In this article, we take a look at the updated leverage figures of the PIMCO taxable suite for September and what it means for investors. Our main takeaway is that the funds have continued to not only add borrowings but to increase fund leverage levels as well. In other words, the funds have added borrowings at a faster pace than the growth of their NAVs. This, along with low leverage costs, should allow them to maintain strong earning capacity.

However, from a tactical perspective, the funds are currently trading at an elevated premium valuation relative to the last few months. This has caused us to lower our exposure to the funds in our Income Portfolios. An earlier draft of this article expected the PIMCO Dynamic Income Fund (PDI) premium to rise back above that of the PIMCO Dynamic Credit Income Fund (PCI) post its share offering, however, this has already

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In our follow-up article focusing on Tortoise Energy Infrastructure (TYG), we would like to update our readers on what has been going on in the energy industry since the beginning of the COVID-19 pandemic in late February 2020. Unfortunately, this fund has been severely negatively impacted by the pandemic and sharp fall-out of commodity prices earlier this year, as it has experienced a loss in total assets from $1.41 billion to less than $300 million year to date. In addition, the stock price has plummeted by more than 70% during the same time. We believe that the fund will have a difficult time keeping a quarterly distribution rate of $0.3950 per share, as it has experienced a drop of 75% in net investment income over the last quarter. Therefore, we find this CEF suitable for contrarian investors with a very high risk tolerance who believe that the COVID-19 pandemic will

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