PFL vs. PDI

Last updated Jun 23, 2026

PFL (PIMCO Income Strategy Fund) is Multisector Bonds fund actively managed by PIMCO, while PDI (PIMCO Dynamic Income Fund) is a stock. Over the past 10 years, PFL returned 7.69%/yr vs 7.33%/yr for PDI. At a 0.46 correlation, their price movements are largely independent.

Performance

PFL vs. PDI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in PIMCO Income Strategy Fund (PFL) and PIMCO Dynamic Income Fund (PDI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, PFL achieves a -4.64% return, which is significantly lower than PDI's -1.18% return. Both investments have delivered pretty close results over the past 10 years, with PFL having a 7.69% annualized return and PDI not far behind at 7.33%.

PFL

• 1D: -0.53%
• 1M: -0.76%
• YTD: -4.64%
• 6M: -3.84%
• 1Y: 2.98%
• 3Y*: 9.83%
• 5Y*: 0.79%
• 10Y*: 7.69%

PDI

• 1D: -0.61%
• 1M: -0.90%
• YTD: -1.18%
• 6M: -1.29%
• 1Y: 0.25%
• 3Y*: 9.94%
• 5Y*: 2.52%
• 10Y*: 7.33%

*Multi-year figures are annualized to reflect compound growth (CAGR)

PFL vs. PDI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
PFL PIMCO Income Strategy Fund	-4.64%	13.03%	11.51%	17.29%	-17.92%	4.62%	7.11%	19.65%	2.06%	21.26%
PDI PIMCO Dynamic Income Fund	-1.18%	11.03%	17.18%	11.99%	-16.99%	7.81%	-9.96%	22.23%	7.35%	18.59%

Correlation

The correlation between PFL and PDI is 0.52, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.52
Correlation (3Y) Calculated over the trailing 3-year period	0.46
Correlation (5Y) Calculated over the trailing 5-year period	0.56
Correlation (10Y) Calculated over the trailing 10-year period	0.50
Correlation (All Time) Calculated using the full available price history since May 25, 2012	0.46

The correlation between PFL and PDI has been stable across timeframes, ranging from 0.46 to 0.56 - a consistent structural relationship.

Return for Risk

PFL vs. PDI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

PFL

PFL Risk / Return Rank: 5
PFL Sharpe Ratio Rank: 5
PFL Sortino Ratio Rank: 5
PFL Omega Ratio Rank: 5
PFL Calmar Ratio Rank: 5
PFL Martin Ratio Rank: 5

PDI

PDI Risk / Return Rank: 39
PDI Sharpe Ratio Rank: 43
PDI Sortino Ratio Rank: 34
PDI Omega Ratio Rank: 34
PDI Calmar Ratio Rank: 42
PDI Martin Ratio Rank: 42

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

PFL vs. PDI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for PIMCO Income Strategy Fund (PFL) and PIMCO Dynamic Income Fund (PDI). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	PFL	PDI	Difference
Sharpe ratio: Return per unit of total volatility	0.33	0.02	+0.30
Sortino ratio: Return per unit of downside risk	0.51	0.10	+0.41
Omega ratio: Gain probability vs. loss probability	1.08	1.02	+0.06
Calmar ratio: Return relative to maximum drawdown	0.39	0.02	+0.37
Martin ratio: Return relative to average drawdown	1.15	0.05	+1.10

PFL vs. PDI - Sharpe Ratio Comparison

The current PFL Sharpe Ratio is 0.33, which is higher than the PDI Sharpe Ratio of 0.02. The chart below compares the historical Sharpe Ratios of PFL and PDI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

PFL vs. PDI - Drawdown Comparison

The maximum PFL drawdown since its inception was -77.97%, which is greater than PDI's maximum drawdown of -46.47%. Use the drawdown chart below to compare losses from any high point for PFL and PDI.

Drawdown Indicators

	PFL	PDI	Difference
Max Drawdown Largest peak-to-trough decline	-77.97%	-46.47%	-31.50%
Max Drawdown (1Y) Largest decline over 1 year	-7.64%	-10.95%	+3.31%
Max Drawdown (3Y) Largest decline over 3 years	-13.21%	-17.55%	+4.34%
Max Drawdown (5Y) Largest decline over 5 years	-33.30%	-27.19%	-6.11%
Max Drawdown (10Y) Largest decline over 10 years	-48.40%	-46.47%	-1.93%
Current Drawdown Current decline from peak	-6.46%	-8.90%	+2.44%
Average Drawdown Average peak-to-trough decline	-10.99%	-6.22%	-4.77%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.60%	5.21%	-2.61%

Volatility

PFL vs. PDI - Volatility Comparison

PIMCO Income Strategy Fund (PFL) and PIMCO Dynamic Income Fund (PDI) have volatilities of 2.81% and 2.87%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	PFL	PDI	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.81%	2.87%	-0.06%
Volatility (6M) Calculated over the trailing 6-month period	8.04%	8.49%	-0.45%
Volatility (1Y) Calculated over the trailing 1-year period	9.21%	11.45%	-2.24%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.67%	15.56%	-1.89%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	18.35%	19.05%	-0.70%

Dividends

PFL vs. PDI - Dividend Comparison

PFL's dividend yield for the trailing twelve months is around 12.90%, less than PDI's 16.29% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PDI PIMCO Dynamic Income Fund	16.29%	14.94%	14.43%	14.74%	17.84%	10.21%	10.01%	9.45%	10.78%	8.81%	14.79%	18.70%
PFL PIMCO Income Strategy Fund	12.90%	11.59%	11.66%	11.57%	12.04%	9.53%	9.44%	9.11%	9.94%	9.25%	10.22%	11.09%

Frequently Asked Questions

Can I hold both PFL and PDI in my portfolio?

PFL and PDI have a correlation of 0.52, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, PFL or PDI?

PDI has higher volatility (2.87%) compared to PFL (2.81%). In terms of maximum drawdown, PFL dropped -77.97% vs PDI's -46.47%.

Which has better risk-adjusted returns?

PFL currently has the higher Sharpe Ratio (0.33 vs 0.02), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.