|
|
|||||||
| Switzerland - 3.4% |
|
|||||||
| Cie Financiere Richemont SA ‘A’ |
11,833 | 1,897,494 | ||||||
|
|
|
|||||||
| Taiwan - 7.7% |
|
|||||||
| MediaTek Inc |
11,000 | 285,188 | ||||||
| Taiwan Semiconductor Manufacturing Co Ltd |
229,995 | 4,030,575 | ||||||
|
|
|
|||||||
| 4,315,763 | ||||||||
|
|
|
|||||||
| United Kingdom - 0.3% |
|
|||||||
| AstraZeneca PLC ADR |
2,306 | 160,059 | ||||||
|
|
|
|||||||
| Total Common Stocks |
52,908,930 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 3.6% |
|
|||||||
| Money Market Fund - 3.6% |
||||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
|
2,036,222 |
|
2,036,222 | ||||
|
|
|
|||||||
| Total Short-Term Investment |
2,036,222 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 98.7% |
55,189,603 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 1.3% |
713,881 | |||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$55,903,484 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-87
Table of Contents
PACIFIC FUNDS
PF EMERGING MARKETS FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Cyclical |
20.1% | |||
| Financial |
18.5% | |||
| Technology |
18.1% | |||
| Consumer, Non-Cyclical |
15.2% | |||
| Basic Materials |
10.0% | |||
| Communications |
6.5% | |||
| Industrial |
5.7% | |||
| Short-Term Investment |
3.6% | |||
| Others (each less than 3.0%) |
1.0% | |||
|
|
|
|||
| 98.7% | ||||
| Other Assets & Liabilities, Net |
1.3% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, the Fund’s composition by country of risk as a percentage of net assets was as follows: |
| China |
27.0% | |||
| India |
18.8% | |||
| Mexico |
10.6% | |||
| Taiwan |
7.7% | |||
| South Korea |
6.9% | |||
| France |
6.1% | |||
| Brazil |
5.3% | |||
| United States (Includes Short-Term Investment) |
3.6% | |||
| Switzerland |
3.5% | |||
| Others (each less than 3.0%) |
9.2% | |||
|
|
|
|||
| 98.7% | ||||
| Other Assets & Liabilities, Net |
1.3% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (c) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Warrants |
$38,698 | $38,698 | $— | $— | |||||||||||||
| Preferred Stocks |
205,753 | 205,753 | — | — | ||||||||||||||
| Common Stocks |
||||||||||||||||||
| Australia |
411,611 | — | 411,611 | — | ||||||||||||||
| Brazil |
2,722,235 | 2,722,235 | — | — | ||||||||||||||
| Chile |
343,118 | 276,697 | 66,421 | — | ||||||||||||||
| China |
15,106,061 | 11,721,162 | 3,384,899 | — | ||||||||||||||
| France |
3,381,178 | — | 3,381,178 | — | ||||||||||||||
| Hong Kong |
821,488 | — | 821,488 | — | ||||||||||||||
| India |
10,532,316 | — | 10,532,316 | — | ||||||||||||||
| Indonesia |
405,494 | — | 405,494 | — | ||||||||||||||
| Italy |
1,244,848 | 157,787 | 1,087,061 | — | ||||||||||||||
| Japan |
299,117 | — | 299,117 | — | ||||||||||||||
| Mexico |
5,918,673 | 5,918,673 | — | — | ||||||||||||||
| Peru |
498,713 | 498,713 | — | — | ||||||||||||||
| Philippines |
711,839 | — | 711,839 | — | ||||||||||||||
| South Africa |
270,525 | — | 270,525 | — | ||||||||||||||
| South Korea |
3,868,398 | — | 3,868,398 | — | ||||||||||||||
| Switzerland |
1,897,494 | — | 1,897,494 | — | ||||||||||||||
| Taiwan |
4,315,763 | — | 4,315,763 | — | ||||||||||||||
| United Kingdom |
160,059 | 160,059 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
52,908,930 | 21,455,326 | 31,453,604 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Short-Term Investment |
2,036,222 | 2,036,222 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$55,189,603 | $23,735,999 | $31,453,604 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-88
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL GROWTH FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 97.7% |
|
|||||||
| Australia - 1.1% |
|
|||||||
| Brambles Ltd |
23,802 | $214,605 | ||||||
|
|
|
|||||||
| Canada - 6.9% |
|
|||||||
| CAE Inc * |
7,575 | 171,285 | ||||||
| Canadian Pacific Railway Ltd |
6,441 | 495,978 | ||||||
| Loblaw Cos Ltd |
2,768 | 252,264 | ||||||
| Shopify Inc ‘A’ * |
992 | 47,556 | ||||||
| Thomson Reuters Corp |
2,512 | 326,830 | ||||||
|
|
|
|||||||
| 1,293,913 | ||||||||
|
|
|
|||||||
| China - 1.9% |
|
|||||||
| Tencent Holdings Ltd |
5,704 | 278,751 | ||||||
| Zai Lab Ltd * |
22,600 | 75,316 | ||||||
|
|
|
|||||||
| 354,067 | ||||||||
|
|
|
|||||||
| Denmark - 4.5% |
|
|||||||
| Novo Nordisk AS ‘B’ |
5,349 | 849,535 | ||||||
|
|
|
|||||||
| France - 11.0% |
|
|||||||
| Airbus SE |
2,267 | 302,797 | ||||||
| EssilorLuxottica SA |
1,092 | 196,913 | ||||||
| L’Oreal SA |
814 | 363,730 | ||||||
| LVMH Moet Hennessy Louis Vuitton SE |
736 | 675,581 | ||||||
| Safran SA |
1,699 | 251,514 | ||||||
| Teleperformance |
1,151 | 278,121 | ||||||
|
|
|
|||||||
| 2,068,656 | ||||||||
|
|
|
|||||||
| Germany - 6.4% |
|
|||||||
| Deutsche Boerse AG |
1,680 | 327,113 | ||||||
| Deutsche Telekom AG |
23,169 | 561,438 | ||||||
| SAP SE |
2,480 | 313,151 | ||||||
|
|
|
|||||||
| 1,201,702 | ||||||||
|
|
|
|||||||
| Hong Kong - 4.4% |
|
|||||||
| AIA Group Ltd |
50,448 | 529,066 | ||||||
| Hong Kong Exchanges & Clearing Ltd |
6,761 | 299,680 | ||||||
|
|
|
|||||||
| 828,746 | ||||||||
|
|
|
|||||||
| Israel - 1.2% |
|
|||||||
| Nice Ltd ADR * |
970 | 222,023 | ||||||
|
|
|
|||||||
| Italy - 1.3% |
|
|||||||
| Intesa Sanpaolo SPA |
96,622 | 247,975 | ||||||
|
|
|
|||||||
| Japan - 13.7% |
|
|||||||
| Daiichi Sankyo Co Ltd |
11,109 | 405,230 | ||||||
| Hoya Corp |
1,884 | 208,205 | ||||||
| Keyence Corp |
1,110 | 544,021 | ||||||
| Olympus Corp |
22,089 | 387,944 | ||||||
| Recruit Holdings Co Ltd |
8,145 | 224,061 | ||||||
| Shiseido Co Ltd |
6,290 | 294,896 | ||||||
| Sony Group Corp |
5,563 | 506,697 | ||||||
|
|
|
|||||||
| 2,571,054 | ||||||||
|
|
|
|||||||
| Netherlands - 3.4% |
|
|||||||
| Adyen NV * ~ |
153 | 243,795 | ||||||
| ASML Holding NV |
578 | 393,877 | ||||||
|
|
|
|||||||
| 637,672 | ||||||||
|
|
|
|||||||
| Portugal - 2.6% |
|
|||||||
| EDP - Energias de Portugal SA |
90,146 | 491,198 | ||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Spain - 6.1% |
|
|||||||
| Amadeus IT Group SA * |
5,257 | $352,658 | ||||||
| Cellnex Telecom SA ~ |
4,083 | 158,778 | ||||||
| Iberdrola SA |
19,323 | 240,722 | ||||||
| Industria de Diseno Textil SA |
11,983 | 402,572 | ||||||
|
|
|
|||||||
| 1,154,730 | ||||||||
|
|
|
|||||||
| Sweden - 2.9% |
|
|||||||
| Atlas Copco AB ‘A’ |
16,330 | 206,874 | ||||||
| Sandvik AB |
15,846 | 336,344 | ||||||
|
|
|
|||||||
| 543,218 | ||||||||
|
|
|
|||||||
| Switzerland - 3.9% |
|
|||||||
| Alcon Inc |
4,493 | 318,947 | ||||||
| Givaudan SA |
63 | 205,052 | ||||||
| Straumann Holding AG |
1,354 | 203,079 | ||||||
|
|
|
|||||||
| 727,078 | ||||||||
|
|
|
|||||||
| United Kingdom - 11.8% |
|
|||||||
| 3i Group PLC |
8,829 | 184,028 | ||||||
| Compass Group PLC |
10,343 | 259,936 | ||||||
| Diageo PLC |
11,222 | 500,834 | ||||||
| London Stock Exchange Group PLC |
6,136 | 595,988 | ||||||
| RELX PLC |
9,788 | 317,003 | ||||||
| Rentokil Initial PLC |
48,249 | 352,630 | ||||||
|
|
|
|||||||
| 2,210,419 | ||||||||
|
|
|
|||||||
| United States - 14.6% |
|
|||||||
| Accenture PLC ‘A’ |
1,048 | 299,529 | ||||||
| Computershare Ltd |
8,671 | 125,948 | ||||||
| Haleon PLC |
74,535 | 296,086 | ||||||
| ICON PLC * |
655 | 139,901 | ||||||
| Linde PLC |
1,140 | 405,202 | ||||||
| Nestle SA |
7,243 | 883,143 | ||||||
| Roche Holding AG |
962 | 274,884 | ||||||
| SolarEdge Technologies Inc * |
589 | 179,026 | ||||||
| TE Connectivity Ltd |
1,112 | 145,839 | ||||||
|
|
|
|||||||
| 2,749,558 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
18,366,149 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 1.4% |
|
|||||||
| Money Market Fund - 1.4% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
257,018 | 257,018 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
257,018 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.1% |
18,623,167 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.9% |
161,455 | |||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$18,784,622 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-89
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL GROWTH FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
38.1% | |||
| Industrial |
15.0% | |||
| Financial |
11.6% | |||
| Consumer, Cyclical |
9.8% | |||
| Communications |
7.6% | |||
| Technology |
7.5% | |||
| Utilities |
3.9% | |||
| Basic Materials |
3.2% | |||
| Others (each less than 3.0%) |
2.4% | |||
|
|
|
|||
| 99.1% | ||||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, the Fund’s composition by country of risk as a percentage of net assets was as follows: |
| United States (Includes Short-Term Investment) |
16.0% | |||
| Japan |
13.7% | |||
| United Kingdom |
11.8% | |||
| France |
11.0% | |||
| Canada |
6.9% | |||
| Germany |
6.4% | |||
| Spain |
6.1% | |||
| Denmark |
4.5% | |||
| Hong Kong |
4.4% | |||
| Switzerland |
3.9% | |||
| Netherlands |
3.4% | |||
| Others (each less than 3.0%) |
11.0% | |||
|
|
|
|||
| 99.1% | ||||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (c) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
|||||||||||||||||
| Australia |
$214,605 | $— | $214,605 | $— | ||||||||||||||
| Canada |
1,293,913 | 1,293,913 | — | — | ||||||||||||||
| China |
354,067 | — | 354,067 | — | ||||||||||||||
| Denmark |
849,535 | — | 849,535 | — | ||||||||||||||
| France |
2,068,656 | — | 2,068,656 | — | ||||||||||||||
| Germany |
1,201,702 | — | 1,201,702 | — | ||||||||||||||
| Hong Kong |
828,746 | — | 828,746 | — | ||||||||||||||
| Israel |
222,023 | 222,023 | — | — | ||||||||||||||
| Italy |
247,975 | — | 247,975 | — | ||||||||||||||
| Japan |
2,571,054 | — | 2,571,054 | — | ||||||||||||||
| Netherlands |
637,672 | — | 637,672 | — | ||||||||||||||
| Portugal |
491,198 | — | 491,198 | — | ||||||||||||||
| Spain |
1,154,730 | — | 1,154,730 | — | ||||||||||||||
| Sweden |
543,218 | — | 543,218 | — | ||||||||||||||
| Switzerland |
727,078 | — | 727,078 | — | ||||||||||||||
| United Kingdom |
2,210,419 | — | 2,210,419 | — | ||||||||||||||
| United States |
2,749,558 | 1,169,497 | 1,580,061 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
18,366,149 | 2,685,433 | 15,680,716 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Short-Term Investment |
257,018 | 257,018 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$18,623,167 | $2,942,451 | $15,680,716 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-90
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL SMALL-CAP FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 95.7% |
|
|||||||
| Australia - 4.1% |
|
|||||||
| EBOS Group Ltd |
2,641 | $76,957 | ||||||
| GUD Holdings Ltd |
11,995 | 79,242 | ||||||
| Imdex Ltd |
50,912 | 76,822 | ||||||
| Inghams Group Ltd |
68,801 | 144,086 | ||||||
| Nanosonics Ltd * |
16,058 | 55,255 | ||||||
|
|
|
|||||||
| 432,362 | ||||||||
|
|
|
|||||||
| Austria - 1.9% |
|
|||||||
| Mayr Melnhof Karton AG |
660 | 109,698 | ||||||
| Strabag SE |
620 | 26,526 | ||||||
| Wienerberger AG |
2,190 | 63,403 | ||||||
|
|
|
|||||||
| 199,627 | ||||||||
|
|
|
|||||||
| Belgium - 1.7% |
|
|||||||
| Econocom Group SA |
20,490 | 65,802 | ||||||
| Fagron |
6,480 | 110,704 | ||||||
|
|
|
|||||||
| 176,506 | ||||||||
|
|
|
|||||||
| Brazil - 0.9% |
|
|||||||
| Atacadao SA |
9,910 | 24,303 | ||||||
| Hypera SA |
9,094 | 68,002 | ||||||
|
|
|
|||||||
| 92,305 | ||||||||
|
|
|
|||||||
| Canada - 2.3% |
|
|||||||
| CCL Industries Inc ‘B’ |
1,250 | 62,098 | ||||||
| ECN Capital Corp |
7,130 | 14,772 | ||||||
| Open Text Corp |
2,080 | 80,229 | ||||||
| Parkland Corp |
1,190 | 28,528 | ||||||
| The North West Co Inc |
2,260 | 63,193 | ||||||
|
|
|
|||||||
| 248,820 | ||||||||
|
|
|
|||||||
| China - 3.7% |
|
|||||||
| Best Pacific International Holdings Ltd |
135,870 | 19,559 | ||||||
| Far East Horizon Ltd |
123,893 | 111,255 | ||||||
| Qingdao Port International Co Ltd ‘H’ ~ |
138,661 | 72,368 | ||||||
| Shenzhen YUTO Packaging Technology Co Ltd ‘A’ |
19,470 | 78,963 | ||||||
| TravelSky Technology Ltd ‘H’ |
48,900 | 91,118 | ||||||
| Xingda International Holdings Ltd |
108,751 | 23,115 | ||||||
|
|
|
|||||||
| 396,378 | ||||||||
|
|
|
|||||||
| Denmark - 0.6% |
|
|||||||
| Spar Nord Bank AS |
3,990 | 63,022 | ||||||
|
|
|
|||||||
| Finland - 1.6% |
|
|||||||
| Huhtamaki Oyj |
2,340 | 86,930 | ||||||
| Nanoform Finland PLC * |
5,020 | 8,656 | ||||||
| Rovio Entertainment Oyj ~ |
9,390 | 79,538 | ||||||
|
|
|
|||||||
| 175,124 | ||||||||
|
|
|
|||||||
| France - 4.3% |
|
|||||||
| Altarea SCA REIT |
660 | 81,210 | ||||||
| Antin Infrastructure Partners SA |
2,320 | 42,055 | ||||||
| ARGAN SA REIT |
600 | 44,846 | ||||||
| Elior Group SA * ~ |
19,080 | 67,112 | ||||||
| Lectra |
1,430 | 56,456 | ||||||
| Maisons du Monde SA ~ |
6,010 | 64,859 | ||||||
| Thermador Groupe |
960 | 102,176 | ||||||
|
|
|
|||||||
| 458,714 | ||||||||
|
|
|
|||||||
| Germany - 5.1% |
|
|||||||
| DWS Group GmbH & Co KGaA ~ |
1,450 | 44,638 | ||||||
| JOST Werke AG ~ |
1,500 | 79,093 | ||||||
| Norma Group SE |
2,600 | 61,443 | ||||||
| Rheinmetall AG |
380 | 112,575 | ||||||
| Stabilus SE |
950 | 66,415 | ||||||
| Takkt AG |
4,480 | 70,710 | ||||||
| Talanx AG |
2,420 | 112,171 | ||||||
|
|
|
|||||||
| 547,045 | ||||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Greece - 1.0% |
|
|||||||
| Mytilineos SA |
3,670 | $ | 104,626 | |||||
|
|
|
|||||||
| Hong Kong - 1.8% |
|
|||||||
| ASMPT Ltd |
11,678 | 115,822 | ||||||
| Sino Land Co Ltd |
39,859 | 53,902 | ||||||
| WH Group Ltd ~ |
44,700 | 26,648 | ||||||
|
|
|
|||||||
| 196,372 | ||||||||
|
|
|
|||||||
| Hungary - 1.1% |
|
|||||||
| Richter Gedeon Nyrt |
5,635 | 117,654 | ||||||
|
|
|
|||||||
| Indonesia - 0.8% |
|
|||||||
| P.T. Avia Avian Tbk |
874,454 | 34,699 | ||||||
| P.T. Selamat Sempurna Tbk |
529,230 | 54,531 | ||||||
|
|
|
|||||||
| 89,230 | ||||||||
|
|
|
|||||||
| Ireland - 1.8% |
|
|||||||
| AerCap Holdings NV * |
887 | 49,876 | ||||||
| Dalata Hotel Group PLC * |
17,170 | 77,853 | ||||||
| Irish Residential Properties REIT PLC ◇ |
61,840 | 62,322 | ||||||
|
|
|
|||||||
| 190,051 | ||||||||
|
|
|
|||||||
| Italy - 1.1% |
|
|||||||
| Banca Generali SPA |
1,650 | 52,528 | ||||||
| Recordati Industria Chimica e Farmaceutica SPA |
1,490 | 63,026 | ||||||
|
|
|
|||||||
| 115,554 | ||||||||
|
|
|
|||||||
| Japan - 19.9% |
|
|||||||
| Amano Corp |
3,590 | 67,828 | ||||||
| ASKUL Corp |
5,270 | 68,610 | ||||||
| Capcom Co Ltd |
1,490 | 53,328 | ||||||
| Dexerials Corp |
2,540 | 51,930 | ||||||
| Dip Corp |
1,980 | 53,074 | ||||||
| GMO internet group Inc |
4,900 | 95,506 | ||||||
| Inaba Denki Sangyo Co Ltd |
2,970 | 64,922 | ||||||
| Isuzu Motors Ltd |
5,210 | 62,265 | ||||||
| Kamigumi Co Ltd |
2,970 | 62,395 | ||||||
| Lixil Corp |
3,720 | 61,402 | ||||||
| Maruwa Co Ltd |
560 | 78,082 | ||||||
| Meitec Corp |
3,720 | 66,605 | ||||||
| MINEBEA MITSUMI Inc |
4,150 | 79,251 | ||||||
| Mitani Corp |
5,100 | 51,831 | ||||||
| NOF Corp |
1,430 | 66,824 | ||||||
| NSD Co Ltd |
3,530 | 63,674 | ||||||
| PALTAC Corp |
3,100 | 117,790 | ||||||
| Park24 Co Ltd * |
1,550 | 22,673 | ||||||
| Persol Holdings Co Ltd |
4,520 | 91,010 | ||||||
| Renesas Electronics Corp * |
13,570 | 196,505 | ||||||
| Roland Corp |
2,660 | 80,321 | ||||||
| S Foods Inc |
4,460 | 96,029 | ||||||
| San-Ai Obbli Co Ltd |
10,780 | 111,902 | ||||||
| Ship Healthcare Holdings Inc |
5,700 | 105,009 | ||||||
| SUMCO Corp |
4,830 | 72,662 | ||||||
| TIS Inc |
2,420 | 63,998 | ||||||
| TKC Corp |
870 | 24,162 | ||||||
| Tsuruha Holdings Inc |
1,430 | 95,644 | ||||||
|
|
|
|||||||
| 2,125,232 | ||||||||
|
|
|
|||||||
| Mexico - 2.9% |
|
|||||||
| Bolsa Mexicana de Valores SAB de CV |
47,528 | 101,624 | ||||||
| Gruma SAB de CV ‘B’ |
7,228 | 107,076 | ||||||
| Grupo Comercial Chedraui SA de CV |
17,980 | 102,771 | ||||||
|
|
|
|||||||
| 311,471 | ||||||||
|
|
|
|||||||
| Netherlands - 1.4% |
|
|||||||
| Acomo NV |
3,650 | 87,679 | ||||||
| Arcadis NV |
1,610 | 65,920 | ||||||
|
|
|
|||||||
| 153,599 | ||||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-91
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL SMALL-CAP FUND
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| Norway - 1.3% |
|
|||||||
| Europris ASA ~ |
15,830 | $ | 109,927 | |||||
| SpareBank 1 SMN |
2,480 | 29,298 | ||||||
|
|
|
|||||||
| 139,225 | ||||||||
|
|
|
|||||||
| Peru - 0.5% |
|
|||||||
| Intercorp Financial Services Inc |
2,313 | 52,783 | ||||||
|
|
|
|||||||
| Philippines - 1.7% |
|
|||||||
| Century Pacific Food Inc |
222,357 | 105,728 | ||||||
| Robinsons Land Corp |
283,083 | 76,688 | ||||||
|
|
|
|||||||
| 182,416 | ||||||||
|
|
|
|||||||
| Singapore - 1.2% |
|
|||||||
| HRnetgroup Ltd |
96,255 | 58,964 | ||||||
| Mapletree Industrial Trust REIT |
39,667 | 70,822 | ||||||
|
|
|
|||||||
| 129,786 | ||||||||
|
|
|
|||||||
| South Korea - 2.1% |
|
|||||||
| Hyundai Marine & Fire Insurance Co Ltd |
1,924 | 49,953 | ||||||
| Soulbrain Co Ltd |
620 | 112,923 | ||||||
| Vitzrocell Co Ltd |
4,460 | 61,375 | ||||||
|
|
|
|||||||
| 224,251 | ||||||||
|
|
|
|||||||
| Spain - 4.2% |
|
|||||||
| Cia de Distribucion Integral Logista Holdings SA |
4,650 | 116,029 | ||||||
| CIE Automotive SA |
3,050 | 87,784 | ||||||
| Grupo Catalana Occidente SA |
3,540 | 111,545 | ||||||
| Indra Sistemas SA |
3,280 | 44,394 | ||||||
| Prosegur Cia de Seguridad SA |
20,440 | 40,542 | ||||||
| Viscofan SA |
600 | 42,969 | ||||||
|
|
|
|||||||
| 443,263 | ||||||||
|
|
|
|||||||
| Sweden - 1.6% |
|
|||||||
| Granges AB |
8,070 | 76,988 | ||||||
| Hexpol AB |
5,970 | 73,950 | ||||||
| Nordnet AB publ |
1,300 | 21,434 | ||||||
|
|
|
|||||||
| 172,372 | ||||||||
|
|
|
|||||||
| Taiwan - 3.8% |
|
|||||||
| International Games System Co Ltd |
7,320 | 138,068 | ||||||
| Sporton International Inc |
10,499 | 93,396 | ||||||
| Test Research Inc |
25,356 | 53,031 | ||||||
| Tripod Technology Corp |
14,931 | 55,005 | ||||||
| Yageo Corp |
3,705 | 64,586 | ||||||
|
|
|
|||||||
| 404,086 | ||||||||
|
|
|
|||||||
| Thailand - 0.7% |
|
|||||||
| Star Petroleum Refining PCL |
232,343 | 73,488 | ||||||
|
|
|
|||||||
| United Kingdom - 15.8% |
|
|||||||
| Ashtead Technology Holdings PLC * |
25,960 | 97,354 | ||||||
| B&M European Value Retail SA |
15,015 | 89,456 | ||||||
| Bodycote PLC |
6,800 | 54,710 | ||||||
| DCC PLC |
500 | 29,146 | ||||||
| Grainger PLC |
31,878 | 91,627 | ||||||
| Harbour Energy PLC |
13,120 | 44,462 | ||||||
| Hiscox Ltd |
8,120 | 111,105 | ||||||
| Informa PLC |
10,490 | 89,915 | ||||||
| J D Wetherspoon PLC * |
11,298 | 99,651 | ||||||
| JET2 PLC |
5,300 | 86,437 | ||||||
| John Wood Group PLC * |
42,144 | 104,345 | ||||||
| Lancashire Holdings Ltd |
17,037 | 116,267 | ||||||
| LSL Property Services PLC |
20,345 | 68,266 | ||||||
| On the Beach Group PLC * ~ |
33,360 | 59,281 | ||||||
| Pets at Home Group PLC |
13,510 | 61,497 | ||||||
| Premier Foods PLC |
41,720 | 62,512 | ||||||
| Rathbones Group PLC |
1,510 | 35,756 | ||||||
| Sabre Insurance Group PLC ~ |
40,509 | 56,468 | ||||||
| Shares |
Value |
|||||||
| Savills PLC |
5,534 | $ | 67,529 | |||||
| Tate & Lyle PLC |
12,715 | 123,144 | ||||||
| Vistry Group PLC |
5,578 | 53,974 | ||||||
| WH Smith PLC |
4,552 | 84,260 | ||||||
|
|
|
|||||||
| 1,687,162 | ||||||||
|
|
|
|||||||
| United States - 4.8% |
|
|||||||
| Adient PLC * |
1,970 | 80,691 | ||||||
| Adtalem Global Education Inc* |
2,160 | 83,419 | ||||||
| Antero Resources Corp * |
2,435 | 56,224 | ||||||
| GCC SAB de CV |
12,113 | 96,124 | ||||||
| GrafTech International Ltd |
9,412 | 45,743 | ||||||
| Ovintiv Inc |
1,560 | 56,285 | ||||||
| RHI Magnesita NV |
3,530 | 97,795 | ||||||
|
|
|
|||||||
| 516,281 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
10,218,805 | |||||||
|
|
|
|||||||
| EXCHANGE-TRADED FUND - 2.0% |
|
|||||||
| iShares MSCI India * |
5,340 | 210,182 | ||||||
|
|
|
|||||||
| Total Exchange-Traded Fund |
210,182 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 0.9% |
|
|||||||
| Money Market Fund - 0.9% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
92,225 | 92,225 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
92,225 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 98.6% (Cost $10,321,648) |
10,521,212 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 1.4% |
153,791 | |||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$10,675,003 | |||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Consumer, Non-Cyclical |
20.7% | |||
| Industrial |
19.8% | |||
| Consumer, Cyclical |
18.2% | |||
| Financial |
16.2% | |||
| Technology |
9.6% | |||
| Energy |
5.3% | |||
| Others (each less than 3.0%) |
8.8% | |||
|
|
|
|||
| 98.6% | ||||
| Other Assets & Liabilities, Net |
1.4% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-92
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL SMALL-CAP FUND
Schedule of Investments (Continued)
March 31, 2023
| (b) | As of March 31, 2023, the Fund’s composition by country of risk as a percentage of net assets was as follows: |
| Japan |
19.9% | |||
| United Kingdom |
15.8% | |||
| United States (Includes Short-Term Investment) |
5.7% | |||
| Germany |
5.1% | |||
| France |
4.3% | |||
| Spain |
4.2% | |||
| Australia |
4.1% | |||
| Taiwan |
3.8% | |||
| China |
3.7% | |||
| Others (each less than 3.0%) |
32.0% | |||
|
|
|
|||
| 98.6% | ||||
| Other Assets & Liabilities, Net |
1.4% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (c) | Restricted securities as of March 31, 2023 were as follows: |
| Issuer and Acquisition Date |
Cost | Value | Value as a % of Net Assets |
|||||||
| Irish Residential Properties REIT PLC (Acq 10/29/21) |
$99,298 | $62,322 | 0.6% | |||||||
|
|
||||||||||
| (d) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
|||||||||||||||||
| Australia |
$432,362 | $— | $432,362 | $— | ||||||||||||||
| Austria |
199,627 | 26,526 | 173,101 | — | ||||||||||||||
| Belgium |
176,506 | — | 176,506 | — | ||||||||||||||
| Brazil |
92,305 | 92,305 | — | — | ||||||||||||||
| Canada |
248,820 | 248,820 | — | — | ||||||||||||||
| China |
396,378 | 19,559 | 376,819 | — | ||||||||||||||
| Denmark |
63,022 | — | 63,022 | — | ||||||||||||||
| Finland |
175,124 | 8,656 | 166,468 | — | ||||||||||||||
| France |
458,714 | — | 458,714 | — | ||||||||||||||
| Germany |
547,045 | — | 547,045 | — | ||||||||||||||
| Greece |
104,626 | — | 104,626 | — | ||||||||||||||
| Hong Kong |
196,372 | — | 196,372 | — | ||||||||||||||
| Hungary |
117,654 | — | 117,654 | — | ||||||||||||||
| Indonesia |
89,230 | 89,230 | — | — | ||||||||||||||
| Ireland |
190,051 | 49,876 | 140,175 | — | ||||||||||||||
| Italy |
115,554 | — | 115,554 | — | ||||||||||||||
| Japan |
2,125,232 | — | 2,125,232 | — | ||||||||||||||
| Mexico |
311,471 | 311,471 | — | — | ||||||||||||||
| Netherlands |
153,599 | 87,679 | 65,920 | — | ||||||||||||||
| Norway |
139,225 | — | 139,225 | — | ||||||||||||||
| Peru |
52,783 | 52,783 | — | — | ||||||||||||||
| Philippines |
182,416 | 105,728 | 76,688 | — | ||||||||||||||
| Singapore |
129,786 | — | 129,786 | — | ||||||||||||||
| South Korea |
224,251 | — | 224,251 | — | ||||||||||||||
| Spain |
443,263 | — | 443,263 | — | ||||||||||||||
| Sweden |
172,372 | — | 172,372 | — | ||||||||||||||
| Taiwan |
404,086 | — | 404,086 | — | ||||||||||||||
| Thailand |
73,488 | — | 73,488 | — | ||||||||||||||
| United Kingdom |
1,687,162 | 474,863 | 1,212,299 | — | ||||||||||||||
| United States |
516,281 | 418,486 | 97,795 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
10,218,805 | 1,985,982 | 8,232,823 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Exchange-Traded Fund |
210,182 | 210,182 | — | — | ||||||||||||||
| Short-Term Investment |
92,225 | 92,225 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$10,521,212 | $2,288,389 | $8,232,823 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-93
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL VALUE FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| PREFERRED STOCKS - 0.8% |
|
|||||||
| Germany - 0.8% |
|
|||||||
| Henkel AG & Co KGaA |
4,275 | $334,450 | ||||||
|
|
|
|||||||
| Total Preferred Stocks |
334,450 | |||||||
|
|
|
|||||||
| COMMON STOCKS - 96.1% |
|
|||||||
| Austria - 1.9% |
|
|||||||
| ams-OSRAM AG * |
20,100 | 156,633 | ||||||
| Erste Group Bank AG |
11,943 | 395,664 | ||||||
| Mondi PLC |
15,370 | 244,030 | ||||||
|
|
|
|||||||
| 796,327 | ||||||||
|
|
|
|||||||
| Belgium - 1.1% |
|
|||||||
| Ageas SA |
6,766 | 292,686 | ||||||
| Proximus SADP |
19,484 | 188,415 | ||||||
|
|
|
|||||||
| 481,101 | ||||||||
|
|
|
|||||||
| Brazil - 3.0% |
|
|||||||
| Atacadao SA |
69,335 | 170,039 | ||||||
| Banco Bradesco SA ADR |
146,792 | 384,595 | ||||||
| Cia de Saneamento Basico do Estado de Sao Paulo SABESP |
19,847 | 197,982 | ||||||
| Telefonica Brasil SA |
40,585 | 309,966 | ||||||
| Ultrapar Participacoes SA |
69,732 | 192,200 | ||||||
|
|
|
|||||||
| 1,254,782 | ||||||||
|
|
|
|||||||
| Burkina Faso - 0.4% |
|
|||||||
| Endeavour Mining PLC |
7,793 | 187,805 | ||||||
|
|
|
|||||||
| Canada - 1.9% |
|
|||||||
| ARC Resources Ltd |
12,712 | 144,192 | ||||||
| Barrick Gold Corp |
22,235 | 412,783 | ||||||
| Cameco Corp |
6,649 | 174,004 | ||||||
| Kinross Gold Corp |
14,304 | 67,372 | ||||||
|
|
|
|||||||
| 798,351 | ||||||||
|
|
|
|||||||
| China - 0.6% |
|
|||||||
| Baidu Inc ‘A’ * |
3,177 | 59,859 | ||||||
| Dongfeng Motor Group Co Ltd ‘H’ |
380,117 | 178,564 | ||||||
|
|
|
|||||||
| 238,423 | ||||||||
|
|
|
|||||||
| Finland - 1.7% |
|
|||||||
| Nokia OYJ |
83,101 | 407,933 | ||||||
| Wartsila OYJ Abp |
31,638 | 298,577 | ||||||
|
|
|
|||||||
| 706,510 | ||||||||
|
|
|
|||||||
| France - 11.8% |
|
|||||||
| AXA SA |
22,968 | 700,928 | ||||||
| BNP Paribas SA |
8,588 | 512,855 | ||||||
| Carrefour SA |
20,787 | 420,263 | ||||||
| Cie de Saint-Gobain |
8,926 | 507,386 | ||||||
| Dassault Aviation SA |
673 | 133,140 | ||||||
| Engie SA |
43,044 | 681,158 | ||||||
| Orange SA |
38,012 | 451,589 | ||||||
| Renault SA * |
7,544 | 307,465 | ||||||
| Societe Generale SA |
15,894 | 358,113 | ||||||
| TotalEnergies SE |
15,318 | 903,206 | ||||||
|
|
|
|||||||
| 4,976,103 | ||||||||
|
|
|
|||||||
| Germany - 5.4% |
|
|||||||
| CECONOMY AG * |
21,161 | 57,691 | ||||||
| Continental AG |
3,438 | 257,607 | ||||||
| Shares |
Value |
|||||||
| Daimler Truck Holding AG * |
15,429 | $520,714 | ||||||
| Evonik Industries AG |
11,457 | 241,045 | ||||||
| Fresenius SE & Co KGaA |
14,325 | 386,822 | ||||||
| HeidelbergCement AG |
7,353 | 536,896 | ||||||
| Mercedes-Benz Group AG |
3,509 | 269,852 | ||||||
|
|
|
|||||||
| 2,270,627 | ||||||||
|
|
|
|||||||
| Hong Kong - 1.4% |
|
|||||||
| CK Asset Holdings Ltd |
55,873 | 338,739 | ||||||
| WH Group Ltd ~ |
463,085 | 276,067 | ||||||
|
|
|
|||||||
| 614,806 | ||||||||
|
|
|
|||||||
| India - 0.8% |
|
|||||||
| Canara Bank |
58,902 | 204,762 | ||||||
| Oil & Natural Gas Corp Ltd |
65,988 | 121,611 | ||||||
|
|
|
|||||||
| 326,373 | ||||||||
|
|
|
|||||||
| Indonesia - 0.6% |
|
|||||||
| P.T. Bank Mandiri Persero Tbk |
382,718 | 263,557 | ||||||
|
|
|
|||||||
| Ireland - 1.4% |
|
|||||||
| AIB Group PLC |
64,608 | 261,504 | ||||||
| Bank of Ireland Group PLC |
31,310 | 316,804 | ||||||
|
|
|
|||||||
| 578,308 | ||||||||
|
|
|
|||||||
| Italy - 5.1% |
|
|||||||
| Assicurazioni Generali SPA |
19,993 | 398,353 | ||||||
| BPER Banca |
93,602 | 230,301 | ||||||
| Eni SPA |
48,248 | 672,884 | ||||||
| UniCredit SPA |
45,733 | 861,970 | ||||||
|
|
|
|||||||
| 2,163,508 | ||||||||
|
|
|
|||||||
| Japan - 24.1% |
|
|||||||
| Alfresa Holdings Corp |
11,064 | 141,760 | ||||||
| Alps Alpine Co Ltd |
13,970 | 134,441 | ||||||
| Amada Co Ltd |
19,670 | 184,376 | ||||||
| Benesse Holdings Inc |
909 | 13,320 | ||||||
| Dai-ichi Life Holdings Inc |
20,341 | 373,939 | ||||||
| DeNA Co Ltd * |
10,557 | 144,269 | ||||||
| Eisai Co Ltd |
2,258 | 128,254 | ||||||
| Fuji Media Holdings Inc |
6,745 | 60,923 | ||||||
| Hakuhodo DY Holdings Inc |
12,880 | 146,026 | ||||||
| Hino Motors Ltd * |
39,453 | 165,210 | ||||||
| Honda Motor Co Ltd |
23,598 | 624,195 | ||||||
| Inpex Corp |
25,568 | 270,574 | ||||||
| Isuzu Motors Ltd |
26,828 | 320,621 | ||||||
| Japan Airlines Co Ltd |
11,388 | 222,045 | ||||||
| JGC Holdings Corp |
14,912 | 185,328 | ||||||
| Kirin Holdings Co Ltd |
24,202 | 382,894 | ||||||
| Makita Corp |
13,331 | 332,007 | ||||||
| Mitsubishi Estate Co Ltd |
25,082 | 298,342 | ||||||
| Mitsubishi UFJ Financial Group Inc |
89,193 | 571,608 | ||||||
| MS&AD Insurance Group Holdings Inc |
12,904 | 399,906 | ||||||
| Nikon Corp |
21,744 | 223,229 | ||||||
| Nippon Television Holdings Inc |
13,059 | 112,594 | ||||||
| Nissan Motor Co Ltd |
95,358 | 360,891 | ||||||
| Nomura Holdings Inc |
30,475 | 117,491 | ||||||
| Ono Pharmaceutical Co Ltd |
14,719 | 306,717 | ||||||
| Resona Holdings Inc |
70,288 | 339,079 | ||||||
| Stanley Electric Co Ltd |
11,493 | 255,494 | ||||||
| Subaru Corp |
18,132 | 289,452 | ||||||
| Sumitomo Electric Industries Ltd |
28,603 | 367,460 | ||||||
| Sumitomo Heavy Industries Ltd |
8,599 | 210,867 | ||||||
| Sumitomo Mitsui Trust Holdings Inc |
12,887 | 442,746 | ||||||
| Sumitomo Rubber Industries Ltd |
16,457 | 148,894 | ||||||
| T&D Holdings Inc |
41,838 | 518,535 | ||||||
| Taiheiyo Cement Corp |
8,491 | 159,576 | ||||||
| Takeda Pharmaceutical Co Ltd |
11,544 | 379,146 | ||||||
| THK Co Ltd |
11,404 | 264,340 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-94
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL VALUE FUND
Schedule of Investments (Continued)
March 31, 2023
| Shares |
Value |
|||||||
| Tsuruha Holdings Inc |
3,022 | $202,123 | ||||||
| Yamato Holdings Co Ltd |
21,354 | 366,548 | ||||||
|
|
|
|||||||
| 10,165,220 | ||||||||
|
|
|
|||||||
| Luxembourg - 0.5% |
|
|||||||
| RTL Group SA |
4,078 | 200,897 | ||||||
|
|
|
|||||||
| Malaysia - 0.5% |
|
|||||||
| CIMB Group Holdings Bhd |
162,746 | 196,132 | ||||||
|
|
|
|||||||
| Mexico - 0.4% |
|
|||||||
| Fresnillo PLC |
17,770 | 164,089 | ||||||
|
|
|
|||||||
| Netherlands - 6.3% |
|
|||||||
| ABN AMRO Bank NV ~ |
30,764 | 487,839 | ||||||
| ING Groep NV |
36,756 | 436,490 | ||||||
| Koninklijke Philips NV |
24,684 | 453,368 | ||||||
| Shell PLC |
45,040 | 1,283,577 | ||||||
|
|
|
|||||||
| 2,661,274 | ||||||||
|
|
|
|||||||
| Norway - 0.1% |
|
|||||||
| Norsk Hydro ASA |
8,087 | 60,357 | ||||||
|
|
|
|||||||
| Russia - 0.0% |
|
|||||||
| Mobile TeleSystems PJSC ADR * ± W |
13,793 | — | ||||||
| Sberbank of Russia PJSC ADR * ± W |
9,967 | — | ||||||
|
|
|
|||||||
| — | ||||||||
|
|
|
|||||||
| South Africa - 1.2% |
|
|||||||
| Anglo American PLC |
9,834 | 327,094 | ||||||
| MTN Group Ltd |
7,267 | 52,064 | ||||||
| Old Mutual Ltd |
219,176 | 145,289 | ||||||
|
|
|
|||||||
| 524,447 | ||||||||
|
|
|
|||||||
| South Korea - 4.5% |
|
|||||||
| Coway Co Ltd |
4,494 | 181,376 | ||||||
| Hankook Tire & Technology Co Ltd |
6,265 | 167,577 | ||||||
| Hyundai Mobis Co Ltd |
2,050 | 340,484 | ||||||
| KB Financial Group Inc |
12,451 | 454,738 | ||||||
| KT Corp ADR * |
28,867 | 327,352 | ||||||
| Shinhan Financial Group Co Ltd |
15,681 | 425,979 | ||||||
|
|
|
|||||||
| 1,897,506 | ||||||||
|
|
|
|||||||
| Spain - 0.4% |
||||||||
| CaixaBank SA |
40,450 | 157,834 | ||||||
|
|
|
|||||||
| Sweden - 1.9% |
|
|||||||
| SKF AB ‘B’ |
24,599 | 484,524 | ||||||
| Telefonaktiebolaget LM Ericsson ‘B’ |
55,895 | 327,647 | ||||||
|
|
|
|||||||
| 812,171 | ||||||||
|
|
|
|||||||
| Switzerland - 6.0% |
|
|||||||
| Adecco Group AG |
11,233 | 409,163 | ||||||
| Novartis AG |
9,576 | 879,254 | ||||||
| The Swatch Group AG |
1,226 | 422,223 | ||||||
| UBS Group AG |
38,425 | 813,104 | ||||||
|
|
|
|||||||
| 2,523,744 | ||||||||
|
|
|
|||||||
| Taiwan - 1.1% |
|
|||||||
| Catcher Technology Co Ltd |
36,613 | 228,879 | ||||||
| Hon Hai Precision Industry Co Ltd |
69,676 | 238,500 | ||||||
|
|
|
|||||||
| 467,379 | ||||||||
|
|
|
|||||||
| Shares |
Value |
|||||||
| Thailand - 0.8% |
|
|||||||
| Kasikornbank PCL |
68,323 | $265,098 | ||||||
| Kasikornbank PCL NVDR |
20,799 | 80,683 | ||||||
|
|
|
|||||||
| 345,781 | ||||||||
|
|
|
|||||||
| United Kingdom - 8.5% |
|
|||||||
| Babcock International Group PLC * |
39,162 | 144,672 | ||||||
| BP PLC |
139,120 | 879,312 | ||||||
| BT Group PLC |
159,627 | 287,541 | ||||||
| easyJet PLC * |
55,957 | 357,621 | ||||||
| J Sainsbury PLC |
69,440 | 238,956 | ||||||
| Kingfisher PLC |
50,483 | 163,187 | ||||||
| Land Securities Group PLC REIT |
22,899 | 175,785 | ||||||
| Marks & Spencer Group PLC * |
29,546 | 60,953 | ||||||
| Standard Chartered PLC |
75,247 | 570,302 | ||||||
| The British Land Co PLC REIT |
33,334 | 159,892 | ||||||
| WPP PLC |
44,708 | 531,172 | ||||||
|
|
|
|||||||
| 3,569,393 | ||||||||
|
|
|
|||||||
| United States - 2.7% |
|
|||||||
| GSK PLC |
39,622 | 700,094 | ||||||
| Holcim Ltd |
6,921 | 446,345 | ||||||
|
|
|
|||||||
| 1,146,439 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
40,549,244 | |||||||
|
|
|
|||||||
| EXCHANGE-TRADED FUND - 0.6% |
|
|||||||
| iShares Core MSCI EAFE |
3,777 | 252,492 | ||||||
|
|
|
|||||||
| Total Exchange-Traded Fund |
252,492 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 1.6% |
|
|||||||
| Money Market Fund - 1.6% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
679,267 | 679,267 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
679,267 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.1% |
41,815,453 | |||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.9% |
392,522 | |||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
$42,207,975 | |||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-95
Table of Contents
PACIFIC FUNDS
PF INTERNATIONAL VALUE FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by sector as a percentage of net assets was as follows: |
| Financial |
30.7% | |||
| Consumer, Cyclical |
15.1% | |||
| Consumer, Non-Cyclical |
13.4% | |||
| Industrial |
11.8% | |||
| Energy |
10.6% | |||
| Communications |
8.2% | |||
| Basic Materials |
4.3% | |||
| Others (each less than 3.0%) |
5.0% | |||
|
|
|
|||
| 99.1% | ||||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, the Fund’s composition by country of risk as a percentage of net assets was as follows: |
| Japan |
24.1% | |||
| France |
11.8% | |||
| United Kingdom |
8.5% | |||
| Netherlands |
6.3% | |||
| Germany |
6.2% | |||
| Switzerland |
6.0% | |||
| Italy |
5.1% | |||
| South Korea |
4.5% | |||
| United States (Includes Short-Term Investments) |
4.3% | |||
| Brazil |
3.0% | |||
| Others (each less than 3.0%) |
19.3% | |||
|
|
|
|||
| 99.1% | ||||
| Other Assets & Liabilities, Net |
0.9% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (c) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Preferred Stocks |
$334,450 | $— | $334,450 | $— | |||||||||||||
| Common Stocks |
||||||||||||||||||
| Austria |
796,327 | — | 796,327 | — | ||||||||||||||
| Belgium |
481,101 | — | 481,101 | — | ||||||||||||||
| Brazil |
1,254,782 | 1,254,782 | — | — | ||||||||||||||
| Burkina Faso |
187,805 | 187,805 | — | — | ||||||||||||||
| Canada |
798,351 | 798,351 | — | — | ||||||||||||||
| China |
238,423 | — | 238,423 | — | ||||||||||||||
| Finland |
706,510 | — | 706,510 | — | ||||||||||||||
| France |
4,976,103 | — | 4,976,103 | — | ||||||||||||||
| Germany |
2,270,627 | — | 2,270,627 | — | ||||||||||||||
| Hong Kong |
614,806 | — | 614,806 | — | ||||||||||||||
| India |
326,373 | — | 326,373 | — | ||||||||||||||
| Indonesia |
263,557 | — | 263,557 | — | ||||||||||||||
| Ireland |
578,308 | — | 578,308 | — | ||||||||||||||
| Italy |
2,163,508 | — | 2,163,508 | — | ||||||||||||||
| Japan |
10,165,220 | — | 10,165,220 | — | ||||||||||||||
| Luxembourg |
200,897 | — | 200,897 | — | ||||||||||||||
| Malaysia |
196,132 | — | 196,132 | — | ||||||||||||||
| Mexico |
164,089 | — | 164,089 | — | ||||||||||||||
| Netherlands |
2,661,274 | — | 2,661,274 | — | ||||||||||||||
| Norway |
60,357 | — | 60,357 | — | ||||||||||||||
| South Africa |
524,447 | — | 524,447 | — | ||||||||||||||
| South Korea |
1,897,506 | 327,352 | 1,570,154 | — | ||||||||||||||
| Spain |
157,834 | — | 157,834 | — | ||||||||||||||
| Sweden |
812,171 | — | 812,171 | — | ||||||||||||||
| Switzerland |
2,523,744 | — | 2,523,744 | — | ||||||||||||||
| Taiwan |
467,379 | — | 467,379 | — | ||||||||||||||
| Thailand |
345,781 | — | 345,781 | — | ||||||||||||||
| United Kingdom |
3,569,393 | — | 3,569,393 | — | ||||||||||||||
| United States |
1,146,439 | — | 1,146,439 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Common Stocks |
40,549,244 | 2,568,290 | 37,980,954 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Exchange-Traded Fund |
252,492 | 252,492 | — | — | ||||||||||||||
| Short-Term Investment |
679,267 | 679,267 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$41,815,453 | $3,500,049 | $38,315,404 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-96
Table of Contents
PACIFIC FUNDS
PF MULTI-ASSET FUND
Schedule of Investments
March 31, 2023
| Principal Amount |
Value |
|||||||
| CORPORATE BONDS & NOTES - 51.3% |
|
|||||||
| Basic Materials - 0.5% |
|
|||||||
| Glencore Funding LLC (Australia) |
$1,600,000 | $1,583,321 | ||||||
| 4.625% due 04/29/24 ~ |
2,000,000 | 1,978,394 | ||||||
| Nucor Corp |
500,000 | 492,370 | ||||||
|
|
|
|||||||
| 4,054,085 | ||||||||
|
|
|
|||||||
| Communications - 1.8% |
|
|||||||
| AT&T Inc |
5,000,000 | 5,021,201 | ||||||
| Charter Communications Operating LLC |
500,000 | 501,987 | ||||||
| NTT Finance Corp (Japan) |
2,000,000 | 1,918,182 | ||||||
| Sprint Spectrum Co LLC |
3,922,500 | 3,894,200 | ||||||
| Verizon Communications Inc |
2,500,000 | 2,398,290 | ||||||
|
|
|
|||||||
| 13,733,860 | ||||||||
|
|
|
|||||||
| Consumer, Cyclical - 1.6% |
|
|||||||
| Brunswick Corp |
2,500,000 | 2,336,143 | ||||||
| Delta Air Lines Inc |
2,750,000 | 2,705,555 | ||||||
| General Motors Financial Co Inc |
2,000,000 | 1,913,502 | ||||||
| 1.200% due 10/15/24 |
2,350,000 | 2,200,864 | ||||||
| Hyatt Hotels Corp |
2,500,000 | 2,447,822 | ||||||
| Marriott International Inc |
1,000,000 | 981,396 | ||||||
|
|
|
|||||||
| 12,585,282 | ||||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 5.4% |
|
|||||||
| Baxter International Inc |
4,650,000 | 4,378,224 | ||||||
| Bayer US Finance II LLC (Germany) |
3,200,000 | 3,196,684 | ||||||
| Coca-Cola Europacific Partners PLC (United Kingdom) |
5,000,000 | 4,770,937 | ||||||
| Element Fleet Management Corp (Canada) |
4,000,000 | 3,833,891 | ||||||
| General Mills Inc |
4,000,000 | 4,015,536 | ||||||
| Global Payments Inc |
750,000 | 706,848 | ||||||
| Hormel Foods Corp |
2,350,000 | 2,234,421 | ||||||
| Humana Inc |
500,000 | 495,872 | ||||||
| JDE Peet’s NV (Netherlands) |
1,500,000 | 1,398,593 | ||||||
| Keurig Dr Pepper Inc |
3,000,000 | 2,874,132 | ||||||
| McKesson Corp |
1,000,000 | 896,446 | ||||||
| Mondelez International Holdings Netherlands BV 0.750% due 09/24/24 ~ |
2,000,000 | 1,879,381 | ||||||
| 4.250% due 09/15/25 ~ |
1,250,000 | 1,237,976 | ||||||
| Principal Amount |
Value |
|||||||
| Royalty Pharma PLC |
$ | 1,500,000 | $ | 1,462,832 | ||||
| Suntory Holdings Ltd (Japan) |
5,100,000 | 4,857,531 | ||||||
| Thermo Fisher Scientific Inc |
2,200,000 | 2,088,967 | ||||||
| Zimmer Biomet Holdings Inc |
1,750,000 | 1,654,774 | ||||||
|
|
|
|||||||
| 41,983,045 | ||||||||
|
|
|
|||||||
| Energy - 0.3% |
|
|||||||
| Enbridge Inc (Canada) |
1,250,000 | 1,197,699 | ||||||
| EQT Corp |
600,000 | 598,837 | ||||||
| Sabine Pass Liquefaction LLC |
200,000 | 200,529 | ||||||
|
|
|
|||||||
| 1,997,065 | ||||||||
|
|
|
|||||||
| Financial - 28.2% |
|
|||||||
| AerCap Ireland Capital DAC (Ireland) |
3,300,000 | 3,200,366 | ||||||
| American Express Co |
1,500,000 | 1,429,748 | ||||||
| 3.375% due 05/03/24 |
2,400,000 | 2,353,587 | ||||||
| Athene Global Funding |
4,550,000 | 4,356,743 | ||||||
| Avolon Holdings Funding Ltd (Ireland) |
600,000 | 584,168 | ||||||
| Banco Santander SA (Spain) |
1,250,000 | 1,179,876 | ||||||
| Bank of America Corp |
7,500,000 | 7,279,416 | ||||||
| 3.384% due 04/02/26 |
3,000,000 | 2,878,430 | ||||||
| 3.841% due 04/25/25 |
3,500,000 | 3,437,491 | ||||||
| Citigroup Inc |
1,200,000 | 1,166,808 | ||||||
| 0.981% due 05/01/25 |
2,100,000 | 1,996,021 | ||||||
| 1.678% due 05/15/24 |
600,000 | 597,568 | ||||||
| 2.014% due 01/25/26 |
3,600,000 | 3,392,302 | ||||||
| 5.977% (USD LIBOR + 1.100%) |
||||||||
| due 05/17/24 § |
2,800,000 | 2,800,104 | ||||||
| Cooperatieve Rabobank UA (Netherlands) |
2,000,000 | 1,922,762 | ||||||
| Corebridge Financial Inc |
1,650,000 | 1,586,292 | ||||||
| Danske Bank AS (Denmark) |
3,150,000 | 2,927,514 | ||||||
| F&G Global Funding |
2,000,000 | 1,871,456 | ||||||
| GLP Capital LP REIT |
1,000,000 | 952,740 | ||||||
| HSBC Holdings PLC (United Kingdom) |
2,650,000 | 2,595,566 | ||||||
| 0.976% due 05/24/25 |
3,500,000 | 3,295,556 | ||||||
| 1.162% due 11/22/24 |
3,600,000 | 3,494,472 | ||||||
| JPMorgan Chase & Co |
2,500,000 | 2,370,358 | ||||||
| 0.969% due 06/23/25 |
2,350,000 | 2,227,493 | ||||||
| 2.595% due 02/24/26 |
5,500,000 | 5,215,805 | ||||||
| 5.705% (USD LIBOR + 0.890%) |
||||||||
| due 07/23/24 § |
700,000 | 699,694 | ||||||
| MassMutual Global Funding II |
7,000,000 | 6,688,175 | ||||||
| 4.150% due 08/26/25 ~ |
1,650,000 | 1,630,994 | ||||||
| Metropolitan Life Global Funding I |
2,000,000 | 1,927,492 | ||||||
| 4.050% due 08/25/25 ~ |
5,000,000 | 4,918,554 | ||||||
| Mid-America Apartments LP REIT |
642,000 | 640,258 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-97
Table of Contents
PACIFIC FUNDS
PF MULTI-ASSET FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| Mitsubishi UFJ Financial Group Inc (Japan) |
$ | 4,350,000 | $ | 4,252,516 | ||||
| 0.953% due 07/19/25 |
7,000,000 | 6,594,834 | ||||||
| 3.837% due 04/17/26 |
2,000,000 | 1,939,069 | ||||||
| Mizuho Financial Group Inc (Japan) |
3,000,000 | 2,963,122 | ||||||
| Morgan Stanley |
3,000,000 | 2,999,134 | ||||||
| 0.790% due 05/30/25 |
2,900,000 | 2,746,417 | ||||||
| 5.050% due 01/28/27 |
850,000 | 848,297 | ||||||
| 5.107% (SOFR + 0.455%) |
||||||||
| due 01/25/24 § |
4,000,000 | 3,988,794 | ||||||
| 6.063% (USD LIBOR + 1.220%) |
||||||||
| due 05/08/24 § |
700,000 | 700,044 | ||||||
| New York Life Global Funding |
1,650,000 | 1,605,682 | ||||||
| 3.600% due 08/05/25 ~ |
7,000,000 | 6,832,307 | ||||||
| Nomura Holdings Inc (Japan) |
2,000,000 | 1,969,302 | ||||||
| Principal Life Global Funding II |
2,000,000 | 1,882,759 | ||||||
| Protective Life Global Funding |
2,500,000 | 2,369,601 | ||||||
| 3.218% due 03/28/25 ~ |
1,250,000 | 1,203,839 | ||||||
| Royal Bank of Canada (Canada) |
7,500,000 | 7,087,177 | ||||||
| 0.750% due 10/07/24 |
12,000,000 | 11,254,781 | ||||||
| Skandinaviska Enskilda Banken AB (Sweden) |
2,000,000 | 1,958,670 | ||||||
| 5.282% (USD LIBOR + 0.320%) |
||||||||
| due 09/01/23 ~ § |
6,500,000 | 6,477,514 | ||||||
| Standard Chartered PLC (United Kingdom) |
2,900,000 | 2,778,258 | ||||||
| Sumitomo Mitsui Financial Group Inc (Japan) |
8,000,000 | 7,015,931 | ||||||
| 5.592% (USD LIBOR + 0.800%) |
||||||||
| due 10/16/23 § |
7,500,000 | 7,503,332 | ||||||
| The Bank of Nova Scotia (Canada) |
5,000,000 | 4,689,644 | ||||||
| 4.750% due 02/02/26 |
6,000,000 | 5,977,152 | ||||||
| The Goldman Sachs Group Inc |
4,400,000 | 4,301,383 | ||||||
| 1.757% due 01/24/25 |
5,750,000 | 5,567,164 | ||||||
| The PNC Financial Services Group Inc |
1,650,000 | 1,630,815 | ||||||
| The Toronto-Dominion Bank (Canada) |
4,500,000 | 4,497,345 | ||||||
| UBS AG (Switzerland) |
5,000,000 | 4,766,893 | ||||||
| 1.375% due 01/13/25 ~ |
9,000,000 | 8,340,123 | ||||||
| UBS Group AG (Switzerland) |
1,500,000 | 1,470,396 | ||||||
| Ventas Realty LP REIT |
1,650,000 | 1,573,441 | ||||||
| VICI Properties LP REIT |
1,850,000 | 1,792,753 | ||||||
| Wells Fargo & Co |
1,750,000 | 1,738,866 | ||||||
| 3.908% due 04/25/26 |
3,250,000 | 3,156,896 | ||||||
|
|
|
|||||||
| 218,092,060 | ||||||||
|
|
|
|||||||
| Industrial - 3.6% |
|
|||||||
| Amcor Flexibles North America Inc |
3,200,000 | 3,135,610 | ||||||
| Carlisle Cos Inc |
2,400,000 | 2,347,942 | ||||||
| Graphic Packaging International LLC |
1,950,000 | 1,858,677 | ||||||
| Parker-Hannifin Corp |
1,250,000 | 1,231,605 | ||||||
| Principal Amount |
Value |
|||||||
| Penske Truck Leasing Co LP |
$ | 2,000,000 | $ | 1,799,083 | ||||
| 2.700% due 11/01/24 ~ |
1,000,000 | 957,364 | ||||||
| Ryder System Inc |
3,000,000 | 2,888,370 | ||||||
| Siemens Financieringsmaatschappij NV |
2,000,000 | 1,921,100 | ||||||
| TD SYNNEX Corp |
3,800,000 | 3,557,453 | ||||||
| Teledyne Technologies Inc |
7,000,000 | 6,711,547 | ||||||
| The Boeing Co |
1,500,000 | 1,499,501 | ||||||
|
|
|
|||||||
| 27,908,252 | ||||||||
|
|
|
|||||||
| Technology - 3.5% |
|
|||||||
| CGI Inc (Canada) |
2,000,000 | 1,797,813 | ||||||
| DXC Technology Co |
1,000,000 | 877,842 | ||||||
| Fidelity National Information Services Inc |
4,000,000 | 3,826,455 | ||||||
| Hewlett Packard Enterprise Co |
1,000,000 | 961,836 | ||||||
| Infor Inc |
2,700,000 | 2,662,950 | ||||||
| Intel Corp |
2,500,000 | 2,532,934 | ||||||
| Microchip Technology Inc |
4,950,000 | 4,753,332 | ||||||
| Oracle Corp |
1,800,000 | 1,654,427 | ||||||
| 2.500% due 04/01/25 |
5,450,000 | 5,220,145 | ||||||
| VMware Inc |
2,350,000 | 2,321,468 | ||||||
|
|
|
|||||||
| 26,609,202 | ||||||||
|
|
|
|||||||
| Utilities - 6.4% |
|
|||||||
| American Electric Power Co Inc |
500,000 | 454,308 | ||||||
| Black Hills Corp |
2,500,000 | 2,353,853 | ||||||
| Consumers Energy Co |
4,000,000 | 3,968,016 | ||||||
| Dominion Energy Inc |
1,000,000 | 970,558 | ||||||
| DTE Energy Co |
1,000,000 | 919,582 | ||||||
| Duke Energy Corp |
800,000 | 805,998 | ||||||
| Emera US Finance LP (Canada) |
2,550,000 | 2,403,396 | ||||||
| Evergy Inc |
4,176,000 | 4,002,738 | ||||||
| Eversource Energy |
1,650,000 | 1,634,836 | ||||||
| NextEra Energy Capital Holdings Inc |
1,000,000 | 991,188 | ||||||
| 4.450% due 06/20/25 |
1,250,000 | 1,242,321 | ||||||
| Oncor Electric Delivery Co LLC |
1,800,000 | 1,756,523 | ||||||
| Public Service Enterprise Group Inc |
2,800,000 | 2,565,123 | ||||||
| 0.841% due 11/08/23 |
5,200,000 | 5,052,328 | ||||||
| Sempra Energy |
2,100,000 | 2,033,769 | ||||||
| Southern California Edison Co |
4,550,000 | 4,481,706 | ||||||
| 1.100% due 04/01/24 |
1,300,000 | 1,250,270 | ||||||
| Tampa Electric Co |
1,200,000 | 1,181,937 | ||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-98
Table of Contents
PACIFIC FUNDS
PF MULTI-ASSET FUND
Schedule of Investments (Continued)
March 31, 2023
| Principal Amount |
Value |
|||||||
| The AES Corp |
$ | 3,000,000 | $ | 2,848,228 | ||||
| Virginia Electric and Power Co |
1,350,000 | 1,310,869 | ||||||
| Vistra Operations Co LLC |
3,600,000 | 3,551,610 | ||||||
| WEC Energy Group Inc |
2,500,000 | 2,394,704 | ||||||
| 5.000% due 09/27/25 |
550,000 | 550,572 | ||||||
| Xcel Energy Inc |
650,000 | 634,265 | ||||||
|
|
|
|||||||
| 49,358,698 | ||||||||
|
|
|
|||||||
| Total Corporate Bonds & Notes |
396,321,549 | |||||||
|
|
|
|||||||
| SENIOR LOAN NOTES - 0.8% |
|
|||||||
| Communications - 0.2% |
||||||||
| Charter Communications Operating
LLC |
1,974,425 | 1,959,001 | ||||||
|
|
|
|||||||
| Consumer, Cyclical - 0.3% |
||||||||
| Hilton Worldwide Finance LLC Term B-2 |
2,000,000 | 2,000,278 | ||||||
|
|
|
|||||||
| Consumer, Non-Cyclical - 0.3% |
||||||||
| United Rentals North America Inc Term B |
1,974,160 | 1,977,368 | ||||||
|
|
|
|||||||
| Total Senior Loan Notes |
5,936,647 | |||||||
|
|
|
|||||||
| ASSET-BACKED SECURITIES - 8.3% |
||||||||
| Ally Auto Receivables Trust |
6,500,000 | 6,471,789 | ||||||
| Capital One Prime Auto Receivables Trust |
4,399,250 | 4,355,403 | ||||||
| Chase Auto Owner Trust |
1,320,184 | 1,310,107 | ||||||
| Ford Credit Auto Owner Trust |
1,241,738 | 1,233,028 | ||||||
| GM Financial Consumer Automobile |
1,883,340 | 1,863,960 | ||||||
| Honda Auto Receivables Owner Trust |
1,700,000 | 1,687,062 | ||||||
| John Deere Owner Trust |
1,666,416 | 1,652,178 | ||||||
| Magnetite VIII Ltd CLO (Cayman) |
2,825,988 | 2,793,772 | ||||||
| Magnetite XVIII Ltd CLO (Cayman) |
1,140,599 | 1,129,763 | ||||||
| Mercedes-Benz Auto Receivables Trust |
700,000 | 699,141 | ||||||
| OCP CLO Ltd (Cayman) |
4,000,000 | 3,945,873 | ||||||
| Principal Amount |
Value |
|||||||
| Palmer Square Loan Funding Ltd CLO (Cayman) |
$1,390,765 | $1,380,473 | ||||||
| 5.592% (USD LIBOR + 0.800%) |
||||||||
| due 10/15/29 ~ § |
403,813 | 398,790 | ||||||
| 5.608% (USD LIBOR + 0.800%) |
||||||||
| due 07/20/29 ~ § |
6,258,621 | 6,181,957 | ||||||
| 5.682% (SOFR + 1.050%) |
||||||||
| due 04/15/30 ~ § |
8,511,816 | 8,426,485 | ||||||
| 5.958% (USD LIBOR + 1.000%) |
||||||||
| due 11/25/28 ~ § |
540,508 | 538,577 | ||||||
| 6.218% (SOFR + 1.560%) |
||||||||
| due 01/15/31 ~ § |
2,893,551 | 2,887,505 | ||||||
| Santander Drive Auto Receivables Trust |
78,531 | 78,365 | ||||||
| 3.980% due 01/15/25 |
1,894,663 | 1,889,689 | ||||||
| 4.050% due 07/15/25 |
1,910,627 | 1,905,885 | ||||||
| 4.370% due 05/15/25 |
2,337,026 | 2,330,947 | ||||||
| 5.360% due 05/15/26 |
3,150,000 | 3,143,858 | ||||||
| SMB Private Education Loan Trust |
328,064 | 316,253 | ||||||
| 2.700% due 05/15/31 ~ |
478,409 | 465,393 | ||||||
| Stratus CLO Ltd (Cayman) |
856,103 | 847,803 | ||||||
| Stratus Static CLO Ltd (Jersey) |
4,000,000 | 4,004,588 | ||||||
| Toyota Auto Receivables Owner Trust |
2,072,707 | 2,054,375 | ||||||
|
|
|
|||||||
| Total Asset-Backed Securities |
63,993,019 | |||||||
|
|
|
|||||||
| U.S. TREASURY OBLIGATIONS - 32.1% |
|
|||||||
| U.S. Treasury Notes - 32.1% |
|
|||||||
| 0.125% due 08/31/23 |
4,500,000 | 4,416,065 | ||||||
| 0.125% due 10/15/23 |
8,000,000 | 7,805,516 | ||||||
| 0.250% due 09/30/23 |
3,000,000 | 2,935,618 | ||||||
| 0.375% due 08/15/24 |
54,500,000 | 51,632,363 | ||||||
| 1.375% due 08/31/23 |
29,000,000 | 28,603,528 | ||||||
| 1.750% due 07/31/24 |
6,500,000 | 6,279,609 | ||||||
| 2.750% due 02/15/24 |
20,500,000 | 20,157,318 | ||||||
| 2.875% due 06/15/25 ‡ |
15,000,000 | 14,649,609 | ||||||
| 4.250% due 09/30/24 ‡ |
112,000,000 | 111,895,000 | ||||||
|
|
|
|||||||
| Total U.S. Treasury Obligations |
248,374,626 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 1.5% |
|
|||||||
| U.S. Treasury Bills - 1.5% |
|
|||||||
| 4.804% due 08/31/23 |
12,000,000 | 11,766,292 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
11,766,292 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 94.0% |
726,392,133 | |||||||
|
|
|
|||||||
| DERIVATIVES - 3.9% |
|
30,026,338 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 2.1% |
|
16,537,590 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$772,956,061 | ||||||
|
|
|
|||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-99
Table of Contents
PACIFIC FUNDS
PF MULTI-ASSET FUND
Schedule of Investments (Continued)
March 31, 2023
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition as a percentage of net assets was as follows: |
| Corporate Bonds & Notes |
51.3% | |||
| U.S. Treasury Obligations |
32.1% | |||
| Asset-Backed Securities |
8.3% | |||
| Others (each less than 3.0%) |
2.3% | |||
|
|
|
|||
| 94.0% | ||||
| Derivatives |
3.9% | |||
| Other Assets & Liabilities, Net |
2.1% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | As of March 31, 2023, investments with a total aggregate value of $9,056,944 were fully or partially segregated with the broker(s)/ custodian as collateral for open swap agreements. |
| (c) | Open futures contracts outstanding as of March 31, 2023 were as follows: |
| Long Futures Outstanding | Expiration Month |
Number of Contracts |
Notional Amount |
Value | Unrealized Appreciation (Depreciation) |
|||||||||||||||
| MSCI EAFE Index |
06/23 | 421 | $42,480,746 | $44,131,325 | $1,650,579 | |||||||||||||||
| S&P 500 E-Mini Index |
06/23 | 354 | 70,815,317 | 73,238,175 | 2,422,858 | |||||||||||||||
| S&P MID 400 E-Mini Index |
06/23 | 79 | 19,120,747 | 19,984,630 | 863,883 | |||||||||||||||
|
|
|
|||||||||||||||||||
| Total Futures Contracts |
$4,937,320 | |||||||||||||||||||
|
|
|
|||||||||||||||||||
| (d) | Swap agreements outstanding as of March 31, 2023 were as follows: |
Total Return Swap - Long
| Receive | Pay | Payment Frequency |
Counter- party |
Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| Russell 1000 Value Index |
1-Day U.S. Fed Funds + 0.320% | Z | BOA | 06/23/23 | $35,777,733 | $1,611,547 | $— | $1,611,547 | ||||||||||||||||||||||||
| MSCI EAFE Index |
1-Day U.S. Fed Funds - 0.040% | Z | BRC | 06/23/23 | 8,800,107 | 1,117,259 | — | 1,117,259 | ||||||||||||||||||||||||
| Russell 1000 Growth Index |
1-Day U.S. Fed Funds + 0.300% | Z | BRC | 06/23/23 | 61,123,408 | 7,664,995 | — | 7,664,995 | ||||||||||||||||||||||||
| Russell Mid-Cap Growth Index |
1-Day U.S. Fed Funds + 0.160% | Z | SGN | 06/23/23 | 29,309,215 | 4,612,729 | — | 4,612,729 | ||||||||||||||||||||||||
| Russell Mid-Cap Value Index |
1-Day U.S. Fed Funds + 0.190% | Z | SGN | 06/23/23 | 15,179,515 | 347,683 | — | 347,683 | ||||||||||||||||||||||||
| MSCI EAFE Index |
1-Day U.S. Fed Funds - 0.050% | Z | BOA | 09/21/23 | 19,343,140 | 2,542,532 | — | 2,542,532 | ||||||||||||||||||||||||
| Russell 1000 Growth Index |
1-Day U.S. Fed Funds + 0.320% | Z | BOA | 09/21/23 | 65,967,985 | 2,709,204 | — | 2,709,204 | ||||||||||||||||||||||||
| Russell Mid-Cap Value Index |
1-Day U.S. Fed Funds + 0.225% | Z | SGN | 09/21/23 | 80,834,095 | (1,558,117 | ) | — | (1,558,117 | ) | ||||||||||||||||||||||
| Russell 1000 Value Index |
1-Day U.S. Fed Funds + 0.330% | Z | BOA | 09/21/23 | 88,664,860 | 886,357 | — | 886,357 | ||||||||||||||||||||||||
| Russell 1000 Value Index |
1-Day U.S. Fed Funds + 0.400% | Z | CIT | 01/25/24 | 103,189,004 | (1,839,710 | ) | — | (1,839,710 | ) | ||||||||||||||||||||||
| Russell 1000 Growth Index |
1-Day U.S. Fed Funds + 0.390% | Z | CIT | 01/25/24 | 32,143,016 | 2,224,198 | — | 2,224,198 | ||||||||||||||||||||||||
| Russell Mid-Cap Growth Index |
1-Day U.S. Fed Funds + 0.150% | Z | GSC | 01/25/24 | 39,564,994 | 1,308,433 | — | 1,308,433 | ||||||||||||||||||||||||
| MSCI EAFE Index |
1-Day U.S. Fed Funds + 0.040% | Z | BRC | 01/25/24 | 38,791,385 | 3,191,708 | — | 3,191,708 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $24,818,818 | $— | $24,818,818 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Return Swaps - Short |
|
|||||||||||||||||||||||||||||||
| Pay | Receive | Payment Frequency |
Counter- party |
Expiration Date |
Notional Amount |
Value | Upfront Premiums Paid (Received) |
Unrealized Appreciation (Depreciation) |
||||||||||||||||||||||||
| Russell Mid-Cap Growth Index |
1-Day U.S. Fed Funds + 0.200% | Z | GSC | 09/21/23 | $4,412,280 | ($164,169 | ) | $— | ($164,169 | ) | ||||||||||||||||||||||
| Russell Mid-Cap Value Index |
1-Day U.S. Fed Funds + 0.240% | Z | JPM | 01/25/24 | 17,054,518 | 434,369 | — | 434,369 | ||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| $270,200 | $— | $270,200 | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
| Total Swap Agreements |
$25,089,018 | $— | $25,089,018 | |||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||||||||||||
Balances reported in the Statement of Assets and Liabilities for Over the Counter (OTC) Swaps
| Upfront Premium Paid (Received) |
Unrealized Appreciation (Depreciation) |
|||||||
| OTC Swap Agreements |
||||||||
| Assets |
$— | $28,651,014 | ||||||
| Liabilities |
— | (3,561,996 | ) | |||||
|
|
|
|
|
|||||
| $— | $25,089,018 | |||||||
|
|
|
|
|
|||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-100
Table of Contents
PACIFIC FUNDS
PF MULTI-ASSET FUND
Schedule of Investments (Continued)
March 31, 2023
| (e) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Corporate Bonds & Notes |
$396,321,549 | $— | $396,321,549 | $— | |||||||||||||
| Senior Loan Notes |
5,936,647 | — | 5,936,647 | — | ||||||||||||||
| Asset-Backed Securities |
63,993,019 | — | 63,993,019 | — | ||||||||||||||
| U.S. Treasury Obligations |
248,374,626 | — | 248,374,626 | — | ||||||||||||||
| Short-Term Investment |
11,766,292 | — | 11,766,292 | — | ||||||||||||||
| Derivatives: |
||||||||||||||||||
| Equity Contracts |
||||||||||||||||||
| Futures |
4,937,320 | 4,937,320 | — | — | ||||||||||||||
| Swaps |
28,651,014 | — | 28,651,014 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Equity Contracts |
33,588,334 | 4,937,320 | 28,651,014 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets - Derivatives |
33,588,334 | 4,937,320 | 28,651,014 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Assets |
759,980,467 | 4,937,320 | 755,043,147 | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Liabilities |
Due to Custodian |
(2,392,892 | ) | — | (2,392,892 | ) | — | |||||||||||
| Derivatives: |
||||||||||||||||||
| Equity Contracts |
||||||||||||||||||
| Swaps |
(3,561,996 | ) | — | (3,561,996 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities - Derivatives |
(3,561,996 | ) | — | (3,561,996 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total Liabilities |
(5,954,888 | ) | — | (5,954,888 | ) | — | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$754,025,579 | $4,937,320 | $749,088,259 | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-101
Table of Contents
PACIFIC FUNDS
PF REAL ESTATE FUND
Schedule of Investments
March 31, 2023
| Shares |
Value |
|||||||
| COMMON STOCKS - 98.9% |
|
|||||||
| Consumer, Cyclical - 1.1% |
||||||||
| Marriott Vacations Worldwide Corp |
2,717 | $366,415 | ||||||
|
|
|
|||||||
| Financial - 97.8% |
||||||||
| Agree Realty Corp REIT |
6,250 | 428,813 | ||||||
| Alexandria Real Estate Equities Inc REIT |
9,234 | 1,159,698 | ||||||
| American Homes 4 Rent ‘A’ REIT |
36,735 | 1,155,316 | ||||||
| American Tower Corp REIT |
6,798 | 1,389,103 | ||||||
| Apartment Income REIT Corp |
17,266 | 618,296 | ||||||
| Apple Hospitality REIT Inc |
19,493 | 302,531 | ||||||
| AvalonBay Communities Inc REIT |
9,948 | 1,671,861 | ||||||
| Boston Properties Inc REIT |
4,045 | 218,915 | ||||||
| Broadstone Net Lease Inc REIT |
28,861 | 490,926 | ||||||
| Cousins Properties Inc REIT |
18,524 | 396,043 | ||||||
| CubeSmart REIT |
20,232 | 935,123 | ||||||
| DiamondRock Hospitality Co REIT |
29,009 | 235,843 | ||||||
| Digital Realty Trust Inc REIT |
12,081 | 1,187,683 | ||||||
| Equinix Inc REIT |
1,742 | 1,256,052 | ||||||
| Equity LifeStyle Properties Inc REIT |
15,691 | 1,053,337 | ||||||
| Equity Residential REIT |
4,977 | 298,620 | ||||||
| Essex Property Trust Inc REIT |
5,973 | 1,249,193 | ||||||
| Extra Space Storage Inc REIT |
10,140 | 1,652,110 | ||||||
| First Industrial Realty Trust Inc REIT |
17,389 | 925,095 | ||||||
| Gaming and Leisure Properties Inc REIT |
16,157 | 841,133 | ||||||
| Healthcare Realty Trust Inc REIT |
19,303 | 373,127 | ||||||
| InvenTrust Properties Corp REIT |
7,598 | 177,793 | ||||||
| Invitation Homes Inc REIT |
39,933 | 1,247,108 | ||||||
| Kilroy Realty Corp REIT |
11,308 | 366,379 | ||||||
| Medical Properties Trust Inc REIT |
11,435 | 93,996 | ||||||
| National Health Investors Inc REIT |
3,715 | 191,620 | ||||||
| NETSTREIT Corp REIT |
12,036 | 220,018 | ||||||
| Prologis Inc REIT |
21,103 | 2,633,021 | ||||||
| Public Storage REIT |
2,531 | 764,716 | ||||||
| Regency Centers Corp REIT |
17,943 | 1,097,753 | ||||||
| Rexford Industrial Realty Inc REIT |
22,137 | 1,320,472 | ||||||
| Sabra Health Care REIT Inc |
34,314 | 394,611 | ||||||
| Simon Property Group Inc REIT |
4,287 | 480,015 | ||||||
| Sun Communities Inc REIT |
9,939 | 1,400,206 | ||||||
| Terreno Realty Corp REIT |
9,437 | 609,630 | ||||||
| Shares |
Value |
|||||||
| Ventas Inc REIT |
36,217 | $1,570,007 | ||||||
| VICI Properties Inc REIT |
51,966 | 1,695,131 | ||||||
| Welltower Inc REIT |
21,737 | 1,558,326 | ||||||
|
|
|
|||||||
| 33,659,620 | ||||||||
|
|
|
|||||||
| Total Common Stocks |
34,026,035 | |||||||
|
|
|
|||||||
| SHORT-TERM INVESTMENT - 0.8% |
|
|||||||
| Money Market Fund - 0.8% |
|
|||||||
| BlackRock Liquidity Funds T-Fund Portfolio ‘Institutional’ 4.700% |
280,873 | 280,873 | ||||||
|
|
|
|||||||
| Total Short-Term Investment |
280,873 | |||||||
|
|
|
|||||||
| TOTAL INVESTMENTS - 99.7% |
|
34,306,908 | ||||||
|
|
|
|||||||
| OTHER ASSETS & LIABILITIES, NET - 0.3% |
|
100,963 | ||||||
|
|
|
|||||||
| NET ASSETS - 100.0% |
|
$34,407,871 | ||||||
|
|
|
|||||||
Notes to Schedule of Investments
| (a) | As of March 31, 2023, the Fund’s composition by property sector as a percentage of net assets was as follows: |
| REITS-Diversified |
20.5% | |||
| REITS-Apartments |
18.1% | |||
| REITS-Warehouse/Industrial |
16.0% | |||
| REITS-Health Care |
12.2% | |||
| REITS-Storage |
9.7% | |||
| REITS-Manufactured Homes |
7.1% | |||
| REITS-Office Property |
6.2% | |||
| REITS-Shopping Centers |
3.8% | |||
| Others (each less than 3.0%) |
5.3% | |||
|
|
|
|||
| 98.9% | ||||
| Short-Term Investment |
0.8% | |||
| Other Assets & Liabilities, Net |
0.3% | |||
|
|
|
|||
| 100.0% | ||||
|
|
|
| (b) | Fair Value Measurements |
The following is a summary of the Fund’s investments as categorized under the three-tier hierarchy of inputs used in valuing the Fund’s assets and liabilities as of March 31, 2023:
| Total Value at March 31, 2023 |
Level 1 Quoted Price |
Level 2 Significant Observable Inputs |
Level 3 Significant Unobservable Inputs |
|||||||||||||||
| Assets |
Common Stocks |
$34,026,035 | $34,026,035 | $— | $— | |||||||||||||
| Short-Term Investment |
280,873 | 280,873 | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| Total |
$34,306,908 | $34,306,908 | $— | $— | ||||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||||
| See Notes to Financial Statements | See explanation of symbols and terms, if any, on B-103 |
B-102
Table of Contents
PACIFIC FUNDS
Schedule of Investments (Continued)
Explanation of Symbols and Terms
March 31, 2023
|
Explanation of Symbols: | ||
| # | Securities purchased on a when-issued basis. Rates do not take effect until settlement date. | |
| * | Non-income producing investments. | |
| ^ | Investments with their principal amount adjusted for inflation. | |
| ~ | Securities are not registered under the Securities Act of 1933 (1933 Act) and these securities are either (1) exempt from registration pursuant to Rule 144A of the 1933 Act and may only be sold to “qualified institutional buyers”, or (2) the securities comply with Regulation S rules governing offers and sales made outside the United States without registration under the 1933 Act and contain certain restrictions as to public resale. | |
| ± | Investments categorized as a significant unobservable input (Level 3). | |
| § | Variable rate investments. The rate shown is based on the latest available information as of March 31, 2023. Interest rates for certain securities are subject to interest rate caps and floors, which would result in a period end rate being more, less or equal to the referenced rate plus spread. Certain variable rate securities are not based on a published reference rate and spread but are determined by the issuer or agent and are based on current market conditions. These securities do not indicate a reference rate and spread in their description. | |
| ‡ | Investments were fully or partially segregated with the broker(s)/ custodian as collateral for futures contracts, forward foreign currency contracts, option contracts and/or swap agreements as of March 31, 2023. | |
| ∞ | All or a portion of this senior loan position has not settled. Rates do not take effect until settlement date. Rates shown, if any, are for the settled portion. | |
| f | All or a portion of this senior loan position is unfunded as of March 31, 2023. The interest rate for fully unfunded terms loans is to be determined. | |
| y | Issuer filed bankruptcy and/or is in default as of March 31, 2023. If the maturity date has expired, no date will be shown. | |
| W | The values of these investments were determined by a valuation committee established under the Valuation Policy. The Board of Trustees (“Board”) has designated Pacific Life Fund Advisors LLC (“PLFA”) as its “valuation designee” for fair valuation determinations, and PLFA’s Valuation Oversight Committee values the Funds’ investments in accordance with the Valuation Policy. Each determination was made in good faith in accordance with the procedures established by the Board and the provisions of the Investment Company Act of 1940. | |
| ◇ | Restricted Securities. These securities are not registered and may not be sold to the public. There are legal and/or contractual restrictions on resale. The Trust does not have the right to demand that such securities be registered. The values of these securities are determined by valuations provided by pricing services, brokers, dealers, market makers, or in good faith under the procedures established by the Board. | |
|
Counterparty & Exchange Abbreviations: | ||
| BNP | BNP Paribas | |
| BOA | Bank of America | |
| BRC | Barclays | |
| CIT | Citigroup | |
| CME | Chicago Mercantile Exchange | |
| DUB | Deutsche Bank | |
| EUX | Eurex Exchange | |
| GSC | Goldman Sachs | |
| HSB | HSBC | |
| ICE | Intercontinental Exchange Inc | |
| JPM | JPMorgan Chase | |
| LCH | London Clearing House | |
| MSC | Morgan Stanley | |
| RBS | Royal Bank of Scotland | |
| SCB | Standard Chartered Bank | |
| SGN | Societe Generale | |
| UBS |
UBS | |
|
Currency Abbreviations: | ||
| AUD | Australian Dollar | |
| BRL | Brazilian Real | |
| CAD | Canadian Dollar | |
| CHF | Swiss Franc | |
| CLP | Chilean Peso | |
| CNH | Renminbi Offshore (Hong Kong) | |
| COP | Colombian Peso | |
| CZK | Czech Koruna | |
| DKK | Danish Krone | |
| EUR | Euro | |
| GBP | British Pound | |
| HUF | Hungarian Forint | |
| IDR | Indonesian Rupiah | |
| ILS | Israeli Shekel | |
| INR | Indian Rupee | |
| JPY | Japanese Yen | |
| KRW | Korean Won | |
| MXN | Mexican Peso | |
| NOK | Norwegian Krone | |
| NZD | New Zealand Dollar | |
| PEN | Peruvian Nuevo Sol | |
| PLN | Polish Zloty | |
| RON | Romanian leu | |
| RUB | Russian Ruble | |
| THB | Thai Baht | |
| USD | United States Dollar | |
| ZAR | South African Rand | |
|
Payment Frequency Abbreviations: | ||
| A | Annual | |
| L | Lunar | |
| Q | Quarterly | |
| S | Semiannual | |
| Z | At Maturity | |
|
Reference Rate Abbreviations: | ||
| COFI | Cost of Funds Index | |
| LIBOR | London Interbank Offered Rate | |
| SOFR | Secured Overnight Financing Rate | |
| SONIA | Sterling Overnight Interbank Average Rate | |
| US FED | United States Federal Reserve Bank Rate | |
| US PRIME | United States Prime Rate | |
| UST | United States Treasury Rate | |
|
Other Abbreviations: | ||
| ADR | American Depositary Receipt | |
| GDR | Global Depositary Receipt | |
| IO | Interest Only | |
| NVDR |
Non-Voting Depositary Receipt | |
| PIK | Payment In Kind | |
| REIT | Real Estate Investment Trust | |
Notes:
For debt investments, the interest rates disclosed in the Schedules of Investments reflect the stated coupon rate or for discounted investments or zero coupon bonds, the yield-to-maturity.
The sectors and countries (based on country of risk) listed in the Schedules of Investments are obtained from a third party source that is not affiliated with the Trust or the investment adviser, and are believed to be reliable. Sector names, country names and weightings could be different if obtained from another source.
The credit spreads, if any, shown in the Schedules of Investments were obtained from published reports or other sources believed to be reliable, and are not audited by the Independent Registered Public Accounting Firm.
| See Notes to Financial Statements |
B-103
Table of Contents
PACIFIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES
MARCH 31, 2023
| Pacific Funds Portfolio Optimization | ||||||||||||||||||||||||||
| Conservative | Moderate- Conservative |
Moderate | Growth | Aggressive- Growth |
||||||||||||||||||||||
| ASSETS |
||||||||||||||||||||||||||
| Investments in affiliated mutual funds, at value |
$170,417,054 | $231,209,795 | $770,146,993 | $667,558,731 | $266,621,095 | |||||||||||||||||||||
| Receivables: |
||||||||||||||||||||||||||
| Fund shares sold |
66,217 | 68,886 | 302,861 | 165,115 | 103,002 | |||||||||||||||||||||
| Securities sold |
280,673 | 116,281 | 809,017 | 610,651 | — | |||||||||||||||||||||
| Due from adviser |
15,027 | 16,407 | 34,915 | 27,501 | 18,304 | |||||||||||||||||||||
| Distributions from affiliated mutual fund investments |
87,066 | 106,997 | 245,837 | 118,031 | 20,979 | |||||||||||||||||||||
| Prepaid expenses and other assets |
1,135 | 2,412 | 3,829 | 1,777 | 2,221 | |||||||||||||||||||||
| Total Assets |
170,867,172 | 231,520,778 | 771,543,452 | 668,481,806 | 266,765,601 | |||||||||||||||||||||
| LIABILITIES |
||||||||||||||||||||||||||
| Payables: |
||||||||||||||||||||||||||
| Fund shares redeemed |
287,227 | 130,016 | 991,223 | 826,576 | 62,033 | |||||||||||||||||||||
| Securities purchased |
150,744 | 170,395 | 416,469 | 236,904 | 89,882 | |||||||||||||||||||||
| Accrued advisory fees |
28,803 | 38,989 | 129,019 | 111,460 | 44,340 | |||||||||||||||||||||
| Accrued administration fees |
21,602 | 29,242 | 96,764 | 83,595 | 33,255 | |||||||||||||||||||||
| Accrued custodian and portfolio accounting fees |
15,782 | 15,908 | 16,981 | 16,746 | 15,947 | |||||||||||||||||||||
| Accrued legal, audit and tax service fees |
15,184 | 20,694 | 67,440 | 57,261 | 22,537 | |||||||||||||||||||||
| Accrued trustees’ fees and deferred compensation |
6,710 | 8,426 | 23,613 | 16,783 | 5,287 | |||||||||||||||||||||
| Accrued distribution and service fees |
50,046 | 59,860 | 200,993 | 176,657 | 70,320 | |||||||||||||||||||||
| Accrued other |
5,249 | 7,143 | 23,995 | 20,427 | 7,812 | |||||||||||||||||||||
| Total Liabilities |
581,347 | 480,673 | 1,966,497 | 1,546,409 | 351,413 | |||||||||||||||||||||
| NET ASSETS |
$170,285,825 | $231,040,105 | $769,576,955 | $666,935,397 | $266,414,188 | |||||||||||||||||||||
| NET ASSETS CONSIST OF: |
||||||||||||||||||||||||||
| Paid-in capital |
$183,516,480 | $251,789,284 | $810,657,172 | $699,089,980 | $285,685,941 | |||||||||||||||||||||
| Undistributed/accumulated earnings (deficit) |
(13,230,655 | ) | (20,749,179 | ) | (41,080,217 | ) | (32,154,583 | ) | (19,271,753 | ) | ||||||||||||||||
| NET ASSETS |
$170,285,825 | $231,040,105 | $769,576,955 | $666,935,397 | $266,414,188 | |||||||||||||||||||||
| Class A Shares: |
||||||||||||||||||||||||||
| Net Assets |
$139,384,488 | $207,516,013 | $677,263,301 | $586,164,408 | $230,187,956 | |||||||||||||||||||||
| Shares of beneficial interest outstanding |
14,823,676 | 21,921,411 | 68,102,901 | 56,595,603 | 21,018,738 | |||||||||||||||||||||
| Net Asset Value per share* |
$9.40 | $9.47 | $9.94 | $10.36 | $10.95 | |||||||||||||||||||||
| Sales Charge |
0.55 | 0.55 | 0.58 | 0.60 | 0.64 | |||||||||||||||||||||
| Maximum offering price per share |
$9.95 | $10.02 | $10.52 | $10.96 | $11.59 | |||||||||||||||||||||
| Class C Shares: |
||||||||||||||||||||||||||
| Net Assets |
$24,030,698 | $19,045,216 | $70,432,909 | $64,896,179 | $26,893,227 | |||||||||||||||||||||
| Shares of beneficial interest outstanding |
2,656,234 | 2,096,426 | 7,377,743 | 6,598,100 | 2,642,788 | |||||||||||||||||||||
| Net Asset Value per share* |
$9.05 | $9.08 | $9.55 | $9.84 | $10.18 | |||||||||||||||||||||
| Class I-2 Shares (formerly Advisor Class Shares): |
||||||||||||||||||||||||||
| Net Assets |
$6,870,639 | $4,478,876 | $21,880,745 | $15,874,810 | $9,333,005 | |||||||||||||||||||||
| Shares of beneficial interest outstanding |
724,628 | 468,007 | 2,176,378 | 1,513,316 | 841,471 | |||||||||||||||||||||
| Net Asset Value per share |
$9.48 | $9.57 | $10.05 | $10.49 | $11.09 | |||||||||||||||||||||
| Investments in affiliated mutual funds, at cost |
$177,233,982 | $241,759,243 | $788,154,593 | $696,165,874 | $282,357,936 | |||||||||||||||||||||
| * | Redemption price per share is equal to the Net Asset Value per share less any applicable contingent deferred sales charge. |
See Notes to Financial Statements
C-1
Table of Contents
PACIFIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
MARCH 31, 2023
| Pacific Funds Ultra Short Income |
Pacific Funds Short Duration Income |
Pacific Funds Core Income |
Pacific Funds ESG Core Bond |
Pacific Funds Strategic Income |
Pacific Funds Floating Rate Income |
|||||||||||||||||||||||||
| ASSETS |
||||||||||||||||||||||||||||||
| Investments, at value (excluding derivatives) |
$63,618,768 | $1,005,692,793 | $943,945,943 | $26,076,544 | $1,464,897,027 | $3,606,114,187 | ||||||||||||||||||||||||
| Cash |
3,100 | 57,868 | 78,387 | — | 253,023 | 6,366,069 | ||||||||||||||||||||||||
| Foreign currency held, at value |
— | — | — | — | 4,929 | — | ||||||||||||||||||||||||
| Receivables: |
||||||||||||||||||||||||||||||
| Dividend and interest |
371,239 | 6,117,225 | 6,696,102 | 183,048 | 14,921,455 | 19,625,393 | ||||||||||||||||||||||||
| Fund shares sold |
10,007 | 7,166,833 | 4,015,097 | 246 | 3,580,598 | 40,609,050 | ||||||||||||||||||||||||
| Securities sold |
— | 6,934,084 | 5,104,305 | 89,480 | 1,675,456 | 274,026,051 | ||||||||||||||||||||||||
| Due from adviser |
38,122 | 164,663 | 112,673 | 7,388 | 179,768 | 563,419 | ||||||||||||||||||||||||
| Prepaid expenses and other assets |
664 | 4,500 | 11,869 | 1,130 | 4,527 | 124,373 | ||||||||||||||||||||||||
| Total Assets |
64,041,900 | 1,026,137,966 | 959,964,376 | 26,357,836 | 1,485,516,783 | 3,947,428,542 | ||||||||||||||||||||||||
| LIABILITIES |
||||||||||||||||||||||||||||||
| Payables: |
||||||||||||||||||||||||||||||
| Fund shares redeemed |
250,052 | 4,693,205 | 2,425,304 | — | 5,869,706 | 23,862,045 | ||||||||||||||||||||||||
| Securities purchased |
299,589 | 25,943,472 | 45,763,392 | — | 1,246,250 | 185,557,720 | ||||||||||||||||||||||||
| Income distributions |
— | 72,017 | 429,077 | — | 689,420 | 2,913,699 | ||||||||||||||||||||||||
| Accrued advisory fees |
13,244 | 339,975 | 352,948 | 8,236 | 740,678 | 1,985,419 | ||||||||||||||||||||||||
| Accrued administration fees |
7,946 | 127,538 | 105,884 | 3,251 | 187,681 | 484,702 | ||||||||||||||||||||||||
| Accrued custodian and portfolio accounting fees |
65,750 | 110,745 | 90,154 | 26,651 | 150,048 | 402,934 | ||||||||||||||||||||||||
| Accrued legal, audit and tax service fees |
4,003 | 86,757 | 64,747 | 2,148 | 115,116 | 353,191 | ||||||||||||||||||||||||
| Accrued trustees’ fees and deferred compensation |
20 | 267 | 101 | 6 | 358 | 1,586 | ||||||||||||||||||||||||
| Accrued distribution and service fees |
— | 51,880 | 40,796 | — | 75,569 | 150,697 | ||||||||||||||||||||||||
| Accrued other |
1,291 | 27,643 | 20,465 | 675 | 36,985 | 113,432 | ||||||||||||||||||||||||
| Total Liabilities |
641,895 | 31,453,499 | 49,292,868 | 40,967 | 9,111,811 | 215,825,425 | ||||||||||||||||||||||||
| NET ASSETS |
$63,400,005 | $994,684,467 | $910,671,508 | $26,316,869 | $1,476,404,972 | $3,731,603,117 | ||||||||||||||||||||||||
| NET ASSETS CONSIST OF: |
||||||||||||||||||||||||||||||
| Paid-in capital |
$63,820,802 | $1,035,452,677 | $1,025,107,330 | $30,340,798 | $1,642,565,347 | $4,053,599,249 | ||||||||||||||||||||||||
| Undistributed/accumulated earnings (deficit) |
(420,797 | ) | (40,768,210 | ) | (114,435,822 | ) | (4,023,929 | ) | (166,160,375 | ) | (321,996,132 | ) | ||||||||||||||||||
| NET ASSETS |
$63,400,005 | $994,684,467 | $910,671,508 | $26,316,869 | $1,476,404,972 | $3,731,603,117 | ||||||||||||||||||||||||
| Class A Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$117,608,900 | $99,406,193 | $101,291,562 | $265,188,446 | ||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
11,766,175 | 10,270,231 | 9,925,928 | 28,576,394 | ||||||||||||||||||||||||||
| Net Asset Value per share* |
$10.00 | $9.68 | $10.20 | $9.28 | ||||||||||||||||||||||||||
| Sales Charge |
0.31 | 0.43 | 0.45 | 0.29 | ||||||||||||||||||||||||||
| Maximum offering price per share |
$10.31 | $10.11 | $10.65 | $9.57 | ||||||||||||||||||||||||||
| Class C Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$30,904,458 | $23,037,756 | $63,154,146 | $109,877,275 | ||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
3,097,809 | 2,378,815 | 6,205,483 | 11,857,088 | ||||||||||||||||||||||||||
| Net Asset Value per share* |
$9.98 | $9.68 | $10.18 | $9.27 | ||||||||||||||||||||||||||
| Class I Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$13,230,988 | $195,023,302 | $116,337,561 | $15,172,419 | $126,525,075 | $1,486,461,070 | ||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
1,342,100 | 19,538,795 | 12,008,315 | 1,766,659 | 12,480,496 | 159,955,777 | ||||||||||||||||||||||||
| Net Asset Value per share |
$9.86 | $9.98 | $9.69 | $8.59 | $10.14 | $9.29 | ||||||||||||||||||||||||
| Class P Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$71,459,382 | $29,743,775 | ||||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
7,348,239 | 3,200,790 | ||||||||||||||||||||||||||||
| Net Asset Value per share |
$9.72 | $9.29 | ||||||||||||||||||||||||||||
| Class I-2 Shares (formerly Advisor Class Shares): |
||||||||||||||||||||||||||||||
| Net Assets |
$50,169,017 | $651,147,807 | $600,430,616 | $11,144,450 | $1,185,434,189 | $1,840,332,551 | ||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
5,089,352 | 65,121,060 | 61,880,690 | 1,297,732 | 116,144,444 | 197,620,501 | ||||||||||||||||||||||||
| Net Asset Value per share |
$9.86 | $10.00 | $9.70 | $8.59 | $10.21 | $9.31 | ||||||||||||||||||||||||
| Investments, at cost (excluding derivatives) |
$63,910,750 | $1,033,541,759 | $1,023,582,857 | $28,889,619 | $1,577,376,017 | $3,738,659,628 | ||||||||||||||||||||||||
| Foreign currency held, at cost |
— | — | — | — | 6,640 | — | ||||||||||||||||||||||||
| * | Redemption price per share is equal to the Net Asset Value per share less any applicable contingent deferred sales charge. |
See Notes to Financial Statements
C-2
Table of Contents
PACIFIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
MARCH 31, 2023
| Pacific Funds High Income |
Pacific Funds Small/Mid-Cap |
Pacific Funds Small-Cap |
Pacific Funds Small-Cap Value |
PF Inflation Managed Fund |
PF Managed Bond Fund |
|||||||||||||||||||||||||
| ASSETS |
||||||||||||||||||||||||||||||
| Investments, at value (excluding derivatives) |
$77,787,384 | $91,323,519 | $10,986,305 | $17,410,425 | $35,704,603 | $405,761,959 | ||||||||||||||||||||||||
| Cash |
4,519 | — | — | — | 15,926 | 5,349 | ||||||||||||||||||||||||
| Cash (segregated for derivative instruments) |
— | — | — | — | 317,000 | 3,294,778 | ||||||||||||||||||||||||
| Foreign currency held, at value |
616 | — | — | — | 64,138 | 2,098,319 | ||||||||||||||||||||||||
| Receivables: |
||||||||||||||||||||||||||||||
| Dividend and interest |
1,121,489 | 65,479 | 9,816 | 19,977 | 44,554 | 1,729,840 | ||||||||||||||||||||||||
| Fund shares sold |
560 | 62,331 | 36 | 6 | — | 1,555 | ||||||||||||||||||||||||
| Securities sold |
1,135,298 | — | 64,339 | — | 1,283,637 | 25,085,698 | ||||||||||||||||||||||||
| Variation margin on futures contracts |
— | — | — | — | 28,653 | 730,943 | ||||||||||||||||||||||||
| Variation margin on swap agreements |
— | — | — | — | 16,630 | 1,427,833 | ||||||||||||||||||||||||
| Swap agreements |
— | — | — | — | 2,176 | — | ||||||||||||||||||||||||
| Due from adviser |
19,198 | 8,914 | 8,353 | 9,098 | 9,520 | 69,045 | ||||||||||||||||||||||||
| Forward foreign currency contracts appreciation |
— | — | — | — | 1,071 | 174,153 | ||||||||||||||||||||||||
| Outstanding purchased options, at value |
— | — | — | — | 56,728 | 87,715 | ||||||||||||||||||||||||
| Swap agreements appreciation |
— | — | — | — | 36,359 | 8,172 | ||||||||||||||||||||||||
| Prepaid expenses and other assets |
2,850 | 216 | 3,237 | 3,216 | — | — | ||||||||||||||||||||||||
| Total Assets |
80,071,914 | 91,460,459 | 11,072,086 | 17,442,722 | 37,580,995 | 440,475,359 | ||||||||||||||||||||||||
| LIABILITIES |
||||||||||||||||||||||||||||||
| Payables: |
||||||||||||||||||||||||||||||
| Fund shares redeemed |
132,895 | 241,458 | 10,192 | 32,210 | 41,849 | 448,688 | ||||||||||||||||||||||||
| Securities purchased |
1,669,137 | — | — | — | 1,522,395 | 72,354,268 | ||||||||||||||||||||||||
| Securities sold short, at value |
— | — | — | — | 1,271,367 | 496,085 | ||||||||||||||||||||||||
| Sale-buyback financing transactions |
— | — | — | — | 1,148,696 | — | ||||||||||||||||||||||||
| Swap agreements |
— | — | — | — | — | 31,315 | ||||||||||||||||||||||||
| Due to brokers |
— | — | — | — | — | 558,000 | ||||||||||||||||||||||||
| Income distributions |
810 | — | — | — | — | — | ||||||||||||||||||||||||
| Accrued advisory fees |
39,046 | 60,392 | 7,189 | 11,543 | 11,311 | 127,000 | ||||||||||||||||||||||||
| Accrued administration fees |
9,762 | 12,078 | 1,438 | 2,309 | 4,242 | 48,535 | ||||||||||||||||||||||||
| Accrued custodian and portfolio accounting fees |
29,397 | 18,500 | 10,123 | 10,297 | 23,614 | 170,099 | ||||||||||||||||||||||||
| Accrued legal, audit and tax service fees |
7,876 | 10,286 | 1,033 | 1,598 | 2,956 | 34,985 | ||||||||||||||||||||||||
| Accrued trustees’ fees and deferred compensation |
— | — | — | — | 2,974 | 18,991 | ||||||||||||||||||||||||
| Accrued distribution and service fees |
2,059 | 7,300 | 860 | 973 | — | — | ||||||||||||||||||||||||
| Accrued other |
2,339 | 4,776 | 531 | 1,151 | 934 | 11,107 | ||||||||||||||||||||||||
| Forward foreign currency contracts depreciation |
— | — | — | — | 31,604 | 644,782 | ||||||||||||||||||||||||
| Outstanding options written, at value |
— | — | — | — | 69,107 | 250,142 | ||||||||||||||||||||||||
| Swap premiums received |
— | — | — | — | — | 38,052 | ||||||||||||||||||||||||
| Total Liabilities |
1,893,321 | 354,790 | 31,366 | 60,081 | 4,131,049 | 75,232,049 | ||||||||||||||||||||||||
| NET ASSETS |
$78,178,593 | $91,105,669 | $11,040,720 | $17,382,641 | $33,449,946 | $365,243,310 | ||||||||||||||||||||||||
| NET ASSETS CONSIST OF: |
||||||||||||||||||||||||||||||
| Paid-in capital |
$100,643,861 | $70,133,177 | $11,350,834 | $15,795,469 | $45,386,834 | $452,233,528 | ||||||||||||||||||||||||
| Undistributed/accumulated earnings (deficit) |
(22,465,268 | ) | 20,972,492 | (310,114 | ) | 1,587,172 | (11,936,888 | ) | (86,990,218 | ) | ||||||||||||||||||||
| NET ASSETS |
$78,178,593 | $91,105,669 | $11,040,720 | $17,382,641 | $33,449,946 | $365,243,310 | ||||||||||||||||||||||||
| Class A Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$6,140,770 | $13,054,708 | $1,710,678 | $2,620,174 | ||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
680,174 | 1,404,522 | 131,507 | 248,253 | ||||||||||||||||||||||||||
| Net Asset Value per share* |
$9.03 | $9.29 | $13.01 | $10.55 | ||||||||||||||||||||||||||
| Sales Charge |
0.40 | 0.41 | 0.58 | 0.47 | ||||||||||||||||||||||||||
| Maximum offering price per share |
$9.43 | $9.70 | $13.59 | $11.02 | ||||||||||||||||||||||||||
| Class C Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$902,854 | $5,259,803 | $556,109 | $469,622 | ||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
100,146 | 615,360 | 44,728 | 46,143 | ||||||||||||||||||||||||||
| Net Asset Value per share* |
$9.02 | $8.55 | $12.43 | $10.18 | ||||||||||||||||||||||||||
| Class I Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$1,694,217 | |||||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
190,064 | |||||||||||||||||||||||||||||
| Net Asset Value per share |
$8.91 | |||||||||||||||||||||||||||||
| Class P Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$60,734,031 | $33,449,946 | $365,243,310 | |||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
6,806,961 | 3,861,405 | 40,433,355 | |||||||||||||||||||||||||||
| Net Asset Value per share |
$8.92 | $8.66 | $9.03 | |||||||||||||||||||||||||||
| Class R6 Shares: |
||||||||||||||||||||||||||||||
| Net Assets |
$497,147 | $1,098,346 | $926,348 | |||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
47,782 | 85,801 | 86,066 | |||||||||||||||||||||||||||
| Net Asset Value per share |
$10.40 | $12.80 | $10.76 | |||||||||||||||||||||||||||
| Class I-2 Shares (formerly Advisor Class Shares): |
||||||||||||||||||||||||||||||
| Net Assets |
$8,706,721 | $72,294,011 | $7,675,587 | $13,366,497 | ||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
962,419 | 7,643,473 | 575,610 | 1,250,952 | ||||||||||||||||||||||||||
| Net Asset Value per share |
$9.05 | $9.46 | $13.33 | $10.69 | ||||||||||||||||||||||||||
| Investments, at cost (excluding derivatives) |
$85,001,423 | $77,072,260 | $9,092,196 | $15,714,544 | $40,052,542 | $426,010,384 | ||||||||||||||||||||||||
| Outstanding purchased options, at cost |
— | — | — | — | 39,426 | 114,824 | ||||||||||||||||||||||||
| Foreign currency held, at cost |
788 | — | — | — | 64,423 | 2,074,587 | ||||||||||||||||||||||||
| Proceeds from securities sold short |
— | — | — | — | 1,258,762 | 490,359 | ||||||||||||||||||||||||
| Premiums received from outstanding options written |
— | — | — | — | 47,599 | 295,258 | ||||||||||||||||||||||||
| * | Redemption price per share is equal to the Net Asset Value per share less any applicable contingent deferred sales charge. |
See Notes to Financial Statements
C-3
Table of Contents
PACIFIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
MARCH 31, 2023
| PF Short Duration Bond Fund |
PF Emerging Markets Debt Fund |
PF Growth Fund |
PF Large-Cap Value Fund |
PF Small-Cap Growth Fund |
PF Small-Cap Value Fund |
|||||||||||||||||||||||||
| ASSETS |
||||||||||||||||||||||||||||||
| Investments, at value (excluding derivatives) |
$227,317,392 | $30,333,276 | $146,400,214 | $127,968,080 | $31,824,493 | $42,060,512 | ||||||||||||||||||||||||
| Cash |
— | 23,463 | — | 975 | — | — | ||||||||||||||||||||||||
| Cash (segregated for derivative instruments) |
168,606 | 20,000 | — | — | — | — | ||||||||||||||||||||||||
| Foreign currency held, at value |
3,436 | 178,440 | — | — | 4 | — | ||||||||||||||||||||||||
| Receivables: |
||||||||||||||||||||||||||||||
| Dividend and interest |
1,872,518 | 452,653 | 37,226 | 232,316 | 10,680 | 23,920 | ||||||||||||||||||||||||
| Fund shares sold |
1,865 | 415 | 4,539 | 3,089 | 1,451 | 1,866 | ||||||||||||||||||||||||
| Securities sold |
1,405,714 | 416,800 | — | 2,145,766 | 262,742 | 177,005 | ||||||||||||||||||||||||
| Variation margin on futures contracts |
219 | 315,537 | — | — | — | — | ||||||||||||||||||||||||
| Variation margin on swap agreements |
— | 305,931 | — | — | — | — | ||||||||||||||||||||||||
| Due from adviser |
35,350 | 7,382 | 29,282 | 16,591 | 3,873 | 3,529 | ||||||||||||||||||||||||
| Forward foreign currency contracts appreciation |
— | 47,958 | — | — | — | — | ||||||||||||||||||||||||
| Total Assets |
230,805,100 | 32,101,855 | 146,471,261 | 130,366,817 | 32,103,243 | 42,266,832 | ||||||||||||||||||||||||
| LIABILITIES |
||||||||||||||||||||||||||||||
| Payables: |
||||||||||||||||||||||||||||||
| Fund shares redeemed |
284,863 | 34,576 | 147,893 | 137,000 | 28,754 | 39,396 | ||||||||||||||||||||||||
| Securities purchased |
1,230,904 | 1,206,002 | — | — | 85,129 | 331,975 | ||||||||||||||||||||||||
| Swap agreements |
— | 20,459 | — | — | — | — | ||||||||||||||||||||||||
| Accrued advisory fees |
68,914 | 18,661 | 38,255 | 84,435 | 10,981 | 23,156 | ||||||||||||||||||||||||
| Accrued administration fees |
25,843 | 3,808 | 10,433 | 19,485 | 2,745 | 4,631 | ||||||||||||||||||||||||
| Accrued custodian and portfolio accounting fees |
71,089 | 36,713 | 89,515 | 23,378 | 18,636 | 15,849 | ||||||||||||||||||||||||
| Accrued legal, audit and tax service fees |
17,018 | 2,726 | 6,686 | 14,044 | 1,936 | 4,089 | ||||||||||||||||||||||||
| Accrued trustees’ fees and deferred compensation |
4,207 | — | 5,856 | 9,939 | 2,374 | 927 | ||||||||||||||||||||||||
| Accrued other |
5,601 | 941 | 4,548 | 9,996 | 1,005 | 1,982 | ||||||||||||||||||||||||
| Forward foreign currency contracts depreciation |
— | 179,290 | — | — | — | — | ||||||||||||||||||||||||
| Swap premiums received |
— | 30,466 | — | — | — | — | ||||||||||||||||||||||||
| Swap agreements depreciation |
— | 3,267 | — | — | — | — | ||||||||||||||||||||||||
| Total Liabilities |
1,708,439 | 1,536,909 | 303,186 | 298,277 | 151,560 | 422,005 | ||||||||||||||||||||||||
| NET ASSETS |
$229,096,661 | $30,564,946 | $146,168,075 | $130,068,540 | $31,951,683 | $41,844,827 | ||||||||||||||||||||||||
| NET ASSETS CONSIST OF: |
||||||||||||||||||||||||||||||
| Paid-in capital |
$233,919,846 | $48,668,265 | $95,412,757 | $57,666,424 | $45,326,685 | $35,471,075 | ||||||||||||||||||||||||
| Undistributed/accumulated earnings (deficit) |
(4,823,185 | ) | (18,103,319 | ) | 50,755,318 | 72,402,116 | (13,375,002 | ) | 6,373,752 | |||||||||||||||||||||
| NET ASSETS |
$229,096,661 | $30,564,946 | $146,168,075 | $130,068,540 | $31,951,683 | $41,844,827 | ||||||||||||||||||||||||
| Class P Shares: |
||||||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
24,142,941 | 4,666,292 | 11,828,309 | 11,828,282 | 2,231,413 | 6,981,388 | ||||||||||||||||||||||||
| Net Asset Value per share |
$9.49 | $6.55 | $12.36 | $11.00 | $14.32 | $5.99 | ||||||||||||||||||||||||
| Investments, at cost (excluding derivatives) |
$230,683,075 | $31,740,402 | $102,263,231 | $63,137,810 | $31,419,846 | $36,739,336 | ||||||||||||||||||||||||
| Foreign currency held, at cost |
3,532 | 165,854 | — | — | 4 | — | ||||||||||||||||||||||||
See Notes to Financial Statements
C-4
Table of Contents
PACIFIC FUNDS
STATEMENTS OF ASSETS AND LIABILITIES (Continued)
MARCH 31, 2023
| PF Emerging Markets Fund |
PF International Growth Fund |
PF International Small-Cap Fund |
PF International Value Fund |
PF Multi-Asset Fund |
PF Real Estate Fund |
|||||||||||||||||||||||||
| ASSETS |
||||||||||||||||||||||||||||||
| Investments, at value (excluding derivatives) |
$55,189,603 | $18,623,167 | $10,521,212 | $41,815,453 | $726,392,133 | $34,306,908 | ||||||||||||||||||||||||
| Cash |
5,459 | — | 1 | — | — | 3,787 | ||||||||||||||||||||||||
| Foreign currency held, at value |
459,800 | 337 | 33,673 | 22,133 | — | — | ||||||||||||||||||||||||
| Receivables: |
||||||||||||||||||||||||||||||
| Dividend and interest |
96,874 | 285,614 | 143,817 | 477,470 | 2,906,972 | 172,484 | ||||||||||||||||||||||||
| Fund shares sold |
1,658 | 1,078 | 622 | 663 | 20,687 | 1,037 | ||||||||||||||||||||||||
| Securities sold |
644,222 | 7,761 | 30,687 | 41,222 | 20,158,346 | — | ||||||||||||||||||||||||
| Variation margin on futures contracts |
— | — | — | — | 1,558,965 | — | ||||||||||||||||||||||||
| Due from adviser |
11,325 | 7,600 | 6,487 | 17,645 | 75,172 | 5,388 | ||||||||||||||||||||||||
| Swap agreements appreciation |
— | — | — | — | 28,651,014 | — | ||||||||||||||||||||||||
| Prepaid expenses and other assets |
— | — | — | 330 | — | — | ||||||||||||||||||||||||
| Total Assets |
56,408,941 | 18,925,557 | 10,736,499 | 42,374,916 | 779,763,289 | 34,489,604 | ||||||||||||||||||||||||
| LIABILITIES |
||||||||||||||||||||||||||||||
| Payables: |
||||||||||||||||||||||||||||||
| Fund shares redeemed |
57,229 | 14,143 | 9,154 | 46,554 | 299,571 | 33,368 | ||||||||||||||||||||||||
| Securities purchased |
111,098 | 12,140 | — | — | — | — | ||||||||||||||||||||||||
| Due to custodian |
— | — | — | — | 2,392,892 | — | ||||||||||||||||||||||||
| Accrued advisory fees |
30,545 | 13,219 | 11,325 | 27,625 | 242,192 | 23,626 | ||||||||||||||||||||||||
| Accrued administration fees |
5,727 | 2,418 | 2,036 | 6,375 | 103,796 | 4,725 | ||||||||||||||||||||||||
| Accrued custodian and portfolio accounting fees |
61,246 | 26,430 | 33,525 | 55,770 | 108,867 | 13,508 | ||||||||||||||||||||||||
| Accrued legal, audit and tax service fees |
4,046 | 1,803 | 1,885 | 4,261 | 71,118 | 3,460 | ||||||||||||||||||||||||
| Accrued trustees’ fees and deferred compensation |
2,811 | 4,587 | — | 5,581 | 141 | 1,117 | ||||||||||||||||||||||||
| Accrued foreign capital gains tax |
215,167 | 58,497 | — | — | — | — | ||||||||||||||||||||||||
| Accrued other |
17,588 | 7,698 | 3,571 | 20,775 | 26,655 | 1,929 | ||||||||||||||||||||||||
| Swap agreements depreciation |
— | — | — | — | 3,561,996 | — | ||||||||||||||||||||||||
| Total Liabilities |
505,457 | 140,935 | 61,496 | 166,941 | 6,807,228 | 81,733 | ||||||||||||||||||||||||
| NET ASSETS |
$55,903,484 | $18,784,622 | $10,675,003 | $42,207,975 | $772,956,061 | $34,407,871 | ||||||||||||||||||||||||
| NET ASSETS CONSIST OF: |
||||||||||||||||||||||||||||||
| Paid-in capital |
$45,419,256 | $18,489,455 | $20,087,055 | $42,971,718 | $861,483,397 | $36,914,579 | ||||||||||||||||||||||||
| Undistributed/accumulated earnings (deficit) |
10,484,228 | 295,167 | (9,412,052 | ) | (763,743 | ) | (88,527,336 | ) | (2,506,708 | ) | ||||||||||||||||||||
| NET ASSETS |
$55,903,484 | $18,784,622 | $10,675,003 | $42,207,975 | $772,956,061 | $34,407,871 | ||||||||||||||||||||||||
| Class P Shares: |
||||||||||||||||||||||||||||||
| Shares of beneficial interest outstanding |
6,102,853 | 2,907,178 | 1,413,118 | 4,940,681 | 92,956,560 | 2,616,917 | ||||||||||||||||||||||||
| Net Asset Value per share |
$9.16 | $6.46 | $7.55 | $8.54 | $8.32 | $13.15 | ||||||||||||||||||||||||
| Investments, at cost (excluding derivatives) |
$38,190,231 | $15,329,914 | $10,321,648 | $35,062,585 | $742,583,989 | $30,976,452 | ||||||||||||||||||||||||
| Foreign currency held, at cost |
467,542 | 335 | 33,379 | 22,170 | — | — | ||||||||||||||||||||||||
See Notes to Financial Statements
C-5
Table of Contents
PACIFIC FUNDS
FOR THE YEAR ENDED MARCH 31, 2023
| Pacific Funds Portfolio Optimization | ||||||||||||||||||||||||||
| Conservative | Moderate- Conservative |
Moderate | Growth | Aggressive- Growth |
||||||||||||||||||||||
| INVESTMENT INCOME |
||||||||||||||||||||||||||
| Dividends from affiliated mutual fund investments |
$6,227,961 | $7,211,845 | $17,367,748 | $10,900,077 | $2,875,109 | |||||||||||||||||||||
| Total Investment Income |
6,227,961 | 7,211,845 | 17,367,748 | 10,900,077 | 2,875,109 | |||||||||||||||||||||
| EXPENSES |
||||||||||||||||||||||||||
| Advisory fees |
372,700 | 503,992 | 1,640,526 | 1,387,229 | 540,805 | |||||||||||||||||||||
| Administration fees |
279,525 | 377,994 | 1,230,395 | 1,040,422 | 405,603 | |||||||||||||||||||||
| Portfolio accounting fees |
55,089 | 55,235 | 56,478 | 56,200 | 55,258 | |||||||||||||||||||||
| Shareholder report expenses |
8,990 | 12,060 | 38,988 | 33,028 | 12,897 | |||||||||||||||||||||
| Distribution fees |
||||||||||||||||||||||||||
| Class C |
216,160 | 171,165 | 604,401 | 535,877 | 216,241 | |||||||||||||||||||||
| Service fees |
||||||||||||||||||||||||||
| Class A |
374,453 | 560,154 | 1,787,490 | 1,512,379 | 580,134 | |||||||||||||||||||||
| Class C |
72,053 | 57,055 | 201,467 | 178,626 | 72,080 | |||||||||||||||||||||
| Registration fees |
54,591 | 53,808 | 64,758 | 65,217 | 55,867 | |||||||||||||||||||||
| Legal, audit and tax service fees |
17,262 | 23,410 | 76,209 | 64,659 | 25,380 | |||||||||||||||||||||
| Trustees’ fees |
6,667 | 8,971 | 29,002 | 24,466 | 9,511 | |||||||||||||||||||||
| Other |
8,025 | 10,014 | 27,649 | 23,537 | 10,388 | |||||||||||||||||||||
| Total Expenses |
1,465,515 | 1,833,858 | 5,757,363 | 4,921,640 | 1,984,164 | |||||||||||||||||||||
| Adviser Expense Reimbursement |
(150,624 | ) | (163,498 | ) | (293,084 | ) | (267,107 | ) | (169,301 | ) | ||||||||||||||||
| Net Expenses |
1,314,891 | 1,670,360 | 5,464,279 | 4,654,533 | 1,814,863 | |||||||||||||||||||||
| NET INVESTMENT INCOME (LOSS) |
4,913,070 | 5,541,485 | 11,903,469 | 6,245,544 | 1,060,246 | |||||||||||||||||||||
| NET REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||||||||||||
| Net Realized Gain (Loss) On: |
||||||||||||||||||||||||||
| Investment security transactions in affiliated mutual funds |
(9,304,891) | (15,699,560 | ) | (55,888,285 | ) | (24,545,531 | ) | (17,582,148 | ) | |||||||||||||||||
| Capital gain distributions from affiliated mutual fund investments |
1,709,286 | 4,587,914 | 31,032,057 | 23,523,397 | 17,855,281 | |||||||||||||||||||||
| Net Realized Gain (Loss) |
(7,595,605) | (11,111,646 | ) | (24,856,228 | ) | (1,022,134 | ) | 273,133 | ||||||||||||||||||
| Change In Net Unrealized Appreciation (Depreciation) On: |
||||||||||||||||||||||||||
| Investment securities in affiliated mutual fund investments |
(12,882,219) | (18,208,806 | ) | (74,482,130 | ) | (81,767,519 | ) | (32,386,334 | ) | |||||||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) |
(12,882,219) | (18,208,806 | ) | (74,482,130 | ) | (81,767,519 | ) | (32,386,334 | ) | |||||||||||||||||
| NET GAIN (LOSS) |
(20,477,824) | (29,320,452 | ) | (99,338,358 | ) | (82,789,653 | ) | (32,113,201 | ) | |||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS
|
($15,564,754) | ($23,778,967 | ) | ($87,434,889 | ) | ($76,544,109 | ) | ($31,052,955 | ) | |||||||||||||||||
See Notes to Financial Statements
C-6
Table of Contents
PACIFIC FUNDS
STATEMENTS OF OPERATIONS (Continued)
FOR THE YEAR ENDED MARCH 31, 2023
| Pacific Funds Ultra Short Income |
Pacific Funds Short Duration Income |
Pacific Funds Core Income |
Pacific Funds ESG Core Bond |
Pacific Funds Strategic Income |
Pacific Funds Floating Rate Income |
|||||||||||||||||||||||||
| INVESTMENT INCOME |
||||||||||||||||||||||||||||||
| Dividends, net of foreign taxes withheld |
$88,249 | $457,501 | $959,446 | $21,386 | $1,293,159 | $10,586,243 | ||||||||||||||||||||||||
| Interest, net of foreign taxes withheld |
1,474,947 | 30,742,044 | 30,965,092 | 675,663 | 73,657,825 | 297,284,585 | ||||||||||||||||||||||||
| Total Investment Income |
1,563,196 | 31,199,545 | 31,924,538 | 697,049 | 74,950,984 | 307,870,828 | ||||||||||||||||||||||||
| EXPENSES |
||||||||||||||||||||||||||||||
| Advisory fees |
112,263 | 4,054,685 | 3,892,390 | 95,341 | 8,517,803 | 27,337,772 | ||||||||||||||||||||||||
| Administration fees |
67,357 | 1,520,508 | 1,167,717 | 37,635 | 2,129,451 | 6,308,717 | ||||||||||||||||||||||||
| Custodian fees and expenses |
1,387 | 28,072 | 27,524 | — | 41,143 | 171,092 | ||||||||||||||||||||||||
| Portfolio accounting fees |
94,122 | 333,088 | 265,212 | 43,152 | 457,755 | 1,261,018 | ||||||||||||||||||||||||
| Shareholder report expenses |
2,267 | 50,507 | 34,999 | 1,273 | 76,063 | 246,730 | ||||||||||||||||||||||||
| Distribution fees |
||||||||||||||||||||||||||||||
| Class C |
— | 251,802 | 202,403 | — | 494,504 | 845,139 | ||||||||||||||||||||||||
| Service fees |
||||||||||||||||||||||||||||||
| Class A |
— | 369,021 | 263,709 | — | 284,253 | 673,492 | ||||||||||||||||||||||||
| Class C |
— | 83,934 | 67,467 | — | 164,835 | 281,713 | ||||||||||||||||||||||||
| Registration fees |
55,118 | 114,298 | 87,620 | 37,884 | 163,111 | 306,506 | ||||||||||||||||||||||||
| Legal, audit and tax service fees |
4,492 | 97,303 | 72,419 | 2,432 | 133,200 | 433,004 | ||||||||||||||||||||||||
| Trustees’ fees |
1,974 | 49,053 | 38,785 | 1,235 | 69,553 | 204,364 | ||||||||||||||||||||||||
| Interest expense |
— | 3,593 | 558 | — | 859 | 754,526 | ||||||||||||||||||||||||
| Other |
2,456 | 27,697 | 23,788 | 2,183 | 35,506 | 87,783 | ||||||||||||||||||||||||
| Total Expenses |
341,436 | 6,983,561 | 6,144,591 | 221,135 | 12,568,036 | 38,911,856 | ||||||||||||||||||||||||
| Advisory Fee Waiver |
— | (3,534 | ) | — | — | (104,908 | ) | (1,654,359 | ) | |||||||||||||||||||||
| Adviser Expense Reimbursement |
(197,740 | ) | (1,303,363 | ) | (1,262,590 | ) | (100,704 | ) | (1,770,364 | ) | (5,902,050 | ) | ||||||||||||||||||
| Net Expenses |
143,696 | 5,676,664 | 4,882,001 | 120,431 | 10,692,764 | 31,355,447 | ||||||||||||||||||||||||
| NET INVESTMENT INCOME (LOSS) |
1,419,500 | 25,522,881 | 27,042,537 | 576,618 | 64,258,220 | 276,515,381 | ||||||||||||||||||||||||
| NET REALIZED AND UNREALIZED LOSS |
||||||||||||||||||||||||||||||
| Net Realized Gain (Loss) On: |
||||||||||||||||||||||||||||||
| Investment security transactions |
(53,103 | ) | (11,698,980 | ) | (28,622,791 | ) | (732,635 | ) | (53,802,184 | ) | (72,320,227 | ) | ||||||||||||||||||
| Net Realized Gain (Loss) |
(53,103 | ) | (11,698,980 | ) | (28,622,791 | ) | (732,635 | ) | (53,802,184 | ) | (72,320,227 | ) | ||||||||||||||||||
| Change In Net Unrealized Appreciation (Depreciation) On: |
||||||||||||||||||||||||||||||
| Investment securities |
(95,820 | ) | (4,801,768 | ) | (34,169,112 | ) | (909,106 | ) | (53,762,066 | ) | (106,035,238 | ) | ||||||||||||||||||
| Foreign currencies |
— | — | — | — | (400 | ) | — | |||||||||||||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) |
(95,820 | ) | (4,801,768 | ) | (34,169,112 | ) | (909,106 | ) | (53,762,466 | ) | (106,035,238 | ) | ||||||||||||||||||
| NET GAIN (LOSS) |
(148,923 | ) | (16,500,748 | ) | (62,791,903 | ) | (1,641,741 | ) | (107,564,650 | ) | (178,355,465 | ) | ||||||||||||||||||
| NET INCREASE (DECREASE) IN NET
ASSETS |
$1,270,577 | $9,022,133 | ($35,749,366 | ) | ($1,065,123 | ) | ($43,306,430 | ) | $98,159,916 | |||||||||||||||||||||
| Foreign taxes withheld on dividends and interest |
$4,117 | $79,357 | $16,156 | $1,236 | $38,520 | $— | ||||||||||||||||||||||||
See Notes to Financial Statements
C-7
Table of Contents
PACIFIC FUNDS
STATEMENTS OF OPERATIONS (Continued)
FOR THE YEAR ENDED MARCH 31, 2023
| Pacific Funds High Income |
Pacific Funds Small/Mid-Cap |
Pacific Funds Small-Cap |
Pacific Funds Small-Cap Value |
PF Inflation Managed Fund |
PF Managed Bond Fund |
|||||||||||||||||||||||||
| INVESTMENT INCOME |
||||||||||||||||||||||||||||||
| Dividends, net of foreign taxes withheld |
$120,865 | $2,091,519 | $177,888 | $326,980 | $6,949 | $229,010 | ||||||||||||||||||||||||
| Interest, net of foreign taxes withheld |
6,803,408 | — | — | — | 2,293,609 | 13,158,263 | ||||||||||||||||||||||||
| Total Investment Income |
6,924,273 | 2,091,519 | 177,888 | 326,980 | 2,300,558 | 13,387,273 | ||||||||||||||||||||||||
| EXPENSES |
||||||||||||||||||||||||||||||
| Advisory fees |
657,762 | 1,014,312 | 108,575 | 142,449 | 150,025 | 1,553,223 | ||||||||||||||||||||||||
| Administration fees |
164,440 | 202,862 | 21,715 | 28,490 | 56,260 | 582,459 | ||||||||||||||||||||||||
| Custodian fees and expenses |
3,465 | 4,147 | 429 | 480 | 5,390 | 60,276 | ||||||||||||||||||||||||
| Portfolio accounting fees |
82,394 | 62,683 | 32,434 | 33,338 | 57,245 | 367,846 | ||||||||||||||||||||||||
| Shareholder report expenses |
5,129 | 5,042 | 792 | 962 | 2,004 | 18,676 | ||||||||||||||||||||||||
| Distribution fees |
||||||||||||||||||||||||||||||
| Class C |
7,778 | 51,967 | 4,623 | 4,217 | — | — | ||||||||||||||||||||||||
| Service fees |
||||||||||||||||||||||||||||||
| Class A |
15,207 | 39,875 | 4,247 | 7,159 | — | — | ||||||||||||||||||||||||
| Class C |
2,593 | 17,322 | 1,541 | 1,406 | — | — | ||||||||||||||||||||||||
| Registration fees |
63,354 | 68,602 | 61,053 | 61,056 | 98 | 1,358 | ||||||||||||||||||||||||
| Legal, audit and tax service fees |
9,024 | 10,947 | 1,188 | 1,825 | 3,404 | 39,268 | ||||||||||||||||||||||||
| Trustees’ fees |
5,603 | 7,235 | 781 | 928 | 1,378 | 14,225 | ||||||||||||||||||||||||
| Interest expense |
129 | 7,860 | 36 | — | 19,393 | 10,190 | ||||||||||||||||||||||||
| Other |
6,091 | 15,638 | 4,491 | 5,059 | 790 | 10,429 | ||||||||||||||||||||||||
| Total Expenses |
1,022,969 | 1,508,492 | 241,905 | 287,369 | 295,987 | 2,657,950 | ||||||||||||||||||||||||
| Advisory Fee Waiver |
— | — | — | — | — | (29,123 | ) | |||||||||||||||||||||||
| Adviser Expense Reimbursement |
(277,525 | ) | (107,492 | ) | (95,344 | ) | (95,321 | ) | (70,309 | ) | (512,078 | ) | ||||||||||||||||||
| Net Expenses |
745,444 | 1,401,000 | 146,561 | 192,048 | 225,678 | 2,116,749 | ||||||||||||||||||||||||
| NET INVESTMENT INCOME (LOSS) |
6,178,829 | 690,519 | 31,327 | 134,932 | 2,074,880 | 11,270,524 | ||||||||||||||||||||||||
| NET REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||||||||||||||||
| Net Realized Gain (Loss) On: |
||||||||||||||||||||||||||||||
| Investment security transactions, net of foreign capital gains tax withheld |
(10,804,912 | ) | 16,889,816 | (1,597,503 | ) | 91,400 | (674,837 | ) | (47,170,876 | ) | ||||||||||||||||||||
| Closed short positions |
— | — | — | — | (10,813 | ) | 123,496 | |||||||||||||||||||||||
| Foreign currency transactions |
— | — | — | — | (6,674 | ) | 1,227,619 | |||||||||||||||||||||||
| Forward foreign currency contract transactions |
— | — | — | — | 191,819 | (809,691 | ) | |||||||||||||||||||||||
| Futures contract transactions |
— | — | — | — | 659,645 | (11,971,715 | ) | |||||||||||||||||||||||
| Purchased option transactions |
— | — | — | — | (32,317 | ) | (1,080,616 | ) | ||||||||||||||||||||||
| Swap transactions |
— | — | — | — | (317,857 | ) | 2,936,335 | |||||||||||||||||||||||
| Written option transactions |
— | — | — | — | 49,734 | 2,975,654 | ||||||||||||||||||||||||
| Net Realized Gain (Loss) |
(10,804,912 | ) | 16,889,816 | (1,597,503 | ) | 91,400 | (141,300 | ) | (53,769,794 | ) | ||||||||||||||||||||
| Change In Net Unrealized Appreciation (Depreciation) On: |
||||||||||||||||||||||||||||||
| Investment securities, net of deferred foreign capital gains tax |
(2,847,156 | ) | (42,506,240 | ) | (1,510,621 | ) | (2,388,239 | ) | (4,349,270 | ) | 8,336,353 | |||||||||||||||||||
| Short positions |
— | — | — | — | (12,605 | ) | (9,586 | ) | ||||||||||||||||||||||
| Foreign currencies |
(50 | ) | — | — | — | 21,179 | 21,629 | |||||||||||||||||||||||
| Forward foreign currency contracts |
— | — | — | — | (70,340 | ) | (242,877 | ) | ||||||||||||||||||||||
| Futures contracts |
— | — | — | — | (316,784 | ) | 4,822,534 | |||||||||||||||||||||||
| Purchased options |
— | — | — | — | (28,257 | ) | (29,709 | ) | ||||||||||||||||||||||
| Swaps |
— | — | — | — | 13,452 | 183,182 | ||||||||||||||||||||||||
| Written options |
— | — | — | — | 73,769 | (15,049 | ) | |||||||||||||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) |
(2,847,206 | ) | (42,506,240 | ) | (1,510,621 | ) | (2,388,239 | ) | (4,668,856 | ) | 13,066,477 | |||||||||||||||||||
| NET GAIN (LOSS) |
(13,652,118 | ) | (25,616,424 | ) | (3,108,124 | ) | (2,296,839 | ) | (4,810,156 | ) | (40,703,317 | ) | ||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS
|
($7,473,289 | ) | ($24,925,905 | ) | ($3,076,797 | ) | ($2,161,907 | ) | ($2,735,276 | ) | ($29,432,793 | ) | ||||||||||||||||||
| Foreign taxes withheld on dividends and interest |
$1,349 | $2,672 | $— | $— | $— | $17,113 | ||||||||||||||||||||||||
| Foreign capital gains tax withheld |
— | — | — | — | — | 1,477 | ||||||||||||||||||||||||
See Notes to Financial Statements
C-8
Table of Contents
PACIFIC FUNDS
STATEMENTS OF OPERATIONS (Continued)
FOR THE YEAR ENDED MARCH 31, 2023
| PF Short Duration Bond Fund |
PF Emerging Markets Debt Fund |
PF Growth Fund |
PF Large-Cap Value Fund |
PF Small-Cap Growth Fund |
PF Small-Cap Value Fund |
|||||||||||||||||||||||||
| INVESTMENT INCOME |
||||||||||||||||||||||||||||||
| Dividends, net of foreign taxes withheld |
$40,710 | $59,111 | $655,525 | $3,276,054 | $197,906 | $870,955 | ||||||||||||||||||||||||
| Interest, net of foreign taxes withheld |
5,787,849 | 2,417,621 | 23,368 | — | 13,249 | — | ||||||||||||||||||||||||
| Total Investment Income |
5,828,559 | 2,476,732 | 678,893 | 3,276,054 | 211,155 | 870,955 | ||||||||||||||||||||||||
| EXPENSES |
||||||||||||||||||||||||||||||
| Advisory fees |
653,985 | 261,228 | 513,661 | 1,030,217 | 171,446 | 405,650 | ||||||||||||||||||||||||
| Administration fees |
245,244 | 49,916 | 140,089 | 237,742 | 42,861 | 81,130 | ||||||||||||||||||||||||
| Custodian fees and expenses |
7,274 | 19,046 | 3,106 | 3,746 | 4,811 | 3,957 | ||||||||||||||||||||||||
| Portfolio accounting fees |
134,365 | 50,584 | 125,600 | 70,918 | 42,492 | 46,386 | ||||||||||||||||||||||||
| Shareholder report expenses |
8,019 | 1,782 | 4,238 | 8,077 | 1,196 | 2,564 | ||||||||||||||||||||||||
| Registration fees |
449 | 126 | 353 | 492 | 110 | 212 | ||||||||||||||||||||||||
| Legal, audit and tax service fees |
18,708 | 4,240 | 7,526 | 15,927 | 2,199 | 4,695 | ||||||||||||||||||||||||
| Trustees’ fees |
6,046 | 1,851 | 3,015 | 5,947 | 855 | 1,680 | ||||||||||||||||||||||||
| Interest expense |
— | 166 | 117 | — | 2 | 3,387 | ||||||||||||||||||||||||
| Other |
2,901 | 3,976 | 8,309 | 16,298 | 2,396 | 4,540 | ||||||||||||||||||||||||
| Total Expenses |
1,076,991 | 392,915 | 806,014 | 1,389,364 | 268,368 | 554,201 | ||||||||||||||||||||||||
| Advisory Fee Waiver |
— | (16,639 | ) | — | — | — | — | |||||||||||||||||||||||
| Adviser Expense Reimbursement |
(177,762 | ) | (81,604 | ) | (152,146 | ) | (121,405 | ) | (54,059 | ) | (64,034 | ) | ||||||||||||||||||
| Net Expenses |
899,229 | 294,672 | 653,868 | 1,267,959 | 214,309 | 490,167 | ||||||||||||||||||||||||
| NET INVESTMENT INCOME (LOSS) |
4,929,330 | 2,182,060 | 25,025 | 2,008,095 | (3,154 | ) | 380,788 | |||||||||||||||||||||||
| NET REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||||||||||||||||
| Net Realized Gain (Loss) On: |
||||||||||||||||||||||||||||||
| Investment security transactions, net of foreign capital gains tax withheld |
(1,949,693 | ) | (7,056,343 | ) | 33,778,775 | 9,122,230 | (11,588,645 | ) | 6,071,445 | |||||||||||||||||||||
| Foreign currency transactions |
— | (16,766 | ) | (1,474 | ) | — | (4,418 | ) | — | |||||||||||||||||||||
| Forward foreign currency contract transactions |
— | (30,306 | ) | — | — | — | — | |||||||||||||||||||||||
| Futures contract transactions |
(337,617 | ) | 102,896 | — | — | — | — | |||||||||||||||||||||||
| Swap transactions |
— | 385,970 | — | — | — | — | ||||||||||||||||||||||||
| Net Realized Gain (Loss) |
(2,287,310 | ) | (6,614,549 | ) | 33,777,301 | 9,122,230 | (11,593,063 | ) | 6,071,445 | |||||||||||||||||||||
| Change In Net Unrealized Appreciation (Depreciation) On: |
||||||||||||||||||||||||||||||
| Investment securities, net of deferred foreign capital gains tax |
(1,616,238 | ) | 2,175,127 | (56,348,856 | ) | (19,382,708 | ) | 5,593,126 | (17,967,636 | ) | ||||||||||||||||||||
| Foreign currencies |
(68 | ) | 10,796 | 3 | — | (52 | ) | — | ||||||||||||||||||||||
| Forward foreign currency contracts |
— | (260,803 | ) | — | — | — | — | |||||||||||||||||||||||
| Futures contracts |
140,519 | (53,329 | ) | — | — | — | — | |||||||||||||||||||||||
| Swaps |
— | (22,216 | ) | — | — | — | — | |||||||||||||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) |
(1,475,787 | ) | 1,849,575 | (56,348,853 | ) | (19,382,708 | ) | 5,593,074 | (17,967,636 | ) | ||||||||||||||||||||
| NET GAIN (LOSS) |
(3,763,097 | ) | (4,764,974 | ) | (22,571,552 | ) | (10,260,478 | ) | (5,999,989 | ) | (11,896,191 | ) | ||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS
|
$1,166,233 | ($2,582,914 | ) | ($22,546,527 | ) | ($8,252,383 | ) | ($6,003,143 | ) | ($11,515,403 | ) | |||||||||||||||||||
| Foreign taxes withheld on dividends and interest |
$12,944 | $4,863 | $3,792 | $— | $— | $4,121 | ||||||||||||||||||||||||
| Foreign capital gains tax withheld |
— | 6,202 | — | — | — | — | ||||||||||||||||||||||||
See Notes to Financial Statements
C-9
Table of Contents
PACIFIC FUNDS
STATEMENTS OF OPERATIONS (Continued)
FOR THE YEAR ENDED MARCH 31, 2023
| PF Emerging Markets Fund |
PF International Growth Fund Fund |
PF International Small-Cap Fund |
PF International Value Fund |
PF Multi-Asset Fund |
PF Real Estate Fund |
|||||||||||||||||||||||||
| INVESTMENT INCOME |
||||||||||||||||||||||||||||||
| Dividends, net of foreign taxes withheld |
$966,057 | $339,593 | $935,260 | $2,279,875 | $238,499 | $1,454,652 | ||||||||||||||||||||||||
| Interest, net of foreign taxes withheld |
— | 333 | — | — | 18,521,281 | — | ||||||||||||||||||||||||
| Total Investment Income |
966,057 | 339,926 | 935,260 | 2,279,875 | 18,759,780 | 1,454,652 | ||||||||||||||||||||||||
| EXPENSES |
||||||||||||||||||||||||||||||
| Advisory fees |
408,984 | 181,636 | 219,500 | 391,165 | 3,015,377 | 447,085 | ||||||||||||||||||||||||
| Administration fees |
76,684 | 32,053 | 38,735 | 90,269 | 1,292,305 | 74,514 | ||||||||||||||||||||||||
| Custodian fees and expenses |
85,924 | 11,667 | 45,582 | 77,135 | 22,734 | 1,433 | ||||||||||||||||||||||||
| Portfolio accounting fees |
53,150 | 43,936 | 47,158 | 72,693 | 333,120 | 40,797 | ||||||||||||||||||||||||
| Shareholder report expenses |
1,866 | 1,086 | 1,704 | 3,292 | 40,213 | 2,787 | ||||||||||||||||||||||||
| Registration fees |
229 | 96 | 74 | 125 | 2,791 | 99 | ||||||||||||||||||||||||
| Legal, audit and tax service fees |
4,416 | 2,986 | 2,453 | 4,934 | 80,176 | 4,049 | ||||||||||||||||||||||||
| Trustees’ fees |
1,550 | 644 | 1,381 | 2,151 | 42,600 | 1,861 | ||||||||||||||||||||||||
| Interest expense |
399 | 181 | 326 | — | 268 | 440 | ||||||||||||||||||||||||
| Other (1) |
66,185 | 15,012 | 10,113 | 44,601 | 25,507 | 4,024 | ||||||||||||||||||||||||
| Total Expenses |
699,387 | 289,297 | 367,026 | 686,365 | 4,855,091 | 577,089 | ||||||||||||||||||||||||
| Advisory Fee Waiver |
— | (6,411 | ) | (3,885 | ) | — | — | (74,514 | ) | |||||||||||||||||||||
| Adviser Expense Reimbursement |
(213,320 | ) | (75,426 | ) | (82,641 | ) | (204,931 | ) | (460,987 | ) | (55,050 | ) | ||||||||||||||||||
| Net Expenses |
486,067 | 207,460 | 280,500 | 481,434 | 4,394,104 | 447,525 | ||||||||||||||||||||||||
| NET INVESTMENT INCOME (LOSS) |
479,990 | 132,466 | 654,760 | 1,798,441 | 14,365,676 | 1,007,127 | ||||||||||||||||||||||||
| NET REALIZED AND UNREALIZED GAIN (LOSS) |
||||||||||||||||||||||||||||||
| Net Realized Gain (Loss) On: |
||||||||||||||||||||||||||||||
| Investment security transactions, net of foreign capital gains tax withheld |
2,453,474 | (1,982,898 | ) | (9,588,124 | ) | (3,155,846 | ) | (7,850,870 | ) | (5,753,395 | ) | |||||||||||||||||||
| Foreign currency transactions |
(85,183 | ) | (31,228 | ) | (52,247 | ) | (39,720 | ) | — | — | ||||||||||||||||||||
| Futures contract transactions |
— | — | — | — | 6,410,076 | — | ||||||||||||||||||||||||
| Swap transactions |
— | — | — | — | (115,463,291 | ) | — | |||||||||||||||||||||||
| Net Realized Gain (Loss) |
2,368,291 | (2,014,126 | ) | (9,640,371 | ) | (3,195,566 | ) | (116,904,085 | ) | (5,753,395 | ) | |||||||||||||||||||
| Change In Net Unrealized Appreciation (Depreciation) On: |
||||||||||||||||||||||||||||||
| Investment securities, net of deferred foreign capital gains tax |
(6,387,189 | ) | 354,281 | 3,387,225 | 1,220,357 | 1,634,475 | (7,658,021 | ) | ||||||||||||||||||||||
| Foreign currencies |
14,196 | 6,068 | (924 | ) | (2,041 | ) | — | — | ||||||||||||||||||||||
| Futures contracts |
— | — | — | — | 5,139,678 | — | ||||||||||||||||||||||||
| Swaps |
— | — | — | — | (12,629,136 | ) | — | |||||||||||||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) |
(6,372,993 | ) | 360,349 | 3,386,301 | 1,218,316 | (5,854,983 | ) | (7,658,021 | ) | |||||||||||||||||||||
| NET GAIN (LOSS) |
(4,004,702 | ) | (1,653,777 | ) | (6,254,070 | ) | (1,977,250 | ) | (122,759,068 | ) | (13,411,416 | ) | ||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS |
($3,524,712 | ) | ($1,521,311 | ) | ($5,599,310 | ) | ($178,809 | ) | ($108,393,392 | ) | ($12,404,289 | ) | ||||||||||||||||||
| Foreign taxes withheld on dividends and interest |
$131,703 | $139,507 | $110,330 | $364,532 | $31,859 | $— | ||||||||||||||||||||||||
| Foreign capital gains tax withheld |
206,013 | — | — | (99 | ) | — | — | |||||||||||||||||||||||
| Change in deferred foreign capital gains tax |
(317,572 | ) | — | — | (243 | ) | — | — | ||||||||||||||||||||||
| (1) | Other expenses for the PF Emerging Markets Fund includes $39,087 of foreign tax reporting fees. |
See Notes to Financial Statements
C-10
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS
| Pacific Funds Portfolio Optimization Conservative |
Pacific Funds Portfolio Optimization Moderate-Conservative |
Pacific Funds Portfolio Optimization Moderate |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$4,913,070 | $3,432,777 | $5,541,485 | $3,521,566 | $11,903,469 | $6,510,947 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(7,595,605 | ) | 14,179,761 | (11,111,646 | ) | 35,611,356 | (24,856,228 | ) | 176,694,430 | |||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(12,882,219 | ) | (22,006,844 | ) | (18,208,806 | ) | (40,959,311 | ) | (74,482,130 | ) | (169,675,188 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
|
(15,564,754 | ) | (4,394,306 | ) | (23,778,967 | ) | (1,826,389 | ) | (87,434,889 | ) | 13,530,189 | |||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||||||||||||||
| Total distributable earnings |
||||||||||||||||||||||||||||||||||||||
| Class A |
(9,267,521 | ) | (7,677,228 | ) | (25,776,823 | ) | (18,850,216 | ) | (127,446,015 | ) | (75,252,094 | ) | ||||||||||||||||||||||||||
| Class C |
(1,756,674 | ) | (1,508,664 | ) | (2,598,112 | ) | (2,320,317 | ) | (14,551,355 | ) | (9,814,220 | ) | ||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(438,209 | ) | (418,591 | ) | (537,128 | ) | (501,441 | ) | (4,285,301 | ) | (3,114,477 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(11,462,404 | ) | (9,604,483 | ) | (28,912,063 | ) | (21,671,974 | ) | (146,282,671 | ) | (88,180,791 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares |
||||||||||||||||||||||||||||||||||||||
| Class A |
11,603,488 | 20,005,012 | 13,065,376 | 24,665,231 | 33,148,797 | 62,675,467 | ||||||||||||||||||||||||||||||||
| Class C |
2,554,355 | 8,756,080 | 1,674,262 | 3,463,072 | 5,962,233 | 12,530,807 | ||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
1,955,624 | 8,665,357 | 597,286 | 2,375,761 | 5,263,323 | 15,060,458 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments |
||||||||||||||||||||||||||||||||||||||
| Class A |
9,141,818 | 7,555,755 | 25,550,196 | 18,642,570 | 126,228,109 | 74,404,804 | ||||||||||||||||||||||||||||||||
| Class C |
1,750,820 | 1,503,913 | 2,594,049 | 2,307,590 | 14,521,994 | 9,788,698 | ||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
433,772 | 409,297 | 525,764 | 487,913 | 4,221,505 | 3,069,437 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased |
||||||||||||||||||||||||||||||||||||||
| Class A |
(34,069,288 | ) | (33,724,677 | ) | (47,161,117 | ) | (43,762,576 | ) | (124,994,773 | ) | (124,825,579 | ) | ||||||||||||||||||||||||||
| Class C |
(13,572,969 | ) | (16,868,772 | ) | (11,539,599 | ) | (17,222,441 | ) | (32,647,986 | ) | (50,552,425 | ) | ||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(8,033,835 | ) | (6,327,843 | ) | (2,280,652 | ) | (1,701,668 | ) | (11,042,677 | ) | (21,329,257 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets from Capital Share Transactions |
(28,236,215 | ) | (10,025,878 | ) | (16,974,435 | ) | (10,744,548 | ) | 20,660,525 | (19,177,590 | ) | |||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(55,263,373 | ) | (24,024,667 | ) | (69,665,465 | ) | (34,242,911 | ) | (213,057,035 | ) | (93,828,192 | ) | ||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
225,549,198 | 249,573,865 | 300,705,570 | 334,948,481 | 982,633,990 | 1,076,462,182 | ||||||||||||||||||||||||||||||||
| End of Year |
$170,285,825 | $225,549,198 | $231,040,105 | $300,705,570 | $769,576,955 | $982,633,990 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-11
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| Pacific Funds Portfolio Optimization Growth |
Pacific Funds Portfolio Optimization Aggressive-Growth |
Pacific Funds Ultra Short Income |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$6,245,544 | $3,394,670 | $1,060,246 | $145,724 | $1,419,500 | $201,511 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(1,022,134 | ) | 168,551,356 | 273,133 | 82,337,570 | (53,103 | ) | (68,021 | ) | |||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(81,767,519 | ) | (150,308,340 | ) | (32,386,334 | ) | (72,647,519 | ) | (95,820 | ) | (292,063 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
|
(76,544,109 | ) | 21,637,686 | (31,052,955 | ) | 9,835,775 | 1,270,577 | (158,573 | ) | |||||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||||||||||||||||||||||||
| Total distributable earnings |
||||||||||||||||||||||||||||||||||||||
| Class A |
(121,650,909 | ) | (76,104,352 | ) | (59,536,219 | ) | (29,294,306 | ) | ||||||||||||||||||||||||||||||
| Class C |
(14,782,406 | ) | (10,150,661 | ) | (7,828,149 | ) | (3,908,728 | ) | ||||||||||||||||||||||||||||||
| Class I |
(374,437 | ) | (139,837 | ) | ||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(3,691,696 | ) | (2,302,750 | ) | (2,585,172 | ) | (1,569,808 | ) | (1,033,556 | ) | (208,704 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(140,125,011 | ) | (88,557,763 | ) | (69,949,540 | ) | (34,772,842 | ) | (1,407,993 | ) | (348,541 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares |
||||||||||||||||||||||||||||||||||||||
| Class A |
26,947,384 | 48,047,353 | 13,736,643 | 18,672,050 | ||||||||||||||||||||||||||||||||||
| Class C |
6,551,717 | 8,746,595 | 2,685,136 | 4,664,511 | ||||||||||||||||||||||||||||||||||
| Class I |
— | — | ||||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
5,051,919 | 6,961,646 | 1,977,238 | 3,233,965 | 37,547,428 | 2,317,124 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments |
||||||||||||||||||||||||||||||||||||||
| Class A |
120,529,951 | 75,492,712 | 59,208,465 | 29,102,535 | ||||||||||||||||||||||||||||||||||
| Class C |
14,705,190 | 10,105,205 | 7,825,578 | 3,904,491 | ||||||||||||||||||||||||||||||||||
| Class I |
374,437 | 139,837 | ||||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
3,668,488 | 2,177,836 | 2,455,493 | 1,553,384 | 1,033,556 | 208,339 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased |
||||||||||||||||||||||||||||||||||||||
| Class A |
(85,958,248 | ) | (96,731,257 | ) | (27,586,234 | ) | (31,737,446 | ) | ||||||||||||||||||||||||||||||
| Class C |
(22,147,134 | ) | (38,715,743 | ) | (7,410,394 | ) | (14,330,969 | ) | ||||||||||||||||||||||||||||||
| Class I |
— | — | ||||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(7,087,892 | ) | (7,653,163 | ) | (2,438,542 | ) | (7,539,871 | ) | (6,945,859 | ) | (2,071,912 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets from
|
62,261,375 | 8,431,184 | 50,453,383 | 7,522,650 | 32,009,562 | 593,388 | ||||||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(154,407,745 | ) | (58,488,893 | ) | (50,549,112 | ) | (17,414,417 | ) | 31,872,146 | 86,274 | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
821,343,142 | 879,832,035 | 316,963,300 | 334,377,717 | 31,527,859 | 31,441,585 | ||||||||||||||||||||||||||||||||
| End of Year |
$666,935,397 | $821,343,142 | $266,414,188 | $316,963,300 | $63,400,005 | $31,527,859 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-12
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| Pacific Funds Short Duration Income |
Pacific Funds Core Income |
Pacific Funds ESG Core Bond |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$25,522,881 | $15,175,236 | $27,042,537 | $23,114,633 | $576,618 | $293,036 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(11,698,980 | ) | 4,456,495 | (28,622,791 | ) | 5,283,479 | (732,635 | ) | (411,247 | ) | ||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(4,801,768 | ) | (37,853,242 | ) | (34,169,112 | ) | (57,532,082 | ) | (909,106 | ) | (1,191,228 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
|
9,022,133 | (18,221,511 | ) | (35,749,366 | ) | (29,133,970 | ) | (1,065,123 | ) | (1,309,439 | ) | |||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||||||||||||||
| Total distributable earnings |
||||||||||||||||||||||||||||||||||||||
| Class A |
(3,284,796 | ) | (4,066,243 | ) | (3,381,517 | ) | (6,149,263 | ) | ||||||||||||||||||||||||||||||
| Class C |
(513,979 | ) | (601,474 | ) | (655,987 | ) | (1,387,600 | ) | ||||||||||||||||||||||||||||||
| Class I |
(5,160,079 | ) | (3,741,285 | ) | (3,611,068 | ) | (5,558,014 | ) | (326,110 | ) | (175,208 | ) | ||||||||||||||||||||||||||
| Class P |
(1,259,917 | ) | (1,921,641 | ) | ||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(16,637,874 | ) | (17,809,112 | ) | (18,318,700 | ) | (32,230,826 | ) | (257,276 | ) | (140,089 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(25,596,728 | ) | (26,218,114 | ) | (27,227,189 | ) | (47,247,344 | ) | (583,386 | ) | (315,297 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares |
||||||||||||||||||||||||||||||||||||||
| Class A |
42,654,321 | 54,066,803 | 22,054,511 | 34,288,441 | ||||||||||||||||||||||||||||||||||
| Class C |
6,475,554 | 6,250,383 | 2,784,563 | 3,956,398 | ||||||||||||||||||||||||||||||||||
| Class I |
107,089,786 | 68,799,128 | 41,808,812 | 55,006,519 | 1,476,527 | 4,825,391 | ||||||||||||||||||||||||||||||||
| Class P |
44,537,728 | 613,503 | ||||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
438,584,258 | 397,785,487 | 354,130,856 | 250,242,191 | 776,026 | — | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments |
||||||||||||||||||||||||||||||||||||||
| Class A |
2,726,085 | 3,223,177 | 3,145,628 | 5,604,739 | ||||||||||||||||||||||||||||||||||
| Class C |
502,930 | 589,726 | 607,961 | 1,279,623 | ||||||||||||||||||||||||||||||||||
| Class I |
5,160,079 | 3,740,884 | 3,378,167 | 5,204,582 | 326,110 | 175,208 | ||||||||||||||||||||||||||||||||
| Class P |
1,259,917 | 1,921,641 | ||||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
16,476,429 | 17,531,844 | 14,543,309 | 24,654,705 | 257,276 | 140,089 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased |
||||||||||||||||||||||||||||||||||||||
| Class A |
(99,087,494 | ) | (80,196,055 | ) | (44,789,009 | ) | (62,828,327 | ) | ||||||||||||||||||||||||||||||
| Class C |
(15,330,965 | ) | (16,612,634 | ) | (13,623,292 | ) | (20,821,980 | ) | ||||||||||||||||||||||||||||||
| Class I |
(85,610,817 | ) | (36,709,897 | ) | (39,244,058 | ) | (39,837,090 | ) | (250,920 | ) | (1,668,835 | ) | ||||||||||||||||||||||||||
| Class P |
(6,809,369 | ) | (10,685,252 | ) | ||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(416,534,762 | ) | (542,266,356 | ) | (352,193,736 | ) | (399,986,442 | ) | (779,726 | ) | — | |||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets from
|
3,105,404 | (123,797,510 | ) | 31,591,988 | (151,386,749 | ) | 1,805,293 | 3,471,853 | ||||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(13,469,191 | ) | (168,237,135 | ) | (31,384,567 | ) | (227,768,063 | ) | 156,784 | 1,847,117 | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
1,008,153,658 | 1,176,390,793 | 942,056,075 | 1,169,824,138 | 26,160,085 | 24,312,968 | ||||||||||||||||||||||||||||||||
| End of Year |
$994,684,467 | $1,008,153,658 | $910,671,508 | $942,056,075 | $26,316,869 | $26,160,085 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-13
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| Pacific Funds Strategic Income |
Pacific Funds Floating Rate Income |
Pacific Funds High Income |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$64,258,220 | $40,697,691 | $276,515,381 | $104,754,929 | $6,178,829 | $7,740,135 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(53,802,184 | ) | 19,602,422 | (72,320,227 | ) | 15,781,557 | (10,804,912 | ) | 4,372,551 | |||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(53,762,466 | ) | (89,029,111 | ) | (106,035,238 | ) | (45,242,229 | ) | (2,847,206 | ) | (12,176,508 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
|
(43,306,430 | ) | (28,728,998 | ) | 98,159,916 | 75,294,257 | (7,473,289 | ) | (63,822 | ) | ||||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||||||||||||||
| Total distributable earnings |
||||||||||||||||||||||||||||||||||||||
| Class A |
(5,269,797 | ) | (4,896,474 | ) | (17,114,334 | ) | (8,085,632 | ) | (336,303 | ) | (343,229 | ) | ||||||||||||||||||||||||||
| Class C |
(2,596,783 | ) | (2,411,593 | ) | (6,357,593 | ) | (2,663,094 | ) | (49,491 | ) | (63,949 | ) | ||||||||||||||||||||||||||
| Class I |
(6,867,580 | ) | (1,494,498 | ) | (122,104,543 | ) | (51,912,830 | ) | (245,800 | ) | (3,949 | ) | ||||||||||||||||||||||||||
| Class P |
(4,951,126 | ) | (412,927 | ) | (5,154,278 | ) | (6,925,276 | ) | ||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(54,799,615 | ) | (44,510,973 | ) | (125,590,941 | ) | (41,380,821 | ) | (444,647 | ) | (402,344 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(69,533,775 | ) | (53,313,538 | ) | (276,118,537 | ) | (104,455,304 | ) | (6,230,519 | ) | (7,738,747 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares |
||||||||||||||||||||||||||||||||||||||
| Class A |
31,619,874 | 77,501,261 | 109,999,229 | 167,903,051 | 2,799,692 | 2,692,863 | ||||||||||||||||||||||||||||||||
| Class C |
12,238,686 | 28,612,611 | 37,374,827 | 43,390,442 | 111,506 | 177,294 | ||||||||||||||||||||||||||||||||
| Class I |
79,875,758 | 149,535,103 | 1,032,518,580 | 1,145,075,192 | 11,631,610 | 29,861 | ||||||||||||||||||||||||||||||||
| Class P |
43,203,656 | 43,955,526 | 4,196,897 | 2,614,594 | ||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
650,194,438 | 898,938,253 | 1,363,235,603 | 1,449,607,976 | 17,959,279 | 18,328,335 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments |
||||||||||||||||||||||||||||||||||||||
| Class A |
4,441,645 | 4,101,204 | 16,824,418 | 7,824,984 | 330,846 | 337,407 | ||||||||||||||||||||||||||||||||
| Class C |
2,327,418 | 2,109,232 | 6,296,516 | 2,599,828 | 46,233 | 61,111 | ||||||||||||||||||||||||||||||||
| Class I |
6,864,000 | 1,492,899 | 88,271,477 | 37,869,697 | 245,739 | 3,893 | ||||||||||||||||||||||||||||||||
| Class P |
4,951,126 | 412,927 | 5,154,278 | 6,925,276 | ||||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
48,513,057 | 38,071,594 | 119,908,006 | 39,696,140 | 444,647 | 401,007 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased |
||||||||||||||||||||||||||||||||||||||
| Class A |
(59,921,556 | ) | (44,087,791 | ) | (131,320,297 | ) | (62,861,307 | ) | (3,255,395 | ) | (3,365,390 | ) | ||||||||||||||||||||||||||
| Class C |
(24,520,697 | ) | (20,217,748 | ) | (38,386,996 | ) | (24,013,248 | ) | (439,935 | ) | (811,126 | ) | ||||||||||||||||||||||||||
| Class I |
(90,922,853 | ) | (18,952,136 | ) | (1,393,963,296 | ) | (349,771,424 | ) | (10,452,688 | ) | (4,905 | ) | ||||||||||||||||||||||||||
| Class P |
(68,803,134 | ) | (1,175,828 | ) | (70,181,366 | ) | (14,812,467 | ) | ||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(672,769,339 | ) | (456,469,723 | ) | (1,341,175,400 | ) | (413,872,820 | ) | (15,819,746 | ) | (15,441,294 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets from
|
(12,059,569 | ) | 660,634,759 | (151,065,685 | ) | 2,086,641,136 | (57,228,403 | ) | (2,863,541 | ) | ||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(124,899,774 | ) | 578,592,223 | (329,024,306 | ) | 2,057,480,089 | (70,932,211 | ) | (10,666,110 | ) | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
1,601,304,746 | 1,022,712,523 | 4,060,627,423 | 2,003,147,334 | 149,110,804 | 159,776,914 | ||||||||||||||||||||||||||||||||
| End of Year |
$1,476,404,972 | $1,601,304,746 | $3,731,603,117 | $4,060,627,423 | $78,178,593 | $149,110,804 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-14
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| Pacific Funds Small/Mid-Cap | Pacific Funds Small-Cap | Pacific Funds Small-Cap Value | ||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$690,519 | ($599,939 | ) | $31,327 | ($31,975 | ) | $134,932 | $44,059 | ||||||||||||||||||||||||||||||
| Net realized gain (loss) |
16,889,816 | 49,847,006 | (1,597,503 | ) | 738,950 | 91,400 | 2,054,409 | |||||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(42,506,240 | ) | (54,854,996 | ) | (1,510,621 | ) | (1,529,710 | ) | (2,388,239 | ) | (809,440 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
|
(24,925,905 | ) | (5,607,929 | ) | (3,076,797 | ) | (822,735 | ) | (2,161,907 | ) | 1,289,028 | |||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||||||||||||||||||||||||
| Total distributable earnings |
||||||||||||||||||||||||||||||||||||||
| Class A |
(5,368,144 | ) | (1,346,523 | ) | — | (103,138 | ) | (107,017 | ) | (38,925 | ) | |||||||||||||||||||||||||||
| Class C |
(2,259,619 | ) | (655,137 | ) | — | (39,953 | ) | (18,358 | ) | (11,270 | ) | |||||||||||||||||||||||||||
| Class R6 |
(245,950 | ) | — | — | — | (39,254 | ) | (2,362 | ) | |||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(29,206,718 | ) | (18,391,064 | ) | — | (973,814 | ) | (479,248 | ) | (222,752 | ) | |||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(37,080,431 | ) | (20,392,724 | ) | — | (1,116,905 | ) | (643,877 | ) | (275,309 | ) | |||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares |
||||||||||||||||||||||||||||||||||||||
| Class A |
4,739,586 | 2,550,228 | 197,246 | 199,509 | 1,080,914 | 929,116 | ||||||||||||||||||||||||||||||||
| Class C |
276,869 | 634,737 | 74,346 | 203,959 | 78,970 | 132,407 | ||||||||||||||||||||||||||||||||
| Class R6 |
— | 2,174,573 | — | 1,721,811 | — | 1,445,939 | ||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
10,953,341 | 36,329,682 | 1,658,558 | 13,563,062 | 1,208,059 | 1,873,942 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments |
||||||||||||||||||||||||||||||||||||||
| Class A |
5,308,176 | 1,342,290 | — | 103,138 | 106,930 | 38,925 | ||||||||||||||||||||||||||||||||
| Class C |
2,248,976 | 652,758 | — | 37,886 | 18,358 | 11,270 | ||||||||||||||||||||||||||||||||
| Class R6 |
245,950 | — | — | — | 39,254 | 2,362 | ||||||||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
28,791,233 | 18,249,608 | — | 973,813 | 479,248 | 222,752 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased |
||||||||||||||||||||||||||||||||||||||
| Class A |
(8,937,355 | ) | (5,345,847 | ) | (187,426 | ) | (847,217 | ) | (1,106,103 | ) | (304,250 | ) | ||||||||||||||||||||||||||
| Class C |
(3,287,957 | ) | (1,911,244 | ) | (192,881 | ) | (173,506 | ) | (294,636 | ) | (222,893 | ) | ||||||||||||||||||||||||||
| Class R6 |
(394,591 | ) | (2,684,111 | ) | (387,285 | ) | (1,723,657 | ) | (251,301 | ) | (1,374,589 | ) | ||||||||||||||||||||||||||
| Class I-2 (formerly Advisor Class) |
(101,613,079 | ) | (159,728,442 | ) | (9,191,801 | ) | (6,574,375 | ) | (1,720,295 | ) | (1,135,938 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets from
|
(61,668,851 | ) | (107,735,768 | ) | (8,029,243 | ) | 7,484,423 | (360,602 | ) | 1,619,043 | ||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(123,675,187 | ) | (133,736,421 | ) | (11,106,040 | ) | 5,544,783 | (3,166,386 | ) | 2,632,762 | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
214,780,856 | 348,517,277 | 22,146,760 | 16,601,977 | 20,549,027 | 17,916,265 | ||||||||||||||||||||||||||||||||
| End of Year |
$91,105,669 | $214,780,856 | $11,040,720 | $22,146,760 | $17,382,641 | $20,549,027 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-15
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| PF Inflation Managed Fund |
PF Managed Bond Fund |
PF Short Duration Bond Fund |
||||||||||||||||||||||||||||||||||||
| Year Ended |
Year Ended |
Year Ended |
Year Ended |
Year Ended |
Year Ended |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$2,074,880 | $2,032,761 | $11,270,524 | $9,199,463 | $4,929,330 | $1,124,579 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(141,300 | ) | 578,851 | (53,769,794 | ) | (8,150,083 | ) | (2,287,310 | ) | (563,087 | ) | |||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(4,668,856 | ) | (1,491,191 | ) | 13,066,477 | (26,462,924 | ) | (1,475,787 | ) | (3,197,732 | ) | |||||||||||||||||||||||||||
| Net Increase (Decrease) in Net
Assets |
(2,735,276 | ) | 1,120,421 | (29,432,793 | ) | (25,413,544 | ) | 1,166,233 | (2,636,240 | ) | ||||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||||||||||||||
| Total distributable earnings - Class P |
(2,401,641 | ) | (1,116,614 | ) | (15,119,701 | ) | (11,378,319 | ) | (3,429,473 | ) | (1,203,868 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(2,401,641 | ) | (1,116,614 | ) | (15,119,701 | ) | (11,378,319 | ) | (3,429,473 | ) | (1,203,868 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares - Class P |
4,820,407 | 15,138,607 | 75,509,788 | 7,620,859 | 190,735,845 | 2,804,448 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments - Class P |
2,401,641 | 1,116,614 | 15,119,701 | 11,378,319 | 3,429,473 | 1,203,868 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased - Class P |
(12,970,346 | ) | (4,905,545 | ) | (104,938,343 | ) | (120,421,844 | ) | (35,427,603 | ) | (25,074,753 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
from |
(5,748,298 | ) | 11,349,676 | (14,308,854 | ) | (101,422,666 | ) | 158,737,715 | (21,066,437 | ) | ||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(10,885,215 | ) | 11,353,483 | (58,861,348 | ) | (138,214,529 | ) | 156,474,475 | (24,906,545 | ) | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
44,335,161 | 32,981,678 | 424,104,658 | 562,319,187 | 72,622,186 | 97,528,731 | ||||||||||||||||||||||||||||||||
| End of Year |
$33,449,946 | $44,335,161 | $365,243,310 | $424,104,658 | $229,096,661 | $72,622,186 | ||||||||||||||||||||||||||||||||
| PF Emerging Markets Debt Fund |
PF Growth Fund | PF Large-Cap Value Fund |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$2,182,060 | $2,621,026 | $25,025 | ($555,078 | ) | $2,008,095 | $1,541,321 | |||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(6,614,549 | ) | (2,414,354 | ) | 33,777,301 | 22,289,529 | 9,122,230 | 15,322,723 | ||||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
1,849,575 | (1,051,026 | ) | (56,348,853 | ) | (5,249,979 | ) | (19,382,708 | ) | 5,505,490 | ||||||||||||||||||||||||||||
| Net Increase (Decrease) in Net
Assets |
(2,582,914 | ) | (844,354 | ) | (22,546,527 | ) | 16,484,472 | (8,252,383 | ) | 22,369,534 | ||||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||||||||||||||
| Total distributable earnings - Class P |
(3,522,687 | ) | (3,023,723 | ) | (37,976,618 | ) | (22,120,344 | ) | (13,239,488 | ) | (18,711,066 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(3,522,687 | ) | (3,023,723 | ) | (37,976,618 | ) | (22,120,344 | ) | (13,239,488 | ) | (18,711,066 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares - Class P |
1,443,443 | 1,396,564 | 78,304,215 | 17,674,129 | 33,880,720 | 12,103,309 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments - Class P |
3,522,687 | 3,023,723 | 37,976,618 | 22,120,344 | 13,239,488 | 18,711,066 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased - Class P |
(11,233,420 | ) | (19,092,586 | ) | (68,181,365 | ) | (54,749,885 | ) | (59,741,654 | ) | (41,827,903 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
from |
(6,267,290 | ) | (14,672,299 | ) | 48,099,468 | (14,955,412 | ) | (12,621,446 | ) | (11,013,528 | ) | |||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(12,372,891 | ) | (18,540,376 | ) | (12,423,677 | ) | (20,591,284 | ) | (34,113,317 | ) | (7,355,060 | ) | ||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
42,937,837 | 61,478,213 | 158,591,752 | 179,183,036 | 164,181,857 | 171,536,917 | ||||||||||||||||||||||||||||||||
| End of Year |
$30,564,946 | $42,937,837 | $146,168,075 | $158,591,752 | $130,068,540 | $164,181,857 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-16
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| PF Small-Cap Growth Fund |
PF Small-Cap Value Fund |
PF Emerging Markets Fund |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
($3,154 | ) | ($268,276 | ) | $380,788 | $482,053 | $479,990 | $1,874,574 | ||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(11,593,063 | ) | 3,569,842 | 6,071,445 | 18,647,202 | 2,368,291 | 1,329,138 | |||||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
5,593,074 | (12,618,790 | ) | (17,967,636 | ) | (16,078,447 | ) | (6,372,993 | ) | (35,843,685 | ) | |||||||||||||||||||||||||||
| Net Increase (Decrease) in Net
Assets |
(6,003,143 | ) | (9,317,224 | ) | (11,515,403 | ) | 3,050,808 | (3,524,712 | ) | (32,639,973 | ) | |||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||||||||||||||||||||||||
| Total distributable earnings - Class P |
– | (8,541,961 | ) | (12,008,069 | ) | (13,139,200 | ) | (4,430,991 | ) | (15,375,604 | ) | |||||||||||||||||||||||||||
| Net Decrease from Dividends and |
– | (8,541,961 | ) | (12,008,069 | ) | (13,139,200 | ) | (4,430,991 | ) | (15,375,604 | ) | |||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares - Class P |
11,932,781 | 6,159,445 | 9,752,470 | 1,543,398 | 11,708,433 | 3,882,070 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments - Class P |
– | 8,541,961 | 12,008,069 | 13,139,200 | 4,430,991 | 15,375,604 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased - Class P |
(23,942,442 | ) | (10,433,023 | ) | (53,714,692 | ) | (24,180,494 | ) | (40,173,531 | ) | (25,131,681 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
from |
(12,009,661 | ) | 4,268,383 | (31,954,153 | ) | (9,497,896 | ) | (24,034,107 | ) | (5,874,007 | ) | |||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(18,012,804 | ) | (13,590,802 | ) | (55,477,625 | ) | (19,586,288 | ) | (31,989,810 | ) | (53,889,584 | ) | ||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
49,964,487 | 63,555,289 | 97,322,452 | 116,908,740 | 87,893,294 | 141,782,878 | ||||||||||||||||||||||||||||||||
| End of Year |
$31,951,683 | $49,964,487 | $41,844,827 | $97,322,452 | $55,903,484 | $87,893,294 | ||||||||||||||||||||||||||||||||
| PF International Growth Fund |
PF International Small-Cap Fund |
PF International Value Fund |
||||||||||||||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||||||||||||||
| Net Investment income (loss) |
$132,466 | $366,819 | $654,760 | $726,730 | $1,798,441 | $1,114,552 | ||||||||||||||||||||||||||||||||
| Net realized gain (loss) |
(2,014,126 | ) | 17,859,377 | (9,640,371 | ) | 13,387,897 | (3,195,566 | ) | 2,374,005 | |||||||||||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
360,349 | (20,000,716 | ) | 3,386,301 | (14,392,178 | ) | 1,218,316 | (700,843 | ) | |||||||||||||||||||||||||||||
| Net Increase (Decrease) in Net
Assets |
(1,521,311 | ) | (1,774,520 | ) | (5,599,310 | ) | (277,551 | ) | (178,809 | ) | 2,787,714 | |||||||||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
||||||||||||||||||||||||||||||||||||||
| Total distributable earnings - Class P |
(385,131 | ) | (20,851,939 | ) | (770,538 | ) | (11,214,934 | ) | (1,881,002 | ) | (904,797 | ) | ||||||||||||||||||||||||||
| Net Decrease from Dividends and |
(385,131 | ) | (20,851,939 | ) | (770,538 | ) | (11,214,934 | ) | (1,881,002 | ) | (904,797 | ) | ||||||||||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||||||||||||||
| Proceeds from sale of shares - Class P |
4,238,962 | 1,934,946 | 306,047 | 25,940,487 | 3,552,785 | 42,852,913 | ||||||||||||||||||||||||||||||||
| Dividends and distribution reinvestments - Class P |
385,131 | 20,851,939 | 770,538 | 11,214,934 | 1,881,002 | 904,797 | ||||||||||||||||||||||||||||||||
| Cost of shares repurchased - Class P |
(20,095,118 | ) | (12,889,617 | ) | (42,876,816 | ) | (3,725,917 | ) | (37,890,801 | ) | (3,345,538 | ) | ||||||||||||||||||||||||||
| Net Increase (Decrease) in Net Assets
from |
(15,471,025 | ) | 9,897,268 | (41,800,231 | ) | 33,429,504 | (32,457,014 | ) | 40,412,172 | |||||||||||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(17,377,467 | ) | (12,729,191 | ) | (48,170,079 | ) | 21,937,019 | (34,516,825 | ) | 42,295,089 | ||||||||||||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||||||||||||||
| Beginning of Year |
36,162,089 | 48,891,280 | 58,845,082 | 36,908,063 | 76,724,800 | 34,429,711 | ||||||||||||||||||||||||||||||||
| End of Year |
$18,784,622 | $36,162,089 | $10,675,003 | $58,845,082 | $42,207,975 | $76,724,800 | ||||||||||||||||||||||||||||||||
See Notes to Financial Statements
C-17
Table of Contents
PACIFIC FUNDS
STATEMENTS OF CHANGES IN NET ASSETS (Continued)
| PF Multi-Asset Fund |
PF Real Estate Fund |
|||||||||||||||||||||||||
| Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
Year Ended March 31, 2023 |
Year Ended March 31, 2022 |
|||||||||||||||||||||||
| OPERATIONS |
||||||||||||||||||||||||||
| Net Investment income (loss) |
$14,365,676 | $4,530,345 | $1,007,127 | $379,810 | ||||||||||||||||||||||
| Net realized gain (loss) |
(116,904,085 | ) | 212,594,679 | (5,753,395 | ) | 4,203,651 | ||||||||||||||||||||
| Change in net unrealized appreciation (depreciation) |
(5,854,983 | ) | (138,102,461 | ) | (7,658,021 | ) | 2,037,656 | |||||||||||||||||||
| Net Increase (Decrease) in Net
Assets |
(108,393,392 | ) | 79,022,563 | (12,404,289 | ) | 6,621,117 | ||||||||||||||||||||
| DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS |
|
|||||||||||||||||||||||||
| Total distributable earnings - Class P |
(15,581,251 | ) | (373,547,120 | ) | (1,178,306 | ) | (300,499 | ) | ||||||||||||||||||
| Net Decrease from Dividends and |
(15,581,251 | ) | (373,547,120 | ) | (1,178,306 | ) | (300,499 | ) | ||||||||||||||||||
| CAPITAL SHARE TRANSACTIONS |
||||||||||||||||||||||||||
| Proceeds from sale of shares - Class P |
16,811,430 | 40,267,725 | 10,452,081 | 33,473,105 | ||||||||||||||||||||||
| Dividends and distribution reinvestments - Class P |
15,581,251 | 373,547,120 | 1,178,306 | 300,499 | ||||||||||||||||||||||
| Cost of shares repurchased - Class P |
(189,657,811 | ) | (168,704,096 | ) | (23,026,688 | ) | (6,438,759 | ) | ||||||||||||||||||
| Net Increase (Decrease) in Net Assets
from |
(157,265,130 | ) | 245,110,749 | (11,396,301 | ) | 27,334,845 | ||||||||||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS |
(281,239,773 | ) | (49,413,808 | ) | (24,978,896 | ) | 33,655,463 | |||||||||||||||||||
| NET ASSETS |
||||||||||||||||||||||||||
| Beginning of Year |
1,054,195,834 | 1,103,609,642 | 59,386,767 | 25,731,304 | ||||||||||||||||||||||
| End of Year |
$772,956,061 | $1,054,195,834 | $34,407,871 | $59,386,767 | ||||||||||||||||||||||
See Notes to Financial Statements
C-18
Table of Contents
PACIFIC FUNDS
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.77 | $0.27 | ($1.00 | ) | ($0.73 | ) | ($0.02 | ) | ($0.62 | ) | ($0.64 | ) | $9.40 | 0.68 | % | 0.60 | % | 2.74 | % | (6.71 | %) | $139,384 | 28 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.46 | 0.18 | (0.39 | ) | (0.21 | ) | (0.28 | ) | (0.20 | ) | (0.48 | ) | 10.77 | 0.67 | % | 0.60 | % | 1.53 | % | (2.13 | %) | 174,061 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.83 | 0.16 | 1.80 | 1.96 | (0.33 | ) | — | (0.33 | ) | 11.46 | 0.67 | % | 0.60 | % | 1.47 | % | 19.96 | % | 191,406 | 37 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.23 | 0.17 | (0.35 | ) | (0.18 | ) | (0.20 | ) | (0.02 | ) | (0.22 | ) | 9.83 | 0.68 | % | 0.60 | % | 1.60 | % | (1.95 | %) | 159,186 | 22 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.24 | 0.20 | (0.04 | ) | 0.16 | (0.21 | ) | (0.96 | ) | (1.17 | ) | 10.23 | 0.68 | % | 0.60 | % | 1.83 | % | 1.88 | % | 121,012 | 30 | % | |||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.44 | $0.19 | ($0.96 | ) | ($0.77 | ) | $— | ($0.62 | ) | ($0.62 | ) | $9.05 | 1.43 | % | 1.35 | % | 1.99 | % | (7.34 | %) | $24,031 | 28 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.14 | 0.09 | (0.38 | ) | (0.29 | ) | (0.21 | ) | (0.20 | ) | (0.41 | ) | 10.44 | 1.42 | % | 1.35 | % | 0.78 | % | (2.85 | %) | 37,841 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.59 | 0.08 | 1.74 | 1.82 | (0.27 | ) | — | (0.27 | ) | 11.14 | 1.42 | % | 1.35 | % | 0.72 | % | 18.96 | % | 46,869 | 37 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.97 | 0.09 | (0.35 | ) | (0.26 | ) | (0.10 | ) | (0.02 | ) | (0.12 | ) | 9.59 | 1.43 | % | 1.35 | % | 0.86 | % | (2.72 | %) | 46,909 | 22 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.00 | 0.11 | (0.03 | ) | 0.08 | (0.15 | ) | (0.96 | ) | (1.11 | ) | 9.97 | 1.43 | % | 1.35 | % | 1.08 | % | 1.13 | % | 111,233 | 30 | % | |||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.84 | $0.29 | ($1.00 | ) | ($0.71 | ) | ($0.03 | ) | ($0.62 | ) | ($0.65 | ) | $9.48 | 0.43 | % | 0.35 | % | 2.99 | % | (6.50 | %) | $6,871 | 28 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.52 | 0.21 | (0.39 | ) | (0.18 | ) | (0.30 | ) | (0.20 | ) | (0.50 | ) | 10.84 | 0.42 | % | 0.35 | % | 1.78 | % | (1.84 | %) | 13,647 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.88 | 0.19 | 1.80 | 1.99 | (0.35 | ) | — | (0.35 | ) | 11.52 | 0.42 | % | 0.35 | % | 1.72 | % | 20.17 | % | 11,299 | 37 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.26 | 0.20 | (0.35 | ) | (0.15 | ) | (0.21 | ) | (0.02 | ) | (0.23 | ) | 9.88 | 0.43 | % | 0.35 | % | 1.85 | % | (1.68 | %) | 6,994 | 22 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.26 | 0.22 | (0.03 | ) | 0.19 | (0.23 | ) | (0.96 | ) | (1.19 | ) | 10.26 | 0.43 | % | 0.35 | % | 2.08 | % | 2.26 | % | 6,893 | 30 | % | |||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $11.62 | $0.23 | ($1.14 | ) | ($0.91 | ) | $— | ($1.24 | ) | ($1.24 | ) | $9.47 | 0.67 | % | 0.60 | % | 2.26 | % | (7.59 | %) | $207,516 | 26 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 12.52 | 0.15 | (0.20 | ) | (0.05 | ) | (0.29 | ) | (0.56 | ) | (0.85 | ) | 11.62 | 0.65 | % | 0.60 | % | 1.14 | % | (0.83 | %) | 262,457 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.95 | 0.15 | 2.74 | 2.89 | (0.32 | ) | — | (0.32 | ) | 12.52 | 0.66 | % | 0.60 | % | 1.25 | % | 29.06 | % | 283,474 | 28 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.70 | 0.17 | (0.66 | ) | (0.49 | ) | (0.22 | ) | (0.04 | ) | (0.26 | ) | 9.95 | 0.67 | % | 0.60 | % | 1.55 | % | (4.94 | %) | 231,749 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.58 | 0.18 | (0.06 | ) | 0.12 | (0.20 | ) | (1.80 | ) | (2.00 | ) | 10.70 | 0.68 | % | 0.60 | % | 1.55 | % | 1.91 | % | 199,827 | 45 | % | |||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $11.29 | $0.15 | ($1.12 | ) | ($0.97 | ) | $— | ($1.24 | ) | ($1.24 | ) | $9.08 | 1.42 | % | 1.35 | % | 1.51 | % | (8.37 | %) | $19,045 | 26 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 12.20 | 0.05 | (0.18 | ) | (0.13 | ) | (0.22 | ) | (0.56 | ) | (0.78 | ) | 11.29 | 1.41 | % | 1.35 | % | 0.39 | % | (1.54 | %) | 31,538 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.72 | 0.06 | 2.66 | 2.72 | (0.24 | ) | — | (0.24 | ) | 12.20 | 1.41 | % | 1.35 | % | 0.50 | % | 28.06 | % | 45,349 | 28 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.44 | 0.09 | (0.66 | ) | (0.57 | ) | (0.11 | ) | (0.04 | ) | (0.15 | ) | 9.72 | 1.42 | % | 1.35 | % | 0.80 | % | (5.63 | %) | 48,929 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.34 | 0.09 | (0.06 | ) | 0.03 | (0.13 | ) | (1.80 | ) | (1.93 | ) | 10.44 | 1.43 | % | 1.35 | % | 0.80 | % | 1.11 | % | 136,522 | 45 | % | |||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $11.70 | $0.26 | ($1.15 | ) | ($0.89 | ) | $— | ($1.24 | ) | ($1.24 | ) | $9.57 | 0.41 | % | 0.35 | % | 2.51 | % | (7.36 | %) | $4,479 | 26 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 12.60 | 0.18 | (0.20 | ) | (0.02 | ) | (0.32 | ) | (0.56 | ) | (0.88 | ) | 11.70 | 0.40 | % | 0.35 | % | 1.39 | % | (0.64 | %) | 6,710 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.00 | 0.18 | 2.76 | 2.94 | (0.34 | ) | — | (0.34 | ) | 12.60 | 0.41 | % | 0.35 | % | 1.50 | % | 29.44 | % | 6,126 | 28 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.75 | 0.20 | (0.67 | ) | (0.47 | ) | (0.24 | ) | (0.04 | ) | (0.28 | ) | 10.00 | 0.42 | % | 0.35 | % | 1.80 | % | (4.67 | %) | 5,659 | 20 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.62 | 0.21 | (0.06 | ) | 0.15 | (0.22 | ) | (1.80 | ) | (2.02 | ) | 10.75 | 0.42 | % | 0.35 | % | 1.80 | % | 2.10 | % | 7,701 | 45 | % | |||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $13.33 | $0.17 | ($1.38 | ) | ($1.21 | ) | $— | ($2.18 | ) | ($2.18 | ) | $9.94 | 0.64 | % | 0.60 | % | 1.52 | % | (8.67 | %) | $677,263 | 32 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 14.35 | 0.10 | 0.11 | 0.21 | (0.36 | ) | (0.87 | ) | (1.23 | ) | 13.33 | 0.63 | % | 0.60 | % | 0.68 | % | 0.92 | % | 845,027 | 20 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.60 | 0.12 | 4.06 | 4.18 | (0.32 | ) | (0.11 | ) | (0.43 | ) | 14.35 | 0.64 | % | 0.60 | % | 0.95 | % | 39.61 | % | 897,486 | 27 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.01 | 0.17 | (0.95 | ) | (0.78 | ) | (0.19 | ) | (0.44 | ) | (0.63 | ) | 10.60 | 0.66 | % | 0.60 | % | 1.38 | % | (7.24 | %) | 714,447 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 14.26 | 0.16 | 0.04 | 0.20 | (0.23 | ) | (2.22 | ) | (2.45 | ) | 12.01 | 0.66 | % | 0.60 | % | 1.17 | % | 2.49 | % | 652,731 | 41 | % | ||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $12.98 | $0.08 | ($1.33 | ) | ($1.25 | ) | $— | ($2.18 | ) | ($2.18 | ) | $9.55 | 1.39 | % | 1.35 | % | 0.77 | % | (9.24 | %) | $70,433 | 32 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 14.03 | (0.01 | ) | 0.11 | 0.10 | (0.28 | ) | (0.87 | ) | (1.15 | ) | 12.98 | 1.38 | % | 1.35 | % | (0.07 | %) | 0.14 | % | 107,229 | 20 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.39 | 0.03 | 3.96 | 3.99 | (0.24 | ) | (0.11 | ) | (0.35 | ) | 14.03 | 1.39 | % | 1.35 | % | 0.20 | % | 38.56 | % | 143,244 | 27 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 11.77 | 0.08 | (0.94 | ) | (0.86 | ) | (0.08 | ) | (0.44 | ) | (0.52 | ) | 10.39 | 1.41 | % | 1.35 | % | 0.63 | % | (7.97 | %) | 142,846 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 14.04 | 0.05 | 0.06 | 0.11 | (0.16 | ) | (2.22 | ) | (2.38 | ) | 11.77 | 1.41 | % | 1.35 | % | 0.42 | % | 1.78 | % | 381,170 | 41 | % | ||||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-19
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year or period ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year or Period Ended (1) |
Net Asset Value, Beginning of Year or Period |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year or Period |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year or Period (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate (Continued) (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $13.41 | $0.20 | ($1.38 | ) | ($1.18 | ) | $— | ($2.18 | ) | ($2.18 | ) | $10.05 | 0.39 | % | 0.35 | % | 1.77 | % | (8.39 | %) | $21,881 | 32 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 14.42 | 0.14 | 0.11 | 0.25 | (0.39 | ) | (0.87 | ) | (1.26 | ) | 13.41 | 0.38 | % | 0.35 | % | 0.93 | % | 1.17 | % | 30,378 | 20 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.64 | 0.16 | 4.07 | 4.23 | (0.34 | ) | (0.11 | ) | (0.45 | ) | 14.42 | 0.39 | % | 0.35 | % | 1.20 | % | 39.99 | % | 35,732 | 27 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.05 | 0.20 | (0.96 | ) | (0.76 | ) | (0.21 | ) | (0.44 | ) | (0.65 | ) | 10.64 | 0.41 | % | 0.35 | % | 1.63 | % | (7.07 | %) | 21,729 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 14.29 | 0.19 | 0.04 | 0.23 | (0.25 | ) | (2.22 | ) | (2.47 | ) | 12.05 | 0.41 | % | 0.35 | % | 1.42 | % | 2.75 | % | 26,959 | 41 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $14.33 | $0.11 | ($1.47 | ) | ($1.36 | ) | $— | ($2.61 | ) | ($2.61 | ) | $10.36 | 0.64 | % | 0.60 | % | 0.97 | % | (8.93 | %) | $586,164 | 30 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 15.50 | 0.07 | 0.39 | 0.46 | (0.40 | ) | (1.23 | ) | (1.63 | ) | 14.33 | 0.64 | % | 0.60 | % | 0.46 | % | 2.22 | % | 712,010 | 19 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.59 | 0.11 | 5.19 | 5.30 | (0.23 | ) | (0.16 | ) | (0.39 | ) | 15.50 | 0.64 | % | 0.60 | % | 0.80 | % | 50.27 | % | 743,213 | 28 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.77 | 0.19 | (1.45 | ) | (1.26 | ) | (0.22 | ) | (0.70 | ) | (0.92 | ) | 10.59 | 0.66 | % | 0.60 | % | 1.45 | % | (11.24 | %) | 544,605 | 18 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 15.46 | 0.12 | 0.13 | 0.25 | (0.21 | ) | (2.73 | ) | (2.94 | ) | 12.77 | 0.66 | % | 0.60 | % | 0.84 | % | 2.92 | % | 529,247 | 53 | % | ||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $13.86 | $0.03 | ($1.44 | ) | ($1.41 | ) | $— | ($2.61 | ) | ($2.61 | ) | $9.84 | 1.39 | % | 1.35 | % | 0.22 | % | (9.63 | %) | $64,896 | 30 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 15.06 | (0.04 | ) | 0.38 | 0.34 | (0.31 | ) | (1.23 | ) | (1.54 | ) | 13.86 | 1.39 | % | 1.35 | % | (0.29 | %) | 1.51 | % | 89,501 | 19 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.33 | 0.01 | 5.03 | 5.04 | (0.15 | ) | (0.16 | ) | (0.31 | ) | 15.06 | 1.39 | % | 1.35 | % | 0.05 | % | 48.99 | % | 116,482 | 28 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.45 | 0.09 | (1.41 | ) | (1.32 | ) | (0.10 | ) | (0.70 | ) | (0.80 | ) | 10.33 | 1.41 | % | 1.35 | % | 0.70 | % | (11.81 | %) | 100,768 | 18 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 15.18 | 0.01 | 0.13 | 0.14 | (0.14 | ) | (2.73 | ) | (2.87 | ) | 12.45 | 1.42 | % | 1.35 | % | 0.08 | % | 2.12 | % | 271,000 | 53 | % | ||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $14.44 | $0.15 | ($1.49 | ) | ($1.34 | ) | $— | ($2.61 | ) | ($2.61 | ) | $10.49 | 0.39 | % | 0.35 | % | 1.22 | % | (8.72 | %) | $15,875 | 30 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 15.60 | 0.11 | 0.39 | 0.50 | (0.43 | ) | (1.23 | ) | (1.66 | ) | 14.44 | 0.39 | % | 0.35 | % | 0.71 | % | 2.46 | % | 19,833 | 19 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.65 | 0.14 | 5.23 | 5.37 | (0.26 | ) | (0.16 | ) | (0.42 | ) | 15.60 | 0.39 | % | 0.35 | % | 1.05 | % | 50.62 | % | 20,137 | 28 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.82 | 0.22 | (1.45 | ) | (1.23 | ) | (0.24 | ) | (0.70 | ) | (0.94 | ) | 10.65 | 0.41 | % | 0.35 | % | 1.70 | % | (10.98 | %) | 14,485 | 18 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 15.51 | 0.16 | 0.12 | 0.28 | (0.24 | ) | (2.73 | ) | (2.97 | ) | 12.82 | 0.41 | % | 0.35 | % | 1.09 | % | 3.12 | % | 19,458 | 53 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $16.37 | $0.06 | ($1.74 | ) | ($1.68 | ) | $— | ($3.74 | ) | ($3.74 | ) | $10.95 | 0.66 | % | 0.60 | % | 0.46 | % | (9.53 | %) | $230,188 | 29 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 17.62 | 0.02 | 0.63 | 0.65 | (0.52 | ) | (1.38 | ) | (1.90 | ) | 16.37 | 0.65 | % | 0.60 | % | 0.12 | % | 2.80 | % | 270,691 | 15 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 11.38 | 0.09 | 6.70 | 6.79 | (0.21 | ) | (0.34 | ) | (0.55 | ) | 17.62 | 0.66 | % | 0.60 | % | 0.56 | % | 60.05 | % | 275,818 | 31 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 14.25 | 0.19 | (1.89 | ) | (1.70 | ) | (0.23 | ) | (0.94 | ) | (1.17 | ) | 11.38 | 0.67 | % | 0.60 | % | 1.31 | % | (13.66 | %) | 191,505 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 17.03 | 0.10 | 0.25 | 0.35 | (0.25 | ) | (2.88 | ) | (3.13 | ) | 14.25 | 0.68 | % | 0.60 | % | 0.61 | % | 3.39 | % | 193,470 | 55 | % | ||||||||||||||||||||||||||||||||||
| Class C | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $15.62 | ($0.04 | ) | ($1.66 | ) | ($1.70 | ) | $— | ($3.74 | ) | ($3.74 | ) | $10.18 | 1.41 | % | 1.35 | % | (0.29 | %) | (10.16 | %) | $26,893 | 29 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 16.92 | (0.11 | ) | 0.60 | 0.49 | (0.41 | ) | (1.38 | ) | (1.79 | ) | 15.62 | 1.40 | % | 1.35 | % | (0.63 | %) | 2.04 | % | 35,333 | 15 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.97 | (0.03 | ) | 6.45 | 6.42 | (0.13 | ) | (0.34 | ) | (0.47 | ) | 16.92 | 1.41 | % | 1.35 | % | (0.19 | %) | 58.83 | % | 43,705 | 31 | % | |||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 13.76 | 0.08 | (1.82 | ) | (1.74 | ) | (0.11 | ) | (0.94 | ) | (1.05 | ) | 10.97 | 1.42 | % | 1.35 | % | 0.56 | % | (14.25 | %) | 35,339 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 16.59 | (0.02 | ) | 0.24 | 0.22 | (0.17 | ) | (2.88 | ) | (3.05 | ) | 13.76 | 1.43 | % | 1.35 | % | (0.14 | %) | 2.57 | % | 85,434 | 55 | % | |||||||||||||||||||||||||||||||||
| Class I-2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $16.48 | $0.09 | ($1.74 | ) | ($1.65 | ) | $— | ($3.74 | ) | ($3.74 | ) | $11.09 | 0.41 | % | 0.35 | % | 0.71 | % | (9.25 | %) | $9,333 | 29 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 17.72 | 0.07 | 0.62 | 0.69 | (0.55 | ) | (1.38 | ) | (1.93 | ) | 16.48 | 0.40 | % | 0.35 | % | 0.37 | % | 3.02 | % | 10,940 | 15 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 11.44 | 0.12 | 6.74 | 6.86 | (0.24 | ) | (0.34 | ) | (0.58 | ) | 17.72 | 0.41 | % | 0.35 | % | 0.81 | % | 60.35 | % | 14,855 | 31 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 14.29 | 0.23 | (1.89 | ) | (1.66 | ) | (0.25 | ) | (0.94 | ) | (1.19 | ) | 11.44 | 0.42 | % | 0.35 | % | 1.56 | % | (13.34 | %) | 9,606 | 19 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 17.07 | 0.14 | 0.23 | 0.37 | (0.27 | ) | (2.88 | ) | (3.15 | ) | 14.29 | 0.43 | % | 0.35 | % | 0.86 | % | 3.57 | % | 10,860 | 55 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds Ultra Short Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.92 | $0.31 | ($0.09 | ) | $0.22 | ($0.28 | ) | $— | ($0.28 | ) | $9.86 | 0.73 | % | 0.32 | % | 3.16 | % | 2.30 | % | $13,231 | 51 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.07 | 0.06 | (0.10 | ) | (0.04 | ) | (0.07 | ) | (0.04 | ) | (0.11 | ) | 9.92 | 0.66 | % | 0.32 | % | 0.62 | % | (0.42 | %) | 12,929 | 75 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.65 | 0.12 | 0.44 | 0.56 | (0.12 | ) | (0.02 | ) | (0.14 | ) | 10.07 | 0.70 | % | 0.32 | % | 1.16 | % | 5.81 | % | 12,993 | 96 | % | ||||||||||||||||||||||||||||||||||
| 6/28/2019 - 3/31/2020 | 10.00 | 0.17 | (0.35 | ) | (0.18 | ) | (0.17 | ) | (0.00 | )(7) | (0.17 | ) | 9.65 | 0.87 | % | 0.32 | % | 2.27 | % | (1.81 | %) | 12,273 | 81 | % | ||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-20
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year or period ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year or Period Ended (1) |
Net Asset Value, Beginning of Year or Period |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year or Period |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year or Period (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Ultra Short Income (Continued) (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.92 | $0.31 | ($0.09 | ) | $0.22 | ($0.28 | ) | $— | ($0.28 | ) | $9.86 | 0.77 | % | 0.32 | % | 3.16 | % | 2.30 | % | $50,169 | 51 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.07 | 0.06 | (0.10 | ) | (0.04 | ) | (0.07 | ) | (0.04 | ) | (0.11 | ) | 9.92 | 0.66 | % | 0.32 | % | 0.62 | % | (0.42 | %) | 18,598 | 75 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.65 | 0.12 | 0.44 | 0.56 | (0.12 | ) | (0.02 | ) | (0.14 | ) | 10.07 | 0.69 | % | 0.32 | % | 1.16 | % | 5.81 | % | 18,449 | 96 | % | ||||||||||||||||||||||||||||||||||
| 6/28/2019 - 3/31/2020 | 10.00 | 0.17 | (0.35 | ) | (0.18 | ) | (0.17 | ) | (0.00 | )(7) | (0.17 | ) | 9.65 | 0.97 | % | 0.32 | % | 2.27 | % | (1.81 | %) | 12,401 | 81 | % | ||||||||||||||||||||||||||||||||
| Pacific Funds Short Duration Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.16 | $0.23 | ($0.16 | ) | $0.07 | ($0.23 | ) | $— | ($0.23 | ) | $10.00 | 0.87 | % | 0.75 | % | 2.33 | % | 0.75 | % | $117,609 | 61 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.57 | 0.12 | (0.31 | ) | (0.19 | ) | (0.12 | ) | (0.10 | ) | (0.22 | ) | 10.16 | 0.87 | % | 0.75 | % | 1.14 | % | (1.85 | %) | 174,444 | 60 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.05 | 0.16 | 0.52 | 0.68 | (0.16 | ) | — | (0.16 | ) | 10.57 | 0.88 | % | 0.75 | % | 1.50 | % | 6.78 | % | 204,761 | 76 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.30 | 0.24 | (0.25 | ) | (0.01 | ) | (0.24 | ) | — | (0.24 | ) | 10.05 | 0.99 | % | 0.75 | % | 2.33 | % | (0.13 | %) | 154,309 | 56 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.24 | 0.26 | 0.05 | 0.31 | (0.25 | ) | — | (0.25 | ) | 10.30 | 1.03 | % | 0.75 | % | 2.57 | % | 3.11 | % | 118,935 | 50 | % | |||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.14 | $0.16 | ($0.16 | ) | $0.00 | (7) | ($0.16 | ) | $— | ($0.16 | ) | $9.98 | 1.62 | % | 1.50 | % | 1.58 | % | 0.00 | % | $30,904 | 61 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.55 | 0.04 | (0.31 | ) | (0.27 | ) | (0.04 | ) | (0.10 | ) | (0.14 | ) | 10.14 | 1.62 | % | 1.50 | % | 0.39 | % | (2.59 | %) | 39,891 | 60 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.03 | 0.08 | 0.52 | 0.60 | (0.08 | ) | — | (0.08 | ) | 10.55 | 1.63 | % | 1.50 | % | 0.75 | % | 6.00 | % | 51,385 | 76 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.28 | 0.16 | (0.25 | ) | (0.09 | ) | (0.16 | ) | — | (0.16 | ) | 10.03 | 1.74 | % | 1.50 | % | 1.58 | % | (0.87 | %) | 48,816 | 56 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.22 | 0.19 | 0.05 | 0.24 | (0.18 | ) | — | (0.18 | ) | 10.28 | 1.78 | % | 1.50 | % | 1.82 | % | 2.35 | % | 46,167 | 50 | % | |||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.14 | $0.26 | ($0.16 | ) | $0.10 | ($0.26 | ) | $— | ($0.26 | ) | $9.98 | 0.62 | % | 0.45 | % | 2.63 | % | 1.06 | % | $195,023 | 61 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.56 | 0.15 | (0.32 | ) | (0.17 | ) | (0.15 | ) | (0.10 | ) | (0.25 | ) | 10.14 | 0.62 | % | 0.48 | % | 1.40 | % | (1.69 | %) | 171,154 | 60 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.03 | 0.18 | 0.54 | 0.72 | (0.19 | ) | — | (0.19 | ) | 10.56 | 0.63 | % | 0.50 | % | 1.75 | % | 7.16 | % | 141,974 | 76 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.29 | 0.27 | (0.26 | ) | 0.01 | (0.27 | ) | — | (0.27 | ) | 10.03 | 0.63 | % | 0.50 | % | 2.58 | % | 0.03 | % | 106,402 | 56 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.22 | 0.29 | 0.06 | 0.35 | (0.28 | ) | — | (0.28 | ) | 10.29 | 0.63 | % | 0.50 | % | 2.82 | % | 3.47 | % | 83,436 | 50 | % | |||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.16 | $0.26 | ($0.16 | ) | $0.10 | ($0.26 | ) | $— | ($0.26 | ) | $10.00 | 0.62 | % | 0.50 | % | 2.58 | % | 1.01 | % | $651,148 | 61 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.58 | 0.15 | (0.32 | ) | (0.17 | ) | (0.15 | ) | (0.10 | ) | (0.25 | ) | 10.16 | 0.62 | % | 0.50 | % | 1.39 | % | (1.70 | %) | 622,664 | 60 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.05 | 0.18 | 0.54 | 0.72 | (0.19 | ) | — | (0.19 | ) | 10.58 | 0.63 | % | 0.50 | % | 1.75 | % | 7.14 | % | 778,271 | 76 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.31 | 0.27 | (0.26 | ) | 0.01 | (0.27 | ) | — | (0.27 | ) | 10.05 | 0.73 | % | 0.50 | % | 2.58 | % | 0.02 | % | 717,804 | 56 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.24 | 0.29 | 0.06 | 0.35 | (0.28 | ) | — | (0.28 | ) | 10.31 | 0.78 | % | 0.50 | % | 2.82 | % | 3.46 | % | 483,476 | 50 | % | |||||||||||||||||||||||||||||||||||
| Pacific Funds Core Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.41 | $0.31 | ($0.72 | ) | ($0.41 | ) | ($0.32 | ) | $— | ($0.32 | ) | $9.68 | 0.97 | % | 0.85 | % | 3.25 | % | (3.90 | %) | $99,406 | 118 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.18 | 0.20 | (0.52 | ) | (0.32 | ) | (0.21 | ) | (0.24 | ) | (0.45 | ) | 10.41 | 0.97 | % | 0.85 | % | 1.83 | % | (3.11 | %) | 127,727 | 82 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.60 | 0.22 | 0.66 | 0.88 | (0.22 | ) | (0.08 | ) | (0.30 | ) | 11.18 | 0.98 | % | 0.85 | % | 1.95 | % | 8.29 | % | 160,701 | 102 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.52 | 0.29 | 0.08 | 0.37 | (0.29 | ) | — | (0.29 | ) | 10.60 | 1.09 | % | 0.85 | % | 2.70 | % | 3.51 | % | 140,650 | 70 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.45 | 0.33 | 0.07 | 0.40 | (0.33 | ) | — | (0.33 | ) | 10.52 | 1.13 | % | 0.85 | % | 3.22 | % | 3.99 | % | 82,136 | 93 | % | |||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.41 | $0.24 | ($0.73 | ) | ($0.49 | ) | ($0.24 | ) | $— | ($0.24 | ) | $9.68 | 1.72 | % | 1.60 | % | 2.50 | % | (4.63 | %) | $23,038 | 118 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.18 | 0.12 | (0.53 | ) | (0.41 | ) | (0.12 | ) | (0.24 | ) | (0.36 | ) | 10.41 | 1.72 | % | 1.60 | % | 1.08 | % | (3.84 | %) | 35,731 | 82 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.60 | 0.14 | 0.66 | 0.80 | (0.14 | ) | (0.08 | ) | (0.22 | ) | 11.18 | 1.73 | % | 1.60 | % | 1.20 | % | 7.48 | % | 53,990 | 102 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.52 | 0.21 | 0.08 | 0.29 | (0.21 | ) | — | (0.21 | ) | 10.60 | 1.84 | % | 1.60 | % | 1.95 | % | 2.73 | % | 58,397 | 70 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.46 | 0.26 | 0.06 | 0.32 | (0.26 | ) | — | (0.26 | ) | 10.52 | 1.88 | % | 1.60 | % | 2.47 | % | 3.11 | % | 81,309 | 93 | % | |||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.42 | $0.34 | ($0.72 | ) | ($0.38 | ) | ($0.35 | ) | $— | ($0.35 | ) | $9.69 | 0.72 | % | 0.55 | % | 3.55 | % | (3.60 | %) | $116,338 | 118 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.19 | 0.24 | (0.53 | ) | (0.29 | ) | (0.24 | ) | (0.24 | ) | (0.48 | ) | 10.42 | 0.72 | % | 0.55 | % | 2.13 | % | (2.81 | %) | 118,420 | 82 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.61 | 0.25 | 0.67 | 0.92 | (0.26 | ) | (0.08 | ) | (0.34 | ) | 11.19 | 0.73 | % | 0.55 | % | 2.25 | % | 8.61 | % | 107,857 | 102 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.53 | 0.33 | 0.07 | 0.40 | (0.32 | ) | — | (0.32 | ) | 10.61 | 0.73 | % | 0.55 | % | 3.00 | % | 3.81 | % | 60,355 | 70 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.46 | 0.36 | 0.08 | 0.44 | (0.37 | ) | — | (0.37 | ) | 10.53 | 0.73 | % | 0.55 | % | 3.52 | % | 4.30 | % | 26,394 | 93 | % | |||||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-21
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year or period ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year or Period Ended (1) |
Net Asset Value, Beginning of Year or Period |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year or Period |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year or Period (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Core Income (Continued) (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.45 | $0.34 | ($0.72 | ) | ($0.38 | ) | ($0.35 | ) | $— | ($0.35 | ) | $9.72 | 0.72 | % | 0.55 | % | 3.55 | % | (3.59 | %) | $71,459 | 118 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.23 | 0.24 | (0.54 | ) | (0.30 | ) | (0.24 | ) | (0.24 | ) | (0.48 | ) | 10.45 | 0.72 | % | 0.55 | % | 2.13 | % | (2.88 | %) | 34,896 | 82 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.64 | 0.26 | 0.67 | 0.93 | (0.26 | ) | (0.08 | ) | (0.34 | ) | 11.23 | 0.73 | % | 0.55 | % | 2.25 | % | 8.68 | % | 46,122 | 102 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.56 | 0.33 | 0.08 | 0.41 | (0.33 | ) | — | (0.33 | ) | 10.64 | 0.73 | % | 0.55 | % | 3.00 | % | 3.80 | % | 31,831 | 70 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.49 | 0.37 | 0.07 | 0.44 | (0.37 | ) | — | (0.37 | ) | 10.56 | 0.73 | % | 0.55 | % | 3.52 | % | 4.29 | % | 40,570 | 93 | % | |||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.43 | $0.34 | ($0.72 | ) | ($0.38 | ) | ($0.35 | ) | $— | ($0.35 | ) | $9.70 | 0.72 | % | 0.55 | % | 3.55 | % | (3.60 | %) | $600,431 | 118 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.21 | 0.24 | (0.54 | ) | (0.30 | ) | (0.24 | ) | (0.24 | ) | (0.48 | ) | 10.43 | 0.72 | % | 0.55 | % | 2.13 | % | (2.89 | %) | 625,283 | 82 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.62 | 0.26 | 0.67 | 0.93 | (0.26 | ) | (0.08 | ) | (0.34 | ) | 11.21 | 0.73 | % | 0.55 | % | 2.25 | % | 8.70 | % | 801,154 | 102 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.54 | 0.33 | 0.08 | 0.41 | (0.33 | ) | — | (0.33 | ) | 10.62 | 0.84 | % | 0.55 | % | 3.00 | % | 3.81 | % | 679,287 | 70 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.48 | 0.36 | 0.07 | 0.43 | (0.37 | ) | — | (0.37 | ) | 10.54 | 0.88 | % | 0.55 | % | 3.52 | % | 4.19 | % | 393,645 | 93 | % | |||||||||||||||||||||||||||||||||||
| Pacific Funds ESG Core Bond (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.17 | $0.20 | ($0.58 | ) | ($0.38 | ) | ($0.20 | ) | $— | ($0.20 | ) | $8.59 | 0.88 | % | 0.48 | % | 2.30 | % | (4.12 | %) | $15,172 | 42 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.70 | 0.10 | (0.52 | ) | (0.42 | ) | (0.11 | ) | — | (0.11 | ) | 9.17 | 1.01 | % | 0.48 | % | 1.06 | % | (4.37 | %) | 14,534 | 51 | % | |||||||||||||||||||||||||||||||||
| 12/14/2020 - 3/31/2021 | 10.00 | 0.03 | (0.30 | ) | (0.27 | ) | (0.03 | ) | — | (0.03 | ) | 9.70 | 0.97 | % | 0.48 | % | 0.88 | % | (2.73 | %) | 12,156 | 26 | % | |||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.17 | $0.20 | ($0.58 | ) | ($0.38 | ) | ($0.20 | ) | $— | ($0.20 | ) | $8.59 | 0.88 | % | 0.48 | % | 2.30 | % | |
(4.12 |
%) |
$11,144 | 42 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.70 | 0.10 | (0.52 | ) | (0.42 | ) | (0.11 | ) | — | (0.11 | ) | 9.17 | 1.01 | % | 0.48 | % | 1.06 | % | (4.37 | %) | 11,626 | 51 | % | |||||||||||||||||||||||||||||||||
| 2/14/2020 - 3/31/2021 | 10.00 | 0.03 | (0.30 | ) | (0.27 | ) | (0.03 | ) | — | (0.03 | ) | 9.70 | 0.97 | % | 0.48 | % | 0.88 | % | (2.73 | %) | 12,156 | 26 | % | |||||||||||||||||||||||||||||||||
| Pacific Funds Strategic Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.96 | $0.44 | ($0.72 | ) | ($0.28 | ) | ($0.44 | ) | ($0.04 | ) | ($0.48 | ) | $10.20 | 1.07 | % | 0.94 | % | 4.34 | % | (2.41 | %) | $101,292 | 45 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.52 | 0.33 | (0.47 | ) | (0.14 | ) | (0.32 | ) | (0.10 | ) | (0.42 | ) | 10.96 | 1.07 | % | 0.94 | % | 2.85 | % | (1.30 | %) | 134,612 | 40 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.72 | 0.40 | 1.79 | 2.19 | (0.39 | ) | — | (0.39 | ) | 11.52 | 1.08 | % | 0.95 | % | 3.57 | % | 22.82 | % | 104,659 | 86 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.60 | 0.43 | (0.88 | ) | (0.45 | ) | (0.43 | ) | — | (0.43 | ) | 9.72 | 1.19 | % | 0.95 | % | 3.94 | % | (4.58 | %) | 71,510 | 98 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.71 | 0.47 | (0.11 | ) | 0.36 | (0.47 | ) | — | (0.47 | ) | 10.60 | 1.23 | % | 0.95 | % | 4.43 | % | 3.43 | % | 61,503 | 99 | % | ||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.93 | $0.37 | ($0.72 | ) | ($0.35 | ) | ($0.36 | ) | ($0.04 | ) | ($0.40 | ) | $10.18 | 1.82 | % | 1.68 | % | 3.60 | % | (3.04 | %) | $63,154 | 45 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.49 | 0.25 | (0.47 | ) | (0.22 | ) | (0.24 | ) | (0.10 | ) | (0.34 | ) | 10.93 | 1.82 | % | 1.64 | % | 2.15 | % | (1.99 | %) | 78,497 | 40 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.69 | 0.32 | 1.80 | 2.12 | (0.32 | ) | — | (0.32 | ) | 11.49 | 1.83 | % | 1.65 | % | 2.87 | % | 22.04 | % | 72,157 | 86 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.58 | 0.35 | (0.89 | ) | (0.54 | ) | (0.35 | ) | — | (0.35 | ) | 9.69 | 1.94 | % | 1.65 | % | 3.24 | % | (5.35 | %) | 63,134 | 98 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.69 | 0.39 | (0.11 | ) | 0.28 | (0.39 | ) | — | (0.39 | ) | 10.58 | 1.98 | % | 1.65 | % | 3.73 | % | 2.73 | % | 58,634 | 99 | % | ||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.89 | $0.47 | ($0.71 | ) | ($0.24 | ) | ($0.47 | ) | ($0.04 | ) | ($0.51 | ) | $10.14 | 0.82 | % | 0.64 | % | 4.64 | % | (2.03 | %) | $126,525 | 45 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.45 | 0.36 | (0.46 | ) | (0.10 | ) | (0.36 | ) | (0.10 | ) | (0.46 | ) | 10.89 | 0.82 | % | 0.64 | % | 3.15 | % | (1.02 | %) | 142,365 | 40 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.66 | 0.42 | 1.80 | 2.22 | (0.43 | ) | — | (0.43 | ) | 11.45 | 0.84 | % | 0.65 | % | 3.87 | % | 23.23 | % | 13,842 | 86 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.54 | 0.46 | (0.88 | ) | (0.42 | ) | (0.46 | ) | — | (0.46 | ) | 9.66 | 0.83 | % | 0.65 | % | 4.24 | % | (4.32 | %) | 16,622 | 98 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.65 | 0.50 | (0.11 | ) | 0.39 | (0.50 | ) | — | (0.50 | ) | 10.54 | 0.83 | % | 0.65 | % | 4.73 | % | 3.77 | % | 5,750 | 99 | % | ||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.97 | $0.47 | ($0.73 | ) | ($0.26 | ) | ($0.46 | ) | ($0.04 | ) | ($0.50 | ) | $10.21 | 0.82 | % | 0.69 | % | 4.59 | % | (2.16 | %) | $1,185,434 | 45 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.52 | 0.36 | (0.46 | ) | (0.10 | ) | (0.35 | ) | (0.10 | ) | (0.45 | ) | 10.97 | 0.82 | % | 0.69 | % | 3.10 | % | (0.97 | %) | 1,245,830 | 40 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.72 | 0.43 | 1.79 | 2.22 | (0.42 | ) | — | (0.42 | ) | 11.52 | 0.83 | % | 0.70 | % | 3.82 | % | 23.12 | % | 832,054 | 86 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.60 | 0.45 | (0.87 | ) | (0.42 | ) | (0.46 | ) | — | (0.46 | ) | 9.72 | 0.94 | % | 0.70 | % | 4.19 | % | (4.34 | %) | 491,221 | 98 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.71 | 0.49 | (0.11 | ) | 0.38 | (0.49 | ) | — | (0.49 | ) | 10.60 | 0.98 | % | 0.70 | % | 4.68 | % | 3.70 | % | 456,428 | 99 | % | ||||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-22
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Floating Rate Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.66 | $0.59 | ($0.38 | ) | $0.21 | ($0.59 | ) | $— | ($0.59 | ) | $9.28 | 1.13 | % | 0.98 | %(8) | 6.35 | % | 2.50 | % | $265,188 | 66 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.72 | 0.35 | (0.06 | ) | 0.29 | (0.35 | ) | — | (0.35 | ) | 9.66 | 1.13 | % | 1.00 | % | 3.56 | % | 2.87 | % | 280,827 | 90 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.80 | 0.34 | 0.92 | 1.26 | (0.34 | ) | — | (0.34 | ) | 9.72 | 1.17 | % | 1.02 | % | 3.63 | % | 14.52 | % | 170,353 | 116 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.88 | 0.46 | (1.08 | ) | (0.62 | ) | (0.46 | ) | — | (0.46 | ) | 8.80 | 1.27 | % | 1.02 | % | 4.64 | % | (6.69 | %) | 162,511 | 116 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.12 | 0.49 | (0.24 | ) | 0.25 | (0.49 | ) | — | (0.49 | ) | 9.88 | 1.29 | % | 1.01 | % | 4.92 | % | 2.57 | % | 202,929 | 122 | % | ||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.64 | $0.52 | ($0.37 | ) | $0.15 | ($0.52 | ) | $— | ($0.52 | ) | $9.27 | 1.88 | % | 1.71 | %(8) | 5.61 | % | 1.75 | % | $109,877 | 66 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.71 | 0.28 | (0.07 | ) | 0.21 | (0.28 | ) | — | (0.28 | ) | 9.64 | 1.88 | % | 1.70 | % | 2.86 | % | 2.15 | % | 109,161 | 90 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.79 | 0.28 | 0.92 | 1.20 | (0.28 | ) | — | (0.28 | ) | 9.71 | 1.92 | % | 1.72 | % | 2.93 | % | 13.74 | % | 87,940 | 116 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.86 | 0.39 | (1.08 | ) | (0.69 | ) | (0.38 | ) | — | (0.38 | ) | 8.79 | 2.03 | % | 1.72 | % | 3.94 | % | (7.31 | %) | 102,846 | 116 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.10 | 0.42 | (0.24 | ) | 0.18 | (0.42 | ) | — | (0.42 | ) | 9.86 | 2.04 | % | 1.71 | % | 4.22 | % | 1.86 | % | 197,081 | 122 | % | ||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.67 | $0.62 | ($0.38 | ) | $0.24 | ($0.62 | ) | $— | ($0.62 | ) | $9.29 | 0.88 | % | 0.68 | %(8) | 6.65 | % | 2.69 | % | $1,486,461 | 66 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.73 | 0.38 | (0.06 | ) | 0.32 | (0.38 | ) | — | (0.38 | ) | 9.67 | 0.88 | % | 0.70 | % | 3.86 | % | 3.29 | % | 1,838,625 | 90 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.81 | 0.38 | 0.91 | 1.29 | (0.37 | ) | — | (0.37 | ) | 9.73 | 0.91 | % | 0.72 | % | 3.93 | % | 14.87 | % | 1,019,062 | 116 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.90 | 0.49 | (1.09 | ) | (0.60 | ) | (0.49 | ) | — | (0.49 | ) | 8.81 | 0.91 | % | 0.72 | % | 4.94 | % | (6.49 | %) | 415,170 | 116 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.14 | 0.52 | (0.23 | ) | 0.29 | (0.53 | ) | — | (0.53 | ) | 9.90 | 0.90 | % | 0.71 | % | 5.22 | % | 2.88 | % | 497,335 | 122 | % | ||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.67 | $0.62 | ($0.38 | ) | $0.24 | ($0.62 | ) | $— | ($0.62 | ) | $9.29 | 0.88 | % | 0.68 | %(8) | 6.65 | % | 2.71 | % | $29,744 | 66 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.73 | 0.38 | (0.06 | ) | 0.32 | (0.38 | ) | — | (0.38 | ) | 9.67 | 0.89 | % | 0.70 | % | 3.86 | % | 3.28 | % | 53,045 | 90 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.81 | 0.37 | 0.92 | 1.29 | (0.37 | ) | — | (0.37 | ) | 9.73 | 0.91 | % | 0.72 | % | 3.93 | % | 14.85 | % | 9,560 | 116 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.90 | 0.49 | (1.09 | ) | (0.60 | ) | (0.49 | ) | — | (0.49 | ) | 8.81 | 0.91 | % | 0.72 | % | 4.95 | % | (6.49 | %) | 7,900 | 116 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.14 | 0.53 | (0.25 | ) | 0.28 | (0.52 | ) | — | (0.52 | ) | 9.90 | 0.89 | % | 0.71 | % | 5.22 | % | 2.87 | % | 32,176 | 122 | % | ||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.69 | $0.61 | ($0.37 | ) | $0.24 | ($0.62 | ) | $— | ($0.62 | ) | $9.31 | 0.88 | % | 0.73 | %(8) | 6.60 | % | 2.66 | % | $1,840,333 | 66 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.75 | 0.37 | (0.06 | ) | 0.31 | (0.37 | ) | — | (0.37 | ) | 9.69 | 0.88 | % | 0.75 | % | 3.81 | % | 3.25 | % | 1,778,969 | 90 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.83 | 0.37 | 0.92 | 1.29 | (0.37 | ) | — | (0.37 | ) | 9.75 | 0.91 | % | 0.77 | % | 3.88 | % | 14.78 | % | 716,233 | 116 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.92 | 0.48 | (1.09 | ) | (0.61 | ) | (0.48 | ) | — | (0.48 | ) | 8.83 | 1.03 | % | 0.77 | % | 4.89 | % | (6.52 | %) | 506,347 | 116 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.16 | 0.52 | (0.24 | ) | 0.28 | (0.52 | ) | — | (0.52 | ) | 9.92 | 1.04 | % | 0.76 | % | 5.17 | % | 2.83 | % | 830,452 | 122 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds High Income (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.85 | $0.49 | ($0.81 | ) | ($0.32 | ) | ($0.50 | ) | $— | ($0.50 | ) | $9.03 | 1.16 | % | 0.95 | % | 5.37 | % | (3.09 | %) | $6,141 | 35 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.34 | 0.47 | (0.50 | ) | (0.03 | ) | (0.46 | ) | — | (0.46 | ) | 9.85 | 1.12 | % | 0.95 | % | 4.53 | % | (0.36 | %) | 6,816 | 40 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.75 | 0.51 | 1.59 | 2.10 | (0.51 | ) | — | (0.51 | ) | 10.34 | 1.13 | % | 0.95 | % | 5.13 | % | 24.45 | % | 7,496 | 66 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.07 | 0.52 | (1.33 | ) | (0.81 | ) | (0.51 | ) | — | (0.51 | ) | 8.75 | 1.24 | % | 0.95 | % | 5.11 | % | (8.61 | %) | 7,227 | 63 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.23 | 0.55 | (0.16 | ) | 0.39 | (0.55 | ) | — | (0.55 | ) | 10.07 | 1.31 | % | 0.95 | % | 5.48 | % | 3.97 | % | 5,174 | 64 | % | ||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.83 | $0.42 | ($0.80 | ) | ($0.38 | ) | ($0.43 | ) | $— | ($0.43 | ) | $9.02 | 1.91 | % | 1.68 | % | 4.64 | % | (3.81 | %) | $903 | 35 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.33 | 0.40 | (0.51 | ) | (0.11 | ) | (0.39 | ) | — | (0.39 | ) | 9.83 | 1.87 | % | 1.65 | % | 3.83 | % | (1.17 | %) | 1,291 | 40 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.74 | 0.44 | 1.59 | 2.03 | (0.44 | ) | — | (0.44 | ) | 10.33 | 1.88 | % | 1.65 | % | 4.43 | % | 23.61 | % | 1,937 | 66 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.06 | 0.45 | (1.33 | ) | (0.88 | ) | (0.44 | ) | — | (0.44 | ) | 8.74 | 2.00 | % | 1.65 | % | 4.41 | % | (9.28 | %) | 2,007 | 63 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.21 | 0.48 | (0.15 | ) | 0.33 | (0.48 | ) | — | (0.48 | ) | 10.06 | 2.06 | % | 1.65 | % | 4.78 | % | 3.35 | % | 3,726 | 64 | % | ||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.74 | $0.50 | ($0.80 | ) | ($0.30 | ) | ($0.53 | ) | $— | ($0.53 | ) | $8.91 | 0.92 | % | 0.65 | % | 5.67 | % | (2.91 | %) | $1,694 | 35 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.24 | 0.49 | (0.50 | ) | (0.01 | ) | (0.49 | ) | — | (0.49 | ) | 9.74 | 0.87 | % | 0.69 | % | 4.79 | % | (0.20 | %) | 86 | 40 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.66 | 0.53 | 1.59 | 2.12 | (0.54 | ) | — | (0.54 | ) | 10.24 | 0.88 | % | 0.70 | % | 5.38 | % | 24.76 | % | 62 | 66 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.98 | 0.54 | (1.33 | ) | (0.79 | ) | (0.53 | ) | — | (0.53 | ) | 8.66 | 0.88 | % | 0.70 | % | 5.36 | % | (8.36 | %) | 54 | 63 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.14 | 0.57 | (0.16 | ) | 0.41 | (0.57 | ) | — | (0.57 | ) | 9.98 | 0.91 | % | 0.70 | % | 5.73 | % | 4.27 | % | 175 | 64 | % | ||||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-23
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds High Income (Continued) (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.74 | $0.51 | ($0.80 | ) | ($0.29 | ) | ($0.53 | ) | $— | ($0.53 | ) | $8.92 | 0.91 | % | 0.65 | % | 5.67 | % | (2.83 | %) | $60,734 | 35 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.24 | 0.49 | (0.50 | ) | (0.01 | ) | (0.49 | ) | — | (0.49 | ) | 9.74 | 0.87 | % | 0.69 | % | 4.79 | % | (0.20 | %) | 134,177 | 40 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.66 | 0.53 | 1.59 | 2.12 | (0.54 | ) | — | (0.54 | ) | 10.24 | 0.88 | % | 0.70 | % | 5.38 | % | 24.91 | % | 146,345 | 66 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.98 | 0.54 | (1.33 | ) | (0.79 | ) | (0.53 | ) | — | (0.53 | ) | 8.66 | 0.88 | % | 0.70 | % | 5.36 | % | (8.46 | %) | 120,807 | 63 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.14 | 0.57 | (0.16 | ) | 0.41 | (0.57 | ) | — | (0.57 | ) | 9.98 | 0.91 | % | 0.70 | % | 5.73 | % | 4.27 | % | 113,317 | 64 | % | ||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.87 | $0.51 | ($0.81 | ) | ($0.30 | ) | ($0.52 | ) | — | ($0.52 | ) | $9.05 | 0.91 | % | 0.70 | % | 5.62 | % | (2.84 | %) | $8,707 | 35 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.36 | 0.50 | (0.50 | ) | 0.00 | (7) | (0.49 | ) | — | (0.49 | ) | 9.87 | 0.87 | % | 0.70 | % | 4.78 | % | (0.11 | %) | 6,741 | 40 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.76 | 0.54 | 1.60 | 2.14 | (0.54 | ) | — | (0.54 | ) | 10.36 | 0.88 | % | 0.70 | % | 5.38 | % | 24.86 | % | 3,937 | 66 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.08 | 0.54 | (1.33 | ) | (0.79 | ) | (0.53 | ) | — | (0.53 | ) | 8.76 | 1.00 | % | 0.70 | % | 5.36 | % | (8.38 | %) | 3,329 | 63 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.24 | 0.58 | (0.17 | ) | 0.41 | (0.57 | ) | — | (0.57 | ) | 10.08 | 1.06 | % | 0.70 | % | 5.73 | % | 4.23 | % | 3,669 | 64 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds Small/Mid-Cap (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $15.98 | $0.04 | ($1.91 | ) | ($1.87 | ) | $— | ($4.82 | ) | ($4.82 | ) | $9.29 | 1.29 | % | 1.21 | % | 0.34 | % | (11.41 | %) | $13,055 | 33 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 17.47 | (0.07 | ) | (0.34 | ) | (0.41 | ) | — | (1.08 | ) | (1.08 | ) | 15.98 | 1.23 | % | 1.20 | % | (0.38 | %) | (2.82 | %) | 19,675 | 34 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.52 | (0.04 | ) | 7.99 | 7.95 | — | — | — | 17.47 | 1.24 | % | 1.20 | % | (0.33 | %) | 83.51 | % | 22,988 | 64 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 13.02 | (0.00 | )(7) | (3.47 | ) | (3.47 | ) | (0.03 | ) | — | (0.03 | ) | 9.52 | 1.37 | % | 1.23 | % | (0.03 | %) | (26.71 | %) | 14,379 | 36 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 13.23 | (0.02 | ) | 0.16 | 0.14 | — | (0.35 | ) | (0.35 | ) | 13.02 | 1.48 | % | 1.30 | % | (0.11 | %) | 1.19 | % | 21,872 | 33 | % | ||||||||||||||||||||||||||||||||||
| Class C | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $15.24 | ($0.05 | ) | ($1.82 | ) | ($1.87 | ) | $— | ($4.82 | ) | ($4.82 | ) | $8.55 | 2.04 | % | 1.96 | % | (0.41 | %) | (12.01 | %) | $5,260 | 33 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 16.83 | (0.19 | ) | (0.32 | ) | (0.51 | ) | — | (1.08 | ) | (1.08 | ) | 15.24 | 1.98 | % | 1.95 | % | (1.13 | %) | (3.53 | %) | 9,370 | 34 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.24 | (0.14 | ) | 7.73 | 7.59 | — | — | — | 16.83 | 1.99 | % | 1.95 | % | (1.08 | %) | 82.14 | % | 10,990 | 64 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.70 | (0.10 | ) | (3.36 | ) | (3.46 | ) | — | — | — | 9.24 | 2.13 | % | 1.98 | % | (0.78 | %) | (27.24 | %) | 9,277 | 36 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 13.01 | (0.11 | ) | 0.15 | 0.04 | — | (0.35 | ) | (0.35 | ) | 12.70 | 2.23 | % | 2.05 | % | (0.87 | %) | 0.43 | % | 16,875 | 33 | % | ||||||||||||||||||||||||||||||||||
| Class R6 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $17.17 | $0.09 | ($2.04 | ) | ($1.95 | ) | $— | ($4.82 | ) | ($4.82 | ) | $10.40 | 1.03 | % | 0.86 | % | 0.69 | % | (11.11 | %) | $497 | 33 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 17.61 | (0.01 | ) | (0.43 | ) | (0.44 | ) | — | — | — | 17.17 | 0.98 | % | 0.85 | % | (0.03 | %) | (2.44 | %) | 1,017 | 34 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.59 | 0.00 | (7) | 8.08 | 8.08 | (0.06 | ) | — | (0.06 | ) | 17.61 | 0.99 | % | 0.86 | % | 0.01 | % | 84.32 | % | 1,558 | 64 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 13.12 | 0.04 | (3.50 | ) | (3.46 | ) | (0.07 | ) | — | (0.07 | ) | 9.59 | 1.01 | % | 0.93 | % | 0.27 | % | (26.57 | %) | 4,802 | 36 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 13.29 | 0.02 | 0.16 | 0.18 | (0.00 | )(7) | (0.35 | ) | (0.35 | ) | 13.12 | 1.08 | % | 1.00 | % | 0.19 | % | 1.52 | % | 6,422 | 33 | % | ||||||||||||||||||||||||||||||||||
| Class I-2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $16.12 | $0.08 | ($1.92 | ) | ($1.84 | ) | $— | ($4.82 | ) | ($4.82 | ) | $9.46 | 1.04 | % | 0.96 | % | 0.59 | % | (11.15 | %) | $72,294 | 33 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 17.57 | (0.02 | ) | (0.35 | ) | (0.37 | ) | — | (1.08 | ) | (1.08 | ) | 16.12 | 0.98 | % | 0.95 | % | (0.13 | %) | (2.52 | %) | 184,718 | 34 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.58 | (0.01 | ) | 8.05 | 8.04 | (0.05 | ) | — | (0.05 | ) | 17.57 | 1.00 | % | 0.95 | % | (0.08 | %) | 84.04 | % | 312,981 | 64 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 13.11 | 0.03 | (3.50 | ) | (3.47 | ) | (0.06 | ) | — | (0.06 | ) | 9.58 | 1.12 | % | 0.98 | % | 0.22 | % | (26.61 | %) | 214,344 | 36 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 13.28 | 0.02 | 0.16 | 0.18 | (0.00 | )(7) | (0.35 | ) | (0.35 | ) | 13.11 | 1.23 | % | 1.05 | % | 0.13 | % | 1.50 | % | 328,171 | 33 | % | ||||||||||||||||||||||||||||||||||
| Pacific Funds Small-Cap (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $14.81 | $0.00 | (7) | ($1.80 | ) | ($1.80 | ) | $— | $— | $— | $13.01 | 1.88 | % | 1.20 | % | 0.03 | % | (12.15 | %) | $1,711 | 34 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 16.02 | (0.05 | ) | (0.43 | ) | (0.48 | ) | — | (0.73 | ) | (0.73 | ) | 14.81 | 1.60 | % | 1.20 | % | (0.34 | %) | (3.38 | %) | 1,941 | 63 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.56 | (0.05 | ) | 7.51 | 7.46 | — | — | — | 16.02 | 1.88 | % | 1.20 | % | (0.40 | %) | 87.15 | % | 2,659 | 75 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.12 | (0.03 | ) | (3.51 | ) | (3.54 | ) | (0.02 | ) | — | (0.02 | ) | 8.56 | 1.73 | % | 1.23 | % | (0.21 | %) | (29.27 | %) | 3,343 | 42 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.86 | (0.03 | ) | (0.06 | ) | (0.09 | ) | — | (0.65 | ) | (0.65 | ) | 12.12 | 1.72 | % | 1.30 | % | (0.21 | %) | (0.53 | %) | 4,986 | 56 | % | ||||||||||||||||||||||||||||||||
| Class C | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $14.26 | ($0.09 | ) | ($1.74 | ) | ($1.83 | ) | $— | $— | $— | $12.43 | 2.62 | % | 1.95 | % | (0.72 | %) | (12.83 | %) | $556 | 34 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 15.56 | (0.17 | ) | (0.40 | ) | (0.57 | ) | — | (0.73 | ) | (0.73 | ) | 14.26 | 2.35 | % | 1.95 | % | (1.09 | %) | (4.07 | %) | 776 | 63 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.38 | (0.13 | ) | 7.31 | 7.18 | — | — | — | 15.56 | 2.65 | % | 1.95 | % | (1.15 | %) | 85.68 | % | 789 | 75 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 11.94 | (0.11 | ) | (3.45 | ) | (3.56 | ) | — | — | — | 8.38 | 2.48 | % | 1.98 | % | (0.96 | %) | (29.82 | %) | 538 | 42 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.76 | (0.12 | ) | (0.05 | ) | (0.17 | ) | — | (0.65 | ) | (0.65 | ) | 11.94 | 2.47 | % | 2.05 | % | (0.96 | %) | (1.17 | %) | 902 | 56 | % | ||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-24
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| Pacific Funds Small-Cap (Continued) (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class R6 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $14.52 | $0.05 | ($1.77 | ) | ($1.72 | ) | $— | $— | $— | $12.80 | 1.62 | % | 0.85 | % | 0.38 | % | (11.85 | %) | $1,098 | 34 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 14.98 | 0.00 | (7) | (0.46 | ) | (0.46 | ) | — | — | — | 14.52 | 1.35 | % | 0.85 | % | 0.01 | % | (3.07 | %) | 1,699 | 63 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 7.97 | (0.01 | ) | 7.02 | 7.01 | — | — | — | 14.98 | 1.64 | % | 0.86 | % | (0.06 | %) | 87.72 | % | 1,752 | 75 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 11.29 | 0.01 | (3.28 | ) | (3.27 | ) | (0.05 | ) | — | (0.05 | ) | 7.97 | 1.37 | % | 0.93 | % | 0.09 | % | (29.05 | %) | 731 | 42 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 12.00 | 0.01 | (0.06 | ) | (0.05 | ) | (0.01 | ) | (0.65 | ) | (0.66 | ) | 11.29 | 1.32 | % | 1.00 | % | 0.09 | % | (0.18 | %) | 658 | 56 | % | ||||||||||||||||||||||||||||||||
| Class I-2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $15.14 | $0.04 | ($1.85 | ) | ($1.81 | ) | $— | $— | $— | $13.33 | 1.59 | % | 0.95 | % | 0.28 | % | (11.96 | %) | $7,676 | 34 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 16.32 | (0.01 | ) | (0.44 | ) | (0.45 | ) | — | (0.73 | ) | (0.73 | ) | 15.14 | 1.34 | % | 0.95 | % | (0.09 | %) | (3.13 | %) | 17,732 | 63 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.71 | (0.02 | ) | 7.64 | 7.62 | (0.01 | ) | — | (0.01 | ) | 16.32 | 1.65 | % | 0.95 | % | (0.15 | %) | 87.51 | % | 11,402 | 75 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.32 | 0.00 | (7) | (3.57 | ) | (3.57 | ) | (0.04 | ) | — | (0.04 | ) | 8.71 | 1.48 | % | 0.98 | % | 0.04 | % | (29.07 | %) | 7,897 | 42 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 13.04 | 0.01 | (0.07 | ) | (0.06 | ) | (0.01 | ) | (0.65 | ) | (0.66 | ) | 12.32 | 1.47 | % | 1.05 | % | 0.04 | % | (0.26 | %) | 13,220 | 56 | % | ||||||||||||||||||||||||||||||||
| Pacific Funds Small-Cap Value (6) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class A | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $12.19 | $0.06 | ($1.33 | ) | ($1.27 | ) | $— | ($0.37 | ) | ($0.37 | ) | $10.55 | 1.70 | % | 1.20 | % | 0.52 | % | (10.48 | %) | $2,620 | 48 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.53 | 0.01 | 0.82 | 0.83 | — | (0.17 | ) | (0.17 | ) | 12.19 | 1.65 | % | 1.20 | % | 0.05 | % | 7.15 | % | 2,983 | 40 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 6.15 | 0.02 | 5.41 | 5.43 | (0.05 | ) | — | (0.05 | ) | 11.53 | 1.85 | % | 1.20 | % | 0.23 | % | 88.38 | % | 2,206 | 87 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.10 | 0.04 | (2.92 | ) | (2.88 | ) | (0.07 | ) | — | (0.07 | ) | 6.15 | 1.72 | % | 1.22 | % | 0.41 | % | (31.93 | %) | 1,023 | 45 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.17 | 0.03 | (0.49 | ) | (0.46 | ) | (0.03 | ) | (1.58 | ) | (1.61 | ) | 9.10 | 1.67 | % | 1.30 | % | 0.30 | % | (3.68 | %) | 1,298 | 51 | % | ||||||||||||||||||||||||||||||||
| Class C | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $11.86 | ($0.02 | ) | ($1.29 | ) | ($1.31 | ) | $— | ($0.37 | ) | ($0.37 | ) | $10.18 | 2.45 | % | 1.95 | % | (0.23 | %) | (11.11 | %) | $470 | 48 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.30 | (0.08 | ) | 0.81 | 0.73 | — | (0.17 | ) | (0.17 | ) | 11.86 | 2.40 | % | 1.95 | % | (0.70 | %) | 6.41 | % | 760 | 40 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 6.04 | (0.04 | ) | 5.30 | 5.26 | — | — | — | 11.30 | 2.62 | % | 1.95 | % | (0.52 | %) | 87.09 | % | 801 | 87 | % | ||||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 8.94 | (0.03 | ) | (2.87 | ) | (2.90 | ) | — | — | — | 6.04 | 2.47 | % | 1.97 | % | (0.35 | %) | (32.44 | %) | 644 | 45 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.06 | (0.05 | ) | (0.49 | ) | (0.54 | ) | — | (1.58 | ) | (1.58 | ) | 8.94 | 2.42 | % | 2.05 | % | (0.45 | %) | (4.47 | %) | 1,287 | 51 | % | ||||||||||||||||||||||||||||||||
| Class R6 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $12.39 | $0.10 | ($1.35 | ) | ($1.25 | ) | ($0.01 | ) | ($0.37 | ) | ($0.38 | ) | $10.76 | 1.44 | % | 0.85 | % | 0.87 | % | (10.18 | %) | $926 | 48 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.55 | 0.05 | 0.81 | 0.86 | (0.02 | ) | — | (0.02 | ) | 12.39 | 1.40 | % | 0.85 | % | 0.40 | % | 7.48 | % | 1,318 | 40 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 6.17 | 0.05 | 5.42 | 5.47 | (0.09 | ) | — | (0.09 | ) | 11.55 | 1.61 | % | 0.86 | % | 0.57 | % | 88.95 | % | 1,160 | 87 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.12 | 0.07 | (2.92 | ) | (2.85 | ) | (0.10 | ) | — | (0.10 | ) | 6.17 | 1.36 | % | 0.92 | % | 0.70 | % | (31.67 | %) | 2,314 | 45 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.21 | 0.07 | (0.52 | ) | (0.45 | ) | (0.06 | ) | (1.58 | ) | (1.64 | ) | 9.12 | 1.27 | % | 1.00 | % | 0.60 | % | (3.52 | %) | 3,134 | 51 | % | ||||||||||||||||||||||||||||||||
| Class I-2 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $12.31 | $0.09 | ($1.34 | ) | ($1.25 | ) | ($0.00 | )(7) | ($0.37 | ) | ($0.37 | ) | $10.69 | 1.45 | % | 0.95 | % | 0.77 | % | (10.18 | %) | $13,366 | 48 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.63 | 0.04 | 0.83 | 0.87 | (0.02 | ) | (0.17 | ) | (0.19 | ) | 12.31 | 1.40 | % | 0.95 | % | 0.30 | % | 7.38 | % | 15,488 | 40 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 6.19 | 0.04 | 5.47 | 5.51 | (0.07 | ) | — | (0.07 | ) | 11.63 | 1.61 | % | 0.95 | % | 0.48 | % | 89.25 | % | 13,750 | 87 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.16 | 0.06 | (2.94 | ) | (2.88 | ) | (0.09 | ) | — | (0.09 | ) | 6.19 | 1.47 | % | 0.97 | % | 0.66 | % | (31.79 | %) | 10,018 | 45 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.24 | 0.06 | (0.51 | ) | (0.45 | ) | (0.05 | ) | (1.58 | ) | (1.63 | ) | 9.16 | 1.42 | % | 1.05 | % | 0.55 | % | (3.51 | %) | 11,664 | 51 | % | ||||||||||||||||||||||||||||||||
| PF Inflation Managed Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.93 | $0.51 | ($1.15 | ) | ($0.64 | ) | ($0.63 | ) | $— | ($0.63 | ) | $8.66 | 0.79 | % | 0.60 | %(8) | 5.53 | % | (6.21 | %) | $33,450 | 46 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 9.88 | 0.63 | (0.22 | ) | 0.41 | (0.36 | ) | — | (0.36 | ) | 9.93 | 0.76 | % | 0.57 | % | 6.11 | % | 3.97 | % | 44,335 | 50 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.12 | 0.14 | 0.79 | 0.93 | (0.17 | ) | — | (0.17 | ) | 9.88 | 0.85 | % | 0.61 | % | 1.41 | % | 10.19 | % | 32,982 | 199 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 8.81 | 0.25 | 0.18 | 0.43 | (0.12 | ) | — | (0.12 | ) | 9.12 | 1.25 | % | 1.08 | % | 2.76 | % | 4.94 | % | 20,950 | 249 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 8.88 | 0.16 | 0.05 | 0.21 | (0.28 | ) | — | (0.28 | ) | 8.81 | 1.15 | % | 1.07 | % | 1.86 | % | 2.50 | % | 40,949 | 126 | % | |||||||||||||||||||||||||||||||||||
| PF Managed Bond Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.15 | $0.27 | ($1.04 | ) | ($0.77 | ) | ($0.35 | ) | $— | ($0.35 | ) | $9.03 | 0.68 | % | 0.55 | % | 2.90 | % | (7.38 | %) | $365,243 | 309 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.91 | 0.18 | (0.71 | ) | (0.53 | ) | (0.22 | ) | (0.01 | ) | (0.23 | ) | 10.15 | 0.66 | % | 0.54 | % | 1.67 | % | (5.01 | %) | 424,105 | 154 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 11.03 | 0.20 | 0.34 | 0.54 | (0.16 | ) | (0.50 | ) | (0.66 | ) | 10.91 | 0.66 | % | 0.55 | % | 1.76 | % | 4.69 | % | 562,319 | 492 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 10.56 | 0.32 | 0.41 | 0.73 | (0.14 | ) | (0.12 | ) | (0.26 | ) | 11.03 | 0.82 | % | 0.73 | % | 2.93 | % | 6.89 | % | 386,833 | 512 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.58 | 0.31 | 0.03 | 0.34 | (0.36 | ) | — | (0.36 | ) | 10.56 | 0.72 | % | 0.63 | % | 3.02 | % | 3.43 | % | 497,359 | 520 | % | |||||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-25
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| PF Short Duration Bond Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.72 | $0.29 | ($0.36 | ) | ($0.07 | ) | ($0.16 | ) | $— | ($0.16 | ) | $9.49 | 0.66 | % | 0.55 | % | 3.01 | % | (0.70 | %) | $229,097 | 112 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.14 | 0.12 | (0.41 | ) | (0.29 | ) | (0.13 | ) | — | (0.13 | ) | 9.72 | 0.67 | % | 0.55 | % | 1.19 | % | (2.91 | %) | 72,622 | 76 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.77 | 0.16 | 0.47 | 0.63 | (0.26 | ) | — | (0.26 | ) | 10.14 | 0.66 | % | 0.55 | % | 1.61 | % | 6.47 | % | 97,529 | 98 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.93 | 0.24 | (0.14 | ) | 0.10 | (0.26 | ) | — | (0.26 | ) | 9.77 | 0.65 | % | 0.55 | % | 2.38 | % | 0.97 | % | 122,280 | 109 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 9.79 | 0.23 | 0.07 | 0.30 | (0.16 | ) | — | (0.16 | ) | 9.93 | 0.64 | % | 0.55 | % | 2.34 | % | 3.05 | % | 155,358 | 164 | % | |||||||||||||||||||||||||||||||||||
| PF Emerging Markets Debt Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $7.76 | $0.46 | ($0.84 | ) | ($0.38 | ) | ($0.83 | ) | $— | ($0.83 | ) | $6.55 | 1.18 | % | 0.89 | % | 6.56 | % | (4.40 | %) | $30,565 | 110 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 8.25 | 0.36 | (0.43 | ) | (0.07 | ) | (0.42 | ) | — | (0.42 | ) | 7.76 | 1.13 | % | 0.90 | % | 4.29 | % | (1.11 | %) | 42,938 | 157 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 7.18 | 0.34 | 1.16 | 1.50 | (0.43 | ) | — | (0.43 | ) | 8.25 | 1.18 | % | 0.92 | % | 4.09 | % | 20.47 | % | 61,478 | 89 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.17 | 0.51 | (2.02 | ) | (1.51 | ) | (0.48 | ) | — | (0.48 | ) | 7.18 | 1.14 | % | 0.92 | % | 5.64 | % | (17.58 | %) | 87,623 | 73 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 9.37 | 0.47 | (0.54 | ) | (0.07 | ) | (0.13 | ) | — | (0.13 | ) | 9.17 | 1.09 | % | 0.93 | % | 5.37 | % | (0.61 | %) | 71,599 | 60 | % | |||||||||||||||||||||||||||||||||
| PF Growth Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $29.12 | $0.01 | ($4.62 | ) | ($4.61 | ) | $— | ($12.15 | ) | ($12.15 | ) | $12.36 | 0.86 | % | 0.70 | % | 0.03 | % | (13.10 | %) | $146,168 | 78 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 30.54 | (0.10 | ) | 3.07 | 2.97 | — | (4.39 | ) | (4.39 | ) | 29.12 | 0.77 | % | 0.70 | % | (0.30 | %) | 7.84 | % | 158,592 | 10 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 27.10 | (0.08 | ) | 13.51 | 13.43 | — | (9.99 | ) | (9.99 | ) | 30.54 | 0.78 | % | 0.70 | % | (0.24 | %) | 50.42 | % | 179,183 | 32 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 27.18 | (0.02 | ) | 0.93 | 0.91 | (0.00 | )(7) | (0.99 | ) | (0.99 | ) | 27.10 | 0.77 | % | 0.70 | % | (0.06 | %) | 3.04 | % | 163,575 | 20 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 25.38 | 0.00 | (7) | 3.62 | 3.62 | (0.01 | ) | (1.81 | ) | (1.82 | ) | 27.18 | 0.77 | % | 0.70 | % | 0.01 | % | 14.99 | % | 186,331 | 28 | % | |||||||||||||||||||||||||||||||||
| PF Large-Cap Value Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $12.51 | $0.14 | ($0.73 | ) | ($0.59 | ) | ($0.13 | ) | ($0.79 | ) | ($0.92 | ) | $11.00 | 0.88 | % | 0.80 | % | 1.27 | % | (4.74 | %) | $130,069 | 24 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 12.31 | 0.11 | 1.54 | 1.65 | (0.13 | ) | (1.32 | ) | (1.45 | ) | 12.51 | 0.87 | % | 0.80 | % | 0.87 | % | 13.45 | % | 164,182 | 9 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.66 | 0.14 | 4.72 | 4.86 | (0.17 | ) | (2.04 | ) | (2.21 | ) | 12.31 | 0.88 | % | 0.80 | % | 1.25 | % | 52.63 | % | 171,537 | 29 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 11.95 | 0.20 | (1.62 | ) | (1.42 | ) | (0.17 | ) | (0.70 | ) | (0.87 | ) | 9.66 | 0.87 | % | 0.80 | % | 1.59 | % | (13.51 | %) | 160,365 | 28 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 17.14 | 0.24 | 0.46 | 0.70 | (0.17 | ) | (5.72 | ) | (5.89 | ) | 11.95 | 0.86 | % | 0.80 | % | 1.55 | % | 5.49 | % | 171,046 | 43 | % | ||||||||||||||||||||||||||||||||||
| PF Small-Cap Growth Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $15.82 | ($0.00 | )(7) | ($1.50 | ) | ($1.50 | ) | $— | $— | $— | $14.32 | 0.94 | % | 0.75 | % | (0.01 | %) | (9.48 | %) | $31,952 | 82 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 21.69 | (0.09 | ) | (2.74 | ) | (2.83 | ) | — | (3.04 | ) | (3.04 | ) | 15.82 | 0.87 | % | 0.75 | % | (0.43 | %) | (15.66 | %) | 49,964 | 69 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 14.19 | (0.06 | ) | 12.31 | 12.25 | (0.01 | ) | (4.74 | ) | (4.75 | ) | 21.69 | 0.91 | % | 0.75 | % | (0.27 | %) | 89.21 | % | 63,555 | 139 | % | |||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 18.43 | (0.11 | ) | (2.31 | ) | (2.42 | ) | — | (1.82 | ) | (1.82 | ) | 14.19 | 0.97 | % | 0.75 | % | (0.60 | %) | (14.67 | %) | 17,691 | 126 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 14.84 | (0.09 | ) | 3.80 | 3.71 | — | (0.12 | ) | (0.12 | ) | 18.43 | 0.87 | % | 0.75 | % | (0.55 | %) | 25.05 | % | 15,687 | 127 | % | ||||||||||||||||||||||||||||||||||
| PF Small-Cap Value Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.89 | $0.06 | ($1.13 | ) | ($1.07 | ) | ($0.07 | ) | ($2.76 | ) | ($2.83 | ) | $5.99 | 1.03 | % | 0.90 | % | 0.70 | % | (11.66 | %) | $41,845 | 51 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 10.83 | 0.04 | 0.27 | 0.31 | (0.04 | ) | (1.21 | ) | (1.25 | ) | 9.89 | 0.98 | % | 0.90 | % | 0.41 | % | 2.25 | % | 97,322 | 41 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 5.17 | 0.05 | 5.64 | 5.69 | (0.03 | ) | — | (0.03 | ) | 10.83 | 1.00 | % | 0.90 | % | 0.60 | % | 110.27 | % | 116,909 | 99 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 8.21 | 0.04 | (2.39 | ) | (2.35 | ) | (0.05 | ) | (0.64 | ) | (0.69 | ) | 5.17 | 1.00 | % | 0.90 | % | 0.53 | % | (31.62 | %) | 28,016 | 36 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.22 | 0.04 | (0.56 | ) | (0.52 | ) | (0.03 | ) | (2.46 | ) | (2.49 | ) | 8.21 | 0.97 | % | 0.90 | % | 0.35 | % | (4.23 | %) | 70,618 | 56 | % | ||||||||||||||||||||||||||||||||
| PF Emerging Markets Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $10.04 | $0.08 | ($0.02 | ) | $0.06 | ($0.46 | ) | ($0.48 | ) | ($0.94 | ) | $9.16 | 1.37 | % | 0.95 | % | 0.94 | % | 1.56 | % | $55,903 | 57 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 14.88 | 0.19 | (3.42 | ) | (3.23 | ) | (0.14 | ) | (1.47 | ) | (1.61 | ) | 10.04 | 1.17 | % | 0.95 | % | 1.43 | % | (23.63 | %) | 87,893 | 42 | % | ||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.80 | 0.05 | 5.43 | 5.48 | (0.01 | ) | (0.39 | ) | (0.40 | ) | 14.88 | 1.16 | % | 0.95 | % | 0.37 | % | 56.13 | % | 141,783 | 40 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 14.71 | 0.13 | (1.50 | ) | (1.37 | ) | (0.19 | ) | (3.35 | ) | (3.54 | ) | 9.80 | 1.29 | % | 0.95 | % | 0.90 | % | (14.07 | %) | 97,618 | 65 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 17.30 | 0.13 | (0.95 | ) | (0.82 | ) | (0.09 | ) | (1.68 | ) | (1.77 | ) | 14.71 | 1.16 | % | 0.95 | % | 0.84 | % | (3.61 | %) | 133,887 | 46 | % | ||||||||||||||||||||||||||||||||
| See Notes to Financial Statements | See explanation of references on C-27 |
C-26
Table of Contents
PACIFIC FUNDS
FINANCIAL HIGHLIGHTS (Continued)
Selected per share, ratios and supplemental data for each year ended were as follows:
| Fund |
|
Selected Per Share Data |
|
Ratios to Average Net Assets | Supplemental Data | |||||||||||||||||||||||||||||||||||||||||||||||||||
| Investment Operations | Distributions | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| For the Year Ended (1) |
Net Asset Value, Beginning of Year |
Net Investment Income (Loss) (2) | Net Realized and Unrealized Gain (Loss) |
Total | Net Investment Income | Capital Gains | Total | Net Asset Value, End of Year |
Expenses Before Reductions (3) | Expenses After Reductions (3), (4) | Net Investment Income (Loss) (3) | Total Returns (5) | Net Assets, End of Year (in thousands) |
Portfolio Turnover Rates | ||||||||||||||||||||||||||||||||||||||||||
| PF International Growth Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $6.58 | $0.04 | ($0.04 | ) | $0.00 | (7) | ($0.12 | ) | $— | ($0.12 | ) | $6.46 | 1.35 | % | 0.97 | % | 0.62 | % | 0.24 | % | $18,785 | 32 | % | |||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.53 | 0.08 | 0.08 | 0.16 | (0.09 | ) | (5.02 | ) | (5.11 | ) | 6.58 | 1.23 | % | 0.97 | % | 0.74 | % | (4.56 | %) | 36,162 | 94 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 9.05 | 0.12 | 3.54 | 3.66 | (0.07 | ) | (1.11 | ) | (1.18 | ) | 11.53 | 1.30 | % | 0.99 | % | 1.06 | % | 40.85 | % | 48,891 | 20 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 11.63 | 0.17 | (0.87 | ) | (0.70 | ) | (0.15 | ) | (1.73 | ) | (1.88 | ) | 9.05 | 1.32 | % | 1.00 | % | 1.46 | % | (8.84 | %) | 41,818 | 22 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 20.85 | 0.41 | (1.09 | ) | (0.68 | ) | (0.24 | ) | (8.30 | ) | (8.54 | ) | 11.63 | 1.19 | % | 1.00 | % | 2.32 | % | 0.62 | % | 58,152 | 41 | % | ||||||||||||||||||||||||||||||||
| PF International Small-Cap Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $8.18 | $0.19 | ($0.48 | ) | ($0.29 | ) | ($0.29 | ) | ($0.05 | ) | ($0.34 | ) | $7.55 | 1.42 | % | 1.09 | % | 2.54 | % | (3.27 | %) | $10,675 | 11 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 11.64 | 0.21 | (0.11 | ) | 0.10 | (0.44 | ) | (3.12 | ) | (3.56 | ) | 8.18 | 1.34 | % | 1.09 | % | 1.90 | % | (1.34 | %) | 58,845 | 130 | % | |||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 6.98 | 0.13 | 4.74 | 4.87 | (0.21 | ) | — | (0.21 | ) | 11.64 | 1.34 | % | 1.10 | % | 1.32 | % | 69.98 | % | 36,908 | 39 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.59 | 0.20 | (2.23 | ) | (2.03 | ) | (0.58 | ) | — | (0.58 | ) | 6.98 | 1.43 | % | 1.10 | % | 2.16 | % | (22.94 | %) | 26,982 | 90 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.24 | 0.17 | (1.58 | ) | (1.41 | ) | (0.05 | ) | (0.19 | ) | (0.24 | ) | 9.59 | 1.18 | % | 1.10 | % | 1.61 | % | (12.54 | %) | 31,934 | 50 | % | ||||||||||||||||||||||||||||||||
| PF International Value Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $8.43 | $0.24 | $0.18 | $0.42 | ($0.31 | ) | $— | ($0.31 | ) | $8.54 | 1.14 | % | 0.80 | % | 2.99 | % | 5.24 | % | $42,208 | 34 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 8.05 | 0.26 | 0.34 | 0.60 | (0.22 | ) | — | (0.22 | ) | 8.43 | 1.14 | % | 0.80 | % | 3.03 | % | 7.46 | % | 76,725 | 33 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 5.14 | 0.11 | 2.97 | 3.08 | (0.17 | ) | — | (0.17 | ) | 8.05 | 1.21 | % | 0.80 | % | 1.74 | % | 60.38 | % | 34,430 | 35 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 7.51 | 0.25 | (2.32 | ) | (2.07 | ) | (0.23 | ) | (0.07 | ) | (0.30 | ) | 5.14 | 1.11 | % | 0.80 | % | 3.32 | % | (28.94 | %) | 34,971 | 33 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 10.17 | 0.28 | (1.20 | ) | (0.92 | ) | (0.34 | ) | (1.40 | ) | (1.74 | ) | 7.51 | 0.98 | % | 0.80 | % | 2.99 | % | (8.51 | %) | 64,956 | 54 | % | ||||||||||||||||||||||||||||||||
| PF Multi-Asset Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $9.38 | $0.14 | ($1.05 | ) | ($0.91 | ) | ($0.01 | ) | ($0.14 | ) | ($0.15 | ) | $8.32 | 0.56 | % | 0.51 | % | 1.67 | % | (9.62 | %) | $772,956 | 42 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 12.93 | 0.05 | 1.14 | 1.19 | (0.04 | ) | (4.70 | ) | (4.74 | ) | 9.38 | 0.56 | % | 0.51 | % | 0.40 | % | 7.01 | % | 1,054,196 | 50 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 8.23 | 0.11 | 5.18 | 5.29 | (0.15 | ) | (0.44 | ) | (0.59 | ) | 12.93 | 0.57 | % | 0.51 | % | 1.02 | % | 64.91 | % | 1,103,610 | 53 | % | ||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 9.81 | 0.22 | (1.54 | ) | (1.32 | ) | (0.26 | ) | — | (0.26 | ) | 8.23 | 0.56 | % | 0.51 | % | 2.17 | % | (14.09 | %) | 884,916 | 57 | % | |||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 9.42 | 0.21 | 0.31 | 0.52 | (0.13 | ) | — | (0.13 | ) | 9.81 | 0.56 | % | 0.51 | % | 2.21 | % | 5.72 | % | 1,136,414 | 75 | % | |||||||||||||||||||||||||||||||||||
| PF Real Estate Fund |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Class P | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 4/1/2022 - 3/31/2023 | $16.71 | $0.29 | ($3.46 | ) | ($3.17 | ) | ($0.10 | ) | ($0.29 | ) | ($0.39 | ) | $13.15 | 1.16 | % | 0.90 | % | 2.03 | % | (18.94 | %) | $34,408 | 35 | % | ||||||||||||||||||||||||||||||||
| 4/1/2021 - 3/31/2022 | 13.60 | 0.21 | 3.09 | 3.30 | (0.19 | ) | — | (0.19 | ) | 16.71 | 1.20 | % | 0.90 | % | 1.34 | % | 24.21 | % | 59,387 | 37 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2020 - 3/31/2021 | 10.30 | 0.17 | 3.33 | 3.50 | (0.20 | )(9) | — | (0.20 | ) | 13.60 | 1.16 | % | 0.90 | % | 1.44 | % | 34.16 | % | 25,731 | 38 | % | |||||||||||||||||||||||||||||||||||
| 4/1/2019 - 3/31/2020 | 12.26 | 0.19 | (1.74 | ) | (1.55 | ) | (0.25 | ) | (0.16 | ) | (0.41 | ) | 10.30 | 1.13 | % | 0.90 | % | 1.46 | % | (13.44 | %) | 43,532 | 48 | % | ||||||||||||||||||||||||||||||||
| 4/1/2018 - 3/31/2019 | 11.86 | 0.28 | 1.75 | 2.03 | (0.21 | ) | (1.42 | ) | (1.63 | ) | 12.26 | 1.12 | % | 0.98 | % | 2.31 | % | 18.20 | % | 81,713 | 104 | % | ||||||||||||||||||||||||||||||||||
| (1) | For share classes that commenced operations after April 1, 2018, the first date reported represents the commencement date of operations for that share class. |
| (2) | Net investment income (loss) per share has been calculated using the average shares method. |
| (3) | The ratios are annualized for periods of less than one full year. |
| (4) | The ratios of expenses after expense reductions to average net assets are after advisory fee waivers and adviser expense reimbursements, if any. The expense ratios for all the Portfolio Optimization Funds do not include fees and expenses of the Funds in which they invest. |
| (5) | The total returns include reinvestment of all dividends and capital gain distributions, if any, and do not include deductions of any applicable sales charges. Total returns are not annualized for periods less than one full year. |
| (6) | Advisor Class shares were renamed to Class I-2 shares on August 1, 2022. |
| (7) | Reflects an amount rounding to less than $0.01 per share. |
| (8) | The annualized ratios of expenses, excluding interest expense, after expense reductions to average net assets for the year ended March 31, 2023 are as follows: |
| Fund | Class A | Class C | Class I | Class P | Class I-2 | |||||||
| Pacific Funds Floating Rate Income |
0.96% |
1.69% |
0.66% |
0.66% |
0.71% | |||||||
| PF Inflation Managed Fund |
0.55% |
| (9) | Includes $0.09 per share return of capital distribution. |
| See Notes to Financial Statements |
C-27
Table of Contents
PACIFIC FUNDS
1. ORGANIZATION
Pacific Funds Series Trust (which may be referred to as “Pacific Funds” or the “Trust”) is registered under the Investment Company Act of 1940 (“1940 Act”), as amended, as a diversified, open-end, investment management company, and is organized as a Delaware statutory trust. Pacific Life Fund Advisors LLC (“PLFA” or the “Investment Adviser”) serves as investment adviser to the Trust. As of March 31, 2023, the Trust was comprised of the following twenty-nine separate funds (each individually a “Fund”, and collectively the “Funds”):
| Pacific FundsSM Portfolio Optimization Conservative (1) | Pacific FundsSM Floating Rate Income (2) | PF Large-Cap Value Fund (4) | ||
| Pacific FundsSM Portfolio Optimization Moderate-Conservative (1) | Pacific FundsSM High Income (2) | PF Small-Cap Growth Fund (4) | ||
| Pacific FundsSM Portfolio Optimization Moderate (1) | Pacific FundsSM Small/Mid-Cap (3) | PF Small-Cap Value Fund (4) | ||
| Pacific FundsSM Portfolio Optimization Growth (1) | Pacific FundsSM Small-Cap (3) | PF Emerging Markets Fund (4) | ||
| Pacific FundsSM Portfolio Optimization Aggressive-Growth (1) | Pacific FundsSM Small-Cap Value (3) | PF International Growth Fund (4) | ||
| Pacific FundsSM Ultra Short Income (2) | PF Inflation Managed Fund (4) | PF International Small-Cap Fund (4) | ||
| Pacific FundsSM Short Duration Income (2) | PF Managed Bond Fund (4) | PF International Value Fund (4) | ||
| Pacific FundsSM Core Income (2) | PF Short Duration Bond Fund (4) | PF Multi-Asset Fund (4) | ||
| Pacific FundsSM ESG Core Bond (2) | PF Emerging Markets Debt Fund (4) | PF Real Estate Fund (4) | ||
| Pacific FundsSM Strategic Income (2) | PF Growth Fund (4) | |||
| (1) | These Funds are collectively known as the “Portfolio Optimization Funds” |
| (2) | These Funds are collectively known as the “PF Fixed Income Funds” |
| (3) | These Funds are collectively known as the “PF U.S. Equity Funds” |
| (4) | These Funds are collectively known as the “PF Underlying Funds” |
The Portfolio Optimization Funds offer Class A, Class C, and Class I-2 (formerly named Advisor Class) shares. Each class is distinguished by its applicable sales charges and level of distribution and/or service fees and in general: (i) Class A shares are subject to a maximum 5.50% front-end sales charge (ii) Class C shares are subject to a maximum 1.00% contingent deferred sales charge (“CDSC”); and (iii) Class I-2 shares are sold at net asset value without a sales charge. The sales charge for Class A shares is reduced for purchases of $50,000 or more and may be waived in certain circumstances. There is no sales charge for Class A shares for purchases of $1 million or more, although there is a CDSC of 1.00% on redemptions of such Class A shares within one year of purchase, which may be waived in certain circumstances. Class C shares automatically convert to Class A shares approximately six years after the original purchase date.
The PF Fixed Income Funds offer Class A, Class C, Class I, and Class I-2 shares, except Pacific Funds Ultra Short Income and Pacific Funds ESG Core Bond which offer Class I and Class I-2 shares only. Additionally, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income offer Class P shares. Each class is distinguished by its applicable sales charges and level of distribution and/or service fees and in general: (i) Class A shares of Pacific Funds Short Duration Income and Pacific Funds Floating Rate Income are subject to a maximum 3.00% front-end sales charge, and Class A shares of Pacific Funds Core Income, Pacific Funds Strategic Income, and Pacific Funds High Income are subject to a maximum 4.25% front-end sales charge; (ii) Class C shares are subject to a maximum 1.00% CDSC; and (iii) Class I, Class I-2, and Class P shares are sold at net asset value without a sales charge. The sales charge for Class A shares is reduced for purchases of $100,000 or more and may be waived in certain circumstances. There is no sales charge for Class A shares for purchases of $500,000 or more, although there is a CDSC of 1.00% of such Class A shares within one year of purchase, which may be waived in certain circumstances. Class C shares automatically convert to Class A shares approximately six years after the original purchase date.
The PF U.S. Equity Funds offer Class A, Class C, Class I-2, and Class R6 shares. Each class is distinguished by its applicable sales charges and level of distribution and/or service fees and in general: (i) Class A shares are subject to a maximum 4.25% front-end sales charge; (ii) Class C shares are subject to a maximum 1.00% CDSC; and (iii) Class I-2 and Class R6 shares are sold at net asset value without a sales charge. The sales charge for Class A shares is reduced for purchases of $100,000 or more and may be waived in certain circumstances. There is no sales charge for Class A shares for purchases of $500,000 or more, although there is a CDSC of 1.00% of such Class A shares within one year of purchase, which may be waived in certain circumstances. Class C shares automatically convert to Class A shares approximately six years after the original purchase date.
The PF Underlying Funds offer Class P shares only, which are sold at net asset value. Presently, only the Portfolio Optimization Funds, the Investment Adviser, and certain of its affiliates can invest in Class P shares.
The Trust’s distributor receives all net commissions (front-end sales charges and CDSCs) from the sales of all applicable share classes.
The Portfolio Optimization Funds invest their assets in Class P shares of the PF Underlying Funds as well as Class P shares of Pacific Funds Core Income, Pacific Funds Floating Rate Income and Pacific Funds High Income.
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of the significant accounting policies followed by the Trust in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which may require management to
D-1
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates. Each Fund qualifies as an investment company under U.S. GAAP and follows the accounting and reporting guidance applicable to the Investment Companies Topic of U.S. GAAP.
A. INVESTMENT TRANSACTIONS AND INCOME
Investment transactions are recorded on a trade date basis. Securities purchased or sold on a when-issued or delayed-delivery basis as well as certain loan transactions and mortgage securities (such as Government National Mortgage Association (“GNMA”) securities) may be settled a month or more after the trade date. Dividend income is recorded on the ex-dividend date, except certain dividends from foreign securities, which are recorded as soon as a Fund is informed of the ex-dividend date or upon receipt of the dividend. A Fund’s estimated components of distributions received from real estate investment trusts may be considered income, return of capital distributions or capital gain distributions. Return of capital distributions are recorded as a reduction of cost of the related investments. Interest income, adjusted for amortization of premium and accretion of discount, is recorded daily on an accrual basis. Investment income is recorded net of foreign taxes withheld, if any. A Fund may be subject to foreign taxes on income, gains on investments, or currency repatriation, a portion of which may be recoverable. A Fund will accrue such taxes and reclaims as applicable, based upon the current interpretation of tax rules and regulations that exist in the markets in which that Fund invests. Facility fees and other fees (such as origination fees) received from floating rate senior loan notes purchased by a Fund are amortized over the expected term of each applicable senior loan. Commitment fees received by a Fund relating to unfunded senior loan commitments are amortized to income over the period of the commitment. Consent fees, which are compensation for agreeing to changes in the terms of debt instruments, are recorded as interest income when received. Realized gains and losses from investment transactions are recorded on the basis of identified cost. Gains and losses realized on principal paydowns from mortgage-backed and asset-backed securities are recorded as interest income. Litigation settlements on securities that were previously held are recorded as realized gains on investment securities.
B. DISTRIBUTIONS TO SHAREHOLDERS
All realized capital gains are distributed at least annually for each Fund. Dividends and distributions paid to shareholders are recorded on the ex-dividend date.
For the Portfolio Optimization Funds and PF U.S. Equity Funds, dividends on net investment income, if any, are generally declared and paid annually. For the PF Fixed Income Funds (except Pacific Funds Floating Rate Income and Pacific Funds Ultra Short Income), dividends on net investment income, if any, are generally declared and paid monthly. For Pacific Funds Floating Rate Income and Pacific Funds Ultra Short Income, dividends, if any, are generally declared daily and paid monthly. Dividends may be declared more or less frequently if advantageous to the specific Fund and its shareholders.
Each PF Underlying Fund distributes all of its net investment income, if any, to shareholders at least annually, although distributions could occur more often if advantageous to the applicable Fund and its shareholders. Each PF Underlying Fund may utilize the consent dividend provision of Section 565 of the Internal Revenue Code to effectively distribute income and capital gains for tax purposes even though they are not actually paid by the Fund.
C. FOREIGN CURRENCY TRANSLATION
The Trust’s accounting records are maintained in U.S. dollars. The market value of investments and other assets and liabilities, which are denominated in non-U.S. currencies, are translated into U.S. dollars based on the applicable exchange rates at the end of each business day. Purchases and sales of investments and income and expenses, denominated in foreign currencies, are translated into U.S. dollars at the exchange rates in effect on the transaction date.
None of the Funds separately report the effect of changes in foreign exchange rates from changes in market prices of investments held. Such changes are included with the net realized gain or loss and change in net unrealized appreciation or depreciation on investments. Other foreign currency transactions resulting in realized and unrealized gain or loss, if any, are reported separately as net realized gain or loss on foreign currency transactions and change in net unrealized appreciation or depreciation on foreign currencies.
D. ALLOCATION OF INCOME, EXPENSES, GAINS AND LOSSES
Income, non-class specific expenses, and realized and unrealized gains and losses are allocated on a daily basis to each class of shares based upon the relative portion of net assets of each class. Certain Trust expenses directly attributable to a particular Fund are charged to that Fund (such as fund-specific transactional fees, proxies, liquidations, litigation, and organizational/start-up costs) and class-specific fees and expenses are charged directly to the respective share class within each Fund. Generally, other Trust expenses are allocated proportionately among all the Funds in relation to the net assets of each Fund.
E. OFFERING COSTS
A new Fund bears all costs (or the applicable pro-rata share if there is more than one new Fund) associated with the offering expenses of the Fund including legal and printing. All such costs are amortized as an expense of the new Fund on a straight-line basis over twelve months from commencement of operations.
F. NEW ACCOUNTING PRONOUNCEMENTS
In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2020-04, Reference Rate Reform (Topic 848) – Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The amendments in ASU 2020-04 provide optional temporary financial reporting relief from the effect of certain types of contract modifications due to the discontinuation of the London Interbank Offered Rate (“LIBOR”) for the one week and two month U.S. dollar (“USD”) tenors as well as certain non-USD LIBOR tenors after December 31, 2021, and the discontinuation of certain non-USD LIBOR tenors after December 31, 2022 as well as the overnight and one,
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three, six and twelve month USD LIBOR tenors after June 30, 2023. ASU 2020-04 is effective for certain reference rate-related contract modifications that occurred during the period March 12, 2020 through December 31, 2022. ASU 2020-04 did not have a material impact on these financial statements.
In January 2021, the FASB issued ASU 2021-01. ASU 2021-01 is an update of ASU 2020-04, which is in response to concerns about structural risks of interbank offered rates, and particularly the risk of cessation of LIBOR. Regulators have undertaken reference rate reform initiatives to identify alternative reference rates that are more observable or transaction based and less susceptible to manipulation. ASU 2021- 01 clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The amendments in this update are effective immediately on an elective basis. The amendments in this update do not apply to contract modifications made after December 31, 2022. ASU 2021-01 did not have a material impact on these financial statements.
In June 2022, the FASB issued ASU No. 2022-03, Fair Value Measurement (Topic 820) – Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions. The amendments in ASU 2022-03 clarify that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, should not be considered in measuring fair value. ASU 2022-03 is effective for interim and annual reporting periods beginning after December 15, 2023, with the option of early adoption. Management is currently evaluating the impact, if any, of applying this ASU.
Since August 19, 2022, the Funds have been required to comply with new regulations adopted by the SEC governing the use of derivatives by registered investment companies, namely Rule 18f-4 under the 1940 Act. Rule 18f-4 imposes limits on the amount of derivatives a fund can enter into, eliminates the asset segregation framework currently used by a fund to comply with Section 18 of the 1940 Act, and requires funds, whose use of derivatives is greater than a limited specified amount, to establish and maintain a comprehensive derivatives risk management program and appoint a derivatives risk manager. The implementation of Rule 18f-4 did not have a material impact on the Funds or these financial statements.
In December 2022, the FASB issued ASU 2022-06, “Deferral of the Sunset Date of Topic 848.” ASU 2022-06 is an update of ASU 2020-04, providing additional financial reporting relief. ASU 2022-06 is effective for certain reference rate-related contract modifications that occur during the extended period of March 12, 2020 through December 31, 2024. Like ASU 2020-04, management does not expect ASU 2022-06 to have a material impact on these financial statements.
3. VALUATION AND FAIR VALUE MEASUREMENTS
A. VALUATION POLICY
The Trust’s Board of Trustees (the “Board”) has adopted a policy (“Valuation Policy”) for determining the value of the Trust’s investments each business day. Under the Valuation Policy, and pursuant to regulatory authority, the Board has designated PLFA as its “valuation designee” for fair valuation determinations. PLFA’s Valuation Oversight Committee (“VOC”) values the Funds’ investments in accordance with the Valuation Policy. The methodologies used to value the Funds’ investments are described in greater detail in the Investment Valuation subsection below.
B. DETERMINATION OF NET ASSET VALUE (“NAV”)
Each Fund of the Trust is divided into shares and one or more share classes. The price per share of each class of a Fund’s shares is called its NAV, which is determined by taking the total value of its investments and other assets, subtracting any liabilities, and dividing by the total number of shares outstanding.
The NAVs are calculated once per day on each day that the New York Stock Exchange (“NYSE”) is open, including days when foreign markets and/or bond markets are closed. Each NAV is generally determined as of 4:00 p.m. Eastern Time on days that the NYSE is open. Information that becomes known to the Trust or its agents after the determination of an NAV on a particular day will not normally be used to retroactively adjust the price of a Fund’s investment or the NAV determined earlier that day. Such information may include late dividend notifications, legal or regulatory matters, corporate actions, and corrected/adjusted last sales prices or official closing prices from an exchange. The NAVs will not be calculated on days when the NYSE is closed. There may be a delay in calculating the NAV if: (i) the NYSE is closed on a day other than a NYSE scheduled holiday or weekend, (ii) trading on the NYSE is restricted, (iii) an emergency exists (as determined by the U.S. Securities and Exchange Commission “SEC”), making the sale of investments or determinations of NAV not practicable, or (iv) the SEC permits a delay for the protection of shareholders. Based on information obtained from the NYSE, it is anticipated that the NYSE will be closed when the following annual holidays are observed: New Year’s Day; Martin Luther King, Jr. Day; Washington’s Birthday; Good Friday; Memorial Day; Juneteenth; Independence Day; Labor Day; Thanksgiving Day; and Christmas Day. The NYSE is normally closed on the preceding Friday or subsequent Monday when one of these holidays falls on a Saturday or Sunday, respectively. In addition, the NYSE typically closes early (usually 1:00 p.m. Eastern Time) on the day after Thanksgiving and the day before Christmas Day. Although the Trust expects the same holidays to be observed in the future, the NYSE may modify its holiday schedule or hours of operation at any time.
Certain Funds may hold investments that are primarily listed on foreign exchanges. Because those investments trade on weekends and other days when the Funds do not calculate their NAVs, the value of those investments may change on days when a shareholder will not be able to purchase or redeem shares of those Funds.
In the event the NYSE closes prior to 4:00 p.m. Eastern Time, whether due to a scheduled or unscheduled early close, certain other markets or exchanges may remain open. Generally, the valuation of the securities in those markets or exchanges will follow the valuation procedures described below, which may be after the official closing time of the NYSE.
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C. INVESTMENT VALUATION
The value of each security or other investment is the amount which a Fund might reasonably expect to receive for the investment upon its current sale in the ordinary course of business. For purposes of calculating the NAV, the value of investments held by each Fund is based primarily on pricing data obtained from various sources approved by the VOC.
Domestic Equity Investments
For domestic equity investments (including exchange-traded funds), the Trust generally uses the official closing price or last reported sale price from an exchange and does not normally take into account trading, clearances or settlements that take place after the close of the NYSE. Investments for which no official closing price or last reported sales price are reported are generally valued at the mean between the most recent bid and ask prices obtained from approved pricing services, established market makers, or from broker-dealers.
Foreign Equity Investments
For foreign equity investments, the Trust generally uses the official closing price or the last reported sale price from the principal foreign exchanges. The Trust may adjust for market events occurring between the close of certain foreign exchanges and the close of the NYSE. The Trust has retained an independent statistical analysis service approved by the VOC to assist in determining the value of certain foreign equity investments. This service utilizes proprietary computer models based on historical performance of markets and other considerations to determine adjustments for market events. Quotations of foreign investments in foreign currencies and those valued using forward currency rates are converted into U.S. dollar equivalents using a foreign exchange quotation from an approved source.
Exchange Traded Futures Contracts, Option Contracts, and Swap Agreements
Exchange traded futures contracts, options and swap agreements are generally valued using the settlement price determined by the relevant exchange. Exchange traded futures contracts, options and swap agreements for which no settlement price is reported are valued at the mean between the most recent bid and ask prices obtained from approved pricing services, established market makers, or from broker-dealers.
Over-the-Counter (“OTC”) Investments
OTC investments (including forward commitments, swap agreements and option contracts) are generally valued by approved pricing services that use evaluated prices from various observable market and other factors. Certain OTC swap agreements are valued using industry pricing models, broker quotes or other methodologies pursuant to the Valuation Policy. Forward foreign currency contracts are generally valued using the mean between broker-dealer bid and ask quotations, and foreign currency exchange rates are gathered from approved pricing services.
Domestic and Foreign Debt Investments
Debt investments are generally valued using the mean between bid and ask prices provided by approved pricing and quotation services, which are based upon evaluated prices determined from various observable market and other factors. Certain debt investments are valued by using a benchmark, matrix, or other pricing methodology approved pursuant to the Valuation Policy. Generally, the prices are obtained from approved pricing sources or services as of 4:00 p.m. Eastern Time.
Investments in Mutual Funds
Fund investments in affiliated or unaffiliated mutual funds are valued at their respective published NAVs.
Investment Values Determined by the Valuation Oversight Committee
The Trust’s Valuation Policy also includes methodologies approved for valuing investments in circumstances where pricing data from approved sources is not readily available or deemed to be unreliable. In such circumstances, the Valuation Policy provides that the value of such investments may be determined in accordance with VOC approved formulas and methodologies (“PLFA Pre-Approved Fair Valuation Methodologies”). Under the Valuation Policy these PLFA Pre-Approved Fair Valuation Methodologies may include, among others, amortized cost, the use of broker quotes, the use of purchase prices, last reported sale/trade prices, and benchmark, proxy, and matrix pricing. In the event pricing data from approved sources or PLFA Pre-Approved Fair Valuation Methodologies are not readily available or are determined to be unreliable, the value of the investments will be determined in good faith by the VOC or its delegate pursuant to the Valuation Policy. Valuations determined by the VOC or its delegate may require subjective inputs about the value of such investments. While these valuations are intended to estimate the value a Fund might reasonably expect to receive upon the current sale of the investments in the ordinary course of business, such values may differ from the value that a Fund would actually realize if the investments were sold or values that would be obtained if a different valuation methodology had been used.
D. FAIR VALUE MEASUREMENTS AND DISCLOSURES
The Trust characterizes its investments as Level 1, Level 2, or Level 3 based upon the various inputs or methodologies used to value the investments. Under the Valuation Policy, the VOC determines the level in which each investment is characterized. The VOC includes investment, legal, and compliance members of the Trust’s Investment Adviser, accounting members of the Trust’s Administrator, and the Trust’s Chief Compliance Officer (“CCO”). The three-tier hierarchy of inputs is summarized in the three broad levels listed below:
| • Level 1 - Quoted | prices (unadjusted) in active markets for identical investments |
| • Level 2 - Significant | observable market-based inputs, other than Level 1 quoted prices, or unobservable inputs that are corroborated by market data |
| • Level 3 - Significant | unobservable inputs that are not corroborated by observable market data |
The VOC reviews the Valuation Policy periodically (at least annually) to determine the appropriateness of the pricing methodologies used to value each Fund’s investments. The VOC also periodically evaluates how the Trust’s investments are characterized within the three-tier hierarchy and the appropriateness of third party pricing sources. The VOC also periodically (at least annually) conducts back-testing of the value
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of various Level 2 and Level 3 investments to evaluate the effectiveness of the pricing methodologies including the unobservable inputs used to value those investments. Such back-testing includes comparing Level 2 and Level 3 investment values to subsequently available exchange- traded prices, transaction prices, and/or observable vendor prices. All changes to the Valuation Policy are reported to the Board on a quarterly basis with material policy changes, as determined by the Trust’s CCO, requiring approval by the Board.
The inputs or methodologies used for characterizing each Fund’s investments within the three-tier hierarchy are not necessarily an indication of the relative risks associated with investing in those investments. Foreign equity investments that are valued with the assistance of a statistical research service determined by the VOC or its delegate and based on significant observable inputs are reflected as Level 2. Changes in valuation techniques may result in transfers into or out of an assigned level within the hierarchy. A summary of each Fund’s investments as of March 31, 2023, as categorized under the three-tier hierarchy of inputs, can be found in each Fund’s Schedule of Investments.
The following is a description of valuation inputs and techniques that the Trust currently utilizes to fair value each major category of assets and liabilities:
Equity Securities (Common and Preferred Stock) and Mutual Funds
Equity securities (foreign or domestic) that are actively traded on a securities exchange are fair valued based on quoted prices from the applicable exchange, and to the extent valuation adjustments are not applied to these securities, they are categorized as Level 1. Equity securities traded on inactive markets and certain foreign equity securities are fair valued using significant other observable inputs which include broker-dealer quotes, recently executed transactions adjusted for changes in the benchmark index, or evaluated price quotes received from pricing vendors that take into account the integrity of the market sector and issuer, the individual characteristics of the security, and information received from broker-dealers and other market sources pertaining to the issuer or security. To the extent that these inputs are observable and timely, the fair values of these securities would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Investments in registered mutual funds, including affiliated registered mutual funds, are valued at their respective published NAV and are categorized as Level 1.
U.S. Treasury Obligations
U.S. Treasuries are fair valued based on pricing models that evaluate the mean between the most recently published bid and ask price from market data sources. The models also take into consideration yield curves and data received from active market makers and inter-dealer brokers. Yield curves change daily in response to market conditions and are generally obtained from the new issue market and broker-dealer sources. To the extent that these inputs are observable and timely, the fair values of U.S. Treasury obligations would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Mortgage-Backed and Asset-Backed Securities
Mortgage-backed securities, including government sponsored enterprises, are fair valued using pricing models based on inputs that include issuer type, coupon, and cash flows, mortgage prepayment projection tables and adjustable rate mortgage evaluations that incorporate index data, periodic and life caps, the next coupon reset date, and the convertibility of the bond. To the extent that these inputs are observable and timely, the fair values of mortgage-backed securities would be categorized as Level 2; otherwise the fair value would be categorized as Level 3.
Asset-backed securities and collateralized mortgage obligations are fair valued using pricing models based on a security’s average life volatility. The models also take into account tranche characteristics such as coupon average life, collateral types, ratings, the issuer and tranche type, underlying collateral and performance of the collateral, and discount margin for certain floating rate issues. To the extent that these inputs are observable and timely, the fair values of asset-backed securities and collateralized mortgage obligations would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Municipal Bonds
Municipal bonds are fair valued based on pricing models that take into account, among other factors, information received from market makers and broker-dealers, current trades, bid lists, offerings, market movements, the callability of the bond, state of issuance, benchmark yield curves, and bond insurance. To the extent that these inputs are observable and timely, the fair values of municipal bonds would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Foreign Government Bonds and Notes
Foreign government bonds and notes are fair valued based on discounted cash flow models that incorporate option adjusted spreads along with benchmark curves and credit spreads. In addition, international bond markets are monitored daily for information pertaining to the issuer and/or the specific issue. To the extent that these inputs are observable and timely, the fair values of foreign government bonds and notes would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Corporate Bonds and Notes and U.S. Government Agency Issues
Corporate bonds held by a Fund are generally comprised of two main categories: investment grade bonds and high yield bonds. Investment grade bonds are reported at fair value using various inputs and techniques, which include broker-dealer quotations, live trading levels, recently executed transactions in securities of the issuer or comparable issuers, issuer credit information, and option-adjusted spread models where applicable. Fair values for high yield bonds are based primarily on broker-dealer quotations from relevant market makers and recently executed transactions in securities of the issuer or comparable issuers. The broker-dealer quotations received are supported by credit analysis of the issuer that takes into consideration credit quality assessments, daily trading activity, and the activity of the underlying equities, listed bonds, and sector-specific trends. To the extent that these inputs are observable and timely, the fair values of corporate bonds would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
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U.S. Government Agency Issues are reported at fair value using various inputs and techniques, which include broker-dealer quotations, live trading levels, recently executed transactions in securities of the issuer, issuer credit information, and option-adjusted spread models where applicable. To the extent that these inputs are observable and timely, the fair values of U.S. Government Agency Issues would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Futures Contracts
Futures contracts and options on futures contracts that are actively traded on commodity exchanges are fair valued based on quoted prices from the applicable exchange, and to the extent valuation adjustments are not applied to futures contracts, they are categorized as Level 1. To the extent that valuation adjustments are observable and timely, the fair values of futures contracts would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Option Contracts
Exchange listed option contracts that are traded on securities exchanges are categorized as Level 2 if they are fair valued based on quoted prices from the applicable exchange, or when valuation adjustments are applied to option contracts, or such valuation adjustments are observable and timely, otherwise the fair values would be categorized as Level 3. OTC option contracts are fair valued based on either broker- dealer quotations or pricing models that incorporate various inputs such as interest rates, credit spreads, currency exchange rates and volatility measurements for in-the-money, at-the-money, and out-of-the-money contracts based on a given strike price. To the extent that these inputs are observable and timely, the fair values of OTC option contracts would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Forward Foreign Currency Contracts
Forward foreign currency contracts are fair valued using the mean between broker-dealer bid and ask quotations, and forward foreign currency exchange rates gathered from leading market makers. To the extent that these inputs are observable and timely, the fair values of forward foreign currency contracts would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Swap Agreements
Interest Rate Swaps – Interest rate swaps are fair valued using pricing models that are based on real-time snap shots of relevant interest rate curves that are built using the most actively traded securities for a given maturity. The pricing models also incorporate cash and money market rates. In addition, market data pertaining to interest rate swaps are monitored regularly to ensure that interest rates are properly depicting the current market rate. To the extent that these inputs are observable and timely, the fair values of interest rate swaps would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Credit Default Swaps – Credit default swaps are fair valued using pricing models that take into account, among other factors, information received from market makers and broker-dealers, default probabilities from index specific credit spread curves, recovery rates, and cash flows. To the extent that these inputs are observable and timely, the fair values of credit default swaps would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Total Return Swaps – Total return swaps are fair valued using pricing models that take into account among other factors, index spread curves, nominal values, modified duration values and cash flows. To the extent that these inputs are observable and timely, the fair values of total return swaps would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Senior Loan Notes
Floating rate senior loan notes (“Senior Loans”) are fair valued based on a quoted price received from a single broker-dealer or an average of quoted prices received from multiple broker-dealers or valued relative to other benchmark securities when broker-dealer quotes are unavailable. To the extent that these inputs are observable, the fair values of Senior Loans would be categorized as Level 2; otherwise the fair values would be categorized as Level 3.
Unfunded loan commitments on senior loan participations and assignments, if any, are marked to market daily and valued according to the Trust’s valuation policies and procedures. Any applicable net unrealized appreciation or depreciation at the end of the reporting period is recorded as an asset under investments at value, and any change in net unrealized appreciation or depreciation for the reporting period is recorded within the change in net unrealized appreciation or depreciation on investment securities. Unfunded loan commitments are included in the Schedules of Investments.
The total unfunded loan commitments that could be extended at the option of the borrowers for the fiscal year ended March 31, 2023, are summarized in the following table:
| Fund | Unfunded Loan Commitments |
Value | Net Unrealized Appreciation (Depreciation) |
|||||||||
| Pacific Funds Floating Rate Income | $6,124,628 | $6,006,210 | ($118,418 | ) | ||||||||
4. INVESTMENTS AND RISKS
General Investment Risks
An investment in each Fund represents an indirect investment in the assets owned by that Fund. As with any mutual fund, the value of the assets owned by each Fund may move up or down, and as a result, an investment in a Fund at any point in time may be worth more or less than the original amount invested.
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A Fund’s transactions in listed securities are settled/paid for upon delivery to or from their counterparties; therefore, the risk of counterparty default for listed securities is considered minimal, as delivery of securities sold is only made once a Fund has received payment. Payment is made on a purchase once the securities have been delivered by the counterparty. The trade will fail if either party fails to meet its obligations.
Market and Regulatory Risks
Events in the financial markets and economy may cause volatility and uncertainty and adversely affect Fund performance. Such adverse effects on performance could include a decline in the value and liquidity of securities held by a Fund, unusually high and unanticipated levels of redemptions, an increase in portfolio turnover, a decrease in NAV, and an increase in Fund expenses. It may also be unusually difficult to identify investment risks and opportunities, in which case investment goals may not be met. Market events may affect a single issuer, industry, sector, or the market as a whole. In addition, because of interdependencies between markets, events in one market may adversely impact other markets or issuers in which a Fund invests in unforeseen ways. Traditionally liquid investments may experience periods of diminished liquidity. During a general downturn in the financial markets, multiple asset classes may decline in value and a Fund may lose value, regardless of the individual results of the securities and other instruments in which a Fund invests. It is impossible to predict whether or for how long such market events will continue, particularly if they are unprecedented, unforeseen or widespread events or conditions. Therefore, it is important to understand that the value of your investment may fall, sometimes sharply and for extended periods, and you could lose money. Governmental and regulatory actions, including tax law changes, may also impair Fund management and have unexpected or adverse consequences on particular markets, strategies, or investments. Future market or regulatory events may impact a Fund in unforeseen ways, such as causing the Fund to alter its existing strategies or potentially, to liquidate and close.
U.S. and global markets recently have experienced increased volatility, including as a result of the recent failures in the first quarter of 2023 of certain U.S. and non-U.S. banks, which could be harmful to the Funds and issuers in which they invest. For example, if a bank in which a Fund or issuer has an account fails, any cash or other assets in bank accounts may be temporarily inaccessible or permanently lost by the Fund or issuer. If a bank that provides a subscription line credit facility, asset-based facility, other credit facility and/or other services to an issuer fails, the issuer could be unable to draw funds under its credit facilities or obtain replacement credit facilities or other services from other lending institutions with similar terms. Even if banks used by issuers in which the Funds invest remain solvent, continued volatility in the banking sector could cause or intensify an economic recession, increase the costs of banking services or result in the issuers being unable to obtain or refinance indebtedness at all or on as favorable terms as could otherwise have been obtained. Conditions in the banking sector are evolving, and the scope of any potential impacts to the Funds and issuers, both from market conditions and also potential legislative or regulatory responses, are uncertain. Continued market volatility and uncertainty and/or a downturn in market and economic and financial conditions, as a result of developments in the banking industry or otherwise (including as a result of delayed access to cash or credit facilities), could have an adverse impact on the Funds and issuers in which they invest.
Natural Disasters Risk
Natural disasters occur throughout the world and include events such as blizzards and ice storms, earthquakes, floods, hurricanes, pandemics, tidal waves, tornadoes, tsunamis, typhoons, volcanic eruptions, and wildfires. Although specific types of natural disasters may occur more frequently in certain geographic locations, such events are by their nature unpredictable and may cause sudden, severe and widespread damage that negatively impacts issuers, regions and economies in which a Fund invests. Should a Fund hold significant investments in, or have significant exposure to, an issuer, region or economy affected by a natural disaster, the Fund may lose money. Due to the interconnectedness of the global economy, natural disasters in one location may negatively impact issuers in other locations.
An outbreak of infectious respiratory illness caused by the novel coronavirus known as COVID-19 was first detected in China in 2019 before spreading worldwide and being declared a global pandemic by the World Health Organization in March 2020. COVID-19 resulted in travel restrictions, closed international borders, enhanced health screenings, disruption and delays in healthcare services, prolonged quarantines, cancellations, temporary store closures, social distancing, government ordered curfews and business closures, disruptions to supply chains and consumer activity, shortages, highly volatile financial markets, and general concern and uncertainty. The impact of other infectious illness outbreaks that may arise in the future could adversely affect the economies and capital markets of many nations or the entire global economy, as well as individual companies, entire sectors, and securities and commodities markets (including liquidity), in ways that may not necessarily be foreseen at the present time, which could result in losses to a Fund. Health crises in the future may exacerbate other pre-existing political, social and economic risks, and its impact in developing or emerging market countries may be greater due to less established health care systems. The duration and ultimate impact of any future outbreak may be short term or may last for an extended period of time.
LIBOR Transition Risk
Certain investments may rely on, and are therefore subject to risks related to the expected discontinuation of, LIBOR. LIBOR is intended to represent the rate at which contributing banks may obtain short-term borrowings from each other in the London interbank market as determined by ICE Benchmark Administration (“IBA”), the administrator of LIBOR. Previously, the Financial Conduct Authority (“FCA”), which regulates financial markets and financial services firms in the United Kingdom, announced that it will no longer compel the banks to continue to submit the daily rates for the calculation of LIBOR after 2021 and warned that LIBOR may cease to be available or appropriate for use beyond 2021. More recently, the FCA announced that USD LIBOR will cease to be published by the IBA or any other administrator, or will no longer be representative after June 30, 2023 for the most common tenors (overnight and one, three, six and twelve month), and ceased publishing for the less common tenors of USD LIBOR (one week and two month) and most tenors of non-USD LIBOR after December 31, 2021. Certain sterling (three month) and yen (one, three and six month) LIBOR settings were published on a “synthetic” basis through the end of 2022. The one and six month sterling LIBOR settings were published on a “synthetic” basis through March 31, 2023.
Although the transition process away from LIBOR has become increasingly well-defined in advance of the discontinuation dates, there remains uncertainty regarding the transition to, and nature of, any selected replacement rates, as well as the impact on investments that
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currently utilize LIBOR. There is no assurance that the composition or characteristics of any such alternative reference rate will be similar to or produce the same value or economic equivalence as LIBOR or that it will have the same volume or liquidity as did LIBOR prior to its discontinuance or unavailability, which may affect the value or liquidity or return on certain of the Fund’s investments and result in costs incurred in connection with closing out positions that reference LIBOR and entering into new trades referencing alternative rates. The transition process away from LIBOR may result in increased volatility or illiquidity in markets for the Fund’s investments that currently rely on LIBOR as well as a reduction in the value of these investments. The potential risk of reduction in value of these investments may be heightened for those investments that do not include fallback provisions that address the cessation of LIBOR.
For investments that do not have adequate fallback provisions to address the cessation of LIBOR, the Adjustable Interest Rate (LIBOR) Act was signed into law on March 15, 2022. This law provides a statutory fallback mechanism on a nationwide basis to replace LIBOR with a benchmark rate that is selected by the Board of Governors of the Federal Reserve System and based on the Secured Overnight Financing Rate (“SOFR”) (which measures the cost of overnight borrowings through repurchase agreement transactions collateralized with U.S. Treasury securities) for certain investments that reference LIBOR and contain no, or insufficient, fallback provisions. It is uncertain what impact such legislation may have.
Alteration of the terms of a debt instrument or a modification of the terms of other types of contracts to replace LIBOR or another interbank offered rate (“IBOR”) with a new reference rate could result in a taxable exchange and the realization of income and gain/loss for U.S. federal income tax purposes. The IRS has issued final regulations regarding the tax consequences of the transition from IBOR to a new reference rate in debt instruments and non-debt contracts. Under the final regulations, alteration or modification of the terms of a debt instrument to replace an operative rate that uses a discontinued IBOR with a qualified rate (as defined in the final regulations) including true up payments equalizing the fair market value of contracts before and after such IBOR transition, to add a qualified rate as a fallback rate to a contract whose operative rate uses a discontinued IBOR or to replace a fallback rate that uses a discontinued IBOR with a qualified rate would not be taxable. These federal income tax consequences would apply only to the shareholders of the Funds (the insurance companies offering the variable products and as applicable certain funds of funds of the Trust), but there would not be federal income tax consequences to the contract holders of the variable products. The IRS may provide additional guidance, with potential retroactive effect.
Fund of Funds Investments
The Portfolio Optimization Funds are exposed to the same risks as the applicable Funds in which a Portfolio Optimization Funds invests (PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income), in direct proportion to the allocation of assets among those Funds.
Allocations by the Portfolio Optimization Funds among the PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income are determined using an asset allocation process, which seeks to optimize returns by allocating among different asset classes given various levels of risk tolerance. The allocations of the Portfolio Optimization Funds may not effectively decrease risk or increase returns for investors, and the selection and weighting of allocations to asset classes and/or PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income may cause them to underperform other mutual funds with a similar investment objective. Although the Portfolio Optimization Funds seek to provide diversification across major asset classes, they may invest a significant portion of their assets in any one or several PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income.
The Portfolio Optimization Funds shareholders also bear indirectly their proportionate share of the expenses of the underlying funds in which the Portfolio Optimization Funds invest.
Equity Investments
Stock markets are volatile. Equity investments tend to go up and down in value, sometimes rapidly and unpredictably, in response to many factors, including a company’s historical and prospective earnings, the value of its assets, general economic conditions, interest rates, investor perceptions, and market liquidity. Due to the complexities of markets, events in one market or sector may adversely impact other markets or sectors.
Debt Investments
Debt investments are subject to many risks, including, but not limited to, interest rate risk, credit risk, market and regulatory risk, price volatility, and liquidity risk, which may affect their value. Many debt securities give the issuer the right to redeem (“call”) the security prior to maturity. If an issuer calls a security in which a Fund has invested, the Fund may not recoup the full amount of its initial investment in the security and may be forced to reinvest prepayment proceeds at a time when yields on securities available in the market are lower than the yield on the called security. There is a risk that an issuer or guarantor of a debt investment might be unable or unwilling to meet its financial obligations and might not make interest or principal payments on an instrument when those payments are due (“default”). Defaults may potentially reduce a Fund’s income or ability to recover amounts due and may reduce the value of the debt investment, sometimes dramatically. High yield/high risk or “junk” securities may be more volatile than higher rated securities. High yield/high risk securities (including loans) are typically issued by companies that are highly leveraged, less creditworthy, or financially distressed and are considered to be mostly speculative in nature (high risk), subject to greater liquidity risk, and subject to a greater risk of default than higher rated securities, especially during periods of economic uncertainty or during economic downturns. Debt investments, including bonds, fixed rate loans, and short-term instruments may be affected by changes in interest rates. Debt investments with longer durations tend to be more sensitive to changes in interest rates, making them more volatile than debt investments with shorter durations or floating or adjustable interest rates. The value of debt investments may fall when interest rates rise. Certain debt investments may be difficult to value, purchase, and sell, particularly during adverse market conditions, because there is a limited market for the investment or there are restrictions on resale.
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The Funds may be subject to heightened levels of interest rate risk because the Federal Reserve has raised, and may continue to raise, interest rates. As interest rates rise, the value of fixed income investments will generally decrease. The negative impact on debt investments from potential interest rate increases could be swift and significant, including falling market values, increased redemptions and reduced liquidity. Substantial redemptions from bond and other income funds may worsen that impact. Additionally, regulations applicable to and changing business practices of broker-dealers that make markets in debt investments may result in those broker-dealers restricting their market making activities for certain debt investments, which may reduce the liquidity and increase the volatility of such debt investments.
Certain asset-backed instruments, such as collateralized debt obligations, collateralized mortgage obligations, and other mortgage-related securities, structured investment vehicles, and other debt investments may have exposure to subprime loans or subprime mortgages, which are loans to persons with lower credit ratings. These instruments may present credit risk that is not transparent and that is greater than indicated by their ratings. The value of these instruments may be more acutely affected by downturns in the credit markets or the real estate market than certain other investments, and it may be difficult to value these instruments because of a thin secondary market.
Foreign and Emerging Markets Investments
Exposure to foreign markets can involve additional risks relating to market, economic, political, regulatory, geopolitical, or other conditions.
These factors can make foreign investments more volatile and less liquid than U.S. investments. In addition, foreign markets can react differently to these conditions than the U.S. market. Markets and economies throughout the world are becoming increasingly interconnected, and conditions or events in one market, country or region may adversely impact investments or issuers in, or foreign exchange rates with, another market, country or region. Investments in or exposure to investments in emerging market countries may be riskier than investments in or exposure to investments in U.S. and certain developed markets. Risk may be more enhanced for investments in or exposure to investments in frontier market countries.
The governments of emerging market countries, some with histories of instability and upheaval, may act in an adverse or hostile manner toward private enterprise or foreign investment. Specific actions and effects have included limiting the ability to conduct due diligence on issuers located in emerging market countries; a lack of access by the Public Company Accounting Oversight Board (“PCAOB”) to inspect audit work papers for PCAOB-registered accounting firms located in certain emerging market countries; restricting the ability of U.S. authorities (such as the SEC) to bring and enforce actions against companies and persons located in emerging market countries; and the difficulty or inability of shareholders to seek legal remedies (such as class action lawsuits) against issuers in emerging market countries.
Among the foreign markets in which a Fund may invest are those countries that are members of the European Union (“EU”). Some of the countries of the EU are currently experiencing financial difficulties and have depended on, and may continue to be dependent on, the assistance from others such as the European Central Bank or other governments or institutions. The failure of such countries to implement reforms as a condition of assistance could have a significant adverse effect on the value of investments in those countries and other countries within this “Eurozone.” In addition, certain EU countries that have adopted the euro are subject to fiscal and monetary controls that could limit the ability to implement their own economic policies, to the point where such countries could voluntarily abandon, or be forced out of, the euro. These events could globally impact the market values of securities and currencies, cause redenomination into less valuable local currencies and create more volatile and illiquid markets. The United Kingdom’s departure from the EU, commonly known as “Brexit,” may have significant political and financial consequences for EU markets. There are considerable uncertainties about the repercussions resulting from Brexit, including the impact on trade agreements, regulations, and treaties. Brexit may also increase the likelihood that other EU members may decide to leave or be expelled from the EU. These potential consequences may result in increased market volatility and illiquidity in the United Kingdom, the EU, and other financial markets, as well as slower economic growth and fluctuations in exchange rates. Any of these events and other socio-political or geo-political issues that are not currently known could have a significant adverse effect on global markets and economies, which in turn could negatively impact the value of a Fund’s investments.
On February 24, 2022, the Russian Federation commenced a military attack on the country of Ukraine. The outbreak of hostilities between the two countries could result in more widespread conflict and could have a severe adverse effect on the region and global financial markets. In addition, the United States and other countries have imposed, and may impose additional, economic sanctions against certain countries, entities and/or individuals. Economic sanctions and other similar actions could, among other things, prohibit or otherwise limit a Fund’s ability to purchase or sell certain foreign securities and significantly delay or prevent the settlement of securities transactions, and there could be significant risks and uncertainties related to investment in Eastern Europe and Russia. Such actions could decrease the value and liquidity of securities held by a Fund and may require a Fund to sell or otherwise dispose of all or a portion of the impacted securities at inopportune times or prices. Sanctions could also result in retaliations or countermeasures, which may adversely impact a Fund’s investments or operations. Although it is not possible to predict the extent and duration of this military action, and the impact that any sanctions or retaliatory actions may have on a Fund, such events could significantly harm a Fund’s performance.
The countries listed in the Schedules of Investments for individual investment holdings (each a “Holding”) are each considered the country of risk to which a Holding, and therefore the Fund, is exposed. Each Holding’s country of risk is obtained from a third-party source that uses factors such as reporting currency, sales/revenue and location of management of the Holding’s issuer to determine country of risk. The country of risk may not be exclusive, however, as there may be other countries of risk to which a Holding is exposed that are not disclosed, although the country identified is expected to be the primary country of risk for that Holding. A Holding is generally subject to greater country risk based on where it conducts business or is economically tied to rather than where it is formed or incorporated. Foreign markets risks may include currency risk, market and regulatory risk, liquidity risk, emerging markets risk, frontier markets risk, and geographic focus risk, among other risks.
Senior Loan Participations and Assignments
Certain Funds may invest in Senior Loans of domestic or foreign corporations, partnerships, and other entities (“Borrowers”), the interest rates of which float or adjust periodically based upon a specified adjustment schedule, benchmark indicator, or prevailing interest rates. Senior Loans generally pay interest at rates which are periodically redetermined by reference to a base lending rate plus a premium. These base
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lending rates generally include prime rates of one or more major U.S. banks, LIBOR, SOFR, or certificates of deposit rates. Senior Loans often require prepayments from excess cash flow or permit the Borrower to repay at its election. The degree to which Borrowers repay cannot be predicted with accuracy. As a result, the actual maturity may be substantially less than the stated maturities. Senior Loans are exempt from registration under the Securities Act of 1933, may contain certain restrictions on resale, and cannot be sold publicly. A Fund’s investments in Senior Loans may be in the form of participations in loans or assignments of all or a portion of loans from third parties.
A significant portion of the floating rate loans held by a Fund may be “covenant lite” loans that contain fewer or less restrictive constraints on the borrower or other borrower-friendly characteristics and offer less protections for investors than covenant loans. As compared to a loan instrument that contains numerous covenants that allow lenders the option to force the borrowers to negotiate terms if risks became elevated, the majority of new floating rate loans that are issued are “covenant lite” loans which tend to have fewer or no financial maintenance covenants and restrictions. A covenant lite loan typically contains fewer clauses which allow an investor to proactively enforce financial covenants or prevent undesired actions by the borrower/issuer, including the ability to make an acquisition, pay dividends or issue additional debt if they have met certain loan terms. Covenant lite loans also generally provide fewer investor protections if certain criteria are breached, such as permitting an investor to declare a default (and therefore receive collateral), or to force restructurings and other capital changes on struggling borrowers/ issuers. A Fund may experience losses or delays in enforcing its rights on its holdings of covenant lite loans.
When a Fund purchases assignments, it acquires all the rights and obligations under the loan agreement of the assigning lender.
Assignments may, however, be arranged through private negotiations between potential assignees and potential assignors, and the rights and obligations acquired by the purchaser of an assignment may differ from, and be more limited than those held by the assigning lender.
When a Fund purchases a participation of a Senior Loan interest, the Fund typically enters into a contractual agreement with the lender or other third party selling the participation. A participation interest in Senior Loans includes the right to receive payments of principal, interest, and any fees to which it is entitled from the lender and only upon receipt by the lender of payments from the Borrower, but not from the Borrower directly. When investing in a participation interest, if a Borrower is unable to meet its obligations under a loan agreement, a Fund generally has no right to enforce compliance with the terms of the loan agreement. As a result, the Fund assumes the credit risk of the Borrower, the selling participant, and any other persons that are interpositioned between the Fund and the Borrower. If the lead lender in a typical lending syndicate becomes insolvent, enters Federal Deposit Insurance Corporation (“FDIC”) receivership or, if not FDIC insured, enters into bankruptcy, the Fund may incur certain costs and delays in receiving payment or may suffer a loss of principal and/or interest. As of March 31, 2023, no participation interest in Senior Loans was held by any of the Funds.
Inflation-Indexed Bonds
Certain Funds may invest in inflation-indexed bonds. Inflation-indexed bonds are debt securities whose principal value is periodically adjusted to the rate of inflation. The interest rate on these bonds is generally fixed at issuance at a rate lower than typical bonds. Over the life of an inflation-indexed bond, however, interest will be paid based on a principal value, which is adjusted for inflation. Any increase or decrease in the principal amount of an inflation-indexed bond will result in an adjustment to interest income.
Mortgage-Related and Other Asset-Backed Securities
Certain Funds may invest in mortgage-related and other asset-backed securities. These securities could include mortgage pass-through securities, collateralized mortgage obligations (“CMOs”), collateralized loan obligations (“CLOs”), mortgage dollar rolls, CMO residuals, stripped mortgage-backed securities (“SMBS”), and other securities that directly or indirectly represent a participation in, or are secured by and payable from, mortgage loans secured by real property. Mortgage-related and other asset-backed securities are debt securities issued by a corporation, trust, or custodian, or by a U.S. Government agency or instrumentality, that are collateralized by a pool of mortgages, mortgage pass-through securities, U.S. Government securities or other assets. The value of some mortgage-related and asset-backed securities may be particularly sensitive to changes in prevailing interest rates. Early repayment of principal on some mortgage-related securities may expose a Fund to a lower rate of return upon reinvestment of principal. The value of these securities may fluctuate in response to the market’s perception of the creditworthiness of the issuers. Additionally, although mortgage and mortgage-related securities are generally supported by some form of government or private guarantee and/or insurance, there is no assurance that private guarantors or issuers will meet their obligations.
SMBS represent a participation in, or are secured by and payable from, mortgage loans on real property, and may be structured in classes with rights to receive varying proportions of principal and interest. SMBS include interest-only securities (“IOs”), which receive all of the interest, and principal-only securities (“POs”), which receive the entire principal. The cash flows and yields on IOs are extremely sensitive to the rate of principal payments (including prepayments) on the underlying mortgage loans. If the underlying mortgages experience higher than anticipated prepayments, an investor in IOs of SMBS may fail to recoup fully its initial investment, even if the IOs are highly rated or are derived from securities guaranteed by the U.S. Government. Unlike other debt and other mortgage-backed securities, the market value of IOs tends to move in the same direction as interest rates. As prepayments on the underlying mortgages of POs increase, the yields on POs increase. Payments received from IOs are recorded as interest income. Because principal will not be received at the maturity of an IO, adjustments are made to the book value of the security on the coupon date until maturity. These adjustments are included in interest income. Payments received from POs are treated as reductions to the cost and par value of the securities. Any excess principal paydown gains or losses associated with the payments received are recorded as interest income.
U.S. Government Securities
Certain Funds may invest in securities issued by U.S. Government agencies or government-sponsored enterprises. U.S. Government securities are obligations of, and in certain cases, guaranteed by the U.S. Government, its agencies, or instrumentalities. Some U.S. Government securities, such as Treasury Bills, Treasury Notes, Treasury Bonds, and securities guaranteed by GNMA (or “Ginnie Mae”), are supported by the full faith and credit of the U.S. Government; others, such as those of the Federal Home Loan Bank, are supported by the right of the issuer to borrow from the U.S. Department of the Treasury (the “U.S. Treasury”); others, such as those of the Federal National Mortgage
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Association (“FNMA” or “Fannie Mae”), are supported by the discretionary authority of the U.S. Government to purchase the agency’s obligations. Securities not backed by the full faith and credit of the U.S. Government may be subject to a greater risk of default. U.S. Government securities may include zero coupon securities, which do not distribute interest on a current basis and tend to be subject to greater risk than interest-paying securities of similar maturities.
Government-related guarantors (i.e., not backed by the full faith and credit of the U.S. Government) include FNMA and the Federal Home Loan Mortgage Corporation (“FHLMC” or “Freddie Mac”). FNMA and FHLMC are government-sponsored corporations, the common stocks of which are owned entirely by private stockholders. FNMA purchases conventional (i.e., not insured or guaranteed by any government agency) residential mortgages from a list of approved seller/servicers which include state and federally chartered savings and loan associations, mutual savings banks, commercial banks and credit unions, and mortgage bankers. Pass-through securities issued by FNMA are guaranteed as to timely payment of principal and interest by FNMA, but are not backed by the full faith and credit of the U.S. Government. FHLMC issues Participation Certificates (“PCs”), which are pass-through securities, each representing an undivided interest in a pool of residential mortgages. FHLMC guarantees the timely payment of interest and ultimate collection of principal, but PCs are not backed by the full faith and credit of the U.S. Government.
When-Issued Securities
Certain Funds may purchase and sell securities on a when-issued basis, including To Be Announced (“TBA”) securities. These transactions are made conditionally because a security, although authorized, has not yet been issued in the market. A commitment by a Fund is made regarding these transactions to purchase or sell securities for a predetermined price or yield, with payment and delivery taking place beyond the customary settlement period. A Fund may sell when-issued securities before they are delivered, which may result in a capital gain or loss. Risk may arise upon entering these contracts from the potential inability of a counterparty to meet the terms of their contracts, or if the issuer does not issue the securities due to political, economic, or other factors.
Delayed-Delivery Transactions Risk
Certain Funds may purchase or sell securities on a delayed-delivery basis, including TBA securities. Payment and delivery may take place after the customary settlement period for that security. The price or yield of the underlying securities is fixed at the time the transaction is negotiated. When delayed-delivery purchases are outstanding, a Fund will set aside, and maintain until the settlement date in a segregated account, liquid assets in an amount sufficient to meet the purchase price. When purchasing a security on a delayed-delivery basis, a Fund assumes the rights and risks of ownership of the security, including the risk of price and yield fluctuations, and takes such fluctuations into account when determining its NAV. A Fund may dispose of or renegotiate a delayed-delivery transaction after it is entered into, and may sell delayed-delivery securities before they are delivered, which may result in a capital gain or loss. When a Fund has sold a security on a delayed- delivery basis, the Fund does not participate in future gains and losses with respect to the security.
Repurchase Agreements
Certain Funds may enter into repurchase agreements with institutions that the Investment Adviser or sub-adviser has determined are creditworthy. Under the terms of a typical repurchase agreement, a Fund takes possession of an underlying security (collateral) subject to an obligation of the seller to repurchase, and a Fund to resell the security at an agreed upon price and time. Repurchase agreements permit a Fund to maintain liquidity and potentially earn income over periods of time that may be as short as overnight. The collateral for all repurchase agreements are held in safekeeping for the benefit of the Funds at the Trust’s custodian, or broker-dealer, or a designated sub-custodian under a tri-party repurchase agreement. All repurchase agreements entered into by a Fund are collateralized with cash or securities of a type that the Fund is permitted to hold. The collateral is evaluated daily to ensure its market value equals or exceeds the current market value of the repurchase agreements, including accrued interest, except in the case of a repurchase agreement entered into for the purposes of selling a security short, where the value of the collateral delivered to a Fund must equal or exceed 95% of the value of the repurchase price during the term of the repurchase agreement.
In the event of default on the obligation to repurchase a security held by a Fund as collateral, the Fund has the right to liquidate the security and apply the proceeds to the counterparty’s obligations to the Fund under the repurchase agreement. Upon an event of default under the repurchase agreement, if the seller defaults and the value of the collateral declines or if the seller enters an insolvency proceeding, realization of the collateral by the Fund may be delayed, limited, or wholly denied.
Borrowings and Other Financing Transactions
The following disclosures contain information on a Fund’s ability to lend or borrow cash or securities to the extent permitted under the 1940 Act, which may be viewed as borrowing or financing transactions by a Fund. The location and fair value amounts of these instruments are described below. For a detailed description of credit and counterparty risks that can be associated with borrowings and other financing transactions, see Note 5.
Reverse Repurchase Agreements – Certain Funds may enter into reverse repurchase agreements. In a reverse repurchase agreement, a Fund sells a security that it holds to a financial institution with an agreement to repurchase the same security at an agreed-upon price and date. Securities sold under reverse repurchase agreements are recorded as a liability. Interest payments made are recorded as a component of interest expense. In periods of increased demand for the security, a Fund may receive a fee for use of the security by the counterparty, which may result in interest income to the Fund. A reverse repurchase agreement involves the risk that the market value of the security sold by a Fund may decline below the repurchase price of the security.
Sale-Buyback Financing Transactions – Certain Funds may enter into transactions referred to as sale-buybacks. A sale-buyback transaction consists of a sale of a security by a Fund to a financial institution, the counterparty, with a simultaneous agreement to repurchase the same or substantially the same security at an agreed-upon price and date. Such transactions are recorded as secured borrowings. A Fund is not entitled to receive principal and interest payments, if any, made on the security sold to the counterparty during the term of the agreement. The agreed- upon proceeds for securities to be repurchased by a Fund are recorded as a liability. A Fund will recognize net income represented by the price
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differential between the price received for the transferred security and the agreed-upon repurchase price. This is commonly referred to as the price drop. A price drop consists of (i) the foregone interest and inflationary income adjustments, if any, a Fund would have otherwise received had the security not been sold and (ii) the negotiated financing terms between a Fund and counterparty. Foregone interest and inflationary income adjustments, if any, are recorded as components of interest income. Interest payments based upon negotiated financing terms made by the Fund to counterparties are recorded as a component of interest expense. In periods of increased demand for the security, a Fund may receive a fee for use of the security by the counterparty, which may result in interest income to a Fund. A Fund will segregate assets determined to be liquid or otherwise cover its obligations under sale-buyback transactions.
Short Sales – Certain Funds may enter into short sales. A short sale is a transaction in which a Fund sells securities it does not own. A Fund’s use of short sales involves the risk that the price of the security in the open market may be higher when purchased to close out the Fund’s short position, resulting in a loss to the Fund. Such a loss is theoretically unlimited because there is no limit on the potential increase in the price of a security or guarantee as to the price at which the manager would be able to purchase the security in the open market.
When a Fund sells securities short, it must borrow those securities to make delivery to the buyer. The Fund incurs an expense for such borrowing. The Fund may be required to pledge a portion of its assets to the broker as collateral for the borrowed securities. The Fund may not be able to purchase a security that it needs to deliver to close out a short position at an acceptable price. This may result in losses and/or require the Fund to sell long positions before the manager had intended. A Fund may not be able to successfully implement its short sale strategy, which may limit its ability to achieve its investment goal, due to limited availability of desired or eligible securities, the cost of borrowing securities, regulatory changes limiting or barring short sales, or for other reasons. Securities sold in short sale transactions and the interest and dividends payable on such securities, if any, are recorded as a liability.
The use of proceeds received from selling short to purchase additional securities (long positions) results in leverage, which may increase a Fund’s exposure to long positions. Leverage could magnify gains and losses and, therefore, increase a Fund’s volatility.
Collateral Risk
If a Fund engages in certain transactions, such as derivative investments, it may require collateral in the form of cash or investments to be held in collateral accounts at the Trust’s custodian, with an exchange or clearing member firm. In each instance that collateral is required, it is done so in accordance terms of each respective collateral agreement. In the event of the counterparty default on a transaction, a Fund has the right to liquidate the collateral and apply the proceeds to the counterparty’s obligations to that Fund. Upon an event of default, if the seller defaults and the value of the collateral declines, or if the seller enters an insolvency proceeding, realization of the collateral by the Fund may be delayed, limited or wholly denied. There is also a possibility that a Fund could experience a delay in selling investments that are held as collateral or that the value of the collateral declines.
5. DERIVATIVE INVESTMENTS AND RISKS, AND ENFORCEABLE MASTER NETTING ARRANGEMENTS
A. PRINCIPAL MARKET RISKS MANAGED BY INVESTING IN DERIVATIVES
Derivative instruments are investments whose values are tied to the value of an underlying security or asset, a group of assets, interest rates, exchange rates, currency or an index. Certain Funds are permitted to invest in derivative instruments, including, but not limited to, futures contracts, option contracts, forward foreign currency contracts, and swap agreements. Derivatives may have little or no initial cash investment value relative to their market value exposure and therefore can produce significant gains or losses in excess of their cost. This is sometimes referred to as leverage. Leverage can magnify a Fund’s gains and losses and therefore increase its volatility. A Fund’s investments in derivatives may increase, decrease or change the level or types of exposure to certain risk factors. The primary risks a Fund may attempt to manage through investing in derivative instruments include, but are not limited to, interest rate, foreign investments and currency, price volatility, and credit (including counterparty) risks.
Interest Rate Risk – A Fund may be exposed to interest rate risk through investments in debt securities. Interest rate risk is the risk that debt securities will decline in value as a result of changes in interest rates. For example, the value of bonds, fixed rate loans and short-term money market instruments may decline in value when interest rates rise. In a low interest rate environment, the risks associated with rising interest rates are heightened. Debt securities with longer durations tend to be more sensitive to changes in interest rates, making them more volatile than debt securities with shorter durations or money market instruments. Therefore, duration is a potentially useful tool to measure the sensitivity of a debt security’s yield (market price to interest rate movement). To manage these risks, certain Funds may invest in derivative instruments tied to interest rates.
Foreign Investments and Currency Risk – A Fund may be exposed to foreign investments and/or currency risk through direct investment in securities or through options, futures or currency transactions. The prices of foreign securities that are denominated in foreign currencies are affected by the value of the U.S. dollar. With respect to securities denominated in foreign currencies, in general, as the value of the U.S. dollar rises, the U.S. dollar price of a foreign security will fall. As the value of the U.S. dollar falls, the U.S. dollar value of the foreign security will rise. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons. Foreign investments may be riskier than U.S. investments for many reasons, including changes in currency exchange rates, unstable political and economic conditions, a lack of adequate and timely company information, differences in the way securities markets operate, relatively lower market liquidity, less stringent financial reporting and accounting guidance and controls, less secure foreign banks or securities depositories than those in the U.S., foreign taxation issues, and foreign controls on investments. As a result, a Fund’s investments in foreign currency-denominated securities and other foreign investments may reduce the returns of the Fund. To manage these risks, certain Funds may invest in derivative instruments tied to foreign investments and/or currencies.
Price Volatility Risk – Derivatives tied to equity and debt securities are exposed to potential price volatility. Debt securities are affected by many factors, including prevailing interest rates, market conditions, and market liquidity. Volatility of below investment grade debt securities
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(including loans) may be relatively greater than for investment grade debt securities. Equity securities tend to go up or down in value, sometimes rapidly and unpredictably. The prices of equity securities change in response to many factors, including a company’s historical and prospective earnings, the value of its assets, general economic conditions, interest rates, investor perceptions, and market liquidity. Due to the complexities of markets, events in one market or sector may adversely impact other markets or sectors. To manage these risks, certain Funds may invest in various derivative instruments. Derivative instruments may be used to manage a Fund’s exposure to price volatility risk but may also be subject to greater price volatility than investments in traditional securities. The value of commodity-linked derivative instruments may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs, and international economic, political, and regulatory developments.
Credit and Counterparty Risk – Credit risk is the risk that a debt security’s issuer (or borrower or counterparty) will be unable or unwilling to meet its financial obligations (e.g., may not be able to make principal and/or interest payments when they are due or otherwise default on other financial terms) and/or may go bankrupt. This is also sometimes described as counterparty risk. A Fund may lose money if the issuer or guarantor of debt security, or counterparty of a derivative contract, repurchase or reverse repurchase agreement, or a loan of Fund securities, is unable or unwilling to make timely principal and/or interest payments, or to otherwise honor its obligations. A Fund may attempt to minimize concentrations of credit risk by undertaking transactions with a large number of borrowers or counterparties on recognized and reputable exchanges. A Fund’s investments in debt investments may range in quality from those rated in the lowest category in which it is permitted to invest to those rated in the highest category by a rating agency, or if unrated, determined by the manager to be of comparable quality.
Similar to credit risk, a Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which a Fund has unsettled or open transactions will default. Financial assets of counterparties, which potentially expose a Fund to counterparty risk, consist mainly of cash due from counterparties and investments. Certain managers may attempt to minimize credit risks to the Funds by performing extensive reviews of each counterparty, entering into transactions with counterparties that the manager believes to be creditworthy at the time of the transaction and requiring the posting of collateral in applicable transactions. To manage these risks, certain Funds may invest in derivative instruments tied to a security issuers’ financial strength.
B. DERIVATIVE INVESTMENTS
In addition to managing the market risks described above, certain Funds, if permitted by their investment objectives, may also invest in derivatives for purposes of hedging, duration management, to gain exposure to specific investment opportunities, as a substitute for securities, to enhance returns, or to otherwise help achieve a Fund’s investment goal. Each derivative instrument and the reasons a Fund invested in derivatives during the reporting period are discussed in further detail below. The Portfolio Optimization Funds are exposed to the same derivative risks as the applicable Funds in which a Portfolio Optimization Fund invests (PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income, and Pacific Funds High Income) in direct proportion to the allocation of assets among those Funds.
Futures Contracts – A futures contract is a commitment to buy or sell a specific amount of a financial instrument or commodity at a negotiated price on a specified future date. Futures contracts are subject to the possibility of illiquid markets, and the possibility of an imperfect correlation between the value of the instruments and the underlying securities. Initial margin is deposited with a futures broker upon entering into futures contracts and can be funded with either cash or securities, in accordance with the initial margin requirements of the broker or the exchange.
During the period a futures contract is open, changes in the value of the contract are recognized as unrealized appreciation or depreciation by marking-to-market on a daily basis to reflect the market value of the contract at the end of each day’s trading. Variation margin receivables or payables represent the difference between the change in unrealized appreciation and depreciation on the open contracts and the cash deposits made on the margin accounts. When the contract is closed, a Fund records a realized gain or loss equal to the difference between the proceeds from (or cost of) the closing transaction and the Fund’s cost of the contract. Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded.
During the reporting period, the following Funds entered into futures contracts for the following reasons: the PF Inflation Managed and PF Managed Bond Funds used futures contracts to manage interest rate risk exposure and as a substitute for cash bond exposure. The PF Short Duration Bond Fund entered into interest rate futures contracts to manage duration and interest rate risk. The PF Multi-Asset Fund and the PF Emerging Markets Debt Fund entered into futures contracts to gain or reduce exposure to various markets, for purposes of hedging, and as part of each Funds’ investment strategy.
Option Contracts – An option contract is a commitment that gives the purchaser of the contract the right, but not the obligation, to buy or sell an underlying reference asset at a specific price on or before a specified future date. On the other hand, the writer of an option contract is obligated, upon the exercise of the option, to buy or sell an underlying reference asset at a specific price on or before a specified future date.
A swaption is an option contract granting the owner the right to enter into an underlying swap. Inflation-capped options are options on U.S. inflation rates at a stated strike price. The seller of an inflation-capped option receives an upfront premium and in return the buyer receives the right to receive a payment at the expiration of the option if the cumulative annualized inflation rate over the life of the option is above (for caps) or below (for floors) the stated strike price. The purpose of inflation-capped options is to protect the buyer from inflation erosion above a certain rate on a given notional exposure. A floor can be used to give downside protection to investments in inflation-linked products below a certain rate on a given notional exposure. Writing put options or purchasing call options tends to increase a Fund’s exposure to the underlying instrument. Writing call options or purchasing put options tends to decrease a Fund’s exposure to the underlying instrument. When a Fund writes or purchases a call, put, or inflation-capped option, an amount equal to the premium received or paid by the Fund is recorded as a liability or an investment, respectively, and subsequently adjusted to the current market value, based on the quoted daily settlement price of the option written or purchased. Certain options may be written or purchased with premiums to be determined on a future date. The premiums for these options are based upon implied volatility parameters at specified terms. Premiums received or paid from writing or purchasing options, which
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PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
expire unexercised, are treated by a Fund on the expiration date as realized gains or losses. The difference between the premium and the amount paid or received on a closing purchase or sale transaction, including brokerage commissions, is also treated as a realized gain or loss. If an option is exercised, the premium paid or realized is added to the cost of the purchase or proceeds from the sale in determining whether the Fund has realized a gain or loss on investment transactions. A Fund, as a writer of an option, may have no control over whether the underlying instrument may be sold (call) or purchased (put) and as a result bears the market risk of an unfavorable change in the price of the underlying written option. In addition, an illiquid market may make it difficult for a Fund to close out an option contract.
The maximum risk of loss associated with writing put options is limited to the exercised fair value of the option contract. The maximum risk of loss associated with writing call options is potentially unlimited. Listed option contracts present minimal counterparty credit risk since they are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange-traded options, guarantees the options against default. A Fund’s maximum risk of loss from counterparty credit risk related to OTC option contracts is limited to the premium paid.
During the reporting period, the following Funds entered into option contracts for the following reasons: the PF Inflation Managed and PF Managed Bond Funds purchased and sold/wrote options to obtain exposure to the price activity or volatility of an underlying security or index, to hedge downside risk, to manage duration and to generate income. Additionally, the PF Inflation Managed and Managed Bond Funds used swaptions to achieve credit or interest rate exposure. The PF Inflation Managed Fund used inflation caps to manage inflation exposure.
Forward Foreign Currency Contracts – A forward foreign currency contract (“Forward Contract”) is a commitment to buy or sell a specific amount of a foreign currency at a negotiated price on a specified future date. Forward Contracts can help a Fund manage the risk of changes in currency exchange rates. The market value of a Forward Contract fluctuates with changes in foreign currency rates. These contracts are marked-to-market daily at the applicable forward currency translation rates. A Fund records realized gains or losses at the time the Forward Contract is closed. A Forward Contract is extinguished through a closing transaction or upon delivery of the currency or entering an offsetting contract. A Fund’s maximum risk of loss from counterparty credit risk related to Forward Contracts is the fair value of the contract. The risk may be mitigated to some extent if a master netting arrangement between a Fund and the counterparty is in place and to the extent a Fund obtains collateral to cover the Fund’s exposure to the counterparty.
During the reporting period, the following Funds entered into forward foreign currency contracts for the following reasons: the PF Inflation Managed and PF Managed Bond Funds purchased and sold forward contracts to hedge currency exposure and manage duration. The PF Emerging Markets Debt Fund entered into forward foreign currency contracts to gain exposure to various markets, for purposes of hedging, and as part of the Fund’s investment strategy.
Swap Agreements – Swap agreements are bilaterally negotiated agreements between the Funds and their counterparties to exchange swap investment cash flows, assets, foreign currencies or market-linked returns at specified intervals. Swap agreements are privately negotiated in the OTC market or are executed in a multilateral or other execution facility platform, such as a registered commodities exchange (“centrally cleared swaps”). In connection with these agreements, cash and securities may be identified as collateral in accordance with the terms of the respective swap agreements to provide assets of value and recourse in the event of default or bankruptcy/insolvency. Swaps are marked-to- market daily based upon values received from third party vendors or quotations from market makers. Market values greater than zero are recorded as an asset and market values less than zero are recorded as a liability. The change in value of swaps, including accruals of periodic amounts of interest to be paid or received on swaps, is recorded as unrealized appreciation or depreciation. Daily changes in valuation of centrally cleared swaps, if any, are recorded as variation margin receivable or payable. OTC swap payments received or made at the beginning of the measurement period are recorded as an asset or liability and represent payments made or received upon entering into the swap agreement to compensate for differences between the stated terms of the swap agreement and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). These upfront payments are recorded as realized gain or loss when the swap is closed. A liquidation payment received or made at the termination of the swap is recorded as realized gain or loss. Net periodic payments received by a Fund are recorded as realized gain.
Interest Rate Swaps – Interest rate swap agreements involve the exchange by a Fund with another party of their respective commitments to pay or receive interest with respect to the notional amount of principal. Certain forms of interest rate swap agreements may include: (i) interest rate caps, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates exceed a specified rate, or “cap”, (ii) interest rate floors, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates fall below a specified rate, or “floor”, (iii) interest rate collars, under which a party sells a cap and purchases a floor or vice versa in an attempt to protect itself against interest rate movements exceeding given minimum or maximum levels, (iv) callable interest rate swaps, under which the counterparty may terminate the swap transaction in whole at zero cost by a predetermined date and time prior to the maturity date, (v) spreadlocks, which allow the interest rate swap users to lock in the forward differential (or spread) between the interest rate swap rate and a specified benchmark, or (vi) basis swaps, under which two parties can exchange variable interest rates based on different money markets.
A Fund investing in interest rate swaps is subject to the risk that there is no liquid market for these agreements, that the counterparties may default on their obligations to perform or disagree as to the meaning of the contractual terms in the agreements, or that there may be unfavorable changes in interest rates. A Fund’s maximum risk of loss from counterparty credit risk related to interest rate swaps is the discounted net value of the cash flows to be received from/paid to the counterparty over the contract’s remaining life, to the extent that the amount is positive. The risk may be mitigated to some extent if a master netting arrangement between a Fund and the counterparty is in place and to the extent a Fund obtains collateral to cover the Fund’s exposure to the counterparty.
During the reporting period, the following Funds entered into interest rate swap agreements for the following reasons: the PF Inflation Managed and PF Managed Bond Funds entered into interest rate swaps to manage nominal or real interest rate risk in various global markets, to manage duration and as a substitute for cash bond exposure. The PF Emerging Markets Debt Fund entered into interest rate swaps to gain exposure to various markets, for purposes of hedging, and as part of the Fund’s investment strategy.
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PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
Credit Default Swaps – Credit default swap agreements involve one party making a stream of payments (referred to as the buyer of protection) to another party (the seller of protection) in exchange for the right to receive a specified return in the event of a default or other credit event for the referenced entity, obligation or index. A Fund investing in credit default swaps is subject to the risk that there is no liquid market for these agreements, that the counterparties may default on their obligations to perform or disagree as to the meaning of the contractual terms in the agreements, or that there may be unfavorable changes in interest rates.
As a seller of protection, a Fund generally receives an upfront payment and/or a fixed rate of income throughout the term of the swap provided there is no credit event. As the seller, a Fund would effectively add leverage to the Fund because, in addition to the total net assets, a Fund would be subject to investment exposure on the notional amount of the swap.
If a Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, a Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation, other deliverable obligations or underlying securities comprising the referenced index, or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. If a Fund is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, a Fund will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and deliver the referenced obligation, other deliverable obligations or underlying securities comprising the referenced index, or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. Recovery values are assumed by market makers considering either industry standard recovery rates or entity specific factors and considerations until a credit event occurs. If a credit event has occurred, the recovery value is determined by a facilitated auction whereby a minimum number of allowable broker bids, together with a specified valuation method, are used to calculate the settlement value.
Credit default swap agreements on corporate and sovereign issues involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a default or other credit event. If a credit event occurs and cash settlement is not elected, a variety of other deliverable obligations may be delivered in lieu of the specific referenced obligation. The ability to deliver other obligations may result in a cheapest-to-deliver option (the buyer of protection’s right to choose the deliverable obligation with the lowest value following a credit event).
Credit default swap agreements on asset-backed securities involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a default or other credit event. Unlike credit default swaps on corporate and sovereign issues, deliverable obligations in most instances would be limited to the specific referenced obligation as performance for asset-backed securities can vary across deals. Prepayments, principal paydowns, and other write-downs or loss events on the underlying mortgage loans will reduce the outstanding principal balance of the referenced obligation. These reductions may be temporary or permanent as defined under the terms of the swap agreement and the notional amount for the swap agreement will be adjusted by corresponding amounts.
Credit default swap agreements on credit indices involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a write-down, principal shortfall, interest shortfall or default of all or part of the referenced entities comprising the credit index. Credit default swap agreements on indices are benchmarks for protecting investors owning bonds against default. A credit index is a list of a basket of credit instruments or exposures designed to be representative of some part of the credit market as a whole. These indices are made up of reference credits that are judged by a poll of dealers to be the most liquid entities in the credit default swap market based on the sector of the index. Components of the indices may include, but are not limited to, investment grade securities, high yield securities, asset-backed securities, emerging markets, and/or various credit ratings within each sector. Credit indices are traded using credit default swaps with standardized terms including a fixed spread and standard maturity dates. An index credit default swap references all the names in the index, and if there is a default, the credit event is settled based on that name’s weight in the index. The composition of the indices changes periodically, usually every six months, and for most indices, each name has an equal weight in the index.
An implied credit spread is the spread in yield between a U.S. Treasury security and the referenced obligation or underlying investment that are identical in all respects except for the quality rating. Wider credit spreads, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement. Implied credit spreads, represented in absolute terms, utilized in determining the market value of credit default swap agreements on corporate and sovereign issues or U.S. Treasury obligation issues as of period end, are disclosed in the Notes to Schedules of Investments and serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. For credit default swap agreements on asset- backed securities and credit indices, the quoted market prices and resulting values serve as the indicator of the current status of the payment/ performance risk.
A Fund may use pair trades of credit default swaps. Pair trades attempt to match a long position with a short position of two securities in the same market sector for hedging purposes. Pair trades of credit default swaps attempt to gain exposure to credit risk while hedging or offsetting the effects of overall market movements. For example, a Fund may purchase protection through a credit default swap referenced to the debt of an issuer, and simultaneously selling protection through a credit default swap referenced to the debt of a different issuer with the intent to realize gains from the pricing differences of the two issuers who are expected to have similar market risks.
A Fund may use spread curve trades by simultaneously purchasing and selling protection through credit default swaps referenced to the same issuer but with different maturities. Spread curves attempt to gain exposure to credit risk on a forward basis by realizing gains on the expected differences in spreads.
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PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
A Fund’s maximum risk of loss from counterparty credit risk related to credit default swaps, either as the buyer or seller of protection, is the fair value of the contract. The risk may be mitigated to some extent if a master netting arrangement between a Fund and the counterparty is in place and to the extent a Fund obtains collateral to cover the Fund’s exposure to the counterparty.
The aggregate fair value of credit default swaps in a net liability position is reflected as unrealized depreciation and is disclosed in the Notes to Schedules of Investments. The maximum potential amount of future payments (undiscounted) that a Fund as a seller of protection could be required to make under a credit default swap agreement is an amount equal to the notional amount of the agreement. Notional amounts of all credit default swap agreements outstanding as of March 31, 2023 for which a Fund is the seller of protection are disclosed in the Notes to Schedules of Investments. These potential amounts are partially offset by any recovery values of the respective referenced obligations, upfront payments received upon entering into the agreement, or net amounts received from the settlement of buy protection credit default swap agreements entered into by a Fund for the same referenced entity or entities.
During the reporting period, the following Funds entered into credit default swap agreements for the following reasons: the PF Managed Bond Fund purchased and sold credit protection through credit default swaps to manage credit exposure, allow portfolio managers to enter or exit credit positions in periods of low liquidity, or to gain exposure that may not be available in cash markets. The PF Emerging Markets Debt Fund used credit default swaps to gain exposure to various markets, for purposes of hedging and as part of the Fund’s investment strategy.
Total Return Swaps – A Fund investing in total return swaps is subject to the risk that there is no liquid market for these agreements, that the counterparties may default on their obligations to perform or that there may be unfavorable changes in the value of the underlying index or reference instrument (generally caused by changes in interest rates or declines in credit quality). A total return swap agreement is one in which one party makes payments based on a set rate, either fixed or variable, while the other party makes payments based on the return of an underlying index or reference instrument, which includes both the income it generates and any capital gains. To the extent the total return of the index or reference instrument underlying the transaction exceeds or falls short of the offsetting interest rate obligation, a Fund will receive a payment from or make a payment to the counterparty. A Fund’s maximum risk of loss from counterparty credit risk related to total return swaps is the discounted net value of the cash flows to be received from or paid to the counterparty over the contract’s remaining life, to the extent that the amount is positive. The risk may be mitigated to some extent if a master netting arrangement between a Fund and the counterparty is in place and to the extent a Fund obtains collateral to cover a Fund’s exposure to the counterparty.
A Fund may enter into fully funded total return swaps which involves one party making an initial payment equal to the estimated value of the reference instrument. The parties to the swap then exchange respective commitments to pay or receive a net amount based on the change in the fair value of a reference instrument and a specified notional amount.
During the reporting period, the following Funds entered into total return swap agreements for the following reasons: the PF Multi-Asset Fund entered into total return swaps to gain or reduce exposure to various markets, for purposes of hedging, and as part of the Fund’s investment strategy. The PF Inflation Managed Fund purchased total return swaps to gain exposure to risk-neutral substitutes for owning physical securities (or physical securities that comprise a given index).
The following is a summary of the location of fair value amounts of derivative investments, if any, disclosed in the Trust’s Statements of Assets and Liabilities. An exchange traded investment’s value reflects the cumulative value. Only the current day’s variation margin is reported on the Statements of Assets and Liabilities.
| Location on the Statements of Assets and Liabilities | ||||
| Derivative Investments Risk Type | Asset Derivative Investments | Liability Derivative Investments | ||
| Credit contracts | Outstanding purchased options, at value | Outstanding options written, at value | ||
| Equity contracts | Receivable: Variation margin on futures contracts | Payable: Variation margin on futures contracts | ||
| Interest rate contracts | Receivable: Variation margin on swap agreements | Payable: Variation margin on swap agreements | ||
| Swap premiums paid | Swap premiums received | |||
| Swap agreements appreciation | Swap agreements depreciation | |||
| Foreign currency contracts | Outstanding purchased options, at value | Outstanding options written, at value | ||
| Receivable: Variation margin on futures contracts | Payable: Variation margin on futures contracts | |||
| Receivable: Variation margin on swap agreements | Payable: Variation margin on swap agreements | |||
| Swap premiums paid | Swap premiums received | |||
| Swap agreements appreciation | Swap agreements depreciation | |||
| Forward foreign currency contracts appreciation | Forward foreign currency contracts depreciation | |||
The following is a summary of fair values of derivative investments disclosed in the Trust’s Statements of Assets and Liabilities, categorized by primary risk exposure as of March 31, 2023:
| Asset Derivative Investments Value | ||||||||||||||||||||
| Fund | Total Value at March 31, 2023 |
Credit Contracts |
Equity Contracts |
Foreign Currency Contracts |
Interest Rate Contracts |
|||||||||||||||
| PF Inflation Managed | $607,773 | $— | $— | $1,071 | $606,702 | |||||||||||||||
| PF Managed Bond | 4,111,869 | 254,747 | — | 174,153 | 3,682,969 | |||||||||||||||
| PF Short Duration Bond | 280,724 | — | — | — | 280,724 | |||||||||||||||
| PF Emerging Markets Debt | 271,381 | 52,561 | — | 47,958 | 170,862 | |||||||||||||||
| PF Multi-Asset | 33,588,334 | — | 33,588,334 | — | — | |||||||||||||||
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PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Liability Derivative Investments Value | ||||||||||||||||||||
| Fund | Total Value at March 31, 2023 |
Credit Contracts |
Equity Contracts |
Foreign Currency Contracts |
Interest Rate Contracts |
|||||||||||||||
| PF Inflation Managed | ($887,021 | ) | $— | $— | ($31,604 | ) | ($855,417 | ) | ||||||||||||
| PF Managed Bond | (1,775,193 | ) | (12,451 | ) | — | (647,788 | ) | (1,114,954 | ) | |||||||||||
| PF Short Duration Bond | (134,514 | ) | — | — | — | (134,514 | ) | |||||||||||||
| PF Emerging Markets Debt | (297,694 | ) | (55,542 | ) | — | (179,290 | ) | (62,862 | ) | |||||||||||
| PF Multi-Asset | (3,561,996 | ) | — | (3,561,996 | ) | — | — | |||||||||||||
The following is a summary of the location of realized gains and losses and changes in net unrealized appreciation and depreciation on derivative investments, if any, disclosed in the Trust’s Statements of Operations:
| Derivative Investments Risk Type | Location of Gain (Loss) on Derivative Investments Recognized in the Statements of Operations | |
| Credit contracts | Net realized gain (loss) on futures contract transactions | |
| Equity contracts | Net realized gain (loss) on purchased option transactions | |
| Interest rate contracts | Net realized gain (loss) on swap transactions | |
| Net realized gain (loss) on written option transactions | ||
| Change in net unrealized appreciation (depreciation) on futures contracts | ||
| Change in net unrealized appreciation (depreciation) on purchased options | ||
| Change in net unrealized appreciation (depreciation) on swaps | ||
| Change in net unrealized appreciation (depreciation) on written options | ||
| Foreign currency contracts | Net realized gain (loss) on forward foreign currency contract transactions | |
| Net realized gain (loss) on futures contract transactions | ||
| Net realized gain (loss) on purchased option transactions | ||
| Net realized gain (loss) on swap transactions | ||
| Net realized gain (loss) on written option transactions | ||
| Change in net unrealized appreciation (depreciation) on forward foreign currency contracts | ||
| Change in net unrealized appreciation (depreciation) on futures contracts | ||
| Change in net unrealized appreciation (depreciation) on purchased options | ||
| Change in net unrealized appreciation (depreciation) on swaps | ||
| Change in net unrealized appreciation (depreciation) on written options |
The following is a summary of each Fund’s net realized gain and/or loss and change in net unrealized appreciation and/or depreciation on derivative investments recognized in the Trust’s Statements of Operations categorized by primary risk exposure for the fiscal year ended March 31, 2023:
| Realized Gain (Loss) on Derivative Investments Recognized in
the Statements of Operations |
||||||||||||||||||||
| Fund | Total | Credit Contracts |
Equity Contracts |
Foreign Currency Contracts |
Interest Rate Contracts |
|||||||||||||||
| PF Inflation Managed | $551,024 | $2,966 | $— | $191,819 | $356,239 | |||||||||||||||
| PF Managed Bond | (7,950,033 | ) | (936,373 | ) | — | (1,278,051 | ) | (5,735,609 | ) | |||||||||||
| PF Short Duration Bond | (337,617 | ) | — | — | — | (337,617 | ) | |||||||||||||
| PF Emerging Markets Debt | 458,560 | 11,396 | — | (30,306 | ) | 477,470 | ||||||||||||||
| PF Multi-Asset | (109,053,215 | ) | — | (109,053,215 | ) | — | — | |||||||||||||
| Change in Net Unrealized Appreciation (Depreciation) on Derivative
Investments Recognized in the Statements of Operations |
||||||||||||||||||||
| Fund | Total | Credit Contracts |
Equity Contracts |
Foreign Currency Contracts |
Interest Rate Contracts |
|||||||||||||||
| PF Inflation Managed | ($328,160 | ) | ($1,369 | ) | $— | ($70,340 | ) | ($256,451 | ) | |||||||||||
| PF Managed Bond | 4,718,081 | 218,956 | — | (528,032 | ) | 5,027,157 | ||||||||||||||
| PF Short Duration Bond | 140,519 | — | — | — | 140,519 | |||||||||||||||
| PF Emerging Markets Debt | (336,348 | ) | (2,981 | ) | — | (260,803 | ) | (72,564 | ) | |||||||||||
| PF Multi-Asset | (7,489,458 | ) | — | (7,489,458 | ) | — | — | |||||||||||||
For financial reporting purposes, the Trust does not offset fair value amounts recognized for derivative instruments and fair value amounts recognized for the right to reclaim cash collateral (receivables) or the obligation to return cash collateral (payables) arising from derivative instruments recognized at fair value executed with the same counterparty under a master netting arrangement.
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PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
The following is a summary of the average number of positions and values of derivative investments by derivative type for the fiscal year ended March 31, 2023:
| Average Positions and Values of Derivative Investments by Derivative Type | ||||||||||||||||||||||||||||||||||||||||||||
| Futures Contracts | Forward Contracts | Options Contracts | Swap Agreements | |||||||||||||||||||||||||||||||||||||||||
| Fund | Number of Positions |
Value | Number of Positions |
Value | Number of Positions |
Value | Number of Positions |
Value | ||||||||||||||||||||||||||||||||||||
| PF Inflation Managed |
16 | ($1,828 | ) | 14 | $13,095 | 20 | ($60,978 | ) | 52 | ($135,331 | ) | |||||||||||||||||||||||||||||||||
| PF Managed Bond |
28 | (1,221,184 | ) | 65 | (261,419 | ) | 54 | (238,923 | ) | 55 | 1,300,487 | |||||||||||||||||||||||||||||||||
| PF Short Duration Bond |
4 | 13,294 | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
| PF Emerging Markets Debt |
2 | (1,497 | ) | 19 | 840 | — | — | 14 | 91,518 | |||||||||||||||||||||||||||||||||||
| PF Multi-Asset |
1 | 969,078 | — | — | — | — | 23 | (44,704,401 | ) | |||||||||||||||||||||||||||||||||||
The table shown above and the amounts of net realized gains and losses and changes in net unrealized appreciation and depreciation on derivative investments as disclosed in the Statements of Operations serve as indicators of volume of derivative activity for each applicable Fund for the fiscal year ended March 31, 2023.
C. ENFORCEABLE MASTER NETTING ARRANGEMENTS
Master Agreements and Netting Arrangements – Certain Funds are parties to various agreements, including but not limited to International Swaps and Derivatives Association Agreements and related Credit Support Annex, Master Repurchase Agreements, and Master Securities Forward Transactions Agreements (collectively “Master Agreements”), which govern the terms of certain transactions with select counterparties. These Master Agreements generally include provisions for general obligations, representations, agreements, collateral, and certain events of default or termination. These Master Agreements also include provisions for netting arrangements that help reduce credit and counterparty risk associated with relevant transactions (“netting arrangements”). The netting arrangements are generally tied to credit related events that, if triggered, would cause an event of default or termination giving a Fund or counterparty the right to terminate early and cause settlement, on a net basis, of all transactions under the applicable Master Agreement. In the event of an early termination as a result of an event of default under the Master Agreement, the total value exposure of all transactions will be offset against collateral exchanged to date, which would result in a net receivable or payable that would be due from or to the counterparty. However, bankruptcy or insolvency laws of a particular jurisdiction may impose restrictions on or prohibitions against the right of offset in the event of a bankruptcy or insolvency of the counterparty. Credit related events include, but are not limited to, bankruptcy, failure to make timely payments, restructuring, obligation acceleration, obligation default, a material decline in net assets, decline in credit rating or repudiation/moratorium. Any election made by a counterparty to early terminate the transactions under a Master Agreement could have a material adverse impact on a Fund’s financial statements. A Fund’s overall exposure to credit risk, subject to netting arrangements can change substantially within a short period, as it is affected by each transaction subject to the arrangement.
Master Agreements can also help limit counterparty risk by specifying collateral posting arrangements at pre-arranged exposure levels. Under the Master Agreements, collateral is routinely transferred if the total net exposure to certain transactions under the relevant Master Agreement with a counterparty in a given Fund exceeds a specified threshold, net of collateral already in place, which typically ranges from $0 to $250,000 depending on the counterparty and the type of Master Agreement. Collateral under the Master Agreements is usually in the form of cash or U.S. Treasury Bills but could include other types of securities. If permitted under the Master Agreement, certain funds may rehypothecate cash collateral received from a counterparty. The value of all derivative transactions outstanding under a Master Agreement is calculated daily to determine the amount of collateral to be received or pledged by the counterparty. Posting of collateral for OTC derivative transactions are covered under tri-party collateral agreements between the Trust, the Trust’s custodian, and each counterparty. Collateral for centrally cleared derivatives transactions are posted with the applicable derivatives clearing organization.
The following is a summary of financial and derivative instruments that are subject to enforceable master agreements with netting arrangements (or similar arrangements) and collateral received and pledged in connection with the master agreements with netting arrangements (or similar arrangements) as of March 31, 2023:
| |
Gross Amounts Presented in the |
|
Gross Amounts Not Offset in Statements of Assets and Liabilities |
|
Gross Amounts Presented in the |
|
Gross Amounts Not Offset in
Statements of Assets and |
||||||||||||||||||||||||||||||||||||||
| Description |
|
Financial Instruments |
|
Collateral Received |
|
Net Amount |
|
Financial Instruments |
|
Collateral Pledged |
|
Net Amount |
|||||||||||||||||||||||||||||||||
| Assets | Liabilities | ||||||||||||||||||||||||||||||||||||||||||||
| PF Inflation Managed |
|||||||||||||||||||||||||||||||||||||||||||||
| Forward foreign currency contracts |
$1,071 | ($295 | ) | $— | $776 | ($31,604 | ) | $295 | $— | ($31,309 | ) | ||||||||||||||||||||||||||||||||||
| Option contracts |
56,728 | (56,459 | ) | — | 269 | (67,441 | ) | 56,459 | — | (10,982 | ) | ||||||||||||||||||||||||||||||||||
| Swap agreements |
36,359 | — | — | 36,359 | — | — | — | — | |||||||||||||||||||||||||||||||||||||
| Sale-buyback financing transactions |
— | — | — | — | (1,148,696 | ) | 1,148,696 | — | — | ||||||||||||||||||||||||||||||||||||
| PF Managed Bond |
|||||||||||||||||||||||||||||||||||||||||||||
| Forward foreign currency contracts |
174,153 | (131,889 | ) | — | 42,264 | (644,782 | ) | 131,889 | 60,775 | (452,118 | ) | ||||||||||||||||||||||||||||||||||
| Option contracts |
63,505 | (63,505 | ) | — | — | (95,531 | ) | 63,505 | — | (32,026 | ) | ||||||||||||||||||||||||||||||||||
| Swap agreements |
8,172 | — | — | 8,172 | — | — | — | — | |||||||||||||||||||||||||||||||||||||
| PF Emerging Markets Debt |
|||||||||||||||||||||||||||||||||||||||||||||
| Forward foreign currency contracts |
47,958 | (45,915 | ) | — | 2,043 | (179,290 | ) | 45,915 | 20,000 | (113,375 | ) | ||||||||||||||||||||||||||||||||||
| Swap agreements |
— | — | — | — | (3,267 | ) | — | — | (3,267 | ) | |||||||||||||||||||||||||||||||||||
| PF Multi-Asset |
|||||||||||||||||||||||||||||||||||||||||||||
| Swap agreements |
28,651,014 | (3,561,996 | ) | (18,148,555 | ) | 6,940,463 | (3,561,996 | ) | 3,561,996 | — | — | ||||||||||||||||||||||||||||||||||
D-18
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
During the reporting period, certain Funds may have had investments in repurchase agreements. The gross value and related collateral received for these investments, if any, are presented in each applicable Fund’s Schedule of Investments and the value of these investments is also presented in the Statements of Assets and Liabilities. The value of the related collateral, if any, held by each applicable Fund, exceeded the value of the repurchase agreements as of March 31, 2023.
6. INVESTMENT ADVISORY, ADMINISTRATION AND SHAREHOLDER SERVICES, AND DISTRIBUTION AGREEMENTS
Pursuant to an Investment Advisory Agreement, PLFA, a wholly-owned subsidiary of Pacific Life Insurance Company (“Pacific Life”), serves as Investment Adviser to each Fund of the Trust. PLFA receives investment advisory fees from each Fund which are based on annual percentages of the average daily net assets of each Fund. Pursuant to Sub-Advisory Agreements, the Trust and PLFA engage various investment management firms under PLFA’s supervision to sub-advise certain Funds presented in these financial statements. PLFA manages the Portfolio Optimization Funds and a portion of the PF Multi-Asset Fund directly. PLFA, as Investment Adviser to each Fund of the Trust, pays related management fees to these sub-advisers as compensation for their sub-advisory services provided to the Trust. As of March 31, 2023, the investment advisory fees that PLFA receives from each Fund based upon an annual percentage of the average daily net assets of each Fund, the advisory fee waiver rate and the sub-adviser of each Fund (if applicable), are as follows:
| Fund | Advisory Fee Rate |
Advisory Fee Waiver through July 31, 2023 |
Sub-Adviser(s) | |||
| Pacific Funds Portfolio Optimization Conservative Pacific Funds Portfolio Optimization Moderate-Conservative Pacific Funds Portfolio Optimization Moderate Pacific Funds Portfolio Optimization Growth Pacific Funds Portfolio Optimization Aggressive-Growth |
0.20% |
0.025% for assets above $2 billion to $3 billion 0.050% on next $2 billion 0.075% on next $2.5 billion 0.100% on excess |
||||
| Pacific Funds Ultra Short Income | 0.25% | Pacific Asset Management LLC | ||||
| Pacific Funds Short Duration Income | 0.40% | 0.025% above $1 billion to $2 billion 0.050% on next $1 billion 0.075% on excess |
Pacific Asset Management LLC | |||
| Pacific Funds Core Income | 0.50% | 0.025% above $1 billion to $2 billion 0.050% on next $1 billion 0.075% on excess |
Pacific Asset Management LLC | |||
| Pacific Funds Strategic Income Pacific Funds High Income |
0.60% | 0.025% above $1 billion to $2 billion 0.050% on next $1 billion 0.075% on excess |
Pacific Asset Management LLC | |||
| Pacific Funds Floating Rate Income | 0.65% | 0.025% above $1 billion to $2 billion 0.050% on next $1 billion 0.075% on excess |
Pacific Asset Management LLC | |||
| Pacific Funds ESG Core Bond | 0.38% | Pacific Asset Management LLC | ||||
| Pacific Funds Small/Mid-Cap Pacific Funds Small-Cap Pacific Funds Small-Cap Value |
0.75% | Rothschild & Co Asset Management US Inc. | ||||
| PF Inflation Managed Fund | 0.40% | Pacific Investment Management Company LLC | ||||
| PF Managed Bond Fund | 0.40% | 0.0075% | J.P. Morgan Investment Management Inc., Pacific Investment Management Company LLC, and Western Asset Management Company, LLC (co-sub-advisers) | |||
| PF Short Duration Bond Fund | 0.40% | T. Rowe Price Associates, Inc. | ||||
| PF Emerging Markets Debt Fund | 0.785% | 0.05% | Principal Global Investors, LLC | |||
| PF Growth Fund | 0.55% | MFS Investment Management | ||||
| PF Large-Cap Value Fund | 0.65% | ClearBridge Investments, LLC | ||||
| PF Small-Cap Growth Fund | 0.60% | MFS Investment Management | ||||
| PF Small-Cap Value Fund | 0.75% | AllianceBernstein L.P. | ||||
| PF Emerging Markets Fund | 0.80% | Invesco Advisers, Inc. | ||||
| PF International Growth Fund | 0.85% | 0.03% | Clearbridge Investments, LLC | |||
| PF International Small-Cap Fund | 0.85% | 0.015% | FIAM LLC | |||
| PF International Value Fund | 0.65% | Wellington Management Company LLP | ||||
| PF Multi-Asset Fund | 0.35% | Pacific Asset Management LLC (collateral portion only) | ||||
| PF Real Estate Fund | 0.90% | 0.15% | Principal Real Estate Investors, LLC |
Pursuant to the PF Administration Agreement with the Trust, Pacific Life serves as administrator (the “Administrator”) to the Trust. The Administrator and PLFA perform, procure and/or oversee administrative services for each of the Funds. These services include, but are not limited to, procuring and overseeing transfer agency, dividend disbursement and sub-transfer agency services for the Trust, and any and all legal, compliance, and accounting support provided by Pacific Life and PLFA for the operations of the Trust and to permit the Trust to conduct business as described in its registration statement; and other services necessary for the administration of the Funds’ affairs.
Pacific Life receives an administration fee from each Fund based on an annual rate of 0.15% of average daily net assets of each Fund.
Pursuant to the Distribution Agreement, Pacific Select Distributors, LLC (the “Distributor”), a wholly-owned subsidiary of Pacific Life, serves as distributor of the Trust’s shares. Under the Distribution Agreement, the Distributor bears all expenses of providing services, including costs of
D-19
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
sales presentations, mailings, advertisements, and other marketing efforts by the Distributor in connection with the distribution or sale of the Trust’s shares and makes distribution and/or service payments to selling groups in connection with the sale of certain of the Trust’s shares and subsequent servicing needs of shareholders provided by selling groups.
The Distributor receives distribution and service fees for Class C shares pursuant to a distribution and service plan as adopted in accordance with Rule 12b-1 (“12b-1”) under the 1940 Act (the “Class C 12b-1 Plans”). The Distributor also receives service fees pursuant to a non-12b-1 service plan for Class A shares (the “Class A Service Plan”). The Distributor receives distribution and/or service fees from each applicable Fund and share class, which are based on the following annual percentages of average daily net assets:
| Plan | Distribution Fee Rate |
Service Fee Rate | ||
| Class C 12b-1 Plan | 0.75% | 0.25% | ||
| Class A Service Plan | 0.25% |
There are no distribution and/or service fees for Class I, Class I-2, Class P and Class R6 shares. The distribution and service fees are accrued daily. For the fiscal year ended March 31, 2023, the Distributor, acting as underwriter, received net commissions (front-end sales charges) of $2,794,847 from the sale of Class A shares and received $21,705 in CDSC from redemptions of Class A and Class C shares.
7. TRANSACTIONS WITH AFFILIATES
A. ADVISORY FEES, ADMINISTRATION FEES, DISTRIBUTION AND/OR SERVICE FEES
The Investment Adviser, the Distributor, and Pacific Life are related parties. For the fiscal year ended March 31, 2023, the advisory fees earned by the Investment Adviser (including any advisory fee waiver), the administration fees earned by Pacific Life, and the distribution and/or service fees earned by the Distributor are presented in the Statements of Operations. The amounts of each of these fees that remained payable as of March 31, 2023 are presented in the Statements of Assets and Liabilities.
B. EXPENSE LIMITATION AGREEMENTS
To help limit the Trust’s expenses, PLFA has contractually agreed to reimburse each Fund for certain operating expenses that exceed an annual rate based on a percentage of a Fund’s average daily net assets (“expense cap”). These operating expenses include, but are not limited to: the administration fee and expenses; organizational expenses; custody expenses; expenses for external audit, tax, legal and accounting and sub-administration services; the preparation, printing, filing and mailing costs of prospectuses, shareholder reports, and other regulatory documents to existing shareholders, as applicable; and independent trustees’ fees and expenses.
These operating expenses do not include: advisory fees; distribution and/or service fees; dividends on securities sold short; acquired fund fees and expenses; interest (including commitment fees); taxes (including foreign taxes on dividends, interest or gains); brokerage commissions and other transactional expenses; and expenses for extraordinary matters such as litigation expenses, liquidation expenses, reorganization expenses, and other expenses not incurred in the ordinary course of a Fund’s business. The following are the expense caps for each of the Funds for all applicable share classes:
| Fund | Share Class | Expense Caps | ||
| Portfolio Optimization Funds | A, C, and I-2 | 0.15% through July 31, 2023 | ||
| Pacific Funds Ultra Short Income | I and I-2 | 0.07% through July 31, 2023 | ||
| Pacific Funds Core Income | A and C | 0.10% through July 31, 2023 | ||
| I, I-2 and P | 0.05% through July 31, 2023 | |||
| Pacific Funds Short Duration Income Pacific Funds Strategic Income |
A, C and I-2 | 0.10% through July 31, 2023 | ||
| I | 0.05% through July 31, 2023 | |||
| Pacific Funds Floating Rate Income Pacific Funds High Income |
A, C and I-2 | 0.10% through July 31, 2023 | ||
| I and P | 0.05% through July 31, 2023 | |||
| Pacific Funds ESG Core Bond | I and I-2 | 0.10% through July 31, 2023 | ||
| Pacific Funds Small/Mid-Cap Pacific Funds Small-Cap Pacific Funds Small-Cap Value |
A, C and I-2 | 0.20% through July 31, 2023 | ||
| R6 and P
|
0.10% through July 31, 2023 | |||
| PF Inflation Managed Fund PF Managed Bond Fund PF Short Duration Bond Fund PF Emerging Markets Debt Fund PF Growth Fund PF Large-Cap Value Fund PF Small-Cap Growth Fund PF Small-Cap Value Fund PF Emerging Markets Fund PF International Growth Fund PF International Value Fund PF Real Estate Fund |
P | 0.15% through July 31, 2023 | ||
| PF International Small-Cap Fund | P | 0.25% through July 31, 2023 | ||
| PF Multi-Asset Fund | P | 0.16% through July 31, 2023 |
There is no guarantee that PLFA will continue to cap expenses for a Fund upon the expiration of the expense cap. In addition, any expense reimbursements made by PLFA to a Fund are subject to recoupment by PLFA from such Fund in future periods, not to exceed three years from
D-20
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
the date on which the reimbursement took place, provided that the recoupment, along with the other expenses subject to the expense cap, would be limited to the lesser of: (i) the expense cap in effect at the time of the reimbursement or (ii) the expense cap in effect at the time of recoupment. Any amounts repaid to PLFA will have the effect of increasing such expenses of the applicable Fund, but not above the expense cap. The amounts of adviser reimbursement to each applicable Fund for the fiscal year ended March 31, 2023 are presented in the Statements of Operations. Any amounts that remained due from the Investment Adviser as of March 31, 2023 are presented in the Statements of Assets and Liabilities.
The cumulative expense reimbursement amounts, if any, as of March 31, 2023 that are subject to recoupment by PLFA from the Funds are as follows:
| Expiration Date | ||||||||||||
| Fund | 3/31/2024 | 3/31/2025 | 3/31/2026 | |||||||||
| Pacific Funds Portfolio Optimization Conservative |
$173,374 | $167,153 | $150,624 | |||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
209,189 | 182,675 | 163,498 | |||||||||
| Pacific Funds Portfolio Optimization Moderate |
416,943 | 364,780 | 293,084 | |||||||||
| Pacific Funds Portfolio Optimization Growth |
344,023 | 316,780 | 267,107 | |||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
190,351 | 186,705 | 169,301 | |||||||||
| Pacific Funds Ultra Short Income |
112,238 | 109,878 | 197,740 | |||||||||
| Pacific Funds Short Duration Income |
1,444,108 | 1,392,216 | 1,303,363 | |||||||||
| Pacific Funds Core Income |
1,935,705 | 1,771,368 | 1,262,590 | |||||||||
| Pacific Funds ESG Core Bond |
36,149 | 145,640 | 100,704 | |||||||||
| Pacific Funds Strategic Income |
1,086,189 | 1,649,288 | 1,770,364 | |||||||||
| Pacific Funds Floating Rate Income |
2,383,395 | 3,904,375 | 5,902,050 | |||||||||
| Pacific Funds High Income |
286,291 | 296,528 | 277,525 | |||||||||
| Pacific Funds Small/Mid-Cap |
139,311 | 114,664 | 107,492 | |||||||||
| Pacific Funds Small-Cap |
96,729 | 89,011 | 95,344 | |||||||||
| Pacific Funds Small-Cap Value |
95,048 | 87,953 | 95,321 | |||||||||
| PF Inflation Managed |
57,500 | 63,249 | 70,309 | |||||||||
| PF Managed Bond |
547,131 | 600,547 | 512,078 | |||||||||
| PF Short Duration Bond |
151,919 | 112,933 | 177,762 | |||||||||
| PF Emerging Markets Debt |
168,623 | 118,006 | 81,604 | |||||||||
| PF Growth |
148,484 | 134,384 | 152,146 | |||||||||
| PF Large-Cap Value |
132,370 | 124,011 | 121,405 | |||||||||
| PF Small-Cap Growth |
52,425 | 73,296 | 54,059 | |||||||||
| PF Small-Cap Value |
64,489 | 98,439 | 64,034 | |||||||||
| PF Emerging Markets |
261,447 | 283,298 | 213,320 | |||||||||
| PF International Growth |
134,071 | 114,925 | 75,426 | |||||||||
| PF International Small-Cap |
78,680 | 93,375 | 82,641 | |||||||||
| PF International Value |
142,097 | 125,454 | 204,931 | |||||||||
| PF Multi-Asset |
666,818 | 563,443 | 460,987 | |||||||||
| PF Real Estate |
47,068 | 41,192 | 55,050 | |||||||||
|
|
|
|
|
|
|
|||||||
| Total |
$11,602,165 | $13,325,566 | $14,481,859 | |||||||||
|
|
|
|
|
|
|
|||||||
There was no recoupment of expense reimbursement by PLFA from any Funds for the fiscal year ended March 31, 2023.
C. INVESTMENTS IN AFFILIATED FUNDS
As of March 31, 2023, each of the Portfolio Optimization Funds (aggregate of all share classes) owned Class P shares in each of the applicable affiliated PF Underlying Funds, Pacific Funds Core Income, Pacific Funds Floating Rate Income and/or Pacific Funds High Income. A summary of holdings and transactions with affiliated mutual fund investments as of and for the fiscal year ended March 31, 2023 is as follows:
| Fund/Underlying Fund |
Beginning Value as of April 1, 2022 |
Purchase Cost (1) |
Distributions Received and Reinvested (2) |
Sales Proceeds |
Net Gain (Loss) (3) |
Change in Unrealized Appreciation (Depreciation) |
As of March 31, 2023 | |||||||||||||||||||||||||
| Ending Value |
Shares Balance |
|||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
|
|||||||||||||||||||||||||||||||
| Pacific Funds Core Income |
$6,299,606 | $8,251,482 | $219,309 | $1,375,580 | ($201,077 | ) | ($239,043 | ) | $12,954,697 | 1,332,788 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
10,260,383 | 2,952,958 | 695,452 | 9,114,111 | (346,804 | ) | (117,608 | ) | 4,330,270 | 466,122 | ||||||||||||||||||||||
| Pacific Funds High Income |
24,931,159 | 81,398 | 811,388 | 15,818,212 | (1,332,368 | ) | (951,313 | ) | 7,722,052 | 865,701 | ||||||||||||||||||||||
| PF Inflation Managed |
12,218,803 | 60,894 | 644,781 | 3,902,205 | 56,232 | (1,458,961 | ) | 7,619,544 | 879,855 | |||||||||||||||||||||||
| PF Managed Bond |
77,794,250 | 10,706,092 | 2,574,824 | 16,865,945 | (2,794,920 | ) | (5,161,696 | ) | 66,252,605 | 7,328,828 | ||||||||||||||||||||||
| PF Short Duration Bond |
25,854,179 | 10,742,508 | 514,927 | 7,827,969 | (353,589 | ) | (302,563 | ) | 28,627,493 | 3,016,596 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
10,359,165 | 135,338 | 492,032 | 5,295,565 | (903,458 | ) | (524,944 | ) | 4,262,568 | 650,774 | ||||||||||||||||||||||
| PF Growth |
456,194 | 4,463,221 | — | 204,350 | 410,305 | (335,860 | ) | 4,789,510 | 387,501 | |||||||||||||||||||||||
| PF Large-Cap Value |
5,452,948 | 4,083,538 | 74,818 | 1,354,947 | 378,388 | (569,264 | ) | 8,065,481 | 733,225 | |||||||||||||||||||||||
| PF Small-Cap Value |
4,421,095 | 352,032 | 6,820 | 3,410,421 | 545,722 | (1,044,309 | ) | 870,939 | 145,399 | |||||||||||||||||||||||
| PF Emerging Markets |
3,389,425 | 12,053 | 87,184 | 1,527,672 | (132,995 | ) | (89,086 | ) | 1,738,909 | 189,837 | ||||||||||||||||||||||
| PF International Growth |
1,006,640 | 425,951 | — | 917,247 | (102,133 | ) | 24,782 | 437,993 | 67,801 | |||||||||||||||||||||||
| PF International Small-Cap |
3,390,322 | 7,476 | 29,774 | 3,089,930 | (160,543 | ) | (177,099 | ) | — | |
— |
| ||||||||||||||||||||
| PF International Value |
2,270,960 | 1,103,612 | 32,656 | 1,296,295 | (134,685 | ) | 54,909 | 2,031,157 | 237,840 | |||||||||||||||||||||||
| PF Multi-Asset |
34,241,440 | 156,383 | 27,380 | 11,759,484 | (2,158,945 | ) | (1,577,609 | ) | 18,929,165 | 2,275,140 | ||||||||||||||||||||||
| PF Real Estate |
3,454,301 | 1,030,075 | 16,616 | 1,934,004 | (369,762 | ) | (412,555 | ) | 1,784,671 | 135,716 | ||||||||||||||||||||||
| $225,800,870 | $44,565,011 | $6,227,961 | $85,693,937 | ($7,600,632 | ) | ($12,882,219 | ) | $170,417,054 | ||||||||||||||||||||||||
D-21
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Fund/Underlying Fund |
Beginning Value as of April 1, 2022 |
Purchase Cost (1) |
Distributions Received and Reinvested (2) |
Sales Proceeds |
Net Gain (Loss) (3) |
Change in Unrealized Appreciation (Depreciation) |
As of March 31, 2023 | |||||||||||||||||||||||||
| Ending Value |
Shares Balance |
|||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
|
|||||||||||||||||||||||||||||||
| Pacific Funds Core Income |
$7,778,592 | $8,591,358 | $272,236 | $1,595,697 | ($232,701 | ) | ($314,200 | ) | $14,499,588 | 1,491,727 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
9,095,148 | 4,131,577 | 691,705 | 7,686,146 | (299,873 | ) | (116,044 | ) | 5,816,367 | 626,089 | ||||||||||||||||||||||
| Pacific Funds High Income |
22,604,630 | 87,258 | 903,482 | 11,107,547 | (1,409,694 | ) | (665,966 | ) | 10,412,163 | 1,167,283 | ||||||||||||||||||||||
| PF Inflation Managed |
8,862,145 | 1,394,190 | 480,325 | 1,713,305 | (162,063 | ) | (870,326 | ) | 7,990,966 | 922,744 | ||||||||||||||||||||||
| PF Managed Bond |
95,098,759 | 8,717,296 | 3,088,135 | 22,830,514 | (4,345,104 | ) | (5,604,265 | ) | 74,124,307 | 8,199,591 | ||||||||||||||||||||||
| PF Short Duration Bond |
13,452,807 | 17,677,510 | 455,912 | 5,147,090 | (162,334 | ) | (164,182 | ) | 26,112,623 | 2,751,594 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
7,653,649 | 34,178 | 701,453 | 1,555,925 | (350,323 | ) | (735,474 | ) | 5,747,558 | 877,490 | ||||||||||||||||||||||
| PF Growth |
6,521,886 | 5,688,949 | — | 3,549,986 | 916,677 | (1,828,052 | ) | 7,749,474 | 626,980 | |||||||||||||||||||||||
| PF Large-Cap Value |
16,165,233 | 73,142 | 155,064 | 4,251,171 | 706,987 | (1,737,944 | ) | 11,111,311 | 1,010,119 | |||||||||||||||||||||||
| PF Small-Cap Growth |
2,961,637 | 1,149,795 | — | 2,410,978 | (874,096 | ) | 360,772 | 1,187,130 | 82,900 | |||||||||||||||||||||||
| PF Small-Cap Value |
5,878,503 | 17,116 | 24,264 | 4,018,916 | 1,310,906 | (2,037,556 | ) | 1,174,317 | 196,046 | |||||||||||||||||||||||
| PF Emerging Markets |
7,512,489 | 1,140,598 | 179,463 | 3,648,600 | (204,251 | ) | (290,364 | ) | 4,689,335 | 511,936 | ||||||||||||||||||||||
| PF International Growth |
2,379,798 | 1,204,499 | 12,951 | 1,578,419 | (812,088 | ) | 683,064 | 1,889,805 | 292,540 | |||||||||||||||||||||||
| PF International Small-Cap |
6,011,349 | 10,984 | 40,971 | 5,454,479 | (1,033,378 | ) | 424,553 | — | — | |||||||||||||||||||||||
| PF International Value |
8,456,372 | 1,036,708 | 119,431 | 4,878,923 | (511,724 | ) | 64,730 | 4,286,594 | 501,943 | |||||||||||||||||||||||
| PF Multi-Asset |
76,050,439 | 329,512 | 63,782 | 17,599,442 | (3,217,704 | ) | (4,817,755 | ) | 50,808,832 | 6,106,831 | ||||||||||||||||||||||
| PF Real Estate |
4,593,986 | 2,135,231 | 22,671 | 2,144,938 | (437,728 | ) | (559,797 | ) | 3,609,425 | 274,481 | ||||||||||||||||||||||
| $301,077,422 | $53,419,901 | $7,211,845 | $101,172,076 | ($11,118,491 | ) | ($18,208,806 | ) | $231,209,795 | ||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
|
|||||||||||||||||||||||||||||||
| Pacific Funds Core Income |
$15,115,777 | $16,929,853 | $537,811 | $2,808,267 | ($418,758 | ) | ($639,262 | ) | $28,717,154 | 2,954,440 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
19,768,265 | 17,452,688 | 1,905,328 | 26,526,643 | (1,026,397 | ) | 21,202 | 11,594,443 | 1,248,056 | |||||||||||||||||||||||
| Pacific Funds High Income |
49,121,354 | 2,827,627 | 2,034,162 | 22,550,225 | (3,354,403 | ) | (1,276,546 | ) | 26,801,969 | 3,004,705 | ||||||||||||||||||||||
| PF Inflation Managed |
19,258,639 | 4,264 | 1,050,789 | 6,721,307 | (909,894 | ) | (1,348,103 | ) | 11,334,388 | 1,308,821 | ||||||||||||||||||||||
| PF Managed Bond |
184,148,179 | 23,160,953 | 6,277,325 | 46,276,688 | (8,519,772 | ) | (10,769,654 | ) | 148,020,343 | 16,373,932 | ||||||||||||||||||||||
| PF Short Duration Bond |
29,234,332 | 85,429,950 | 1,417,463 | 13,787,648 | (493,132 | ) | (348,824 | ) | 101,452,141 | 10,690,426 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
14,968,265 | 3,198 | 1,380,664 | 2,811,369 | (334,032 | ) | (1,793,644 | ) | 11,413,082 | 1,742,455 | ||||||||||||||||||||||
| PF Growth |
64,762,868 | 41,474,297 | — | 25,839,480 | 13,773,121 | (22,669,199 | ) | 71,501,607 | 5,784,920 | |||||||||||||||||||||||
| PF Large-Cap Value |
67,955,865 | 11,687,236 | 790,866 | 15,184,247 | 3,308,179 | (7,139,334 | ) | 61,418,565 | 5,583,506 | |||||||||||||||||||||||
| PF Small-Cap Growth |
14,480,701 | 4,922,345 | — | 9,710,091 | (4,759,748 | ) | 2,924,510 | 7,857,717 | 548,723 | |||||||||||||||||||||||
| PF Small-Cap Value |
33,533,761 | 5,140 | 116,988 | 21,640,901 | 3,759,736 | (8,001,803 | ) | 7,772,921 | 1,297,650 | |||||||||||||||||||||||
| PF Emerging Markets |
24,487,133 | 3,498,641 | 596,683 | 11,481,643 | (119,487 | ) | (1,462,003 | ) | 15,519,324 | 1,694,249 | ||||||||||||||||||||||
| PF International Growth |
8,726,755 | 2,346,227 | 84,597 | 5,303,672 | (3,349,177 | ) | 2,967,766 | 5,472,496 | 847,136 | |||||||||||||||||||||||
| PF International Small-Cap |
19,594,384 | 2,308 | 136,513 | 17,484,259 | (892,464 | ) | (1,356,482 | ) | — | — | ||||||||||||||||||||||
| PF International Value |
23,625,704 | 1,255,744 | 641,702 | 7,924,621 | (631,667 | ) | 371,835 | 17,338,697 | 2,030,292 | |||||||||||||||||||||||
| PF Multi-Asset |
375,111,682 | 76,231 | 297,037 | 102,976,298 | (19,384,078 | ) | (21,137,843 | ) | 231,986,731 | 27,883,020 | ||||||||||||||||||||||
| PF Real Estate |
19,965,253 | 4,360,252 | 99,820 | 8,128,460 | (1,526,704 | ) | (2,824,746 | ) | 11,945,415 | 908,397 | ||||||||||||||||||||||
| $983,858,917 | $215,436,954 | $17,367,748 | $347,155,819 | ($24,878,677 | ) | ($74,482,130 | ) | $770,146,993 | ||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
|
|||||||||||||||||||||||||||||||
| Pacific Funds Core Income |
$5,688,418 | $8,823,484 | $225,269 | $1,022,456 | ($172,453 | ) | ($226,267 | ) | $13,315,995 | 1,369,958 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
12,346,693 | 14,510,536 | 1,359,759 | 20,870,115 | (582,928 | ) | (98,815 | ) | 6,665,130 | 717,452 | ||||||||||||||||||||||
| Pacific Funds High Income |
32,745,799 | 37,524 | 1,231,552 | 17,700,089 | (2,406,479 | ) | (744,028 | ) | 13,164,279 | 1,475,816 | ||||||||||||||||||||||
| PF Inflation Managed |
4,011,991 | 3,361,058 | 225,746 | 633,530 | (71,658 | ) | (398,733 | ) | 6,494,874 | 749,985 | ||||||||||||||||||||||
| PF Managed Bond |
67,209,713 | 22,900,701 | 2,884,125 | 18,315,999 | (3,417,373 | ) | (3,772,519 | ) | 67,488,648 | 7,465,558 | ||||||||||||||||||||||
| PF Short Duration Bond |
4,060,094 | 64,045,232 | 855,917 | 7,286,949 | (165,626 | ) | (144,339 | ) | 61,364,329 | 6,466,210 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
8,315,190 | 12,172 | 790,288 | 1,373,967 | (23,184 | ) | (1,180,408 | ) | 6,540,091 | 998,487 | ||||||||||||||||||||||
| PF Growth |
56,026,177 | 15,560,350 | — | 30,008,961 | 15,924,937 | (24,435,313 | ) | 33,067,190 | 2,675,339 | |||||||||||||||||||||||
| PF Large-Cap Value |
55,395,982 | 9,790,881 | 659,315 | 32,224,775 | 3,053,329 | (7,083,692 | ) | 29,591,040 | 2,690,095 | |||||||||||||||||||||||
| PF Small-Cap Growth |
20,111,409 | 4,849,067 | — | 9,143,516 | (5,491,234 | ) | 3,182,480 | 13,508,206 | 943,310 | |||||||||||||||||||||||
| PF Small-Cap Value |
31,936,057 | 8,913,245 | 140,764 | 17,116,498 | 5,545,882 | (9,375,546 | ) | 20,043,904 | 3,346,228 | |||||||||||||||||||||||
| PF Emerging Markets |
36,728,940 | 6,146,839 | 856,161 | 17,913,420 | (3,838,332 | ) | 1,364,431 | 23,344,619 | 2,548,539 | |||||||||||||||||||||||
| PF International Growth |
13,736,057 | 16,540 | 136,280 | 8,944,738 | (3,026,985 | ) | 2,114,796 | 4,031,950 | 624,141 | |||||||||||||||||||||||
| PF International Small-Cap |
20,409,833 | 200,464 | 252,190 | 12,091,293 | (2,652,788 | ) | 564,277 | 6,682,683 | 885,124 | |||||||||||||||||||||||
| PF International Value |
30,350,907 | 41,663 | 814,739 | 16,194,334 | 367,846 | (1,154,305 | ) | 14,226,516 | 1,665,868 | |||||||||||||||||||||||
| PF Multi-Asset |
397,857,293 | 14,327,611 | 360,273 | 35,426,512 | (2,141,100 | ) | (37,215,934 | ) | 337,761,631 | 40,596,350 | ||||||||||||||||||||||
| PF Real Estate |
24,955,600 | 33,920 | 107,699 | 9,722,856 | (1,943,113 | ) | (3,163,604 | ) | 10,267,646 | 780,810 | ||||||||||||||||||||||
| $821,886,153 | $173,571,287 | $10,900,077 | $255,990,008 | ($1,041,259 | ) | ($81,767,519 | ) | $667,558,731 | ||||||||||||||||||||||||
D-22
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Fund/Underlying Fund |
Beginning Value as of April 1, 2022 |
Purchase Cost (1) |
Distributions Received and Reinvested (2) |
Sales Proceeds |
Net Gain (Loss) (3) |
Change in Unrealized Appreciation (Depreciation) |
As of March 31, 2023 | |||||||||||||||||||||||||
| Ending Value |
Shares Balance |
|||||||||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
|
|||||||||||||||||||||||||||||||
| Pacific Funds Core Income |
$ — | $1,939,976 | $6,866 | $7,370 | ($35 | ) | ($1,986 | ) | $1,937,451 | 199,326 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
1,588,599 | 4,207,998 | 297,764 | 4,657,101 | (96,400 | ) | (11,734 | ) | 1,329,126 | 143,071 | ||||||||||||||||||||||
| Pacific Funds High Income |
4,739,958 | 1,163,090 | 173,694 | 3,005,292 | (394,737 | ) | (59,083 | ) | 2,617,630 | 293,456 | ||||||||||||||||||||||
| PF Managed Bond |
— | 10,024,745 | 295,293 | 649,196 | (17,781 | ) | (21,440 | ) | 9,631,621 | 1,065,445 | ||||||||||||||||||||||
| PF Short Duration Bond |
— | 12,840,663 | 185,255 | 1,377,930 | (13,569 | ) | (74,495 | ) | 11,559,924 | 1,218,116 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
1,604,775 | 1,258,556 | 158,251 | 196,594 | (38,189 | ) | (185,887 | ) | 2,600,912 | 397,086 | ||||||||||||||||||||||
| PF Growth |
30,847,662 | 11,117,398 | — | 8,578,588 | 5,522,520 | (9,818,870 | ) | 29,090,122 | 2,353,570 | |||||||||||||||||||||||
| PF Large-Cap Value |
19,164,757 | 8,245,923 | 291,984 | 6,726,513 | 1,004,521 | (2,055,971 | ) | 19,924,701 | 1,811,337 | |||||||||||||||||||||||
| PF Small-Cap Growth |
12,420,775 | 1,011,575 | — | 2,677,892 | (1,602,531 | ) | 248,861 | 9,400,788 | 656,480 | |||||||||||||||||||||||
| PF Small-Cap Value |
21,573,238 | 464,938 | 148,346 | 7,527,957 | 4,229,080 | (6,931,213 | ) | 11,956,432 | 1,996,065 | |||||||||||||||||||||||
| PF Emerging Markets |
15,752,215 | 910,303 | 486,504 | 5,602,196 | (1,645,649 | ) | 708,769 | 10,609,946 | 1,158,291 | |||||||||||||||||||||||
| PF International Growth |
10,292,256 | 245,745 | 151,303 | 3,351,043 | (1,724,969 | ) | 1,334,830 | 6,948,122 | 1,075,561 | |||||||||||||||||||||||
| PF International Small-Cap |
9,453,656 | 84,814 | 205,162 | 4,756,855 | (1,492,068 | ) | 491,649 | 3,986,358 | 527,994 | |||||||||||||||||||||||
| PF International Value |
12,031,617 | 115,058 | 272,474 | 7,596,629 | (524,695 | ) | 12,624 | 4,310,449 | 504,736 | |||||||||||||||||||||||
| PF Multi-Asset |
171,234,306 | 1,921,692 | 149,016 | 21,896,074 | (2,889,445 | ) | (14,607,280 | ) | 133,912,215 | 16,095,218 | ||||||||||||||||||||||
| PF Real Estate |
6,421,493 | 2,892,604 | 53,197 | 1,096,429 | (50,459 | ) | (1,415,108 | ) | 6,805,298 | 517,513 | ||||||||||||||||||||||
| $317,125,307 | $58,445,078 | $2,875,109 | $79,703,659 | $265,594 | ($32,386,334 | ) | $266,621,095 | |||||||||||||||||||||||||
| (1) | Purchase cost excludes distributions received and reinvested, if any. |
| (2) | Distributions received include distributions from net investment income, if any. |
| (3) | Net realized gain (loss) includes capital gains distributions, if any. |
As of March 31, 2023, Pacific Life owned the following percentages of the total shares outstanding (aggregate of all share classes) of each of the following Funds:
| Fund | Ownership Percentage |
|||
| Pacific Funds Ultra Short Income |
41.74% | |||
| Pacific Funds ESG Core Bond |
84.91% | |||
| Pacific Funds Small-Cap Value |
46.26% | |||
D. INDEPENDENT TRUSTEES
The Trust pays each independent trustee of the Board retainer fees and specified amounts as compensation for various Board and committee services and for chairing those committees. The fees and expenses of the independent trustees of the Board are presented in the Statements of Operations. Each independent trustee of the Board is eligible to participate in the Trust’s Deferred Compensation Plan (the “Plan”). The Plan allows each independent trustee to voluntarily defer receipt of all or a percentage of fees, which otherwise would be payable for services performed. Amounts in the deferral account are obligations of certain Funds of the Trust at the time of such deferral and are payable in accordance with the Plan. A Trustee who defers compensation has the ability to select credit rate options that track the performance, at NAV of Class A and Class P shares of certain series of the Trust without a sales load or at NAV of Class I or Class D shares of the Pacific Select Fund. Pacific Select Fund is a Delaware statutory trust and is registered under the 1940 Act as an open-end management investment company. PLFA is the Investment Adviser to Pacific Select Fund. The obligation of certain Funds of the Trust under the Plan (the “DCP Liability”) is recorded as a liability (accrued trustees’ fees and expenses and deferred compensation). Accordingly, the market value appreciation or depreciation on a Fund’s DCP Liability account will cause the expenses of that Fund to increase or decrease due to market fluctuation. The change in net unrealized appreciation or depreciation on a Fund’s DCP Liability account is recorded as an increase or decrease to expenses (trustees’ fees and expenses). For the fiscal year ended March 31, 2023, such expenses decreased by $18,258 for all applicable Funds as a result of the market value depreciation on such accounts. As of March 31, 2023, the total amount in the DCP Liability accounts for all applicable Funds was $131,475.
E. OFFICERS OF THE TRUST
None of the officers of the Trust received compensation from the Trust.
| F. | INDEMNIFICATIONS |
Under the Trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of performance of their duties to the Trust. In addition, the Trust entered into an agreement with each of the trustees which provides that the Trust will indemnify and hold harmless each trustee against any expenses actually and reasonably incurred by any trustee in any proceeding arising out of or in connection with the trustee’s services to the Trust, to the fullest extent permitted by the Trust’s Declaration of Trust and By-Laws, the general trust law of the State of Delaware, the Securities Act of 1933, and the 1940 Act, each as now or hereinafter in force. In the normal course of business, the Trust enters into contracts with service providers and others that contain general indemnification clauses. The Trust’s maximum exposure under these arrangements and agreements is dependent on future claims that may be made against the Trust and/or the trustees and, therefore, cannot be estimated; however, based on experience, the risk of loss from such claims is considered remote.
G. INTERFUND TRANSACTIONS
In accordance with Rule 17a-7 under the 1940 Act and applicable Trust policies and procedures, purchase and sale transactions may be conducted between a Fund of the Trust and another Fund of the Trust or certain affiliates of the Trust if conducted at the independent “current market price” (the last sales price, intra-day price, or average of highest bid/lowest offer, as applicable) on a commission-free basis with no
D-23
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
remuneration paid in connection with the transaction (other than cash payment against prompt delivery). At the quarterly Board meeting subsequent to the purchase and sale transactions taking place, the Board receives a written representation from the Trust’s Chief Compliance Officer that the transactions were conducted in compliance with applicable Trust policies and procedures.
For the fiscal year ended March 31, 2023, the purchase and sale transactions with an affiliated Fund conducted in compliance with Rule 17a-7 under the 1940 Act are summarized in the following table:
| Fund | Purchases | Sales | Net Realized Gain (Loss) |
|||||||||
| PF Small-Cap Growth |
$— | $356,097 | ($475,017 | ) | ||||||||
8. COMMITTED LINE OF CREDIT
The Trust has an unsecured $275,000,000 committed revolving line of credit agreement with a syndicate of banks, which is renewed annually. The committed line of credit applies to Pacific Funds Floating Rate Income only. The interest rate on borrowing under the line of credit agreement is the overnight rate (the higher of the Federal Funds Effective Rate or the Adjusted SOFR Rate) plus applicable margin of 1.25%. Pacific Funds Floating Rate Income paid an upfront fee of 0.025% and pays a commitment fee equal to 0.20% per annum on the daily unused portion of the committed line. As of March 31, 2023, the actual interest rate on borrowing by the Trust was 6.22%. For the fiscal year ended March 31, 2023 the Trust did not borrow on this line of credit or have any loans outstanding. The commitment fees and interest incurred by Pacific Funds Floating Rate Income are recorded as an expense.
9. PURCHASES AND SALES OF INVESTMENTS
The cost of purchases and proceeds from sales of investments (excluding short-term investments) for the fiscal year ended March 31, 2023, are summarized in the following table:
| U.S. Government Securities | Other Securities | |||||||||||||||
| Fund | Purchases | Sales | Purchases | Sales | ||||||||||||
| Pacific Funds Portfolio Optimization Conservative | $— | $— | $52,502,258 | $85,693,937 | ||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative | — | — | 65,219,660 | 101,172,076 | ||||||||||||
| Pacific Funds Portfolio Optimization Moderate | — | — | 263,836,759 | 347,155,819 | ||||||||||||
| Pacific Funds Portfolio Optimization Growth | — | — | 207,994,761 | 255,990,008 | ||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth | — | — | 79,175,468 | 79,703,659 | ||||||||||||
| Pacific Funds Ultra Short Income | 1,904,433 | — | 33,301,635 | 18,002,173 | ||||||||||||
| Pacific Funds Short Duration Income | 126,509,688 | 82,422,328 | 510,982,932 | 516,586,804 | ||||||||||||
| Pacific Funds Core Income | 581,838,715 | 573,019,918 | 332,451,838 | 336,799,602 | ||||||||||||
| Pacific Funds ESG Core Bond | 1,624,951 | 1,405,901 | 9,800,983 | 8,766,410 | ||||||||||||
| Pacific Funds Strategic Income | — | — | 613,491,804 | 645,159,914 | ||||||||||||
| Pacific Funds Floating Rate Income | — | — | 2,641,977,658 | 2,927,581,848 | ||||||||||||
| Pacific Funds High Income | — | — | 36,425,271 | 91,251,113 | ||||||||||||
| Pacific Funds Small/Mid-Cap | — | — | 44,281,806 | 140,586,063 | ||||||||||||
| Pacific Funds Small-Cap | — | — | 4,879,931 | 12,588,067 | ||||||||||||
| Pacific Funds Small-Cap Value | — | — | 8,946,694 | 9,490,137 | ||||||||||||
| PF Inflation Managed | 16,570,853 | 26,208,108 | 1,216,006 | 3,108,684 | ||||||||||||
| PF Managed Bond | 1,109,952,244 | 1,090,296,593 | 60,843,452 | 203,253,089 | ||||||||||||
| PF Short Duration Bond | 235,411,243 | 148,701,821 | 101,723,980 | 30,852,251 | ||||||||||||
| PF Emerging Markets Debt | — | — | 31,870,192 | 36,453,568 | ||||||||||||
| PF Growth | — | — | 87,798,279 | 76,341,938 | ||||||||||||
| PF Large-Cap Value | — | — | 36,323,790 | 58,609,945 | ||||||||||||
| PF Small-Cap Growth | — | — | 23,803,723 | 34,831,014 | ||||||||||||
| PF Small-Cap Value | — | — | 28,426,845 | 71,052,143 | ||||||||||||
| PF Emerging Markets | — | — | 28,962,047 | 56,578,876 | ||||||||||||
| PF International Growth | — | — | 6,633,452 | 21,806,440 | ||||||||||||
| PF International Small-Cap | — | — | 2,837,597 | 41,859,713 | ||||||||||||
| PF International Value | — | — | 20,047,585 | 51,936,671 | ||||||||||||
| PF Multi-Asset | 199,523,242 | 214,523,727 | 137,320,927 | 311,522,693 | ||||||||||||
| PF Real Estate | — | — | 17,498,912 | 27,986,388 | ||||||||||||
10. SECURED BORROWINGS
The contractual maturity of secured borrowings and type of collateral pledged as of March 31, 2023, are summarized in the following table:
| Remaining Contractual Maturity of the Agreements | ||||||||||||||||||||||
| Secured Borrowings | Collateral Type | Overnight and Continuous |
Up to 30 days | 31-90 days | Greater Than 90 Days |
Total | ||||||||||||||||
| PF Inflation Managed |
||||||||||||||||||||||
| Sale-buyback financing transactions |
U.S. Treasury Obligations |
$— | $1,148,696 | $— | $— | $1,148,696 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total borrowings |
$— | $1,148,696 | $— | $— | $1,148,696 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
D-24
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
11. FEDERAL INCOME TAX INFORMATION
Each Fund intends to qualify each year as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code (the “Code”). A Fund that qualifies as a RIC does not have to pay income tax as long as it distributes sufficient taxable income and net capital gains. Each Fund declared and paid sufficient dividends on net investment income and capital gains distributions during the fiscal year ended March 31, 2023, to qualify as a RIC and is not required to pay Federal income tax under the Code. Accordingly, no provision for Federal income taxes is required in the financial statements. Required distributions are based on net investment income and net realized gains determined in accordance with income tax regulations, which may differ from U.S. GAAP for financial reporting purposes. These differences are primarily due to differing treatments for short-term capital gain distributions received, late year ordinary and post-October capital losses, capital loss carryforwards, and losses deferred due to wash sales. Permanent book and tax differences relating to shareholder distributions will result in reclassifications of capital accounts. In addition, the year in which amounts are distributed may differ from the year in which the net investment income is earned and the net gains are realized by each Fund.
The following table shows the accumulated capital losses and components of distributable earnings on a tax basis, and late year ordinary losses and post-October capital losses deferred, if any, for tax purposes as of March 31, 2023:
| Distributable Earning | Late-Year Ordinary and Post-October Losses Deferrals |
|||||||||||||||||||||||||||||||
| Fund | Accumulated Capital Losses |
Undistributed Ordinary Income |
Undistributed Long-Term Capital Gains |
Late-Year Ordinary Losses |
Short-Term Capital Losses |
Long-Term Capital Losses |
Total | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
($6,791,043 | ) | $4,932,819 | $— | $— | $— | $— | $— | ||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
(8,622,434 | ) | 5,591,090 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
(17,665,139 | ) | 12,160,226 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
— | 6,481,696 | 2,104,118 | — | — | — | — | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
— | 1,212,150 | 3,245,439 | — | — | — | — | |||||||||||||||||||||||||
| Pacific Funds Ultra Short Income |
(128,750 | ) | 17 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Short Duration Income |
(12,907,799 | ) | 115,884 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Core Income |
(34,717,151 | ) | 512,535 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds ESG Core Bond |
(1,211,112 | ) | 258 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Strategic Income |
(53,477,083 | ) | 578,091 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
(181,330,884 | ) | 3,874,345 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds High Income |
(15,208,905 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Small/Mid-Cap |
— | 617,937 | 8,321,896 | — | — | — | — | |||||||||||||||||||||||||
| Pacific Funds Small-Cap |
(2,003,919 | ) | 27,485 | — | — | — | — | — | ||||||||||||||||||||||||
| Pacific Funds Small-Cap Value |
(37,379 | ) | 134,430 | — | — | — | — | — | ||||||||||||||||||||||||
| PF Inflation Managed |
(7,132,177 | ) | — | — | 96,890 | — | — | 96,890 | ||||||||||||||||||||||||
| PF Managed Bond |
(64,934,137 | ) | 189,621 | — | — | — | — | — | ||||||||||||||||||||||||
| PF Short Duration Bond |
(3,063,190 | ) | 1,768,521 | — | — | — | — | — | ||||||||||||||||||||||||
| PF Emerging Markets Debt |
(15,838,226 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||
| PF Growth |
— | 21,552 | 6,914,246 | — | — | — | — | |||||||||||||||||||||||||
| PF Large-Cap Value |
— | 729,706 | 7,987,627 | — | — | — | — | |||||||||||||||||||||||||
| PF Small-Cap Growth |
(12,690,138 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||
| PF Small-Cap Value |
— | — | 2,113,952 | 47,330 | — | — | 47,330 | |||||||||||||||||||||||||
| PF Emerging Markets |
— | 116,275 | — | — | 545,331 | 2,798,216 | 3,343,547 | |||||||||||||||||||||||||
| PF International Growth |
(2,670,141 | ) | — | — | 52,865 | — | — | 52,865 | ||||||||||||||||||||||||
| PF International Small-Cap |
(9,592,087 | ) | 129,829 | — | — | — | — | — | ||||||||||||||||||||||||
| PF International Value |
(5,436,437 | ) | 109,811 | — | — | — | — | — | ||||||||||||||||||||||||
| PF Multi-Asset |
(111,775,464 | ) | 14,350,966 | — | — | — | — | — | ||||||||||||||||||||||||
| PF Real Estate |
(5,466,612 | ) | 785,824 | — | — | — | — | — | ||||||||||||||||||||||||
Accumulated capital losses represent net capital loss carryovers as of March 31, 2023 that may be available to offset future realized capital gains and thereby reduce future capital gains distributions. The following table shows the amounts of capital loss carryover, if any, by each of the applicable Funds as of March 31, 2023 and capital loss carryover from prior years utilized during the fiscal year ended March 31, 2023:
| Unlimited Period of Net Capital Loss Carryover |
Accumulated Capital Loss Carryover |
Capital Loss Carryover Utilized During the Year Ended March 31, 2023 |
||||||||||||||
| Fund | Short Term | Long Term | ||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
($2,048,433 | ) | ($4,742,610 | ) | ($6,791,043 | ) | $— | |||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
(3,189,997 | ) | (5,432,437 | ) | (8,622,434 | ) | — | |||||||||
| Pacific Funds Portfolio Optimization Moderate |
(17,665,139 | ) | — | (17,665,139 | ) | — | ||||||||||
| Pacific Funds Ultra Short Income |
(107,784 | ) | (20,966 | ) | (128,750 | ) | — | |||||||||
| Pacific Funds Short Duration Income |
(5,236,231 | ) | (7,671,568 | ) | (12,907,799 | ) | — | |||||||||
| Pacific Funds Core Income |
(16,831,625 | ) | (17,885,526 | ) | (34,717,151 | ) | — | |||||||||
| Pacific Funds ESG Core Bond |
(598,549 | ) | (612,563 | ) | (1,211,112 | ) | — | |||||||||
| Pacific Funds Strategic Income |
(17,197,817 | ) | (36,279,266 | ) | (53,477,083 | ) | — | |||||||||
| Pacific Funds Floating Rate Income |
(49,322,834 | ) | (132,008,050 | ) | (181,330,884 | ) | — | |||||||||
| Pacific Funds High Income |
(4,513,912 | ) | (10,694,993 | ) | (15,208,905 | ) | — | |||||||||
| Pacific Funds Small-Cap |
(2,003,919 | ) | — | (2,003,919 | ) | — | ||||||||||
| Pacific Funds Small-Cap Value |
(37,379 | ) | — | (37,379 | ) | — | ||||||||||
| PF Inflation Managed |
(716,472 | ) | (6,415,705 | ) | (7,132,177 | ) | — | |||||||||
| PF Managed Bond |
(21,347,588 | ) | (43,586,549 | ) | (64,934,137 | ) | — | |||||||||
| PF Short Duration Bond |
(1,322,842 | ) | (1,740,348 | ) | (3,063,190 | ) | — | |||||||||
| PF Emerging Markets Debt |
(6,579,198 | ) | (9,259,028 | ) | (15,838,226 | ) | — | |||||||||
D-25
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Unlimited Period of Net Capital Loss Carryover |
Accumulated Capital Loss Carryover |
Capital Loss Carryover Utilized During the Year Ended March 31, 2023 |
||||||||||||||
| Fund | Short Term | Long Term | ||||||||||||||
| PF Small-Cap Growth |
($7,177,320 | ) | ($5,512,818 | ) | ($12,690,138 | ) | $— | |||||||||
| PF International Growth |
(2,670,141 | ) | — | (2,670,141 | ) | — | ||||||||||
| PF International Small-Cap |
(9,311,947 | ) | (280,140 | ) | (9,592,087 | ) | — | |||||||||
| PF International Value |
(2,759,697 | ) | (2,676,740 | ) | (5,436,437 | ) | — | |||||||||
| PF Multi-Asset |
— | (111,775,464 | ) | (111,775,464 | ) | — | ||||||||||
| PF Real Estate |
(5,233,133 | ) | (233,479 | ) | (5,466,612 | ) | — | |||||||||
The aggregate cost of investments and the composition of unrealized appreciation and depreciation on investments and net unrealized appreciation and/or depreciation on derivatives for Federal income tax purposes as of March 31, 2023, were as follows:
| Fund | Total Cost of Investments on Tax Basis (1) |
Gross Unrealized Appreciation on Investments |
Gross Unrealized Depreciation on Investments |
Net Unrealized Appreciation (Depreciation) on Investments |
Net Unrealized Appreciation (Depreciation) on Other (2) |
Net Unrealized Appreciation (Depreciation) |
||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
$181,782,806 | $1,813,924 | ($13,179,676 | ) | ($11,365,752 | ) | $— | ($11,365,752 | ) | |||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
248,919,246 | 2,645,946 | (20,355,397 | ) | (17,709,451 | ) | — | (17,709,451 | ) | |||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
805,698,823 | 17,305,097 | (52,856,927 | ) | (35,551,830 | ) | — | (35,551,830 | ) | |||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
708,282,471 | 24,364,710 | (65,088,450 | ) | (40,723,740 | ) | — | (40,723,740 | ) | |||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
290,345,201 | 8,527,912 | (32,252,018 | ) | (23,724,106 | ) | — | (23,724,106 | ) | |||||||||||||||
| Pacific Funds Ultra Short Income |
63,910,833 | 55,041 | (347,106 | ) | (292,065 | ) | 1 | (292,064 | ) | |||||||||||||||
| Pacific Funds Short Duration Income |
1,033,597,071 | 2,152,506 | (30,056,784 | ) | (27,904,278 | ) | — | (27,904,278 | ) | |||||||||||||||
| Pacific Funds Core Income |
1,023,748,072 | 3,911,156 | (83,713,285 | ) | (79,802,129 | ) | — | (79,802,129 | ) | |||||||||||||||
| Pacific Funds ESG Core Bond |
28,889,619 | 71,937 | (2,885,012 | ) | (2,813,075 | ) | — | (2,813,075 | ) | |||||||||||||||
| Pacific Funds Strategic Income |
1,577,467,277 | 4,565,438 | (117,135,688 | ) | (112,570,250 | ) | (1,712 | ) | (112,571,962 | ) | ||||||||||||||
| Pacific Funds Floating Rate Income |
3,747,740,081 | 10,264,337 | (151,890,231 | ) | (141,625,894 | ) | — | (141,625,894 | ) | |||||||||||||||
| Pacific Funds High Income |
85,042,765 | 416,794 | (7,672,175 | ) | (7,255,381 | ) | (172 | ) | (7,255,553 | ) | ||||||||||||||
| Pacific Funds Small/Mid-Cap |
79,290,860 | 20,979,953 | (8,947,294 | ) | 12,032,659 | — | 12,032,659 | |||||||||||||||||
| Pacific Funds Small-Cap |
9,319,985 | 2,527,936 | (861,616 | ) | 1,666,320 | — | 1,666,320 | |||||||||||||||||
| Pacific Funds Small-Cap Value |
15,920,304 | 3,029,272 | (1,539,151 | ) | 1,490,121 | — | 1,490,121 | |||||||||||||||||
| PF Inflation Managed |
40,304,127 | 826,042 | (5,425,566 | ) | (4,599,524 | ) | (31,700 | ) | (4,631,224 | ) | ||||||||||||||
| PF Managed Bond |
427,168,636 | 2,800,682 | (24,207,359 | ) | (21,406,677 | ) | 171,303 | (21,235,374 | ) | |||||||||||||||
| PF Short Duration Bond |
230,683,075 | 382,030 | (3,747,713 | ) | (3,365,683 | ) | (96 | ) | (3,365,779 | ) | ||||||||||||||
| PF Emerging Markets Debt |
32,195,583 | 933,107 | (2,795,414 | ) | (1,862,307 | ) | (38,195 | ) | (1,900,502 | ) | ||||||||||||||
| PF Growth |
102,574,831 | 44,675,399 | (850,016 | ) | 43,825,383 | 11 | 43,825,394 | |||||||||||||||||
| PF Large-Cap Value |
64,273,408 | 66,127,685 | (2,433,013 | ) | 63,694,672 | — | 63,694,672 | |||||||||||||||||
| PF Small-Cap Growth |
32,506,774 | 3,445,232 | (4,127,513 | ) | (682,281 | ) | (201 | ) | (682,482 | ) | ||||||||||||||
| PF Small-Cap Value |
37,752,431 | 7,516,862 | (3,208,781 | ) | 4,308,081 | — | 4,308,081 | |||||||||||||||||
| PF Emerging Markets |
41,291,776 | 19,449,483 | (5,551,656 | ) | 13,897,827 | (183,500 | ) | 13,714,327 | ||||||||||||||||
| PF International Growth |
15,544,255 | 5,142,710 | (2,063,798 | ) | 3,078,912 | (56,146 | ) | 3,022,766 | ||||||||||||||||
| PF International Small-Cap |
10,467,301 | 1,409,717 | (1,355,806 | ) | 53,911 | (3,705 | ) | 50,206 | ||||||||||||||||
| PF International Value |
37,240,376 | 9,409,317 | (4,834,240 | ) | 4,575,077 | (6,636 | ) | 4,568,441 | ||||||||||||||||
| PF Multi-Asset |
742,583,989 | 568,803 | (16,760,659 | ) | (16,191,856 | ) | 25,089,018 | 8,897,162 | ||||||||||||||||
| PF Real Estate |
32,131,734 | 5,226,083 | (3,050,909 | ) | 2,175,174 | — | 2,175,174 | |||||||||||||||||
| (1) | The difference between the total cost of investments on tax basis and investments, at cost, as presented in the Statements of Assets and Liabilities is primarily due to wash sale loss deferrals, investments in passive foreign investment companies, straddle loss deferrals, partnerships, defaulted securities, and differing treatments for sale-buyback financing transactions and U.S. Treasury Inflation Protected Securities. |
| (2) | Other includes net appreciation or depreciation on derivatives, short sales, and foreign currencies, if any. |
Each Fund recognizes the financial statement effects of a tax position taken or expected to be taken in a tax return when it is more likely than not, based on the technical merits, that the position will be sustained upon examination by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax liability for unrecognized tax benefits with a corresponding income tax expense. Management has analyzed all open tax years, as defined by the statute of limitations, for all major jurisdictions and has determined that no provision for income tax is required in the financial statements. Each Fund remains subject to examination by Federal and State tax authorities for the returns filed for tax years ended as of and after March 31, 2019.
12. TAX CHARACTER OF DISTRIBUTIONS
The tax character of income and capital gains distributions to shareholders during the fiscal years ended March 31, 2023 and March 31, 2022 were as follows:
| For the Year Ended March 31, 2023 | For the Year Ended March 31, 2022 | |||||||||||||||||||||||||||
| Fund | Ordinary Income |
Long-Term Capital Gains |
Total Distributions |
Ordinary Income |
Long-Term Capital Gains |
Total Distributions |
||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
$343,974 | $11,118,430 | $11,462,404 | $5,505,199 | $4,099,284 | $9,604,483 | ||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
499 | 28,911,564 | 28,912,063 | 7,502,753 | 14,169,221 | 21,671,974 | ||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
493 | 146,282,178 | 146,282,671 | 25,611,893 | 62,568,898 | 88,180,791 | ||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
— | 140,125,011 | 140,125,011 | 22,040,493 | 66,517,270 | 88,557,763 | ||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
— | 69,949,540 | 69,949,540 | 9,554,507 | 25,218,335 | 34,772,842 | ||||||||||||||||||||||
| Pacific Funds Ultra Short Income |
1,407,993 | — | 1,407,993 | 299,573 | 48,968 | 348,541 | ||||||||||||||||||||||
| Pacific Funds Short Duration Income |
25,596,728 | — | 25,596,728 | 18,664,157 | 7,553,957 | 26,218,114 | ||||||||||||||||||||||
D-26
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| For the Year Ended March 31, 2023 | For the Year Ended March 31, 2022 | |||||||||||||||||||||||||||
| Fund | Ordinary Income |
Long-Term Capital Gains |
Total Distributions |
Ordinary Income |
Long-Term Capital Gains |
Total Distributions |
||||||||||||||||||||||
| Pacific Funds Core Income |
$27,227,189 | $— | $27,227,189 | $30,847,639 | $16,399,705 | $47,247,344 | ||||||||||||||||||||||
| Pacific Funds ESG Core Bond |
583,386 | — | 583,386 | 315,297 | — | 315,297 | ||||||||||||||||||||||
| Pacific Funds Strategic Income |
63,781,346 | 5,752,429 | 69,533,775 | 42,035,248 | 11,278,290 | 53,313,538 | ||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
276,118,537 | — | 276,118,537 | 104,455,304 | — | 104,455,304 | ||||||||||||||||||||||
| Pacific Funds High Income |
6,230,519 | — | 6,230,519 | 7,738,747 | — | 7,738,747 | ||||||||||||||||||||||
| Pacific Funds Small/Mid-Cap |
— | 37,080,431 | 37,080,431 | — | 20,392,724 | 20,392,724 | ||||||||||||||||||||||
| Pacific Funds Small-Cap |
— | — | — | — | 1,116,905 | 1,116,905 | ||||||||||||||||||||||
| Pacific Funds Small-Cap Value |
4,377 | 639,500 | 643,877 | 20,690 | 254,619 | 275,309 | ||||||||||||||||||||||
| PF Inflation Managed |
2,401,641 | — | 2,401,641 | 1,116,614 | — | 1,116,614 | ||||||||||||||||||||||
| PF Managed Bond |
15,119,701 | — | 15,119,701 | 11,378,319 | — | 11,378,319 | ||||||||||||||||||||||
| PF Short Duration Bond |
3,429,473 | — | 3,429,473 | 1,203,868 | — | 1,203,868 | ||||||||||||||||||||||
| PF Emerging Markets Debt |
3,522,687 | — | 3,522,687 | 3,023,723 | — | 3,023,723 | ||||||||||||||||||||||
| PF Growth |
— | 37,976,618 | 37,976,618 | 731,645 | 21,388,699 | 22,120,344 | ||||||||||||||||||||||
| PF Large-Cap Value |
2,480,188 | 10,759,300 | 13,239,488 | 3,486,388 | 15,224,678 | 18,711,066 | ||||||||||||||||||||||
| PF Small-Cap Growth |
— | — | — | 4,849,740 | 3,692,221 | 8,541,961 | ||||||||||||||||||||||
| PF Small-Cap Value |
675,700 | 11,332,369 | 12,008,069 | 9,464,883 | 3,674,317 | 13,139,200 | ||||||||||||||||||||||
| PF Emerging Markets |
2,206,499 | 2,224,492 | 4,430,991 | 5,906,999 | 9,468,605 | 15,375,604 | ||||||||||||||||||||||
| PF International Growth |
385,131 | — | 385,131 | 1,677,466 | 19,174,473 | 20,851,939 | ||||||||||||||||||||||
| PF International Small-Cap |
665,110 | 105,428 | 770,538 | 1,760,022 | 9,454,912 | 11,214,934 | ||||||||||||||||||||||
| PF International Value |
1,881,002 | — | 1,881,002 | 904,797 | — | 904,797 | ||||||||||||||||||||||
| PF Multi-Asset |
897,980 | 14,683,271 | 15,581,251 | 35,350,537 | 338,196,583 | 373,547,120 | ||||||||||||||||||||||
| PF Real Estate |
300,500 | 877,806 | 1,178,306 | 300,499 | — | 300,499 | ||||||||||||||||||||||
13. RECLASSIFICATION OF ACCOUNTS
During the fiscal year ended March 31, 2023, reclassifications as shown in the following table have been made in each Fund’s capital accounts to report these balances on a tax basis, excluding certain temporary differences, as of March 31, 2023. Additional adjustments may be required in subsequent reporting periods. These reclassifications, which have no impact on the NAV of the Funds, are primarily attributable to reclassifications of sale-buyback financing transactions, paydown gain/loss, partnership income, foreign currency transactions, non-deductible expenses, swap income, futures gain/loss, investments in passive foreign investment companies, foreign capital gain tax, redesignation of dividends paid, partnerships, defaulted bonds, short-term capital gains, treatment of net operating losses and capital gains under Federal tax rules versus U.S. GAAP. The calculation of net investment income per share in the financial highlights excludes these adjustments.
| Fund | Paid-In Capital | Undistributed/ Accumulated Net Investment Income (Loss) |
Undistributed/ Accumulated Net Realized Gain (Loss) |
|||||||||
| Pacific Funds Portfolio Optimization Conservative |
$— | $26,807 | ($26,807 | ) | ||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
— | 53,267 | (53,267 | ) | ||||||||
| Pacific Funds Portfolio Optimization Moderate |
— | 310,545 | (310,545 | ) | ||||||||
| Pacific Funds Portfolio Optimization Growth |
— | 246,019 | (246,019 | ) | ||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
— | 155,703 | (155,703 | ) | ||||||||
| Pacific Funds Ultra Short Income |
— | (11,502 | ) | 11,502 | ||||||||
| Pacific Funds Short Duration Income |
— | 901 | (901 | ) | ||||||||
| Pacific Funds Core Income |
— | 98,858 | (98,858 | ) | ||||||||
| Pacific Funds ESG Core Bond |
— | 5,017 | (5,017 | ) | ||||||||
| Pacific Funds Strategic Income |
(182,601 | ) | (61,155 | ) | 243,756 | |||||||
| Pacific Funds High Income |
(23,294 | ) | (3,661 | ) | 26,955 | |||||||
| Pacific Funds Small-Cap Value |
— | (502 | ) | 502 | ||||||||
| PF Inflation Managed |
— | (119,808 | ) | 119,808 | ||||||||
| PF Managed Bond |
— | 992,266 | (992,266 | ) | ||||||||
| PF Short Duration Bond |
— | (12,982 | ) | 12,982 | ||||||||
| PF Emerging Markets Debt |
(432,429 | ) | 1,533,479 | (1,101,050 | ) | |||||||
| PF Growth |
— | (1,474 | ) | 1,474 | ||||||||
| PF Large-Cap Value |
(398 | ) | 104,954 | (104,556 | ) | |||||||
| PF Small-Cap Growth |
(8,230 | ) | 3,812 | 4,418 | ||||||||
| PF Small-Cap Value |
— | 427 | (427 | ) | ||||||||
| PF Emerging Markets |
— | 263,726 | (263,726 | ) | ||||||||
| PF International Growth |
(313,122 | ) | 286,079 | 27,043 | ||||||||
| PF International Small-Cap |
— | (20,694 | ) | 20,694 | ||||||||
| PF International Value |
— | 58,042 | (58,042 | ) | ||||||||
| PF Multi-Asset |
— | (14,608 | ) | 14,608 | ||||||||
| PF Real Estate |
— | (498 | ) | 498 | ||||||||
D-27
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
14. SHARES OF BENEFICIAL INTEREST
Each Fund is authorized to issue an unlimited number of shares of beneficial interest with no par value unless otherwise determined by the trustees of the Board. Changes in shares of beneficial interest of each Fund for the fiscal years ended March 31, 2023 and March 31, 2022, were as follows:
| Pacific Funds Portfolio Optimization Conservative (1) |
Pacific Funds Portfolio Optimization Moderate-Conservative (1) |
Pacific Funds Portfolio Optimization Moderate (1) |
Pacific Funds Portfolio Optimization Growth (1) |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
1,174,712 | 1,727,763 | 1,268,432 | 1,932,156 | 2,939,581 | 4,246,108 | 2,299,432 | 3,023,998 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
985,636 | 653,655 | 2,750,290 | 1,477,927 | 12,986,431 | 5,106,526 | 11,969,210 | 4,799,866 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(3,496,666 | ) | (2,926,721 | ) | (4,686,192 | ) | (3,461,292 | ) | (11,238,323 | ) | (8,501,671 | ) | (7,358,607 | ) | (6,081,144 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
(1,336,318 | ) | (545,303 | ) | (667,470 | ) | (51,209 | ) | 4,687,689 | 850,963 | 6,910,035 | 1,742,720 | ||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
16,159,994 | 16,705,297 | 22,588,881 | 22,640,090 | 63,415,212 | 62,564,249 | 49,685,568 | 47,942,848 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
14,823,676 | 16,159,994 | 21,921,411 | 22,588,881 | 68,102,901 | 63,415,212 | 56,595,603 | 49,685,568 | ||||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
269,496 | 777,419 | 168,575 | 278,420 | 541,923 | 868,175 | 570,665 | 567,971 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
196,060 | 134,094 | 290,487 | 188,405 | 1,553,155 | 690,352 | 1,534,989 | 665,256 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(1,432,785 | ) | (1,494,499 | ) | (1,156,664 | ) | (1,388,722 | ) | (2,977,630 | ) | (3,509,867 | ) | (1,967,097 | ) | (2,505,844 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
(967,229 | ) | (582,986 | ) | (697,602 | ) | (921,897 | ) | (882,552 | ) | (1,951,340 | ) | 138,557 | (1,272,617 | ) | |||||||||||||||||||||||||||||
| Beginning shares outstanding |
3,623,463 | 4,206,449 | 2,794,028 | 3,715,925 | 8,260,295 | 10,211,635 | 6,459,543 | 7,732,160 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
2,656,234 | 3,623,463 | 2,096,426 | 2,794,028 | 7,377,743 | 8,260,295 | 6,598,100 | 6,459,543 | ||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
200,359 | 783,771 | 60,059 | 184,139 | 469,588 | 1,012,681 | 408,839 | 435,678 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
46,379 | 35,209 | 56,051 | 38,411 | 429,888 | 209,189 | 360,009 | 137,359 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(781,586 | ) | (540,578 | ) | (221,437 | ) | (135,437 | ) | (987,947 | ) | (1,434,698 | ) | (628,824 | ) | (490,588 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
(534,848 | ) | 278,402 | (105,327 | ) | 87,113 | (88,471 | ) | (212,828 | ) | 140,024 | 82,449 | ||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
1,259,476 | 981,074 | 573,334 | 486,221 | 2,264,849 | 2,477,677 | 1,373,292 | 1,290,843 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
724,628 | 1,259,476 | 468,007 | 573,334 | 2,176,378 | 2,264,849 | 1,513,316 | 1,373,292 | ||||||||||||||||||||||||||||||||||||
D-28
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Pacific Funds Portfolio Optimization Aggressive-Growth (1) |
Pacific Funds Ultra Short Income (1) |
Pacific Funds Short Duration Income (1) |
Pacific Funds Core Income (1) |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
1,076,073 | 1,023,571 | 4,272,840 | 5,143,674 | 2,284,671 | 3,044,283 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
5,580,439 | 1,603,394 | 274,161 | 308,300 | 327,742 | 505,586 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(2,178,427 | ) | (1,742,144 | ) | (9,958,096 | ) | (7,642,480 | ) | (4,613,190 | ) | (5,653,883 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
4,478,085 | 884,821 | (5,411,095 | ) | (2,190,506 | ) | (2,000,777 | ) | (2,104,014 | ) | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
16,540,653 | 15,655,832 | 17,177,270 | 19,367,776 | 12,271,008 | 14,375,022 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
21,018,738 | 16,540,653 | 11,766,175 | 17,177,270 | 10,270,231 | 12,271,008 | ||||||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
222,285 | 270,787 | 651,404 | 596,291 | 288,589 | 351,597 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
792,063 | 225,465 | 50,690 | 56,642 | 63,344 | 115,515 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(634,176 | ) | (816,701 | ) | (1,539,743 | ) | (1,587,149 | ) | (1,404,368 | ) | (1,863,670 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
380,172 | (320,449 | ) | (837,649 | ) | (934,216 | ) | (1,052,435 | ) | (1,396,558 | ) | |||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
2,262,616 | 2,583,065 | 3,935,458 | 4,869,674 | 3,431,250 | 4,827,808 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
2,642,788 | 2,262,616 | 3,097,809 | 3,935,458 | 2,378,815 | 3,431,250 | ||||||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
— | — | 10,741,734 | 6,578,649 | 4,335,695 | 4,905,410 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
38,368 | 13,951 | 519,688 | 358,444 | 351,462 | 469,321 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
— | — | (8,597,170 | ) | (3,507,928 | ) | (4,044,928 | ) | (3,647,590 | ) | ||||||||||||||||||||||||||||||||||
| Net increase (decrease) |
38,368 | 13,951 | 2,664,252 | 3,429,165 | 642,229 | 1,727,141 | ||||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
1,303,732 | 1,289,781 | 16,874,543 | 13,445,378 | 11,366,086 | 9,638,945 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
1,342,100 | 1,303,732 | 19,538,795 | 16,874,543 | 12,008,315 | 11,366,086 | ||||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
4,580,869 | 55,717 | ||||||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
130,704 | 172,598 | ||||||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(701,362 | ) | (998,593 | ) | ||||||||||||||||||||||||||||||||||||||||
| Net increase (decrease) |
4,010,211 | (770,278 | ) | |||||||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
3,338,028 | 4,108,306 | ||||||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
7,348,239 | 3,338,028 | ||||||||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
148,780 | 171,829 | 3,814,102 | 229,994 | 43,938,995 | 37,752,164 | 36,571,141 | 22,391,446 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
228,844 | 84,937 | 106,238 | 20,786 | 1,656,149 | 1,675,096 | 1,511,965 | 2,218,471 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(199,880 | ) | (431,442 | ) | (706,235 | ) | (206,814 | ) | (41,759,878 | ) | (51,719,966 | ) | (36,128,489 | ) | (36,175,271 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
177,744 | (174,676 | ) | 3,214,105 | 43,966 | 3,835,266 | (12,292,706 | ) | 1,954,617 | (11,565,354 | ) | |||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
663,727 | 838,403 | 1,875,247 | 1,831,281 | 61,285,794 | 73,578,500 | 59,926,073 | 71,491,427 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
841,471 | 663,727 | 5,089,352 | 1,875,247 | 65,121,060 | 61,285,794 | 61,880,690 | 59,926,073 | ||||||||||||||||||||||||||||||||||||
D-29
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Pacific Funds ESG Core Bond (1) |
Pacific Funds Strategic Income (1) |
Pacific Funds Floating Rate Income (1) |
Pacific Funds High Income (1) |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
3,098,699 | 6,683,029 | 11,796,832 | 17,247,416 | 311,720 | 258,391 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
438,090 | 356,863 | 1,818,510 | 803,790 | 36,846 | 32,710 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(5,890,225 | ) | (3,847,686 | ) | (14,124,037 | ) | (6,490,346 | ) | (360,533 | ) | (323,539 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(2,353,436 | ) | 3,192,206 | (508,695 | ) | 11,560,860 | (11,967 | ) | (32,438 | ) | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
12,279,364 | 9,087,158 | 29,085,089 | 17,524,229 | 692,141 | 724,579 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
9,925,928 | 12,279,364 | 28,576,394 | 29,085,089 | 680,174 | 692,141 | ||||||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
1,201,935 | 2,477,374 | 4,003,254 | 4,464,380 | 12,438 | 17,417 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
230,197 | 183,921 | 681,910 | 267,346 | 5,155 | 5,927 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(2,405,666 | ) | (1,762,792 | ) | (4,150,009 | ) | (2,469,159 | ) | (48,705 | ) | (79,580 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(973,534 | ) | 898,503 | 535,155 | 2,262,567 | (31,112 | ) | (56,236 | ) | |||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
7,179,017 | 6,280,514 | 11,321,933 | 9,059,366 | 131,258 | 187,494 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
6,205,483 | 7,179,017 | 11,857,088 | 11,321,933 | 100,146 | 131,258 | ||||||||||||||||||||||||||||||||||||||
| Class I |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
173,040 | 493,360 | 7,768,110 | 13,380,914 | 110,636,729 | 117,488,947 | 1,337,276 | 2,872 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
38,346 | 18,076 | 681,251 | 132,388 | 9,533,490 | 3,884,909 | 27,853 | 382 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(29,708 | ) | (179,907 | ) | (9,036,790 | ) | (1,654,682 | ) | (150,379,366 | ) | (35,894,397 | ) | (1,183,853 | ) | (500 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
181,678 | 331,529 | (587,429 | ) | 11,858,620 | (30,209,147 | ) | 85,479,459 | 181,276 | 2,754 | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
1,584,981 | 1,253,452 | 13,067,925 | 1,209,305 | 190,164,924 | 104,685,465 | 8,788 | 6,034 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
1,766,659 | 1,584,981 | 12,480,496 | 13,067,925 | 159,955,777 | 190,164,924 | 190,064 | 8,788 | ||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
4,644,343 | 4,583,286 | 474,812 | 263,399 | ||||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
536,878 | 42,391 | 579,443 | 679,012 | ||||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(7,467,410 | ) | (121,039 | ) | (8,019,666 | ) | (1,462,828 | ) | ||||||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(2,286,189 | ) | 4,504,638 | (6,965,411 | ) | (520,417 | ) | |||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
5,486,979 | 982,341 | 13,772,372 | 14,292,789 | ||||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
3,200,790 | 5,486,979 | 6,806,961 | 13,772,372 | ||||||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
91,322 | — | 63,402,693 | 78,013,830 | 145,206,834 | 148,542,651 | 1,934,422 | 1,758,421 | ||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
30,250 | 14,440 | 4,785,425 | 3,313,444 | 12,918,155 | 4,064,989 | 49,315 | 38,787 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(91,732 | ) | — | (65,659,710 | ) | (39,939,340 | ) | (144,117,282 | ) | (42,420,594 | ) | (1,704,390 | ) | (1,494,129 | ) | |||||||||||||||||||||||||||||
| Net increase (decrease) |
29,840 | 14,440 | 2,528,408 | 41,387,934 | 14,007,707 | 110,187,046 | 279,347 | 303,079 | ||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
1,267,892 | 1,253,452 | 113,616,036 | 72,228,102 | 183,612,794 | 73,425,748 | 683,072 | 379,993 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
1,297,732 | 1,267,892 | 116,144,444 | 113,616,036 | 197,620,501 | 183,612,794 | 962,419 | 683,072 | ||||||||||||||||||||||||||||||||||||
D-30
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| Pacific Funds Small/Mid-Cap (1) |
Pacific Funds Small Cap (1) |
Pacific Funds Small-Cap Value (1) |
||||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||||
| Class A |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
410,750 | 149,461 | 15,454 | 12,435 | 98,165 | 75,109 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
576,976 | 77,769 | — | 6,382 | 9,956 | 3,072 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(814,543 | ) | (311,842 | ) | (15,019 | ) | (53,782 | ) | (104,553 | ) | (24,792 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
173,183 | (84,612 | ) | 435 | (34,965 | ) | 3,568 | 53,389 | ||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
1,231,339 | 1,315,951 | 131,072 | 166,037 | 244,685 | 191,296 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
1,404,522 | 1,231,339 | 131,507 | 131,072 | 248,253 | 244,685 | ||||||||||||||||||||||||||||||||||||||
| Class C |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
23,784 | 37,723 | 6,017 | 12,588 | 7,508 | 11,307 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
265,210 | 39,561 | — | 2,429 | 1,769 | 913 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(288,625 | ) | (115,367 | ) | (15,716 | ) | (11,292 | ) | (27,198 | ) | (18,984 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
369 | (38,083 | ) | (9,699 | ) | 3,725 | (17,921 | ) | (6,764 | ) | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
614,991 | 653,074 | 54,427 | 50,702 | 64,064 | 70,828 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
615,360 | 614,991 | 44,728 | 54,427 | 46,143 | 64,064 | ||||||||||||||||||||||||||||||||||||||
| Class R6 |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
— | 145,838 | — | 128,279 | — | 132,275 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
23,902 | — | — | — | 3,590 | 182 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(35,340 | ) | (175,100 | ) | (31,191 | ) | (128,275 | ) | (23,908 | ) | (126,486 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(11,438 | ) | (29,262 | ) | (31,191 | ) | 4 | (20,318 | ) | 5,971 | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
59,220 | 88,482 | 116,992 | 116,988 | 106,384 | 100,413 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
47,782 | 59,220 | 85,801 | 116,992 | 86,066 | 106,384 | ||||||||||||||||||||||||||||||||||||||
| Class I-2 |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
909,036 | 2,063,190 | 127,038 | 829,811 | 109,542 | 151,001 | ||||||||||||||||||||||||||||||||||||||
| Dividends and distribution reinvested |
3,075,986 | 1,048,226 | — | 58,948 | 44,143 | 17,396 | ||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(7,797,313 | ) | (9,465,424 | ) | (722,446 | ) | (416,173 | ) | (160,950 | ) | (92,776 | ) | ||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(3,812,291 | ) | (6,354,008 | ) | (595,408 | ) | 472,586 | (7,265 | ) | 75,621 | ||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
11,455,764 | 17,809,772 | 1,171,018 | 698,432 | 1,258,217 | 1,182,596 | ||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
7,643,473 | 11,455,764 | 575,610 | 1,171,018 | 1,250,952 | 1,258,217 | ||||||||||||||||||||||||||||||||||||||
D-31
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
| PF Inflation Managed Fund |
PF Managed Bond Fund |
PF Short Duration Bond Fund |
PF Emerging Markets Debt Fund |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
557,309 | 1,501,983 | 8,277,151 | 709,388 | 20,036,603 | 279,189 | 221,381 | 171,086 | ||||||||||||||||||||||||||||||||||||
| Dividends and distributions reinvested |
286,250 | 109,903 | 1,720,103 | 1,040,419 | 366,788 | 120,628 | 553,882 | 382,266 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(1,448,577 | ) | (482,370 | ) | (11,362,017 | ) | (11,496,806 | ) | (3,729,731 | ) | (2,547,877 | ) | (1,644,590 | ) | (2,465,211 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
(605,018 | ) | 1,129,516 | (1,364,763 | ) | (9,746,999 | ) | 16,673,660 | (2,148,060 | ) | (869,327 | ) | (1,911,859 | ) | ||||||||||||||||||||||||||||||
| Beginning shares outstanding |
4,466,423 | 3,336,907 | 41,798,118 | 51,545,117 | 7,469,281 | 9,617,341 | 5,535,619 | 7,447,478 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
3,861,405 | 4,466,423 | 40,433,355 | 41,798,118 | 24,142,941 | 7,469,281 | 4,666,292 | 5,535,619 | ||||||||||||||||||||||||||||||||||||
| PF Growth Fund |
PF Large-Cap Value Fund |
PF Small-Cap Growth Fund |
PF Small-Cap Value Fund |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
6,238,602 | 615,016 | 2,975,067 | 972,331 | 868,174 | 376,505 | 1,665,514 | 143,063 | ||||||||||||||||||||||||||||||||||||
| Dividends and distributions reinvested |
3,273,846 | 660,506 | 1,184,365 | 1,486,633 | — | 439,628 | 1,921,984 | 1,254,846 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(3,131,075 | ) | (1,694,987 | ) | (5,451,436 | ) | (3,273,280 | ) | (1,795,707 | ) | (587,947 | ) | (6,448,643 | ) | (2,345,664 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
6,381,373 | (419,465 | ) | (1,292,005 | ) | (814,316 | ) | (927,533 | ) | 228,186 | (2,861,145 | ) | (947,755 | ) | ||||||||||||||||||||||||||||||
| Beginning shares outstanding |
5,446,936 | 5,866,401 | 13,120,287 | 13,934,603 | 3,158,946 | 2,930,760 | 9,842,533 | 10,790,288 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
11,828,309 | 5,446,936 | 11,828,282 | 13,120,287 | 2,231,413 | 3,158,946 | 6,981,388 | 9,842,533 | ||||||||||||||||||||||||||||||||||||
| PF Emerging Markets Fund |
PF International Growth Fund |
PF International Small-Cap Fund |
PF International Value Fund |
|||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
1,315,076 | 287,086 | 702,261 | 282,079 | 41,572 | 3,168,959 | 450,186 | 5,113,482 | ||||||||||||||||||||||||||||||||||||
| Dividends and distributions reinvested |
517,674 | 1,247,379 | 66,060 | 2,719,026 | 109,396 | 1,222,568 | 235,714 | 107,458 | ||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(4,481,909 | ) | (2,312,955 | ) | (3,353,773 | ) | (1,749,041 | ) | (5,933,393 | ) | (367,681 | ) | (4,847,895 | ) | (393,220 | ) | ||||||||||||||||||||||||||||
| Net increase (decrease) |
(2,649,159 | ) | (778,490 | ) | (2,585,452 | ) | 1,252,064 | (5,782,425 | ) | 4,023,846 | (4,161,995 | ) | 4,827,720 | |||||||||||||||||||||||||||||||
| Beginning shares outstanding |
8,752,012 | 9,530,502 | 5,492,630 | 4,240,566 | 7,195,543 | 3,171,697 | 9,102,676 | 4,274,956 | ||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
6,102,853 | 8,752,012 | 2,907,178 | 5,492,630 | 1,413,118 | 7,195,543 | 4,940,681 | 9,102,676 | ||||||||||||||||||||||||||||||||||||
| PF Multi-Asset Fund |
PF Real Estate Fund |
|||||||||||||||||||||||||||||||||||||||||||
| Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
Year Ended 3/31/2023 |
Year Ended 3/31/2022 |
|||||||||||||||||||||||||||||||||||||||||
| Class P |
||||||||||||||||||||||||||||||||||||||||||||
| Shares sold |
2,079,003 | 4,278,246 | 720,781 | 2,044,575 | ||||||||||||||||||||||||||||||||||||||||
| Dividends and distributions reinvested |
1,950,192 | 37,238,664 | 90,254 | 17,122 | ||||||||||||||||||||||||||||||||||||||||
| Shares repurchased |
(23,492,162 | ) | (14,438,738 | ) | (1,748,315 | ) | (399,808 | ) | ||||||||||||||||||||||||||||||||||||
| Net increase (decrease) |
(19,462,967 | ) | 27,078,172 | (937,280 | ) | 1,661,889 | ||||||||||||||||||||||||||||||||||||||
| Beginning shares outstanding |
112,419,527 | 85,341,355 | 3,554,197 | 1,892,308 | ||||||||||||||||||||||||||||||||||||||||
| Ending shares outstanding |
92,956,560 | 112,419,527 | 2,616,917 | 3,554,197 | ||||||||||||||||||||||||||||||||||||||||
| (1) | Advisor Class shares were renamed to Class I-2 shares on August 1, 2022. |
D-32
Table of Contents
PACIFIC FUNDS
NOTES TO FINANCIAL STATEMENTS (Continued)
15. SUBSEQUENT EVENTS
Subsequent to the end of the fiscal year of the Trust, the Board of the Trust and the shareholders of record of the following Funds, approved an Agreement and Plan of Reorganization (the “Plan of Reorganization”) pursuant to which each series of the Trust identified below (each, a “PF Acquired Fund”) reorganized (each, a “Reorganization”) with and into a newly created corresponding shell fund within the Aristotle Funds Series Trust (each, an “Aristotle Acquiring Fund”), a registered investment company series trust which is not affiliated with the Trust.
| PF Acquired Fund | Aristotle Acquiring Fund | |||
|
Pacific Funds SM Portfolio Optimization Conservative |
⇨ |
Aristotle Portfolio Optimization Conservative Fund | ||
| Pacific Funds SM Portfolio Optimization Moderate-Conservative |
⇨ |
Aristotle Portfolio Optimization Moderate Conservative Fund | ||
| Pacific Funds SM Portfolio Optimization Moderate |
⇨ |
Aristotle Portfolio Optimization Moderate Fund | ||
| Pacific Funds SM Portfolio Optimization Growth |
⇨ |
Aristotle Portfolio Optimization Growth Fund | ||
| Pacific Funds SM Portfolio Optimization Aggressive-Growth |
⇨ |
Aristotle Portfolio Optimization Aggressive Growth Fund | ||
| Pacific Funds SM Ultra Short Income |
⇨ |
Aristotle Ultra Short Income Fund | ||
| Pacific Funds SM Short Duration Income |
⇨ |
Aristotle Short Duration Income Fund | ||
| Pacific Funds SM Core Income |
⇨ |
Aristotle Core Income Fund | ||
| Pacific Funds SM ESG Core Bond |
⇨ |
Aristotle ESG Core Bond Fund | ||
| Pacific Funds SM Strategic Income |
⇨ |
Aristotle Strategic Income Fund | ||
| Pacific Funds SM Floating Rate Income |
⇨ |
Aristotle Floating Rate Income Fund | ||
| Pacific Funds SM High Income |
⇨ |
Aristotle High Yield Bond Fund | ||
| Pacific Funds SM Small/Mid-Cap |
⇨ |
Aristotle Small/Mid-Cap Equity Fund | ||
| Pacific Funds SM Small-Cap and Pacific Funds SM Small-Cap Value |
⇨ |
Aristotle Small-Cap Equity Fund II | ||
| PF Growth Fund |
⇨ |
Aristotle Growth Equity Fund |
Effective April 17, 2023, each of the Aristotle Acquiring Funds acquired all of the assets and liabilities of the PF Acquired Funds, respectively, as outlined below in a tax-free reorganization for Federal tax purposes, pursuant to the Plan of Reorganization approved by the Board and shareholders of record of the PF Acquired Funds as of the applicable record date. Aristotle Capital Management, LLC and/or Pacific Life shared the costs of the Reorganization.
Concurrently on April 17, 2023, each of the following remaining series of the Trust (collectively, the “Liquidated Funds”) were liquidated pursuant to plans of liquidation approved by the Trust’s Board: PF Inflation Managed Fund, PF Managed Bond Fund, PF Short Duration Bond Fund, PF Emerging Markets Debt Fund, PF Large-Cap Value Fund, PF Small-Cap Growth Fund, PF Small-Cap Value Fund, PF Emerging Markets Fund, PF International Growth Fund, PF International Small-Cap Fund, PF International Value Fund, PF Multi-Asset Fund and PF Real Estate Fund.
As a result of the reorganization or liquidation of all of the series of the Trust as discussed above, there are no longer any assets, funds or shareholders of the Trust effective April 17, 2023. As a result, the Trust plans to file an application for deregistration with the U.S. Securities and Exchange Commission and a certificate of cancelation with the state of Delaware.
D-33
Table of Contents
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and the Board of Trustees of
Pacific Funds Series Trust:
Opinion on the Financial Statements and Financial Highlights
We have audited the accompanying statements of assets and liabilities of Pacific Funds Series Trust (the “Trust”) comprising the Pacific FundsSM Portfolio Optimization Conservative, Pacific FundsSM Portfolio Optimization Moderate-Conservative, Pacific FundsSM Portfolio Optimization Moderate, Pacific FundsSM Portfolio Optimization Growth, Pacific FundsSM Portfolio Optimization Aggressive-Growth, Pacific FundsSM Ultra Short Income, Pacific FundsSM Short Duration Income, Pacific FundsSM Core Income, Pacific Funds SM Strategic Income, Pacific FundsSM Floating Rate Income, Pacific FundsSM High Income, Pacific FundsSM ESG Core Bond, Pacific FundsSM Small/Mid-Cap, Pacific FundsSM Small-Cap, Pacific FundsSM Small-Cap Value, PF Inflation Managed Fund, PF Managed Bond Fund, PF Short Duration Bond Fund, PF Emerging Markets Debt Fund, PF Growth Fund, PF Large-Cap Value Fund, PF Small-Cap Growth Fund, PF Small-Cap Value Fund, PF Emerging Markets Fund, PF International Growth Fund, PF International Small-Cap Fund, PF International Value Fund, PF Multi-Asset Fund, and PF Real Estate Fund (the “Funds”), including the schedules of investments, as of March 31, 2023; the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended for the Funds, except Pacific FundsSM Ultra Short Income and Pacific FundsSM ESG Core Bond; the related statements of operations, changes in net assets, and the financial highlights for the periods indicated in the table below for Pacific FundsSM Ultra Short Income and Pacific FundsSM ESG Core Bond; and the related notes.
In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the Funds listed above constituting the Trust as of March 31, 2023, and the results of their operations for the year then ended (or for the period listed in the table below), the changes in their net assets for each of the two years in the period then ended (or for the period listed in the table below), and the financial highlights for each of the five years in the period then ended (or for the period listed in the table below), in conformity with accounting principles generally accepted in the United States of America.
| Individual Fund Comprising the Pacific Funds Series |
Statement of Operations |
Statements of Changes in Net Assets |
Financial Highlights | |||
| Pacific FundsSM Ultra Short Income | For the year ended March 31, 2023. | For the years ended March 31, 2023 and 2022. | For the years ended March 31, 2023, 2022 and 2021 and for the period from June 28, 2019 (commencement of operations) through March 31, 2020. | |||
| Pacific FundsSM ESG Core Bond | For the year ended March 31, 2023. | For the years ended March 31, 2023 and 2022. | For the year ended March 31, 2023 and 2022 and the period December 14, 2020 (commencement of operations) through March 31, 2021. |
Basis for Opinion
These financial statements and financial highlights are the responsibility of the Trust’s management. Our responsibility is to express an opinion on the Trust’s financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Trust is not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Trust’s internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of securities owned as of March 31, 2023, by correspondence with the custodian, agent banks, transfer agent, and brokers; when replies were not received from agent banks and brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
Costa Mesa, California
May 24, 2023
We have served as the auditor of one or more affiliated investment companies of Pacific Funds Series Trust since 1988.
E-1
Table of Contents
PACIFIC FUNDS
(Unaudited)
For corporate shareholders, the percentage of investment income (dividend income and short-term gains, if any) for each of the Funds that qualify for the dividends-received deductions for the fiscal year ended March 31, 2023 is as follows:
| Fund | Percentage | |||
| Pacific Funds Portfolio Optimization Conservative |
2.53% | |||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
4.90% | |||
| Pacific Funds Portfolio Optimization Moderate |
10.81% | |||
| Pacific Funds Portfolio Optimization Growth |
19.17% | |||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
58.46% | |||
| Pacific Funds Small/Mid-Cap |
100.00% | |||
| Pacific Funds Small-Cap |
100.00% | |||
| Pacific Funds Small-Cap Value |
100.00% | |||
| PF Growth |
100.00% | |||
| PF Large-Cap Value |
100.00% | |||
| PF Small-Cap Value |
100.00% | |||
| PF Emerging Markets |
22.21% | |||
| PF International Growth |
1.15% | |||
| PF Real Estate |
3.07% | |||
For the fiscal year ended March 31, 2023, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%, as provided by the Jobs and Growth Tax Relief Reconciliation Act of 2003. Of the distributions made by the following Funds, the corresponding percentages represent the amount of each distribution which may qualify for the 15% dividend income tax rate.
| Fund | Percentage | |||
| Pacific Funds Portfolio Optimization Conservative |
5.16% | |||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
10.49% | |||
| Pacific Funds Portfolio Optimization Moderate |
21.70% | |||
| Pacific Funds Portfolio Optimization Growth |
47.95% | |||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
100.00% | |||
| Pacific Funds Small/Mid-Cap |
100.00% | |||
| Pacific Funds Small-Cap |
100.00% | |||
| Pacific Funds Small-Cap Value |
35.63% | |||
| PF Growth |
100.00% | |||
| PF Large-Cap Value |
100.00% | |||
| PF Small-Cap Value |
100.00% | |||
| PF Emerging Markets |
100.00% | |||
| PF International Growth |
100.00% | |||
| PF International Small-Cap |
100.00% | |||
| PF International Value |
100.00% | |||
| PF Real Estate |
2.10% | |||
Shareholders should not use the above tax information to prepare their tax returns. The information will be included with your Form 1099 DIV which will be sent to you separately in January 2024. The Funds intend to pass through the maximum allowable percentages to shareholders.
The following Funds designated the listed amounts as long-term capital gains distributions during the fiscal year ended March 31, 2023. Distributable long-term gains are based on net realized long-term gains determined on a tax basis and may differ from such amounts for financial reporting purposes.
| Fund | Amount | |||
| Pacific Funds Portfolio Optimization Conservative |
$11,118,430 | |||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
28,911,564 | |||
| Pacific Funds Portfolio Optimization Moderate |
146,282,178 | |||
| Pacific Funds Portfolio Optimization Growth |
140,125,011 | |||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
69,949,540 | |||
| Pacific Funds Strategic Income |
5,752,429 | |||
| Pacific Funds Small/Mid-Cap |
37,080,431 | |||
| Pacific Funds Small-Cap Value |
639,500 | |||
| PF Growth |
37,976,618 | |||
| PF Large-Cap Value |
10,759,300 | |||
| PF Small-Cap Value |
11,332,369 | |||
| PF Emerging Markets |
2,224,492 | |||
| PF International Small-Cap |
105,428 | |||
| PF Multi-Asset |
14,683,271 | |||
| PF Real Estate |
877,806 | |||
F-1
Table of Contents
PACIFIC FUNDS
(Unaudited)
We believe it is important for you to understand the impact of fees and expenses regarding your investment. All mutual funds have operating expenses. As a shareholder of a mutual fund, you incur two types of costs: (1) transactions costs such as initial sales charges (loads) on purchase payments and/or contingent deferred sales charges on redemptions; and (2) ongoing costs, which include advisory fees, administration fees, distribution and/or service fees, and other fund expenses. The following example is intended to help you understand your ongoing costs (in dollars) of investing in each fund and to compare these costs with those of other mutual funds. The example is based on an investment of $1,000.00 made at the beginning of the period and held for the entire six-month period from October 1, 2022 to March 31, 2023.
ACTUAL EXPENSES
The first section of the table for each fund entitled “Actual Fund Return”, provides information about actual account values and actual expenses based on each fund’s actual performance and each fund’s actual expenses, after any applicable fee waivers and expense reimbursements (See Notes 6 and 7B in Notes to Financial Statements). The “Ending Account Value at 03/31/23” column shown is derived from the fund’s actual performance; the “Annualized Expense Ratio” column shows the fund’s actual annualized expense ratio; and the “Expenses Paid During the Period 10/01/22-03/31/23” column shows the dollar amount that would have been paid by you. All the information illustrated in the following table is based on the past six-month period from October 1, 2022 to March 31, 2023.
You may use the information in this section, together with the amount you invested, to estimate the expenses that you paid over the period. To do so, for each fund in your account, simply divide that fund’s value by $1,000.00 (for example, an $8,600.00 fund value divided by $1,000.00 = 8.6), then multiply the result by the number given for your fund(s) in the “Expenses Paid During the Period 10/01/22-03/31/23”.
HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES
The second section of the table for each fund, entitled “Hypothetical”, provides information about hypothetical account values and hypothetical expenses based on a 5% per year hypothetical rate of return and actual fund’s expenses, after any applicable fee waivers and expense reimbursements (See Notes 6 and 7B in Notes to Financial Statements). It assumes that the fund had an annual 5% rate of return before expenses, but that the expense ratio is unchanged. The hypothetical account values and expenses may not be used to estimate the actual ending account values or expenses you paid for the period.
You may use the hypothetical example information to compare the ongoing costs of investing in the fund compared to other mutual funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other mutual funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as initial sales charges (loads) or contingent deferred sales charges. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different mutual funds. In addition, if these other costs were included, your costs would have been higher.
| Beginning Account Value at 10/01/22 |
Ending Account Value at 03/31/23 |
Annualized Expense Ratio |
Expenses Paid During the Period 10/01/22
- |
|||||||||||||
| Pacific Funds Portfolio Optimization Conservative (2) |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,068.80 | 0.60% | $3.09 | ||||||||||||
| Class C |
1,000.00 | 1,065.40 | 1.35% | 6.95 | ||||||||||||
| Class I-2 |
1,000.00 | 1,070.20 | 0.35% | 1.81 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.94 | 0.60% | $3.02 | ||||||||||||
| Class C |
1,000.00 | 1,018.20 | 1.35% | 6.79 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.19 | 0.35% | 1.77 | ||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative (2) |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,089.10 | 0.60% | $3.13 | ||||||||||||
| Class C |
1,000.00 | 1,084.40 | 1.35% | 7.02 | ||||||||||||
| Class I-2 |
1,000.00 | 1,090.50 | 0.35% | 1.82 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.94 | 0.60% | $3.02 | ||||||||||||
| Class C |
1,000.00 | 1,018.20 | 1.35% | 6.79 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.19 | 0.35% | 1.77 | ||||||||||||
| Pacific Funds Portfolio Optimization Moderate (2) |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,107.70 | 0.60% | $3.15 | ||||||||||||
| Class C |
1,000.00 | 1,105.20 | 1.35% | 7.09 | ||||||||||||
| Class I-2 |
1,000.00 | 1,109.80 | 0.35% | 1.84 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.94 | 0.60% | $3.02 | ||||||||||||
| Class C |
1,000.00 | 1,018.20 | 1.35% | 6.79 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.19 | 0.35% | 1.77 | ||||||||||||
| Pacific Funds Portfolio Optimization Growth (2) |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,131.80 | 0.60% | $3.19 | ||||||||||||
| Class C |
1,000.00 | 1,128.40 | 1.35% | 7.16 | ||||||||||||
| Class I-2 |
1,000.00 | 1,133.40 | 0.35% | 1.86 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.94 | 0.60% | $3.02 | ||||||||||||
| Class C |
1,000.00 | 1,018.20 | 1.35% | 6.79 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.19 | 0.35% | 1.77 | ||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth (2) |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,150.70 | 0.60% | $3.22 | ||||||||||||
| Class C |
1,000.00 | 1,147.50 | 1.35% | 7.23 | ||||||||||||
| Class I-2 |
1,000.00 | 1,152.20 | 0.35% | 1.88 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.94 | 0.60% | $3.02 | ||||||||||||
| Class C |
1,000.00 | 1,018.20 | 1.35% | 6.79 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.19 | 0.35% | 1.77 | ||||||||||||
| Pacific Funds Ultra Short Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class I |
$1,000.00 | $1,025.10 | 0.32% | $1.62 | ||||||||||||
| Class I-2 |
1,000.00 | 1,025.10 | 0.32% | 1.62 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class I |
$1,000.00 | $1,023.34 | 0.32% | $1.61 | ||||||||||||
| Class I-2 |
1,000.00 | 1,023.34 | 0.32% | 1.61 | ||||||||||||
See explanation of references on page F-4
F-2
Table of Contents
PACIFIC FUNDS
DISCLOSURE OF FUND EXPENSES (Continued)
(Unaudited)
| Beginning Account Value at 10/01/22 |
Ending Account Value at 03/31/23 |
Annualized Expense Ratio |
Expenses Paid During the Period 10/01/22
- |
|||||||||||||
| Pacific Funds Short Duration Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,032.20 | 0.75% | $3.80 | ||||||||||||
| Class C |
1,000.00 | 1,028.40 | 1.50% | 7.59 | ||||||||||||
| Class I |
1,000.00 | 1,033.80 | 0.45% | 2.28 | ||||||||||||
| Class I-2 |
1,000.00 | 1,033.50 | 0.50% | 2.53 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,021.19 | 0.75% | $3.78 | ||||||||||||
| Class C |
1,000.00 | 1,017.45 | 1.50% | 7.54 | ||||||||||||
| Class I |
1,000.00 | 1,022.69 | 0.45% | 2.27 | ||||||||||||
| Class I-2 |
1,000.00 | 1,022.44 | 0.50% | 2.52 | ||||||||||||
| Pacific Funds Core Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,068.50 | 0.85% | $4.38 | ||||||||||||
| Class C |
1,000.00 | 1,063.30 | 1.60% | 8.23 | ||||||||||||
| Class I |
1,000.00 | 1,070.10 | 0.55% | 2.84 | ||||||||||||
| Class P |
1,000.00 | 1,069.90 | 0.55% | 2.84 | ||||||||||||
| Class I-2 |
1,000.00 | 1,068.90 | 0.55% | 2.84 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,020.69 | 0.85% | $4.28 | ||||||||||||
| Class C |
1,000.00 | 1,016.95 | 1.60% | 8.05 | ||||||||||||
| Class I |
1,000.00 | 1,022.19 | 0.55% | 2.77 | ||||||||||||
| Class P |
1,000.00 | 1,022.19 | 0.55% | 2.77 | ||||||||||||
| Class I-2 |
1,000.00 | 1,022.19 | 0.55% | 2.77 | ||||||||||||
| Pacific Funds ESG Core Bond |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class I |
$1,000.00 | $1,059.50 | 0.48% | $2.46 | ||||||||||||
| Class I-2 |
1,000.00 | 1,059.50 | 0.48% | 2.46 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class I |
$1,000.00 | $1,022.54 | 0.48% | $2.42 | ||||||||||||
| Class I-2 |
1,000.00 | 1,022.54 | 0.48% | 2.42 | ||||||||||||
| Pacific Funds Strategic Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,080.50 | 0.94% | $4.88 | ||||||||||||
| Class C |
1,000.00 | 1,077.80 | 1.69% | 8.75 | ||||||||||||
| Class I |
1,000.00 | 1,082.60 | 0.64% | 3.32 | ||||||||||||
| Class I-2 |
1,000.00 | 1,082.90 | 0.69% | 3.58 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,020.24 | 0.94% | $4.73 | ||||||||||||
| Class C |
1,000.00 | 1,016.50 | 1.69% | 8.50 | ||||||||||||
| Class I |
1,000.00 | 1,021.74 | 0.64% | 3.23 | ||||||||||||
| Class I-2 |
1,000.00 | 1,021.49 | 0.69% | 3.48 | ||||||||||||
| Pacific Funds Floating Rate Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,062.50 | 0.98% | $5.04 | ||||||||||||
| Class C |
1,000.00 | 1,059.80 | 1.73% | 8.88 | ||||||||||||
| Class I |
1,000.00 | 1,063.90 | 0.68% | 3.50 | ||||||||||||
| Class P |
1,000.00 | 1,065.30 | 0.68% | 3.50 | ||||||||||||
| Class I-2 |
1,000.00 | 1,063.70 | 0.73% | 3.76 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,020.04 | 0.98% | $4.94 | ||||||||||||
| Class C |
1,000.00 | 1,016.31 | 1.73% | 8.70 | ||||||||||||
| Class I |
1,000.00 | 1,021.54 | 0.68% | 3.43 | ||||||||||||
| Class P |
1,000.00 | 1,021.54 | 0.68% | 3.43 | ||||||||||||
| Class I-2 |
1,000.00 | 1,021.29 | 0.73% | 3.68 | ||||||||||||
| Beginning Account Value at 10/01/22 |
Ending Account Value at 03/31/23 |
Annualized Expense Ratio |
Expenses Paid During the Period 10/01/22
- |
|||||||||||||
| Pacific Funds High Income |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,091.80 | 0.95% | $4.95 | ||||||||||||
| Class C |
1,000.00 | 1,088.00 | 1.70% | 8.85 | ||||||||||||
| Class I |
1,000.00 | 1,092.60 | 0.65% | 3.39 | ||||||||||||
| Class P |
1,000.00 | 1,093.40 | 0.65% | 3.39 | ||||||||||||
| Class I-2 |
1,000.00 | 1,093.00 | 0.70% | 3.65 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,020.19 | 0.95% | $4.78 | ||||||||||||
| Class C |
1,000.00 | 1,016.45 | 1.70% | 8.55 | ||||||||||||
| Class I |
1,000.00 | 1,021.69 | 0.65% | 3.28 | ||||||||||||
| Class P |
1,000.00 | 1,021.69 | 0.65% | 3.28 | ||||||||||||
| Class I-2 |
1,000.00 | 1,021.44 | 0.70% | 3.53 | ||||||||||||
| Pacific Funds Small/Mid-Cap |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,135.30 | 1.20% | $6.39 | ||||||||||||
| Class C |
1,000.00 | 1,131.70 | 1.95% | 10.36 | ||||||||||||
| Class R6 |
1,000.00 | 1,137.10 | 0.85% | 4.53 | ||||||||||||
| Class I-2 |
1,000.00 | 1,137.50 | 0.95% | 5.06 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,018.95 | 1.20% | $6.04 | ||||||||||||
| Class C |
1,000.00 | 1,015.21 | 1.95% | 9.80 | ||||||||||||
| Class R6 |
1,000.00 | 1,020.69 | 0.85% | 4.28 | ||||||||||||
| Class I-2 |
1,000.00 | 1,020.19 | 0.95% | 4.78 | ||||||||||||
| Pacific Funds Small-Cap |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,138.20 | 1.20% | $6.40 | ||||||||||||
| Class C |
1,000.00 | 1,133.10 | 1.95% | 10.37 | ||||||||||||
| Class R6 |
1,000.00 | 1,139.80 | 0.85% | 4.53 | ||||||||||||
| Class I-2 |
1,000.00 | 1,138.30 | 0.95% | 5.06 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,018.95 | 1.20% | $6.04 | ||||||||||||
| Class C |
1,000.00 | 1,015.21 | 1.95% | 9.80 | ||||||||||||
| Class R6 |
1,000.00 | 1,020.69 | 0.85% | 4.28 | ||||||||||||
| Class I-2 |
1,000.00 | 1,020.19 | 0.95% | 4.78 | ||||||||||||
| Pacific Funds Small-Cap Value |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class A |
$1,000.00 | $1,120.40 | 1.20% | $6.34 | ||||||||||||
| Class C |
1,000.00 | 1,116.80 | 1.95% | 10.29 | ||||||||||||
| Class R6 |
1,000.00 | 1,121.90 | 0.85% | 4.50 | ||||||||||||
| Class I-2 |
1,000.00 | 1,122.50 | 0.95% | 5.03 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class A |
$1,000.00 | $1,018.95 | 1.20% | $6.04 | ||||||||||||
| Class C |
1,000.00 | 1,015.21 | 1.95% | 9.80 | ||||||||||||
| Class R6 |
1,000.00 | 1,020.69 | 0.85% | 4.28 | ||||||||||||
| Class I-2 |
1,000.00 | 1,020.19 | 0.95% | 4.78 | ||||||||||||
| PF Inflation Managed Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,053.60 | 0.62% | $3.17 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,021.84 | 0.62% | $3.13 | ||||||||||||
See explanation of references on page F-4
F-3
Table of Contents
PACIFIC FUNDS
DISCLOSURE OF FUND EXPENSES (Continued)
(Unaudited)
| Beginning Account Value at 10/01/22 |
Ending Account Value at 03/31/23 |
Annualized Expense Ratio |
Expenses Paid During the Period 10/01/22
- |
|||||||||||||
| PF Managed Bond Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,045.80 | 0.55% | $2.81 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,022.19 | 0.55% | $2.77 | ||||||||||||
| PF Short Duration Bond Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,022.50 | 0.55% | $2.77 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,022.19 | 0.55% | $2.77 | ||||||||||||
| PF Emerging Markets Debt Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,120.90 | 0.88% | $4.65 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.54 | 0.88% | $4.43 | ||||||||||||
| PF Growth Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,149.70 | 0.70% | $3.75 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,021.44 | 0.70% | $3.53 | ||||||||||||
| PF Large-Cap Value Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,146.90 | 0.80% | $4.28 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.94 | 0.80% | $4.03 | ||||||||||||
| PF Small-Cap Growth Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,140.10 | 0.75% | $4.00 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,021.19 | 0.75% | $3.78 | ||||||||||||
| PF Small-Cap Value Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,092.10 | 0.92% | $4.80 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.34 | 0.92% | $4.63 | ||||||||||||
| PF Emerging Markets Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,265.00 | 0.95% | $5.36 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.19 | 0.95% | $4.78 | ||||||||||||
| PF International Growth Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,268.40 | 0.97% | $5.49 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.09 | 0.97% | $4.89 | ||||||||||||
| PF International Small-Cap Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,259.90 | 1.09% | $6.14 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,019.50 | 1.09% | $5.49 | ||||||||||||
| Beginning Account Value at 10/01/22 |
Ending Account Value at 03/31/23 |
Annualized Expense Ratio |
Expenses Paid During the Period 10/01/22
- |
|||||||||||||
| PF International Value Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,298.90 | 0.80% | $4.59 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.94 | 0.80% | $4.03 | ||||||||||||
| PF Multi-Asset Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,166.10 | 0.51% | $2.75 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,022.39 | 0.51% | $2.57 | ||||||||||||
| PF Real Estate Fund |
| |||||||||||||||
| Actual Fund Return |
||||||||||||||||
| Class P |
$1,000.00 | $1,055.80 | 0.90% | $4.61 | ||||||||||||
| Hypothetical |
||||||||||||||||
| Class P |
$1,000.00 | $1,020.44 | 0.90% | $4.53 | ||||||||||||
| (1) | Expenses paid during the period are equal to the fund’s annualized expense ratio (shown in table above), multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year or applicable period, then divided by 365 days. |
| (2) | The annualized expense ratios for the Portfolio Optimization Funds do not include fees and expenses of the Funds in which they invest (see Note 1 in Notes to Financial Statements). |
F-4
Table of Contents
PACIFIC FUNDS
TRUSTEES AND OFFICERS INFORMATION
(Unaudited)
The business and affairs of the Pacific Funds Series Trust (which may be referred to as “Pacific Funds” or the “Trust”) are managed under the direction of the Board of Trustees under the Declaration of Trust. Information pertaining to the trustees and officers of the Trust is set forth below, effective April 1, 2023. Trustees who are not deemed to be “interested persons” of the Trust, as defined in the 1940 Act, are referred to as “Independent Trustees.” Certain trustees and officers are deemed to be “interested persons” of the Trust and thus are referred to as “Interested Persons”, because of their positions with Pacific Life Insurance Company (“Pacific Life”) and Pacific Life Fund Advisors LLC, a wholly-owned subsidiary of Pacific Life. The Trust’s Statement of Additional Information includes additional information about the trustees. For information on availability of the Trust’s Statement of Additional Information, refer to the WHERE TO GO FOR MORE INFORMATION section of this report.
The address of each trustee and officer is c/o Pacific Funds Series Trust, 700 Newport Center Drive, Newport Beach, CA 92660.
| Name and Age |
Position(s)
with |
Current Directorship(s) Held and Principal
Occupation(s) |
Number
of | |||
| INDEPENDENT TRUSTEES | ||||||
| Nooruddin (Rudy) Veerjee Year of birth 1958 | Trustee since 9/13/05 and Chairman of the Board since 04/01/22 | Trustee (1/05 to present) and Chairman of the Board (4/22 to present) of Pacific Select Fund.
Formerly: President of Transamerica Insurance and Investment Group; President of Transamerica Asset Management; Chairman and Chief Executive Officer of Transamerica Premier Funds (Mutual Fund); and Director of various Transamerica Life Companies. |
84 | |||
| Gale K. Caruso Year of birth 1957 |
Trustee since 1/01/06 | Trustee (1/06 to present) of Pacific Select Fund; Independent Trustee (2/15 to present) and Chair of the Board (1/22 to present) of Matthews Asia Funds.
Formerly: Member of the Board of Directors of LandAmerica Financial Group, Inc.; President and Chief Executive Officer of Zurich Life; Chairman, President and Chief Executive Officer of Scudder Canada Investor Services, Ltd.; Managing Director of Scudder Kemper Investments; Member of the Advisory Council to the Trust for Public Land in Maine; Member of the Board of Directors of Make-A-Wish of Maine. |
84 | |||
| Andrew J. Iseman Year of birth 1964 |
Trustee since 6/10/19 | Trustee (3/19 to present) of Pacific Select Fund; Advisory Council Member of The TIFIN Group (11/20 to present); Director of CrowdOptic (8/21 to 11/22); Member of the Board of DeBourgh Manufacturing Company (12/21 to present).
Formerly: Consultant to the Trust; Chief Executive Officer and Senior Adviser of Scout Investments; President and Interested Trustee of Scout Funds. |
84 | |||
| Paul A. Keller Year of birth 1954 |
Trustee since 6/20/16 | Trustee (6/16 to present) of Pacific Select Fund; Independent Trustee (8/10 to present) and Chairman of the Board (8/19 to present) of Fenimore Asset Management Trust (FAM Funds); Business Consultant (7/10 to present) (sole proprietor); Certified Public Accountant in New York (1982 to present).
Formerly: Partner of McGladrey & Pullen LLP; Partner of PricewaterhouseCoopers LLP; Adjunct Professor of Accounting of SUNY College at Old Westbury; Interim Chief Financial Officer of The Leon Levy Foundation. |
84 | |||
| Lucie H. Moore Year of birth 1956 |
Trustee since 6/13/01 | Trustee (10/98 to present) of Pacific Select Fund; Member of the Board of Trustees (2014 to present) of Azusa Pacific University; Member of the Board of Trustees (2016 to present) of Pacifica Christian High School Orange County.
Formerly: Partner of Gibson, Dunn & Crutcher (Law); Member of the Board of Trustees of Sage Hill School; Member of the Board of Trustees of The Pegasus School; Member of the Advisory Board of Court Appointed Special Advocates (CASA) of Orange County. |
84 | |||
F-5
Table of Contents
PACIFIC FUNDS
TRUSTEES AND OFFICERS INFORMATION (Continued)
(Unaudited)
| Name and Age |
Position(s)
with |
Current Directorship(s) Held and Principal
Occupation(s) |
Number
of | |||
| INTERESTED PERSONS | ||||||
| Adrian S. Griggs Year of birth 1966 |
Chief Executive Officer since 1/01/18, President and Trustee since 4/01/22 | Chief Operating Officer (1/17 to present) and Executive Vice President (4/12 to present) of Pacific Mutual Holding Company and Pacific LifeCorp; Chief Operating Officer (1/17 to present), Executive Vice President (4/12 to present) and Director (1/16 to present) of Pacific Life; and Chief Executive Officer (1/18 to present), President (4/22 to present) and Trustee (4/22 to present) of Pacific Select Fund. | 84 | |||
| Howard T. Hirakawa Year of birth 1962 |
Senior Vice President since 12/10/14 |
Senior Vice President (4/14 to present) of Pacific Life Fund Advisors LLC; and Senior Vice President (12/14 to present) of Pacific Select Fund. | 84 | |||
| Audrey L. Cheng Year of birth 1975 |
Vice President and General Counsel since 4/01/23 and Assistant Secretary since 1/01/20 | Vice President (4/23 to present) and Assistant Vice President (9/11 to 3/23) of Pacific Life; Vice President (4/23 to present), Fund Advisor General Counsel (4/23 to present), and Assistant Secretary (4/23 to present) of Pacific Life Fund Advisors, LLC; Vice President (4/23 to present), General Counsel (4/23 to present), and Assistant Secretary (1/20 to present) of Pacific Select Fund. | 84 | |||
| Laurene E. MacElwee Year of birth 1966 |
Vice President since 4/04/05 and Assistant Secretary since 6/13/01 | Chief Compliance Officer (7/22 to present), Vice President (4/11 to present) and Assistant Secretary (5/07 to present) of Pacific Life Fund Advisors LLC; Vice President (4/11 to present) of Pacific Life; Vice President (12/11 to present) and Assistant Secretary (4/05 to present) of Pacific Select Fund. | 84 | |||
| Benjamin D. Wiesenfeld Year of birth 1977 |
Vice President and Chief Compliance Officer since 7/01/22 | Vice President (7/22 to present) and Assistant Vice President (6/20 to 7/22) of Pacific Life; Chief Compliance Officer (7/22 to present) and Deputy Chief Compliance & Ethics Officer (1/21 to 7/22) of Pacific Select Fund; Chief Compliance Officer (10/20 to present) of Pacific Select Distributors, LLC; Chief Compliance Officer (8/18 to 11/19) of Oakmark Funds. | 84 | |||
| Carleton J. Muench Year of birth 1973 |
Vice President since 11/30/06 | Vice President (4/14 to present) of Pacific Life Fund Advisors LLC; and Vice President (12/14 to present) of Pacific Select Fund. | 84 | |||
| Starla C. Yamauchi Year of birth 1970 |
Secretary and Vice President since 1/04/23 | Secretary (1/23 to present), Assistant Vice President (11/21 to present), and Assistant Secretary (8/15 to 1/23) of Pacific Life; Secretary (1/23 to present), Assistant Vice President (11/21 to present), and Assistant Secretary (5/16 to 1/23) of Pacific LifeCorp; Secretary (1/23 to present), Assistant Vice President (5/22 to present), and Assistant Secretary (5/16 to 1/23) of Pacific Mutual Holding Company; Secretary (1/23 to present), Assistant Vice President (1/23 to present) and Assistant Secretary (5/19 to 1/23) of Pacific Select Distributors, LLC; Secretary (1/23 to present) and Assistant Vice President (1/23 to present) of Pacific Select Fund. | 84 | |||
| Trevor T. Smith Year of birth 1975 |
Vice President since 3/23/16 and Treasurer since 4/01/18 | Assistant Vice President (1/17 to present) of Pacific Life; Principal Financial Officer (3/23 to present) and Principal Operations Officer (3/23 to present) of Pacific Select Distributors, LLC; and Assistant Vice President (3/16 to present) and Treasurer (4/18 to present) of Pacific Select Fund. | 84 | |||
| Bonnie J. Boyle Year of birth 1974 |
Vice President and Assistant Treasurer since 1/01/20 | Director (6/17 to present) of Pacific Life; Assistant Vice President and Assistant Treasurer (1/20 to present) of Pacific Select Fund. | 84 | |||
F-6
Table of Contents
PACIFIC FUNDS
TRUSTEES AND OFFICERS INFORMATION (Continued)
(Unaudited)
| Name and Age |
Position(s)
with |
Current Directorship(s) Held and Principal
Occupation(s) |
Number
of | |||
| INTERESTED PERSONS (Continued) | ||||||
| Kevin W. Steiner Year of birth 1975 | Vice President since 1/01/13 | Assistant Vice President (4/12 to present) of Pacific Life Fund Advisors LLC; and Assistant Vice President (1/13 to present) of Pacific Select Fund. | 84 | |||
| Mark Karpe Year of birth 1968 |
Vice President and Assistant Secretary since 4/01/23 | Assistant Vice President and Managing Assistant General Counsel (4/15 to present) of Pacific Life; Assistant Vice President and Assistant Secretary (4/23 to present) of Pacific Select Fund. | 84 | |||
| * | A trustee serves until he or she resigns, retires, or his or her successor is elected and qualified. |
| ** | As of April 1, 2023, the “Fund Complex” consisted of Pacific Select Fund (55 funds) and Pacific Funds Series Trust (29 funds). |
F-7
Table of Contents
PACIFIC FUNDS
STATEMENT REGARDING LIQUIDITY RISK MANAGEMENT PROGRAM
(Unaudited)
The Trust has a liquidity risk management program (the “Program”). The Trust’s Board of Trustees (the “Board”) has designated the Liquidity Oversight Committee (the “Committee”) of Pacific Life Fund Advisors LLC (the “Investment Adviser”) as the administrator of the Program. Personnel of the Investment Adviser conduct the day-to-day operation of the Program pursuant to policies and procedures administered by the Committee.
Under the Program, the Committee manages the liquidity risk of each Fund of the Trust. Liquidity risk is the risk that a Fund could not meet shareholder redemption requests without significant dilution of remaining shareholders’ interests in that Fund. This risk is managed by monitoring the degree of liquidity of each Fund’s investments, limiting the amount of the Fund’s illiquid investments, and utilizing various risk management tools and facilities available to the Fund for meeting shareholder redemptions, among other means. The Committee’s process for determining the degree of liquidity of each Fund’s investments is supported by one or more third-party liquidity assessment vendors.
The Board reviewed a report prepared by the Committee regarding the operation and effectiveness of the Program for the period January 1, 2022 through December 31, 2022. The report included, among other information, each Fund’s (i) investment strategy and the liquidity of its portfolio investments during both normal and reasonably foreseeable stressed market conditions; (ii) short-term and long- term cash flow projections during both normal and reasonably foreseeable stressed conditions; and (iii) holdings of cash and cash equivalents, as well as relevant borrowing arrangements.
The report indicated periods of volatility across various markets, though no significant liquidity events impacting any Fund were noted in the report. In addition, the Committee provided its assessment that the Program had been effective in managing each Fund’s liquidity risk.
F-8
Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS
(Unaudited)
I. Introduction and Background
The Board of Trustees (the “Trustees” or “Board”) of Pacific Funds Series Trust (“Pacific Funds” or the “Trust”) oversees the management of each of the separate funds of the Trust (each a “Fund” and collectively, the “Funds”) and, as required by Section 15(c) of the Investment Company Act of 1940, as amended (the “1940 Act”), initially approves and, after the initial period, determines annually whether to renew the investment advisory agreement (the “Advisory Agreement”) with Pacific Life Fund Advisors LLC (“PLFA”) and each sub-advisory agreement (the “Sub-Advisory Agreements,” together with the Advisory Agreement, as may be amended from time to time, the “Agreements”) between the Trust, PLFA and the various sub-advisers, including affiliated sub-advisers, if any (each a “Sub-Adviser” and collectively, the “Sub-Advisers”). PLFA serves as the investment adviser for all of the Funds. PLFA also currently directly manages Pacific Funds Portfolio Optimization Conservative, Pacific Funds Portfolio Optimization Moderate-Conservative, Pacific Funds Portfolio Optimization Moderate, Pacific Funds Portfolio Optimization Growth and Pacific Funds Portfolio Optimization Aggressive-Growth (the “Asset Allocation Funds”), as well as a portion of the PF Multi-Asset Fund (together with the Asset Allocation Funds, the “Directly Managed Funds”). For the collateral portion of the PF Multi-Asset Fund and all other Funds, PLFA has retained affiliated or unaffiliated investment management firms to serve as Sub-Advisers under PLFA’s oversight (the “Sub-Advised Funds”). The Board, including all of the Trustees who are not “interested persons” of the Trust, PLFA, the Sub-Advisers or the distributor, as that term is defined in the 1940 Act (“Independent Trustees”), last renewed the Agreements at a meeting of the Trustees held on December 14, 2022.
At this meeting and other meetings throughout the year, the Board considered information (both written and oral) provided to assist it in its review of the Agreements and made assessments with respect to each Agreement. The Board requested, received and reviewed written materials from PLFA and each Sub-Adviser that were submitted in response to request letters from the Independent Trustees and supporting materials relating to those questions and responses, as well as additional responses related to any follow-up requests from the Independent Trustees. In addition, the Board received presentations about the Funds throughout the year, and the Independent Trustees were advised by independent legal counsel with respect to these and other relevant matters. The Board reviewed a variety of factors and considered a significant amount of information, including information received on an ongoing basis at Board and committee meetings, which included reports on Fund performance, expenses, fee comparisons, investment advisory and portfolio management services, compliance, and other services provided to the Funds by PLFA and the Sub-Advisers. The Board also reviewed financial and profitability information regarding PLFA and the Sub-Advisers and information regarding the organization and operations of each entity, such as their compliance monitoring, portfolio trading and brokerage practices, risk management, business continuity plan, cybersecurity and the personnel providing investment management and administrative services to each Fund. The Board considered the services provided to the Funds under the Agreements and the fees and expenses incurred by and charged to (or expected to be incurred by and charged to) the Funds under the Agreements.
The Board noted that as the investment adviser, PLFA, in addition to directly managing certain portfolios, provides a broad range of services to the Trust, including among others: overseeing and coordinating the activities of Sub-Advisers and other third-party service providers, evaluating Sub-Advisers in connection with its recommendations to the Board to hire or terminate Sub-Advisers, making regulatory filings (including disclosure and financial filings) on behalf of the Trust, monitoring fund performance, performing risk oversight of the Funds, providing the Board with information and reports as may be requested, providing valuation support, administering the Trust’s liquidity risk management program and derivatives risk management program, providing compliance-related services and providing personnel and office space to the Trust. These responsibilities are described in more detail below. The Trustees also considered that PLFA incurs substantial reputational, financial, litigation, regulatory and business risks by serving as investment adviser. The Board took into account that PLFA and its affiliates provide additional services to the Funds under other affiliated service agreements that are essential for the operation of the Funds and that although PLFA and its affiliates are separately compensated under those affiliated service agreements, these additional services are provided in connection with PLFA’s advisory relationship with the Funds.
The Board reviewed data provided by PLFA that was gathered from various independent providers of investment company data to provide the Board with information regarding the Funds’ investment performance, advisory fees and expense information (both on an absolute basis and compared to peers). Additionally, the Independent Trustees retained an independent consultant (“Independent Consultant”) with substantial industry experience in providing investment company boards with analysis to assist directors and trustees with their annual 15(c) review process, to assist the Trustees with certain of their analyses and to provide other relevant information. In connection with the analysis, the Independent Consultant utilized and provided the Independent Trustees with information obtained from independent service providers as well as from other sources.
Additionally, the Trustees considered that PLFA had advised them that its parent company had entered into an agreement whereby its affiliated Sub-Adviser, Pacific Asset Management, would be acquired by another firm, and that as part of this acquisition, PLFA would be proposing the reorganization and/or liquidation of all of the series of the Trust at a special meeting to be held in the very near future.
The Trustees’ determinations were made on the basis of each Trustee’s business judgment after consideration of all the information presented. In reviewing the materials presented and in considering the information in the management presentations, the Trustees did not identify any single issue or particular information that, in isolation, would be a controlling factor in making a final decision regarding the proposed Agreements. Individual Trustees may have given different weights to certain factors and assigned various degrees of materiality to information received in connection with the approval process. The following summary describes the most important, but not all, of the factors considered by the Trustees in approving the Agreements. In the case of the Independent Trustees, certain factors were considered in light of the legal advice furnished to them by independent legal counsel and information from the Independent Consultant that they had retained. This discussion is not intended to be all-inclusive.
F-9
Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
II. Annual Consideration and Approval of Investment Advisory and Sub-Advisory Agreements
In evaluating the Advisory Agreement and each Sub-Advisory Agreement, the Board, including all the Independent Trustees, considered the following factors, among others:
A. Nature, Extent and Quality of Services
PLFA –The Trustees considered the depth and quality of PLFA’s investment management process, including its process to evaluate Sub-Advisers in connection with its recommendations to the Board to hire or terminate Sub-Advisers, its monitoring and oversight of the Sub-Advisers, and the benefits to shareholders of retaining PLFA and continuing the Advisory Agreement in light of the nature, extent, and quality of the services that have been provided by PLFA since the Advisory Agreement was last renewed. The Trustees considered the overall financial strength and stability of PLFA and its ability to continue to provide a high level and quality of services to the Funds. They also considered PLFA’s responsiveness to questions or concerns raised by the Trustees throughout the year, including PLFA’s willingness to consider and implement investment and operational changes designed to improve investment results and the services provided to the Funds and their shareholders. The Trustees noted that, with respect to certain portfolios, PLFA had implemented a derivatives risk management program in accordance with Rule 18f-4 under the 1940 Act. The Trustees also noted that the Board had designated PLFA as its “valuation designee” to perform fair valuation determinations in accordance with Rule 2a-5 under the 1940 Act. The Trustees considered that throughout the first half of 2022, PLFA spent considerable time and effort developing and preparing to implement Rule 18f-4 and Rule 2a-5 requirements and completed all necessary revisions to policies, procedures and/or reports as necessary to comply with the new rules by their effective dates.
The Trustees noted that officers and employees of PLFA regularly consult with, and report to, the Board regarding the investment management services provided to the Funds. The Trustees considered the experience, capability and integrity of PLFA’s senior management and other key personnel. The Trustees noted that the investment, legal, compliance, risk management and accounting professionals of PLFA and its affiliates have access to and utilize a variety of resources and systems relating to investment management, compliance, trading, performance and risk analysis, security valuation and fund accounting. The Trustees took into account the scope of services provided by PLFA under the Advisory Agreement. The Trustees considered that although PLFA is separately compensated under an administration agreement for time spent on Fund matters by certain legal, compliance and accounting professionals of PLFA and its affiliates for services outside of the scope of the Advisory Agreement, these services are being provided as a result of PLFA’s advisory relationship with the Funds. The Trustees further considered PLFA’s continuing need and ability to attract and retain qualified personnel and to maintain and enhance its resources and systems to provide appropriate investment management, compliance, risk management and monitoring services for the Funds. The Trustees also considered the additional resources that PLFA has continued to invest in in order to enhance its management and oversight of the Funds, including additional tools designed to ensure the Funds’ compliance with new laws and regulations. The Trustees considered that PLFA employs a well-defined method of comparing and evaluating the performance of the Asset Allocation Funds and continues to employ resources to refine that method. In addition, the Trustees considered PLFA’s sub-adviser research and performance monitoring processes and the role of PLFA’s internal conflicts review committee in considering and evaluating potential conflicts of interest with regard to Sub-Adviser selection and asset allocation.
Directly Managed Funds – The Trustees considered the services provided by PLFA in rendering investment management services for those Funds for which the day-to-day investment management is provided by PLFA. The Trustees considered that PLFA is responsible for identifying investments for each Directly Managed Fund and determining when and what securities, cash and/or other investments to purchase, retain, or sell for each Directly Managed Fund. The Trustees also considered that PLFA has been designated as the valuation designee for the Directly Managed Funds and is responsible for the valuation of portfolio securities, including, but not limited to, the review of custodian pricing files, research and analysis related to fair valued securities and due diligence oversight of pricing vendors. The Trustees additionally noted that PLFA is responsible for evaluating and voting proxies for portfolio holdings of the Directly Managed Funds. With respect to the Asset Allocation Funds, the Trustees also considered, among other things, PLFA’s experience, resources and expertise in analyzing the composition of the various Funds that serve as investment options for the Asset Allocation Funds (collectively, the “Underlying Funds”) and in developing an asset allocation that is appropriate for each Asset Allocation Fund’s investment objectives and risk profile. The Trustees considered, in this regard, the tools and resources used by PLFA in constructing its asset allocation models. The Trustees considered that PLFA had previously engaged a third-party consulting firm to review PLFA’s asset allocation process, and that the firm had reported favorably on PLFA’s asset allocation capabilities. With respect to the PF Multi-Asset Fund, the Trustees also considered PLFA’s trading-related and valuation responsibilities.
The Trustees also considered that PLFA provides certain additional services to the Funds outside of the scope of the Advisory Agreement under an administration agreement and that such services are essential for the administration and operation of the Funds, including administration of the Funds’ compliance program. In this regard, the Trustees considered PLFA’s policies, procedures and systems to ensure compliance with applicable laws and regulations with respect to the Directly Managed Funds, its attention to matters that may involve conflicts of interest between itself and a Fund, and that all material rebalancing of PLFA’s asset allocation models are presented to an internal conflicts review committee that considers and evaluates potential conflicts of interest in the allocation among the Underlying Funds. The Trustees considered the report of PLFA’s internal conflicts review committee and also reviewed information provided throughout the year on PLFA’s compliance policies and procedures, its compliance history, and received reports from the Trust’s Chief Compliance Officer (“CCO”) on compliance by PLFA with applicable laws and regulations. The Trustees also reviewed information on any responses by PLFA to regulatory and compliance developments throughout the year. The Trustees further noted the compliance monitoring conducted by PLFA on an ongoing basis and noted the development of additional procedures and systems necessary to maintain compliance with applicable laws and regulations as well as the resources that PLFA dedicates to these programs. The Trustees considered that the CCO has in place a systematic process for periodically reviewing PLFA’s written compliance policies and procedures, including the assessment of PLFA’s compliance program as required
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(Unaudited)
by Rule 38a-1 under the 1940 Act and PLFA’s code of ethics. The Trustees also considered that PLFA continues to cooperate with the CCO in reviewing its compliance operations.
Sub-Advised Funds – The Trustees considered that PLFA recommends to the Board the hiring and termination of Sub-Advisers and performs the associated due diligence relating to such recommendations, the risk and performance oversight of the Sub-Advisers performed by PLFA and the fact that PLFA provides valuation support and has been designated as the valuation designee for Sub-Advised Funds. The Trustees noted PLFA’s responsibilities in rendering services to the Sub-Advised Funds and the fact that PLFA monitors and evaluates the performance of the Sub-Advisers in comparison to each Fund’s investment objective as well as to appropriate benchmark indices and groups of peer funds. The Trustees also considered that PLFA monitors each Sub-Advised Fund’s adherence to its investment objectives and policies. The Trustees noted that PLFA provides the Board with periodic and special reports related to each Sub-Advised Fund’s performance and PLFA’s investment monitoring and evaluation. The Trustees also considered PLFA’s process in continuously analyzing and, from time to time as necessary and appropriate, recommending for consideration by the Board, the termination of a Sub-Advisory Agreement with a Sub-Adviser and the replacement of a Sub-Adviser.
For both the Directly Managed Funds and Sub-Advised Funds, the Trustees considered the high quality of the products, information, analyses and services provided by PLFA to the Funds, including return analysis, attribution analysis, risk analysis and/or stress testing, preparation of periodic performance and other reports, assessment of liquidity, analysis of derivatives, including the ongoing operation of the derivatives risk management program, and coordination and oversight of other service providers to the Trust. The Trustees also noted that PLFA regularly informs the Trustees about matters relevant to the Trust and its shareholders, including regulatory developments and their potential impact on the Trust. Additionally, the Board considered how the Adviser’s business continuity plan has operated during the ongoing COVID-19 pandemic and the updates it provided to the Board on how the business continuity plans of Sub-Advisers and other third-party service providers were operating.
The Trustees considered the analyses conducted by PLFA of the Underlying Funds and a Sub-Adviser’s management of an Underlying Fund in the broader context of asset allocation strategies intended to target certain return and risk characteristics. The Trustees noted that PLFA has historically recommended new Underlying Funds or changes to existing Underlying Funds that PLFA believed would contribute to the Asset Allocation Funds’ targeted return and risk objectives. The Trustees also took into account PLFA’s continuing analysis of the Underlying Funds and each Sub-Adviser’s investment performance for the impact on broader asset allocation strategies for the Asset Allocation Funds.
The Trustees considered the depth and quality of PLFA’s monitoring and oversight of the Sub-Advisers. The Board noted that PLFA monitors numerous investment, performance, and risk metrics for the Funds. The Trustees considered PLFA’s continued investment in, and development of, its research and analytical capabilities, including investments in personnel and enhanced analytical tools for assessing Fund performance and the performance of the Sub-Advisers, including analytical tools relating to return analysis, risk analysis, and Fund performance attribution and reporting on such matters to the Trustees. The Trustees noted that PLFA uses these tools to analyze a Fund’s performance and risk profile and identify Funds that are underperforming as well as those that are performing well, and to analyze the Funds’ performance against various measures. The Board considered that PLFA also conducts various analyses to assess the sources of and reasons for performance. Additionally, the Trustees noted that PLFA has worked to customize performance reporting for Funds depending on their investment strategy to include the most relevant data. The Board noted that PLFA provides the Board with analyses of these data over rolling periods to assist the Board in identifying trends in Fund performance and other areas, and periodically provides the Trustees with information on economic and market trends to provide a context for assessing recent performance. The Trustees also noted that PLFA has developed effective methods for tracking the Sub-Advisers’ investment style consistency, for analyzing the use of derivatives by Sub-Advisers and for monitoring Fund liquidity.
In making their assessments, the Trustees considered that PLFA has historically exercised diligence in monitoring the performance of the Sub-Advisers, and has recommended and taken measures to attempt to remedy continued relative underperformance by a Fund when PLFA and the Trustees believed it to be appropriate. The Trustees also considered the significant work performed by PLFA in conducting searches for new Sub-Advisers to replace existing Sub-Advisers where appropriate or to manage new Funds in the Trust.
The Board also noted that PLFA conducts regular due diligence on Sub-Advisers involving in-person meetings and virtual or on-site visits, video meetings and telephonic meetings to gather information that PLFA uses to gain an in-depth understanding of a Sub-Adviser’s investment process and to seek to identify issues that may be relevant to a Sub-Adviser’s services to a Fund or a Fund’s performance, including, but not limited to, a Sub-Adviser’s investment process, investment capabilities, resources and personnel, the financial strength of a Sub-Adviser, significant staffing changes that could affect a Fund, material changes in a Sub-Adviser’s assets under management, compliance and regulatory concerns, best execution review and portfolio security valuation support.
The Trustees considered the time and attention paid by PLFA to matters involving the valuation of Fund securities for the Sub-Advised Funds and its designation as valuation designee for the Sub-Advised Funds. The Trustees considered that PLFA has established a Valuation Oversight Committee that is responsible for, among other things, researching and evaluating information regarding securities that are not actively or publicly traded, valuing securities subject to a trading halt or for which a market quotation is not readily available or is determined to be unreliable, the valuation of equity securities traded in foreign markets, oversight of and due diligence on pricing vendors and the development of alternate valuation methodologies.
The Trustees considered PLFA’s oversight, review and analysis of trade execution reports and trends in trade execution for the Sub-Advised Funds. The Trustees noted that PLFA works with a third-party transaction cost analysis consultant that provides statistical analysis on portfolio trading, and that PLFA presents information about the Funds’ portfolio trading costs to the Board annually and, where warranted, engages in a dialogue with personnel of a Sub-Adviser on trading costs and the quality of execution. The Board also noted that PLFA conducts regular review
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and analysis of each Sub-Adviser’s use of research obtained with commissions paid to broker-dealers for executing portfolio transactions (“soft dollars”) and presents information about the Sub-Advisers’ use of soft dollars to the Board annually and, where deemed necessary, discusses such soft dollar use with Sub-Advisers.
The Trustees also considered PLFA’s implementation of transition management programs when handling significant changes in the Funds, such as cash movements between the Funds arising from reallocations by the Asset Allocation Funds and the transition of Fund assets from one Sub-Adviser to another, including steps taken by PLFA to reduce transaction costs associated with a Fund transition. The Trustees considered that PLFA coordinates the onboarding process for new Sub-Advisers and oversees the establishment of necessary accounts and documentation for the Sub-Advisers to begin managing Fund assets.
In addition to the services described above, the Trustees also considered the compliance monitoring that PLFA and its affiliates conduct on the Sub-Advisers and the commitment of PLFA and its affiliates to those programs and PLFA’s efforts to keep the Trustees informed about the compliance programs of Sub-Advisers. In this regard, the Trustees reviewed information and reports from the Trust’s CCO on compliance by the Sub-Advisers with applicable laws and regulations. The Trustees considered that the CCO has in place a systematic process for periodically reviewing each Sub-Adviser’s written compliance policies and procedures, including the assessment of each Sub-Adviser’s compliance program as required by Rule 38a-1 under the 1940 Act, and each Sub-Adviser’s code of ethics. The Trustees considered that PLFA is compensated under the administration agreement for the administration of the Funds’ compliance program. The Trustees also considered that each Sub-Adviser continues to cooperate with the CCO in reviewing its compliance operations.
Sub-Advisers. The Trustees considered the benefits to shareholders of retaining each Sub-Adviser and continuing the Sub-Advisory Agreements for the Sub-Advisers, particularly in light of the nature, extent, and quality of the services that have been provided by the Sub-Advisers. The Trustees considered the services provided by each Sub-Adviser in rendering investment management services to a Sub-Advised Fund. The Trustees considered that each Sub-Adviser is responsible for identifying investments for a Sub-Advised Fund and determining when and what securities, cash and/or other investments to purchase, retain, or sell for a Sub-Advised Fund. The Trustees also considered that each Sub-Adviser is responsible for evaluating and voting proxies for portfolio holdings of a Sub-Advised Fund. The Trustees considered the quality of the portfolio management services which have benefited and should continue to benefit the Sub-Advised Funds and their shareholders, the organizational depth and resources of the Sub-Advisers, including the background and experience of each Sub-Adviser’s management personnel, and the expertise of each Sub-Adviser’s portfolio management team, as well as the investment methodology used by the Sub-Adviser. The Trustees also considered that each Sub-Adviser provides PLFA with information that assists PLFA in performing its oversight role, including information about the Sub-Adviser’s compliance program.
The Board concluded that it was satisfied with the nature, extent and quality of the investment management services provided by PLFA and each Sub-Adviser.
B. Investment Results
The Trustees considered the investment results of each Fund in light of its investment objective, investment strategies and market conditions. The Trustees compared each Fund’s total returns with the total returns of a group of appropriate peer funds (each a “Selected Performance Peer Group”), which were selected by an Independent Consultant, with input from PLFA, using data from third-party data vendor Morningstar, and the Trustees reviewed a description of the Independent Consultant’s methodology for selecting the peer funds in each Selected Performance Peer Group. In addition, with respect to Funds other than the Asset Allocation Funds, the Trustees compared each Fund’s total returns with the total returns of the Fund’s broad-based market index, sector index, composite index or an alternative index selected by the Independent Consultant, as applicable (each, a “primary benchmark”). With respect to the Asset Allocation Funds, the Trustees compared each Fund’s total returns with the total returns of a custom benchmark that is comprised of certain broad-based market indices based on the broad asset class target allocations for the Fund. The Trustees took into account the views of the Independent Consultant that the custom benchmarks appeared to be reasonable benchmarks for performance reporting purposes.
The information provided to the Trustees included each Fund’s performance record for the one-, three-, five- and ten-year or since inception periods ended September 30, 2022, as available, compared to the applicable benchmark and Selected Performance Peer Group. The Trustees placed greater emphasis on a Fund’s performance against peers as opposed to an unmanaged index.
The Trustees considered the performance of each Fund on a case-by-case basis and noted that some Funds had outperformed their Selected Performance Peer Group over certain periods and/or exceeded the return of their respective benchmark while others underperformed their Selected Performance Peer Group over certain periods and/or trailed the return of their respective benchmark. In considering each Fund’s investment results, the Board placed greater emphasis on each Fund’s longer-term performance track record rather than shorter-term performance. The Board also took into account that each Fund’s track record is measured as of a specific date, and that track records can vary as of different measurement dates. When reviewing a Fund’s performance against its Selected Performance Peer Group, the Board took into account that the investment objective and strategies of the Fund, as well as its level of risk tolerance, may differ significantly from funds in the Selected Performance Peer Group. With respect to actively managed Funds, when reviewing a Fund’s performance against its benchmark, the Board took into account the potential differences in portfolio construction between the Fund and such benchmark as well as other differences between actively managed funds and passive benchmarks, such as objectives and risks.
Therefore, in reviewing a Fund that is currently underperforming its Selected Performance Peer Group and/or its benchmark, the Trustees also considered the broader perspective of the Fund’s performance over varying time periods, the market conditions experienced during the periods under review, as well as the outlook for the Fund going forward in light of expected future market conditions. In the case of the Underlying Funds, the Board also took into account the views of PLFA about the role of a particular Fund within a broader asset allocation
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(Unaudited)
strategy for the Asset Allocation Funds. Where there had been a change in Sub-Adviser for a Fund, the Board took into account that the current Sub-Adviser was only responsible for certain portions of the Fund’s performance record. The Trustees discussed with PLFA the fact that certain periods of underperformance may be transitory while other periods of underperformance may be reflective of broader issues that may warrant consideration of corrective action. The Trustees discussed these Funds with representatives of PLFA, including an assessment of the investment approach used by the Sub-Advisers, and the investment approach used by PLFA with respect to the Directly Managed Funds, as well as the oversight and monitoring by PLFA as the investment adviser, to gain an understanding of any recurring or material underperformance and to assess whether any actions would be appropriate. In addition, the Board considered any specific actions that PLFA or a Sub-Adviser has taken, or agreed to take, to seek to enhance the investment performance of a Fund, and the results of those actions.
In reviewing the performance of each Fund, the Board took into account, among other things, the Fund’s performance track record. The following summary highlights certain, but not all, relevant facts considered by the Board with respect to the Fund’s performance track record.
PF Growth Fund
The Fund underperformed its Selected Performance Peer Group median for the one- and three-year periods and outperformed for the five- and ten-year periods and ranked in the third quintile of its Peer Group for the one- and three-year periods and the first quintile for the five- and ten-year periods.
PF Large-Cap Value Fund
The Fund underperformed its Selected Performance Peer Group median for the one- and ten-year periods and outperformed for the three- and five-year periods and ranked in the fourth quintile of its Peer Group for the one-year period and the third quintile for the three-, five- and ten-year periods. The Board also considered that PLFA has highlighted the Fund and will closely monitor it for improved performance.
Pacific Funds Small/Mid-Cap
The Fund underperformed its Selected Performance Peer Group median for the one-, three- and five-year periods and ranked in the fifth quintile of its Peer Group for the one- and three-year periods and the fourth quintile for the five-year period. In evaluating the performance of the Fund, the Board considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and sub-adviser if approved by the Board and shareholders of the Fund. The Board further considered that PLFA had represented that if the reorganization did not occur within a specified period of time, it would begin evaluating replacement sub-advisers.
Pacific Funds Small-Cap
The Fund underperformed its Selected Performance Peer Group median for the one-, three- and five-year periods and ranked in the fifth quintile of its Peer Group for the one-, three- and five-year periods. In evaluating the performance of the Fund, the Board considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and sub-adviser if approved by the Board and shareholders of the Fund. The Board further considered that PLFA had represented that if the reorganization did not occur within a specified period of time, it would begin evaluating replacement sub-advisers.
PF Small-Cap Growth Fund
The Fund underperformed its Selected Performance Peer Group median for the one-, three- and ten-year periods and outperformed for the five-year period and ranked in the fourth quintile of its Peer Group for the one- and ten-year periods, the third quintile for the three-year period and the first quintile for the five-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund only since June 2020.
PF Small-Cap Value Fund
The Fund underperformed its Selected Performance Peer Group median for the one-year period, performed in line for the three- and five-year periods and outperformed for the ten-year period and ranked in the fifth quintile of its Peer Group for the one-year period, the third quintile for the three- and five-year periods and the second quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser co-managed the Fund with another firm from May 2014 to October 2015 and since October 2015 has been the sole Sub-Adviser, and that prior to May 2014 another firm managed the Fund.
Pacific Funds Small-Cap Value
The Fund underperformed its Selected Performance Peer Group median for the one-, three- and five-year periods and ranked in the fourth quintile of its Peer Group for the one-year period and in the fifth quintile for the three- and five-year periods. In evaluating the performance of the Fund, the Board considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and sub-adviser if approved by the Board and shareholders of the Fund. The Board further considered that PLFA had represented that if the reorganization did not occur within a specified period of time, it would begin evaluating replacement sub-advisers.
PF Emerging Markets Fund
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the fourth quintile of its Peer Group for the one- and five-year periods, the fifth quintile for the three-year period and the third quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods, noting that very recent underperformance, caused in part due to overweight positions in Russia, has impacted medium-to longer-term performance. The Board took into account that recent performance has improved and that PLFA has added the Fund to its “watch list” and will closely monitor it for continued improved performance.
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PF Emerging Markets Debt Fund
The Fund outperformed its Selected Performance Peer Group for the one-, three- and ten-year periods and underperformed for the five-year period and ranked in the first quintile of its Peer Group for the one-year period, the second quintile for the three- and ten-year periods and the third quintile for the five-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund only since October 2021.
PF International Growth Fund
The Fund outperformed its Selected Performance Peer Group median for the one-year period and underperformed for the three-, five- and ten-year periods and ranked in second quintile of its Peer Group for the one-year period, the fourth quintile for the three-year period and the third quintile for the five- and ten-year periods. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund only since October 2021.
PF International Small-Cap Fund
The Fund outperformed the Selected Performance Peer Group median for the one- and three-year periods and underperformed for the five-year period and ranked in the second quintile of its Peer Group for the one- and three-year periods and the fourth quintile for the five-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund only since November 2021.
PF International Value Fund
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the first quintile of its Peer Group for the one- and three-year periods and the second quintile for the five- and ten-year periods. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund since 2017.
PF Multi-Asset Fund
The Fund underperformed its Selected Performance Peer Group median for the one- and three-year periods and ranked in the fifth quintile of its Peer Group for the one- and three-year periods. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods and PLFA’s future outlook for the Fund, including the fact that the Fund is still adding value to the Asset Allocation Funds, which is its primary purpose. The Board also considered that PLFA has added the Fund to its “watch list” and will closely monitor it for improved performance.
PF Real Estate Fund
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the first quintile of its Peer Group for the one-, three- and five-year periods and the third quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser has managed the Fund since 2018.
Pacific Funds Core Income
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the second quintile of its Peer Group for the one-, three-, five- and ten-year periods.
Pacific Funds ESG Core Bond
The Fund underperformed its Selected Performance Peer Group median for the one-year period and ranked in the third quintile of its Peer Group for the one-year period.
Pacific Funds Floating Rate Income
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the first quintile of its Peer Group for the one-, five- and ten-year periods and the second quintile for the three-year period.
Pacific Funds High Income
The Fund underperformed its Selected Performance Peer Group median for the one-, three- and five-year periods and outperformed for the ten-year period and ranked in the third quintile of its Peer Group for the one-, three-, five- and ten-year periods.
PF Inflation Managed Fund
The Fund performed in line with its Selected Performance Peer Group median for the one-year period, underperformed for the three-year period and outperformed for the five- and ten-year periods and ranked in the third quintile of its Peer Group for the one- and ten-year periods, the fourth quintile for the three-year period and the second quintile for the five-year period. In evaluating the performance of the Fund, the Board also considered that the current Sub-Adviser co-managed the Fund with another firm from January 2015 to October 2016 and since October 2016 has been the sole Sub-Adviser.
PF Managed Bond Fund
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, and five-year periods and outperformed for the ten-year period and ranked in the fifth quintile of its Peer Group for the one-, three- and five-year periods and the third quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered that one of the Fund’s co-Sub-Advisers was the sole Sub-Adviser from the Fund’s inception until 2014, and that the other co-Sub-Adviser has co-managed the Fund since 2014. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time
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(Unaudited)
periods and PLFA’s future outlook for the Fund. The Board also considered that PLFA has added the Fund to its “watch list” and will closely monitor it for improved performance.
PF Short Duration Bond Fund
The Fund outperformed its Selected Performance Peer Group median for the one-, three- and five-year periods and underperformed for the ten-year period and ranked in the second quintile of its Peer Group for the one-, three- and five-year periods and the fourth quintile for the ten-year period.
Pacific Funds Short Duration Income
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the first quintile of its Peer Group for the one-, three-, five- and ten-year periods.
Pacific Funds Strategic Income
The Fund outperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the third quintile of its Peer Group for the one-year period and the first quintile for the three-, five- and ten-year periods.
Pacific Funds Ultra Short Income
The Fund outperformed its Selected Performance Peer Group median for the one- and three-year periods and ranked in the third quintile of its Peer Group for the one-year period and the first quintile for the three-year period.
Pacific Funds Portfolio Optimization Aggressive-Growth
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the fifth quintile of its Peer Group for the one- and ten-year periods and the fourth quintile for the three- and five-year periods. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods. The Board also discussed and considered the enhancements PLFA has made, and continues to make, to address performance. The Board also considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and certain changes in the Fund’s investment strategies if approved by the Board and shareholders of the Fund.
Pacific Funds Portfolio Optimization Conservative
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the fifth quintile of its Peer Group for the one-year period and the fourth quintile for the three-, five- and ten-year periods. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods. The Board also discussed and considered the enhancements PLFA has made, and continues to make, to address performance. The Board also considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and certain changes in the Fund’s investment strategies if approved by the Board and shareholders of the Fund.
Pacific Funds Portfolio Optimization Growth
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the fifth quintile of its Peer Group for the one-, three- and five-year periods and the fourth quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods. The Board also discussed and considered the enhancements PLFA has made, and continues to make, to address performance. The Board also considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and certain changes in the Fund’s investment strategies if approved by the Board and shareholders of the Fund.
Pacific Funds Portfolio Optimization Moderate-Conservative
The Fund underperformed its Selected Performance Peer Group median for the one-, five- and ten-year periods and outperformed for the three-year period and ranked in the fifth quintile of its Peer Group for the one-year period, the third quintile for the three- and five-year periods and the fourth quintile for the ten-year period. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods. The Board also discussed and considered the enhancements PLFA has made, and continues to make, to address performance. The Board also considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and certain changes in the Fund’s investment strategies if approved by the Board and shareholders of the Fund.
Pacific Funds Portfolio Optimization Moderate
The Fund underperformed its Selected Performance Peer Group median for the one-, three-, five- and ten-year periods and ranked in the fifth quintile of its Peer Group for the one-year period and the fourth quintile for the three-, five- and ten-year periods. In evaluating the performance of the Fund, the Board also considered PLFA’s views as to the reasons for the Fund’s relative performance against peers over various time periods. The Board also discussed and considered the enhancements PLFA has made, and continues to make, to address performance. The Board also considered that PLFA had advised them that it was planning to propose a reorganization of the Fund in the very near future, which would result in a new adviser and certain changes in the Fund’s investment strategies if approved by the Board and shareholders of the Fund.
*****
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Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
The Trustees reviewed the monitoring of each Sub-Advisers’ investment results by PLFA, including PLFA’s historical practice of recommending to the Trustees a change in Sub-Adviser when circumstances warrant. Generally, the Trustees noted that there continues to be a record of well-managed Funds that are appropriate to serve as Underlying Funds for the Asset Allocation Funds and that the Asset Allocation Funds provide a range of professionally managed asset allocation investment options. The Trustees considered the steps PLFA has taken to seek to improve performance of the Asset Allocation Funds, including ongoing assessment of asset allocation determinations, diversifying asset class investment options by adding additional Underlying Funds, and adding or changing Sub-Advisers to the Underlying Funds. The Trustees also noted that the Funds continue to deliver the investment style as disclosed to shareholders. The Trustees also noted the use by investors of the Asset Allocation Funds and the benefits the Asset Allocation Funds provide for shareholders generally.
The Board concluded that PLFA continues to have a long record of effectively managing a multi-manager fund group and asset allocation funds designed to give shareholders a reasonable array of choices through which to implement their investment programs. The Board further concluded that PLFA was appropriately implementing each Fund’s investment objective either directly or through the selection of Sub-Advisers and that PLFA’s record in managing each Fund indicates that PLFA’s continued management, as well as the continuation of the respective Sub-Advisory Agreements, will benefit each Fund and its shareholders.
C. Advisory Fees and Total Expense Ratios
The Trustees requested, received and reviewed information from PLFA relating to the advisory fees paid by the Funds and the sub-advisory fees paid by PLFA, including the portion of the advisory fees paid to each Sub-Adviser as compared to the portion retained by PLFA. The Trustees considered the nature and quality of the services provided by PLFA and also considered the nature and quality of services provided by each Sub-Adviser. The Independent Trustees also requested and reviewed information from the Independent Consultant along with the Independent Consultant’s analysis of advisory fees, sub-advisory fees and certain Fund net expenses, excluding any applicable service or distribution fees, which were selected by the Independent Consultant for purposes of the peer group expense comparisons (“Operating Expenses”). The Trustees reviewed the advisory fees, sub-advisory fees and Operating Expenses of each Fund and compared advisory fees and expenses with the fees and expense levels of a group of appropriate peer funds identified by the Independent Consultant (each a “Selected Expense Peer Group”). The Trustees reviewed a description of the Independent Consultant’s methodology for constructing the Selected Expense Peer Groups, noting that each Selected Expense Peer Group includes a group of similarly-sized funds with comparable strategies from a universe of funds that (i) included both sub-advised and directly managed funds; (ii) excluded funds that are managed with non-standard business models and expense structures; and (iii) excluded index funds. With respect to the Asset Allocation Funds, the Selected Expense Peer Group information is used to review the Funds’ expenses, excluding acquired fund fees and expenses, to the peer group. The Trustees also compared the net expense ratio (including acquired fund fees and expenses) for these funds with the average net expense ratio of funds in the Morningstar Category determined to be similar to the relevant Asset Allocation Fund (“Comparable Peer Fund Average”).
A summary of certain comparative fee and expense information considered by the Trustees for each Fund is provided below.
PF Growth Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
PF Large-Cap Value Fund
The Trustees considered that (a) the advisory fee for the Fund is slightly greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are in line with the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group.
Pacific Funds Small/Mid-Cap
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group.
Pacific Funds Small-Cap
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
PF Small-Cap Growth Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
F-16
Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
PF Small-Cap Value Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
Pacific Funds Small-Cap Value
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
PF Emerging Markets Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group.
PF Emerging Markets Debt Fund
The Trustees considered that (a) the advisory fee for the Fund (before waivers) is greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the fifth quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund (net of waivers) are slightly greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group. The Trustees considered that PLFA currently has contractually agreed to waive 0.05% of its advisory fee.
PF International Growth Fund
The Trustees considered that (a) the advisory fee for the Fund (before waivers) is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund (net of waivers) are in line with the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group. The Trustees considered that PLFA currently has contractually agreed to waive 0.03% of its advisory fee.
PF International Small-Cap Fund
The Trustees considered that (a) the advisory fee for the Fund (before waivers) is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund (net of waivers) are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group. The Trustees considered that PLFA currently has contractually agreed to waive 0.015% of its advisory fee.
PF International Value Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group.
PF Multi-Asset Fund
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
PF Real Estate Fund
The Trustees considered that (a) the advisory fee for the Fund (before waivers) is slightly greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund (net of waivers) are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group. The Trustees considered that PLFA currently has contractually agreed to waive 0.15% of its advisory fee.
Pacific Funds Core Income
The Trustees considered that (a) the advisory fee for the Fund is slightly greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are slightly greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that had the effect of reducing the Fund’s advisory fee based on the Fund having attained varying higher asset levels.
F-17
Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
Pacific Funds ESG Core Bond
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group.
Pacific Funds Floating Rate Income
The Trustees considered that (a) the advisory fee for the Fund is slightly greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are in line with the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that had the effect of reducing the Fund’s advisory fee based on the Fund having attained varying higher asset levels.
Pacific Funds High Income
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
PF Inflation Managed Fund
The Trustees considered that (a) the advisory fee for the Fund is greater than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group.
PF Managed Bond Fund
The Trustees considered that (a) the advisory fee for the Fund (before waivers) is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the second quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund (net of waivers) are slightly less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group. The Trustees considered that PLFA currently has contractually agreed to waive 0.0075% of its advisory fee.
PF Short Duration Bond Fund
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are slightly greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group.
Pacific Funds Short Duration Income
The Trustees considered that (a) the advisory fee for the Fund is slightly greater the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are slightly greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that had the effect of reducing the Fund’s advisory fee based on the Fund having attained varying higher asset levels.
Pacific Funds Strategic Income
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are in line with the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that had the effect of reducing the Fund’s advisory fee based on the Fund having attained varying higher asset levels.
Pacific Funds Ultra Short Income
The Trustees considered that (a) the advisory fee for the Fund is less than the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group; and (b) the Operating Expenses for the Fund are less than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the first quintile of its Selected Expense Peer Group.
Pacific Funds Portfolio Optimization Aggressive-Growth
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer
F-18
Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
Group; and (c) the net expense ratio was greater than the Comparable Peer Fund Average. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
Pacific Funds Portfolio Optimization Conservative
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (c) the net expense ratio was greater than the Comparable Peer Fund Average. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
Pacific Funds Portfolio Optimization Growth
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (c) the net expense ratio was greater than the Comparable Peer Fund Average. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
Pacific Funds Portfolio Optimization Moderate-Conservative
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (c) the net expense ratio was greater than the Comparable Peer Fund Average. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
Pacific Funds Portfolio Optimization Moderate
The Trustees considered that (a) the advisory fee for the Fund is in line with the median advisory fee rate of the funds in its Selected Expense Peer Group and ranked in the third quintile of its Selected Expense Peer Group; (b) the Operating Expenses for the Fund are greater than the median Operating Expenses of the funds in its Selected Expense Peer Group and ranked in the fourth quintile of its Selected Expense Peer Group; and (c) the net expense ratio was greater than the Comparable Peer Fund Average. The Trustees noted that pursuant to a fee waiver agreement, PLFA has agreed to a breakpoint schedule that will reduce its advisory fee once the Fund attains varying higher asset levels, but that the Fund has not yet reached the first breakpoint.
*****
During their review, the Trustees considered that all of the Funds were subject to contractual expense limitations on certain operating expenses agreed to by PLFA.
The Trustees also considered information from the Sub-Advisers regarding the comparative sub-advisory fees charged under other investment advisory contracts for similarly managed accounts, such as contracts of each Sub-Adviser with other similarly managed registered investment companies or other types of clients. The Trustees noted that in many cases there were differences in the level of services provided to the Funds by the Sub-Advisers and that the level of services provided by these Sub-Advisers on these other accounts differed due to the nature of the accounts or because there were other reasons to support the difference in fees, such as an affiliation between the Sub-Adviser and the account. These differences often explained variations in fee schedules. The Trustees were mindful that, with the exception of the affiliated Sub-Adviser, the Sub-Advised Funds’ fee rates were the result of arms’-length negotiations between PLFA and the Sub-Advisers. For the affiliated Sub-Adviser, the Trustees took into account the fact that the Sub-Advised Funds’ fee rates were not the subject of an arms’-length negotiation with PLFA, but considered information relating to competitive fees charged by similarly managed funds. In all cases, the Trustees considered that all sub-advisory fees are paid by PLFA and are not paid directly by a Fund.
The Board concluded that the advisory fees, sub-advisory fees and total expenses of each Fund were fair and reasonable.
D. Costs, Level of Profits and Economies of Scale
The Trustees reviewed information provided by PLFA regarding PLFA’s costs of sponsoring and operating the Funds and information regarding the profitability of PLFA from each Fund. For the Sub-Advised Funds, the Trustees also reviewed information provided by the Sub-Advisers regarding their costs in managing the Sub-Advised Funds and their profitability from the Funds.
PLFA and the Sub-Advisers’ Costs and Profitability. The Trustees noted that, based on the data available, PLFA appears to be providing and operating products that are competitively priced with other funds, especially other multi-manager and asset allocation funds. The Trustees noted PLFA’s willingness to build its investment capabilities and to sponsor new funds that PLFA believed would benefit the Asset Allocation Funds, despite the potential subsidies required by PLFA during a new Fund’s start-up phase. The Trustees also noted that the analysis of the Trust’s profitability to PLFA supported a conclusion that PLFA’s costs and profitability are reasonable, whether considered inclusive or exclusive of distribution costs.
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Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
The Trustees also reviewed information provided regarding the structure and manner in which PLFA’s investment professionals were compensated and their respective views of the relationship of such compensation to the attraction and retention of quality personnel. The Trustees considered PLFA’s willingness to invest in technology, infrastructure and staff to reinforce and offer new services and to accommodate changing regulatory requirements. The Trustees also considered the organizational strengths of the Sub-Advisers and their ability to attract and retain investment personnel over time and to sustain the staffing of investment teams that provide services to the Sub-Advised Funds.
With respect to the Sub-Advisers, the Trustees noted that it was difficult in many cases to accurately determine or evaluate the Sub-Advisers’ costs and the profitability of the Sub-Advisory Agreements to the Sub-Advisers because of, among other things, the differences in the types and content of information provided by the Sub-Advisers, the fact that many Sub-Advisers manage substantial assets other than the Funds and, further, that any such assessment would involve assumptions regarding the Sub-Advisers’ expense allocation policies, capital structure, cost of capital, business mix and other factors.
Accordingly, in the case of the unaffiliated Sub-Advisers, the Trustees considered the data described above in light of the arms’-length nature of the relationship between PLFA and such Sub-Advisers with respect to the negotiation of fund sub-advisory fees and the fact that such fees are paid by PLFA.
Economies of Scale. The Trustees noted and considered the extent to which economies of scale are realized by PLFA and the Sub-Advisers as each Fund grows, and whether advisory fee levels reflect economies of scale if the Funds grow in size. The Trustees noted PLFA’s commitment to competitive total expenses of certain Funds through expense limitation agreements and, for certain Funds, through advisory fee waivers. The Trustees also noted PLFA’s and its affiliates’ consistent reinvestment in the business in the form of adding to investment capabilities and resources, improvements in technology, product innovations and customer service. The Trustees considered information relating to economies of scale provided by PLFA, PLFA’s willingness to discuss and evaluate the topic of economies of scale with the Trustees, and PLFA’s agreement to enter into advisory fee waivers for certain Asset Allocation Funds that create effective breakpoints at asset levels at which PLFA believes it will have attained a level of profit that can be shared with these Funds.
With respect to the Sub-Advised Funds, the Trustees considered that the advisory fee for each Fund was originally set at an amount that was intended to be highly competitive with peers to attract assets at the Fund’s inception. The Trustees also considered that some Sub-Advisers have agreed to breakpoints in their sub-advisory fee schedules. The Trustees noted that in subsidizing the expenses of the Funds from their inception and for many years, PLFA’s economics from the Sub-Advised Funds should be considered separate and apart from the economics of the Sub-Advisers. The Trustees also noted that shareholders will benefit from effective breakpoints for the Asset Allocation Funds.
The Trustees also considered PLFA’s willingness to reduce its own fees through certain advisory fee waivers and expense limitation agreements, whereby PLFA will reimburse the Funds for certain expenses that exceed stated expense caps. The Trustees considered that the advisory fee waivers effectively implement breakpoints in PLFA’s advisory fees were determined to be appropriate so as to share economies of scale or other cost savings that PLFA has attained.
The Trustees noted that PLFA and its affiliates had consistently reinvested in the business in the form of improvements in technology, product innovations, personnel and resources. The Trustees additionally noted that economies of scale were difficult to measure with precision, particularly on a Fund by Fund basis. This analysis is complicated by the additional services and content provided by PLFA and its affiliates through reinvestment in the business, as discussed above. The Trustees considered that the Funds are well managed and provide shareholders with sophisticated asset allocation investment options at reasonable fee levels. The Board noted that PLFA had taken steps to ensure that shareholders benefit by negotiating favorable terms with service providers.
The Board determined that PLFA and its affiliates are sharing economies of scale given its agreement to reduce its own fees through fee waivers as assets grow for certain Funds, its commitment to competitive total expenses of the Funds, and the consistent reinvestment in the business in the form of improvements in technology and other resources and investments in personnel. The Board considered that PLFA has not yet attained levels of profitability that warrant additional sharing of economies of scale for some Funds, including the Sub-Advised Funds, but noted that shareholders will benefit in the future from the effective breakpoints for the Asset Allocation Funds. The Board further considered that it will continue to review whether there are additional economies of scale that will be realized as the Funds grow that can be shared with shareholders. The Board concluded that the Funds’ cost structures were reasonable, and that overall profitability appeared reasonable at the current time. The Board further concluded that PLFA was sharing economies of scale with each Fund and its shareholders to their benefit.
E. Ancillary Benefits
The Trustees requested and received from PLFA and the Sub-Advisers information regarding other benefits received by PLFA, Pacific Life, the Sub-Advisers, and their affiliates as a result of their respective relationship with the Funds, including various service arrangements with PLFA affiliates, as well as commissions paid to broker-dealers affiliated with certain Sub-Advisers and the use of soft-dollars by certain of the Sub-Advisers. The Trustees also considered ancillary benefits received by Pacific Life and its affiliates from the Funds. The Trustees considered information regarding other significant economic relations between the Sub-Advisers and their affiliates and with PLFA and its affiliates and noted PLFA’s processes and procedures to identify and disclose such relationships and any potential conflicts of interest to the Board. The Trustees also considered PLFA’s and each Sub-Adviser’s strong practices and procedures with regard to managing conflicts of interest and ensuring that such conflicts do not prevent PLFA or the Sub-Advisers from acting in the best interests of the Funds and their shareholders.
The Board concluded that such benefits were consistent with those generally derived by mutual fund investment management organizations or were otherwise not unusual.
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Table of Contents
PACIFIC FUNDS SERIES TRUST
APPROVAL OF INVESTMENT ADVISORY
AND SUB-ADVISORY AGREEMENTS (Continued)
(Unaudited)
F. Conclusion
Based on their review, including their consideration of each of the factors referred to above, and assisted by the advice of the Independent Consultant and independent counsel to the Independent Trustees, the Board, including all of the Independent Trustees, concluded that: (i) the Advisory Agreement and each applicable Sub-Advisory Agreement are fair and reasonable with respect to each applicable Fund and its shareholders; (ii) that the renewal of the Advisory Agreement and each applicable Sub-Advisory Agreement would be in the best interests of each Fund and its shareholders; and (iii) the recommendation by PLFA to the Board to enter into each Sub-Advisory Agreement with respect to each Sub-Adviser was not inappropriately influenced by conflicts of interest. The Board did not indicate that any single factor was determinative of its decision to approve the Advisory Agreement and each applicable Sub-Advisory Agreement but indicated that the Board based its determination on the total mix of information available to it.
III. Other Sub-Advisory Agreement Approvals
At a meeting held on February 16, 2023, based upon a recommendation from PLFA, the Board, including all of the Independent Trustees, approved a new sub-advisory agreement with Rothschild with respect to each of the Pacific Funds Small-Cap, Pacific Funds Small-Cap Value and Pacific Funds Small/Mid-Cap (the “Great Lakes Sub-Advisory Agreement”), effective upon the acquisition Rothschild & Co Asset Management US Inc. (“Rothschild”) by Great Lakes Advisors, LLC, a subsidiary of Wintrust Financial Corporation, which will result in the automatic termination of the current sub-advisory agreement dated January 11, 2016 (the “Rothschild Sub-Advisory Agreement”).
In evaluating the Great Lakes Sub-Advisory Agreement, the Board, including all the Independent Trustees, considered the following factors, among others:
| • | The Rothschild Sub-Advisory Agreement was last approved by the Board, including all the Independent Trustees, at an in-person meeting on December 14, 2022, for a one-year renewal. In connection with that renewal, the Trustees reviewed information regarding the nature, extent and quality of services provided by Rothschild; the investment results of each Fund; the sub-advisory fees paid to Rothschild; Rothschild’s costs in managing each Fund and its profitability from each Fund; and other benefits received by Rothschild and its affiliates as a result of their relationship with the Funds. |
| • | Great Lakes informed the Board that, with one exception as discussed with the Board, all the existing portfolio managers are expected to continue to serve as portfolio managers under the Great Lakes Sub-Advisory Agreement. |
| • | There is expected to be no change in the nature, quality or level of services provided to each Fund. |
| • | The sub-advisory fee rates under the Great Lakes Sub-Advisory Agreement are the same as those under the Rothschild Sub-Advisory Agreement. |
| • | The Trust’s Chief Compliance Officer (“CCO”) had reviewed the written compliance policies and procedures and code of ethics of Great Lakes had provided an assessment of Great Lakes’ compliance program its code of ethics prior to the effectiveness of the Great Lakes Sub-Advisory Agreement. |
| • | That the Board had approved a reorganization of each Fund, which would result in a new adviser and sub-adviser, subject to shareholder approval, and that PLFA had represented that if the reorganization did not occur within a specified period of time, it would begin evaluating replacement sub-advisers. |
| • | That the Agreement was expected to be effective only for a very short period of time until consummation of the reorganizations and would facilitate the reorganizations by allowing Great Lakes to provide portfolio management oversight until the reorganizations were consummated and portfolio management responsibilities were transferred to Aristotle Investment Services, Inc. |
Based on its review, including the consideration of each of the factors referred to above, the Board found that: (i) the Great Lakes Sub-Advisory Agreement is in the best interests of each Fund and its shareholders; and (ii) the compensation payable under the Great Lakes Sub-Advisory Agreement is fair and reasonable. No single factor was determinative of the Board’s findings, but rather the Trustees based their determination on the total mix of information available to them.
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PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS
(Unaudited)
As per shareholder notices dated February 28, 2023, a special meeting of the shareholders of Pacific Funds Series Trust (“Pacific Funds”) was held on April 10, 2023. As a result of this meeting, certain series of Pacific Funds were reorganized into series of Aristotle Funds Series Trust, an unaffiliated fund complex. The voting results are reflected below.
Pacific Funds Portfolio Optimization Conservative
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, Pacific Funds Series Trust (the “Trust”) is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 18,654,353 shares of Pacific Funds Portfolio Optimization Conservative were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 40.35% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal #1 for Pacific Funds Portfolio Optimization Conservative:
To approve the Plan of Reorganization with respect to Pacific Funds Portfolio Optimization Conservative into the Aristotle Portfolio Optimization Conservative Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
6,742,073 | 89.57% | 124,747 | 1.66% | 660,749 | 8.78% | 7,527,569 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Proposal #2 for Pacific Funds Portfolio Optimization Conservative:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Conservative |
6,756,995 | 89.76% | 111,364 | 1.48% | 659,210 | 8.76% | 7,527,569 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Portfolio Optimization Moderate-Conservative
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 25,156,983 shares of Pacific Funds Portfolio Optimization Moderate-Conservative were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 41.25% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal #1 for Pacific Funds Portfolio Optimization Moderate-Conservative:
To approve the Plan of Reorganization with respect to Pacific Funds Portfolio Optimization Moderate-Conservative into the Aristotle Portfolio Optimization Moderate Conservative Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
9,531,579 | 91.84% | 351,244 | 3.38% | 495,375 | 4.77% | 10,378,197 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Proposal #2 for Pacific Funds Portfolio Optimization Moderate-Conservative:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate-Conservative |
9,533,022 | 91.86% | 330,322 | 3.18% | 514,853 | 4.96% | 10,378,197 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
F-22
Table of Contents
PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS (Continued)
(Unaudited)
Pacific Funds Portfolio Optimization Moderate
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 79,374,849 shares of Pacific Funds Portfolio Optimization Moderate were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 42.87% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal #1 for Pacific Funds Portfolio Optimization Moderate:
To approve the Plan of Reorganization with respect to Pacific Funds Portfolio Optimization Moderate into the Aristotle Portfolio Optimization Moderate Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
30,650,819 | 90.08% | 843,269 | 2.48% | 2,532,817 | 7.44% | 34,026,905 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Proposal #2 for Pacific Funds Portfolio Optimization Moderate:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Moderate |
30,408,653 | 89.37% | 858,123 | 2.52% | 2,759,284 | 8.11% | 34,026,060 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Portfolio Optimization Growth
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 65,888,725 shares of Pacific Funds Portfolio Optimization Growth were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 47.32% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal #1 for Pacific Funds Portfolio Optimization Growth:
To approve the Plan of Reorganization with respect to Pacific Funds Portfolio Optimization Growth into the Aristotle Portfolio Optimization Growth Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
27,566,848 | 88.42% | 1,269,351 | 4.07% | 2,340,949 | 7.51% | 31,177,147 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Proposal #2 for Pacific Funds Portfolio Optimization Growth:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Growth |
27,523,465 | 88.28% | 1,267,557 | 4.07% | 2,383,568 | 7.65% | 31,174,589 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
F-23
Table of Contents
PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS (Continued)
(Unaudited)
Pacific Funds Portfolio Optimization Aggressive-Growth
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 24,818,277 shares of Pacific Funds Portfolio Optimization Aggressive-Growth were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 53.36% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal #1 for Pacific Funds Portfolio Optimization Aggressive-Growth:
To approve the Plan of Reorganization with respect to Pacific Funds Portfolio Optimization Aggressive-Growth into the Aristotle Portfolio Optimization Aggressive Growth Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
11,792,541 | 89.05% | 488,111 | 3.69% | 961,718 | 7.26% | 13,242,370 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Proposal #2 for Pacific Funds Portfolio Optimization Aggressive-Growth:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Portfolio Optimization Aggressive-Growth |
11,753,477 | 88.76% | 535,212 | 4.04% | 953,681 | 7.20% | 13,242,370 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Ultra Short Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 5,760,197 shares of Pacific Funds Ultra Short Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 50.50% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Ultra Short Income:
To approve the Plan of Reorganization with respect to Pacific Funds Ultra Short Income into the Aristotle Ultra Short Income Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Ultra Short Income |
2,498,698 | 85.90% | 4,393 | 0.15% | 405,643 | 13.95% | 2,908,734 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Short Duration Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 102,705,007 shares of Pacific Funds Short Duration Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 39.86% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Short Duration Income:
To approve the Plan of Reorganization with respect to Pacific Funds Short Duration Income into the Aristotle Short Duration Income Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Short Duration Income |
37,883,569 | 92.55% | 777,611 | 1.90% | 2,272,761 | 5.55% | 40,933,942 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
F-24
Table of Contents
PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS (Continued)
(Unaudited)
Pacific Funds Core Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 80,700.289 shares of Pacific Funds Core Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 48.29% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matters voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Core Income:
To approve the Plan of Reorganization with respect to Pacific Funds Core Income into the Aristotle Core Income Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Core Income |
36,967,541 | 94.86% | 627,482 | 1.61% | 1,376,614 | 3.53% | 38,971,637 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds ESG Core Bond
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 3,058,569 shares of Pacific Funds ESG Core Bond were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 97.44% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds ESG Core Bond:
To approve the Plan of Reorganization with respect to Pacific Funds ESG Core Bond into the Aristotle ESG Core Bond Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds ESG Core Bond |
2,339,642 | 78.50% | 259,291 | 8.70% | 381,464 | 12.80% | 2,980,397 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Strategic Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 145,036,510 shares of Pacific Funds Strategic Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 44.59% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Strategic Income:
To approve the Plan of Reorganization with respect to Pacific Funds Strategic Income into the Aristotle Strategic Income Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Strategic Income |
60,630,914 | 93.76% | 773,691 | 1.20% | 3,263,427 | 5.05% | 64,668,032 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Floating Rate Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 417,351,447 shares of Pacific Funds Floating Rate Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 48.07% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Floating Rate Income:
To approve the Plan of Reorganization with respect to Pacific Funds Floating Rate Income into the Aristotle Floating Rate Income Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Floating Rate Income |
195,308,857 | 97.36% | 1,617,282 | 0.81% | 3,687,387 | 1.84% | 200,613,526 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
F-25
Table of Contents
PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS (Continued)
(Unaudited)
Pacific Funds High Income
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 9,796,211 shares of Pacific Funds High Income were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 76.14% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds High Income:
To approve the Plan of Reorganization with respect to Pacific Funds High Income into the Aristotle High Yield Bond Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds High Income |
6,743,896 | 90.41% | 216,596 | 2.90% | 498,384 | 6.68% | 7,458,875 | 100.00% | ||||||||||||||||||||||||
* Based on total shares voted on April 10, 2023.
Pacific Funds Small/Mid-Cap
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 10,434,975 shares of Pacific Funds Small/Mid-Cap were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 35.72% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Small/Mid-Cap:
To approve the Plan of Reorganization with respect to Pacific Funds Small/Mid-Cap into the Aristotle Small/Mid-Cap Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Small/Mid-Cap |
3,531,222 | 94.74% | 40,047 | 1.07% | 155,990 | 4.19% | 3,727,260 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Small-Cap
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 897,704 shares of Pacific Funds Small-Cap were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 34.01% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for Pacific Funds Small-Cap:
To approve the Plan of Reorganization with respect to Pacific Funds Small-Cap into the Aristotle Small-Cap Equity Fund II.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Small-Cap |
265,419 | 86.93% | 21,678 | 7.10% | 18,213 | 5.97% | 305,310 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
Pacific Funds Small-Cap Value
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 1,743,868 shares of Pacific Funds Small-Cap Value were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 56.40% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
F-26
Table of Contents
PACIFIC FUNDS
SPECIAL MEETINGS OF SHAREHOLDERS (Continued)
(Unaudited)
Proposal for Pacific Funds Small-Cap Value:
To approve the Plan of Reorganization with respect to Pacific Funds Small-Cap Value into the Aristotle Small Cap Equity Fund II.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| Pacific Funds Small-Cap Value |
858,714 | 87.30% | 56,899 | 5.78% | 67,979 | 6.91% | 983,592 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
PF Growth Fund
In accordance with Rule 30e-1(b), under the Investment Company Act of 1940, the Trust is required to furnish certain information regarding any matters submitted to a vote of the Trust’s shareholders. Shareholders of record on February 10, 2023, representing 6,096,884 shares of PF Growth Fund were notified that a Special Meeting of Shareholders (the “Meeting”) of that Fund would be held on April 10, 2023. 100.00% of the outstanding shares of the Trust were voted at the Meeting. A brief description of the matter voted upon as well as the voting results of the aforementioned Meeting are outlined as follows:
Proposal for PF Growth Fund:
To approve the Plan of Reorganization with respect to PF Growth Fund into the Aristotle Growth Equity Fund.
| Votes For |
Votes Against |
Votes Withheld |
Voted Shares |
|||||||||||||||||||||||||||||
| Number | Percent* | Number | Percent* | Number | Percent* | Number | Percent* | |||||||||||||||||||||||||
| PF Growth Fund |
5,431,179 | 89.08% | 199,544 | 3.27% | 466,162 | 7.65% | 6,096,884 | 100.00% | ||||||||||||||||||||||||
| * | Based on total shares voted on April 10, 2023. |
F-27
Table of Contents
PACIFIC FUNDS
WHERE TO GO FOR MORE INFORMATION
(Unaudited)
Availability of Quarterly Holdings
The Trust files Part F of Form N-PORT (complete schedules of fund holdings) with the Securities and Exchange Commission (the “SEC”) for the first and third quarters of each fiscal year not later than 60 days after the close of the applicable quarter end. The Trust’s Part F of Form N-PORT (when required) is filed pursuant to applicable regulations and is available after filing on the SEC’s website at http://www.sec.gov.
Availability of Proxy Voting Record
By August 31 of each year, the Trust files information regarding how the Trust’s managers voted proxies relating to fund securities during the most recent twelve-month period ended June 30. Such information is available after filing on the Trust’s’ website and on the SEC’s website noted below.
Information Relating to Investments Held by the Trust
For complete descriptions of the various securities and other instruments held by the Trust and their risks, please see the Trust’s prospectus and Statement of Additional Information (“SAI”). The prospectus and SAI are available as noted below.
Availability of Proxy Voting Policies
A description of the Proxy Voting Policies and Procedures that the Trust uses to determine how to vote proxies relating to fund securities is described in the Trust’s SAI.
How to obtain Information
The Trust’s prospectus, SAI (including Proxy Voting Policies) and annual and semi-annual reports are available:
| • | On the Trust’s website at https://www.pacificfunds.com/resources/prospectuses-reports |
| • | On the SEC’s website at http://www.sec.gov |
| • | Upon request by calling, without charge, 1-800-722-2333, 7 a.m. through 5 p.m. Pacific Time |
F-28
Table of Contents
Pacific Funds
Mailing address:
P.O. Box 9768
Providence, RI 02940-9768
ADDRESS SERVICE REQUESTED
Annual Report as of March 31, 2023 for:
• Pacific Funds
| Form Nos. | 3012-20A |
Table of Contents
Item 2. Code of Ethics.
As of the end of the period covered by this report, the Registrant has adopted a code of ethics that applies to the Registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There were no substantive amendments or waivers to the Code of Ethics during the period covered by this report.
A copy of this code of ethics is filed as Exhibit 99.CODE ETH to this Form N-CSR.
Item 3. Audit Committee Financial Expert.
The Registrant’s Board has determined that Paul A. Keller, a member of the Registrant’s Audit Committee, is an “audit committee financial expert” and “independent,” as such terms are defined in this Item. This designation does not increase the designee’s duties, obligations or liability as compared to his duties, obligations and liability as a member of the Audit Committee and of the Board; nor does it reduce the responsibility of the other Audit Committee members. There may be other individuals who, through education or experience, would qualify as “audit committee financial experts” if the Board had designated them as such. Most importantly, the Board believes each member of the Audit Committee contributes significantly to the effective oversight of the Registrant’s financial statements and condition. Mr. Keller is a retired partner of PricewaterhouseCoopers LLP.
Item 4. Principal Accountant Fees and Services.
Audit Fees
| (a) | The aggregate fees billed to the Registrant by the principal accountant for the fiscal years ended March 31, 2023 and 2022 were $777,000 and $754,000, respectively. |
Audit-Related Fees
| (b) | For the fiscal years ended March 31, 2023 and 2022 there were no audit-related fees. |
Tax Fees
| (c) | The aggregate tax fees billed to the Registrant by the principal accountant for the fiscal years ended March 31, 2023 and 2022 were $204,335 and $141,503, respectively. |
All Other Fees
| (d) | There were no other fees billed to the Registrant by the principal accountant for the fiscal years ended March 31, 2023 and 2022. |
| (e)(1) | The Audit Committee is required to pre-approve audit and non-audit services performed for the Registrant by the independent auditor as outlined below in order to assure that the provision of such services does not impair the auditor’s independence: |
| A. | Pre-Approval Requirements for Services to Registrant. Before the Auditor is engaged by the Registrant to render audit related or permissible non-audit services, either: |
| (i) | The Audit Committee shall pre-approve such engagement; or |
| (ii) | Such engagement shall be entered into pursuant to pre-approval policies and procedures established by the Audit Committee. Any such policies and procedures must (1) be detailed as to the particular service and (2) not involve any delegation of the Audit Committee’s responsibilities to the Adviser. The Audit Committee hereby delegates authority to its Chairperson, and may delegate to one or more of its other members, the authority to grant pre-approvals. In the event of a pre-approval by the Chairperson or other authorized member of the Audit |
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| Committee, the person to whom authority is delegated under this Section shall report on such pre-approval to the full Audit Committee at its next regularly scheduled meeting. |
| (iii) | De Minimis Exceptions to Pre-Approval Requirements. Pre-approval for a service provided to the Registrant other than audit, review or attest services is not required if: (1) the aggregate amount of all such non-audit services provided to the Registrant constitutes not more than 5 percent of the total amount of revenues paid by the Registrant to the Auditor during the fiscal year in which the non-audit services are provided; (2) such services were not recognized by the Registrant at the time of the engagement to be non-audit services; and (3) such services are promptly brought to the attention of the Audit Committee and are approved by the Audit Committee or by one or more members of the Audit Committee to whom authority to grant such approvals has been delegated by the Audit Committee. |
| B. | Pre-Approval of Non-Audit Services Provided to the Adviser and Others. The Audit Committee shall pre-approve any non-audit services proposed to be provided by the Auditor to (i) the Adviser and (ii) any entity in the investment company complex, if the nature of the services provided relate directly to the operations or financial reporting of the Registrant. Investment company complex means the Pacific Select Fund, the Pacific Funds Series Trust, the Adviser and any entity controlled by or under common control with the Adviser if such entity is an investment adviser or is engaged in the business of providing administrative, custodian, underwriting or transfer agent services to the Trusts or the Adviser. |
| (i) | De Minimis Exception: The De Minimis exceptions set forth above under Section (e)(1)A.(iii) apply to pre-approvals under this Section (e)(1)B. as well, except that the “total amount of revenues” calculation for this Section’s (e)(1)B. services is based on the total amount of revenues paid to the Auditor by the Registrant and any other entity that has its services approved under this Section (i.e., the Adviser or any control person). |
| C. | Pre-Approval of Program and Subscription Services Provided to the Registrants and their Affiliates. The Audit Committee is deemed to have pre-approved Program and Subscription Services (“Programs”) provided to the Registrant and their affiliates, entities within the Registrant’s investment company complex or their affiliates, including employees of Pacific Life and Pacific Life Fund Advisors LLC (collectively, “Fund Persons”) so long as: (1) such Programs are free to Fund Persons or if there is a charge, Fund Persons pay: (a) the going rate for such Programs, or (b) the Fund Persons receive a discount of $500 or less; or (2) the Program is approved under or covered by and in compliance with the policies and/or procedures of Pacific Life’s Audit Committee with respect to the provision of educational services by the Auditor or other parties. Any Programs that do not meet the above criteria require approval by the Audit Committee, its Chairperson or other delegates as provided in Section (e)(1)A.(ii). Programs are educational programs and seminars provided by the Auditor or its affiliates and include live programs, webcasts, podcasts, websites, database subscriptions, checklists, research reports, local office seminars, Debrief webcast series, Technical library and similar or related items. |
| (e)(2) | No services included in (b)-(d) above were approved pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. |
| (f) | Not applicable. |
| (g) | The aggregate fees billed for the years ended March 31, 2023 and 2022 by the Registrant’s principal accountant for non-audit services rendered to the Registrant, its investment adviser, and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Registrant were $2,315,235 and $3,048,503, respectively. |
| (h) | The Registrant’s Audit Committee has considered whether the provision of non-audit services that were rendered to the Registrant’s investment adviser, and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Registrant which were not pre-approved (not requiring pre-approval) is compatible with maintaining the principal accountant’s independence. |
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| (i) | Not applicable. |
| (j) | Not applicable. |
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments.
| (a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1 of this Form. |
| (b) | Not applicable. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Directors.
Item 11. Controls and Procedures.
| (a) | The Chief Executive Officer and the Treasurer of the Registrant have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the Registrant is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing of this report. |
| (b) | There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting. |
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits.
| (a)(1) | Code of Ethics, subject to the disclosure of Item 2 hereof is attached hereto as Exhibit 99.CODE ETH. | |
| (a)(2) | Separate certifications for the principal executive and principal financial officer of the Registrant pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 are attached hereto as Exhibit 99.CERT . | |
| (a)(2)(1) | Not applicable. | |
| (a)(2)(2) | Not applicable. | |
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| (b) | Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 is attached hereto as Exhibit 99.906.CERT pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Pacific Funds Series Trust | ||||
| By: |
/s/ Adrian S. Griggs |
|||
| Adrian S. Griggs | ||||
| Chief Executive Officer | ||||
| Date: | June 1, 2023 | |||
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
| By: | /s/ Adrian S. Griggs |
|||
| Adrian S. Griggs | ||||
| Chief Executive Officer | ||||
| Date: | June 1, 2023 | |||
| By: |
/s/ Trevor T. Smith |
|||
| Trevor T. Smith | ||||
| Treasurer (Principal Financial and Accounting Officer) | ||||
| Date: | June 1, 2023 | |||