The Pimco Income Fund, overseen by group chief investment officer Dan Ivascyn, posted inflows of $1.2 billion in September, bringing total assets under management to $66 billion for the portfolio, according to Morningstar data on Thursday.
The Pimco Income Fund, widely seen by investors and analysts as Pimco's new flagship fund, has brought in a total of $10.5 billion for the year through September, Morningstar added.
"In this low-yield environment, people are looking for income-oriented alternatives," Ivascyn said in a telephone interview.
The Pimco Total Return Fund, once the world's largest bond fund, saw another month of cash withdrawals. In September, Total Return posted cash outflows of $1.7 billion, bringing its year-to-date outflows to $9.6 billion, according to Morningstar.
Pimco Total Return, which hit a peak of $292.9 billion in assets under management in April 2013, now has assets under management of $84 billion.
"The performance has been solid," Ivascyn said about Pimco Total Return Fund. "I think core strategies such as Total Return has been a little less in favor. But Total Return had a good month of performance and I believe flows will follow good performance."
Like BlackRock Inc and Janus Capital Group Inc, Pimco adds dividend reinvestments into its inflow figures. Research organizations such as Morningstar and the Investment Company Institute, along with many fund managers, including Vanguard, Fidelity and DoubleLine, exclude reinvestments and treat only fund share purchases as inflows.
This article was provided by Reuters.