David Fisher, Head of Traditional Product Strategies: Liquidity has been a topic of late, with a lot of investors concerned about the liquidity risk embedded in their portfolios. So, could you give us some thoughts as to how the investment committee is thinking about liquidity in this environment, and managing the liquidity risk in various portfolios?
Dan Ivascyn, Group Chief Investment Officer: Liquidity management’s got to be at the top of everyone’s mind. And it continues to be at PIMCO. What we focus on, not only attractive and sufficient diversity across portfolios, but enough portfolio flexibility so ideally we can be liquidity providers to others in the market that need it at different points in time.
We saw this back during the global financial crisis, we’ve seen it during periods over the course of this last decade, even late last year. The fourth quarter of 2018 was a very volatile event, and an event where people were searching for liquidity that wasn't there, to their liking.
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Again, this remains an important area of focus for PIMCO. It’s an area of the markets — or areas of portfolio management where we’ve handled ourselves well. But you never want to be complacent. You want to have a good handle on liquidity. And again, that allows you to go on the offense when volatility hits markets and other participants ask for liquidity, that’s the best time to provide it, and a time where we think we can add value to clients, having that more defensive mindset.
David: Great. Thanks for joining us today, Dan, and thanks to you all as well.
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