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EQUITY PROFILE 
All data as of 12.31.09, unless otherwise indicated. 
NFJ All-Cap Value
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About this Strategy Performance  Portfolio Review & Outlook  Literature 
Strategy Overview
Highlights
  • Access to growth potential of undervalued stocks across all capitalizations
  • Managed by experienced value specialists
  • Risk-averse investment philosophy
  • Disciplined, pure value process
Process & Philosophy

POTENTIAL OF UNDERVALUED STOCKS

Investors often focus on a few high growth sectors, allowing strong opportunities in other industries to go unnoticed. NFJ's All Cap Value managed account portfolio is a smart way to invest in these undervalued stocks.

 

EXPERIENCED SPECIALISTS

NFJ Investment Group has a strong track record and consists of a team of managers dedicated to a pure, deep value approach to equity investing. Each of these professionals participate in the investment process, serving as portfolio manager and securities analyst. This team approach means broader resources are committed to portfolio construction.

 

RISK-AVERSE PHILOSOPHY

NFJ adheres to a strict value philosophy, seeking undervalued, fundamentally sound companies. What sets the firm apart from other value-oriented managers is its emphasis on risk control. To temper the risks associated with equity investing, NFJ maintains broad industry diversification and requires that each stock in its All Cap Value portfolios pay a dividend-a characteristic they believe is an important sign of financial stability.

 

DISCIPLINED INVESTMENT PROCESS

NFJ adheres to a strict, research-driven investment process, seeking to invest in stocks offering attractive valuations and superior long-term growth potential, at reasonable risk levels.

  • Screen investment universe-Review the holdings in four NFJ portfolios: Dividend Value; Large Cap Value; Mid Cap Value and Small Cap Value. The holdings in these portfolios have already satisfied NFJ's investment criteria, including low price-to-earnings multiple, a high dividend yield, positive prospective earnings and quality operations.
  • Restrict industry concentrations-Avoid overexposure to any one sector by restricting the number of stocks held in a single industry.
  • Construct portfolio-Select approximately 40 of the most attractive securities, with an estimated 80% of the holdings in the mid- and large-cap range (from Dividend Value, Mid Cap Value and Large Cap Value portfolios) and 20% of the holdings in the small-cap range (from Small Cap Value portfolio). Each holding must pay a dividend.
  • Regularly monitor for buy and sell candidates-Continually repeat the research process to identify new buy and sell candidates. Sell a stock when an alternative stock with equally strong fundamentals demonstrates a substantially higher dividend yield or a substantially lower valuation.
At A Glance
Objective
A managed account seeking long-term capital appreciation through investment in the undervalued stocks of dividend-paying companies

Management Firm
NFJ Investment Group LLC (NFJ)

Dallas, Texas

NFJ employs a deep value equity investment style that focuses on dividends, discipline and diversification. Over the years, the firm's strict adherence to this approach has helped it to deliver consistent results for investors with lower-than-average risk.



Founded
1989

Assets
$29.9 billion under management (as of 12.31.09)



> Management Commentary


This information is intended solely to report on investment strategies and opportunities identified by Allianz Global Investors. Statements concerning financial market trends are based on current market conditions, which will fluctuate. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. References to specific securities and their issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities.


Allianz Global Investors Managed Accounts manages the NFJ All Cap Value accounts using a model portfolio developed by the sub-advisor NFJ as a guide. While Allianz Global Investors Managed Accounts generally intends to follow NFJ's recommendations, as the account manager it has the discretion to accept or reject any investment recommendation and to deviate from the model portfolio.

Market capitalization is the value of a corporation as determined by the market price of its issued and outstanding common stock. It is calculated by multiplying the number of outstanding shares by the current share price. P/E is a ratio of security price to earnings per share. Typically, an undervalued security is characterized by a low P/E ratio, while an overvalued security is characterized by a high P/E ratio.

 

Investing in securities entails risk. When investing in value securities, the market may not necessarily have the same value assessment as the manager, and, therefore, the performance of the securities may decline. Investments in smaller companies may be more volatile than investments in larger companies.

 

The managed account strategies described on this website are offered by Allianz Global Investors Managed Accounts LLC and are available exclusively through financial professionals. Allianz Global Investors Managed Accounts LLC is an SEC registered investment advisor. Participation is restricted to accounts with a minimum asset level and may not be suitable for all investors. For more information, contact your financial advisor. Financial professionals seeking more information should contact their managed accounts department or Allianz Global Investors. Allianz Global Investors Managed Accounts LLC, 1345 Avenue of the Americas, New York, NY 10105-4800.

Investment Products: NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED
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