1. PDX announces a supplemental year-end distribution of $2.97 per share. 2. Distribution payable on January 13, 2026, with tax implications for shareholders. 3. Fund employs complex investment strategies including derivatives for generating income. 4. Tax treatment of distributions may vary, affecting shareholder returns. 5. Fund will liquidate before the Dissolution Date of January 29, 2031.
FAQ
Why Bullish?
The declaration of a significant supplemental distribution indicates solid financial performance and ongoing income generation.
How important is it?
The expected distribution signals a healthy cash flow, thus reassuring current and potential investors about PDX.
Why Short Term?
Immediate distribution could attract buying interest but may change as liquidation approaches.
Related Companies
PIMCO Closed-End Fund Declares Year-End Supplemental Distribution - PDX
NEW YORK, Dec. 19, 2025 (GLOBE NEWSWIRE) — The Board of Trustees of the PIMCO Dynamic Income Strategy Fund (NYSE: PDX) has announced a supplemental year-end distribution for the Fund’s common shares. This distribution, aimed at meeting the Fund’s 2025 federal excise tax requirements, will be payable on January 13, 2026, to shareholders of record as of December 29, 2025. Notably, the ex-dividend date is also December 29, 2025.
Details of the Supplemental Distribution
The declaration includes both regular monthly dividends and this additional supplemental distribution. The total distributions for the PIMCO Dynamic Income Strategy Fund (PDX) are summarized below:
- Net Income: $0.000000
- Short-Term Capital Gains: $1.210000
- Long-Term Capital Gains: $1.760000
- Total Distribution: $2.970000
It is crucial for investors to understand that these distributions may comprise ordinary income, net capital gains, and/or returns of capital. A return of capital indicates that the distribution includes a portion of the investment rather than solely net earnings.
Tax Implications of Fund Distributions
All distributions made by the Fund will be taxable to shareholders in 2025. A return of capital is not subject to immediate taxation but will reduce a shareholder’s tax basis in their shares. If the Fund anticipates that part of a distribution may stem from non-net investment income sources, it will inform shareholders through a Section 19 Notice.
Shareholders should note that there can be discrepancies between the Fund's internal accounting records, its financial statements under U.S. GAAP, and tax-related recordkeeping. These differences may arise from various treatment approaches regarding sources of distributions.
Investment Strategies and Market Dynamics
The PIMCO Dynamic Income Strategy Fund employs advanced investment strategies, including derivatives, to generate distributable income. This approach may lead to fluctuations in the Fund's net asset value (NAV). Even in scenarios where there are declines in net assets, the Fund aims to maintain sufficient income to support monthly distributions.
Investors should be aware that capital losses generated from certain transactions could affect the economic reality of distributions, potentially making portions of what is recognized as ordinary income economically similar to a taxable return of capital.
Market Performance and Share Trading
The common shares of the PIMCO Dynamic Income Strategy Fund trade on the New York Stock Exchange under the symbol PDX. As is typical with closed-end funds, shares may trade at a discount to their NAV or may not maintain premiums over time.
If investors decide to sell their shares, the sale price might differ from their initial investment due to market conditions. Therefore, it is essential for shareholders to monitor PDX share prices and NAV, which are publicly available.
For up-to-date information, including market prices and portfolio performance, shareholders can visit pimco.com/closedendfunds or contact the Fund’s shareholder servicing agent at (844) 33-PIMCO.