PIMCO RAFI ESG U.S. ETF (RAFE) N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT

INVESTMENT COMPANIES

Investment Company Act file number: 811-22375

PIMCO Equity Series

(Exact name of registrant as specified in charter)

650 Newport Center Drive, Newport Beach, CA 92660

(Address of principal executive office)

Trent W. Walker

Treasurer (Principal Financial & Accounting Officer)

PIMCO Equity Series

650 Newport Center Drive

Newport Beach, CA 92660

(Name and address of agent for service)

Copies to:

Brendan C. Fox

Dechert LLP

1900 K Street, N.W.

Washington, D.C. 20006

Registrant’s telephone number, including area code: (888) 877-4626

Date of fiscal year end: June 30

Date of reporting period: December 31, 2016

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

Item 1. Reports to Shareholders.

The following is a copy of the report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30e-1).

• PIMCO Equity Series Funds

• PIMCO Equity Series RAE Fundamental Funds

• PIMCO Equity Series RealPath^® Blend Funds

PIMCO Equity Series^®

Semiannual Report

December 31, 2016

PIMCO Dividend and Income Fund

PIMCO EqS^® Long/Short Fund

Share Classes

∎ Institutional

∎ P

∎ D

∎ A

∎ C

Table of Contents

			Page
Chairman’s Letter				2
Important Information About the Funds				4
Expense Examples				10
Financial Highlights				12
Statements of Assets and Liabilities				16
Statements of Operations				18
Statements of Changes in Net Assets				19
Statement of Cash Flows				20
Notes to Financial Statements				40
Glossary				59
Approval of Investment Advisory Contract and Other Agreements				60
Results of Proxy Voting				65
Fund	Fund Summary		Schedule of Investments
PIMCO Dividend and Income Fund*		6		21
PIMCO EqS® Long/Short Fund		8		35

* Prior to June 16, 2016, the PIMCO Dividend and Income Fund was named the PIMCO Dividend and Income Builder Fund.

This material is authorized for use only when preceded or accompanied by the current PIMCO Equity Series prospectus. The Shareholder Reports for the other series of the PIMCO Equity Series are printed separately.

Chairman’s Letter

Dear Shareholder,

Please find enclosed the Semiannual Report for the PIMCO Equity Series covering the six-month reporting period ended December 31, 2016. The following pages contain specific details about the investment performance of each fund and a discussion of the factors that most affected performance during the reporting period.

In June 2016, the unexpected outcome of the U.K. “Brexit” referendum dominated headlines and market movements. Volatility rose as a result and sovereign yields rallied significantly, while risk assets generally underperformed. Steadier commodity prices and fiscal stimulus in China helped bolster market sentiment, even as central banks remained on hold ahead of the Brexit referendum. Softer-than-expected employment data in the U.S. pushed market expectations for the next Federal Reserve (“Fed”) interest rate hike further out into the future, with the Fed continuing to hold rates steady through the end of November.

Leading up to the November 8^th U.S. presidential election, investors generally shook off the surprising result of the Brexit referendum, along with a host of political developments including new leadership in the U.K. and Brazil, and a coup attempt in Turkey. In this environment, volatility generally remained low and risk assets rallied. Central banks featured prominently in the headlines as monetary policy concerns (in particular, the longevity of central bank support) lingered beneath the seemingly benign market environment. The Bank of Japan’s “comprehensive review,” inaction by the European Central Bank (“ECB”), and the Fed’s solidifying path towards a potential interest rate increase in December 2016 all contributed to sovereign yields generally rising during this period. Still, equities moved higher (U.S. stock indices set record highs), credit spreads tightened, and emerging market assets continued to gain.

In the wake of the not expected result of the U.S. election, volatility fell, equities rallied, credit spreads tightened and the U.S. dollar strengthened. In contrast, interest rates rose dramatically as most markets focused on the pro-growth and inflationary potential of fiscal expansion, tax cuts, and deregulation. Part of the rise in interest rates was also due to a sharp increase in inflation expectations. Despite the generally positive risk sentiment towards the end of the reporting period, emerging markets weakened as protectionist rhetoric from the incoming administration weighed on the asset class.

Finally, the ECB at its December 8^th meeting opted to leave its main policy rate unchanged, and announced an expansion of its Quantitative Easing program to exceed $2.4 trillion by the end of 2017. And on December 14^th, the Fed raised its key lending rate, the Federal Funds Rate, by 0.25% to a range of 0.50%-0.75%, representing their second rate increase in ten years.

Highlights of the financial markets during the six-month reporting period include:

^∎  Global developed market equities experienced strong performance amid a period marked by unconventional central bank policy, the continued recovery in commodity prices and higher sovereign yields. U.S. equities, as represented by the S&P 500 Index, returned 7.82% over the reporting period. International equity markets (developed ex-U.S.), as represented by the MSCI EAFE Index returned 5.67%, and 14.06% on a USD-hedged basis over the reporting period. Japanese equities, as represented by the Nikkei 225 Index in JPY, returned 23.83% over the reporting period, and European equities, as represented by the MSCI Europe Index in EUR, returned 10.58% over the reporting period. Following the surprise outcome of the U.K.’s referendum to leave the European Union and accompanying market volatility in June, developed market equities posted strong gains. Global central banks continued down the path of unconventional monetary policy, as the Bank of Japan adopted a yield-curve targeting framework and the ECB extended its asset purchase program. The rally in developed market equities was further supported by the result of the U.S. presidential election, and the possibility of a new paradigm of stronger growth, higher inflation and higher natural interest rates.

2 PIMCO EQUITY SERIES

^∎  Emerging market equities, as represented by the MSCI Emerging Markets Index, returned 4.49% over the reporting period. Benefits from improving internal and external conditions for many emerging markets economies and the continued recovery in commodity prices offset negative implications of the potential for fiscal stimulus in the U.S., a more hawkish Fed and protectionist trade policies.

^∎  U.S. Treasuries, as represented by the Bloomberg Barclays U.S. Treasury Index, declined 4.11% for the reporting period. Yields rose across the U.S. Treasury yield curve in reaction to the Fed’s interest rate increase, rising concern over inflation and strong investor risk appetite. The benchmark ten-year U.S. Treasury note yielded 2.45% at the end of the reporting period, up from 1.49% on June 30, 2016. The Bloomberg Barclays U.S. Aggregate Index, a widely used index of U.S. investment-grade bonds, declined 2.53% for the reporting period.

If you have any questions regarding the PIMCO Equity Series, please contact your account manager or financial adviser, or call one of our shareholder associates at 888.87.PIMCO (888.877.4626). We also invite you to visit our website at www.pimco.com to learn more about our views and global thought leadership.

Thank you again for the trust you have placed in us. We value your commitment and will continue to work diligently to meet your broad investment and investment solution needs.

Sincerely,     Brent R. Harris Chairman of the Board,
PIMCO Equity Series   February 21, 2017

Past performance is no guarantee of future results. Unless otherwise noted, index returns reflect the reinvestment of income dividends and capital gains, if any, but do not reflect fees, brokerage commissions or other expenses of investing. It is not possible to invest directly in an unmanaged index.

SEMIANNUAL REPORT DECEMBER 31, 2016 3

Important Information About the Funds

We believe that equity funds have an important role to play in a well-diversified investment portfolio. It is important to note, however, that equity funds are subject to notable risks. Among other things, equity and equity-related securities may decline in value due to both real and perceived general market, economic, and industry conditions.

The values of equity securities, such as common stocks and preferred stocks, have historically risen and fallen in periodic cycles and may decline due to general market conditions, which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. Equity securities may also decline due to factors that affect a particular industry or industries, such as labor shortages, increased production costs and competitive conditions within an industry. In addition, the value of an equity security may decline for a number of reasons that directly relate to the issuer, such as management performance, financial leverage and reduced demand for the issuer’s goods or services, as well as the historical and prospective earnings of the issuer and the value of its assets. Different types of equity securities may react differently to these developments and a change in the financial condition of a single issuer may affect securities markets as a whole.

During a general downturn in the securities markets, multiple asset classes, including equity securities, may decline in value simultaneously. The market price of equity securities owned by a Fund may go up or down, sometimes rapidly or unpredictably. Equity securities generally have greater price volatility than fixed income securities and common stocks generally have the greatest appreciation and depreciation potential of all equity securities.

The Funds may be subject to various risks as described in the Funds’ prospectus. Some of these risks may include, but are not limited to, the following: equity risk, dividend-oriented stocks risk, value investing risk, foreign (non-U.S.) investment risk, emerging markets risk, sovereign debt risk, market risk, issuer risk, interest rate risk, call risk, credit risk, high yield and distressed company risk, cash holdings risk, currency risk, real estate risk, liquidity risk, leveraging risk, issuer non-diversification risk, management risk, small-cap and mid-cap company risk, derivatives risk, mortgage-related and other asset-backed securities risk, short sale risk, convertible securities risk and model risk. A complete description of these and other risks is contained in the Funds’ prospectus.

The Funds may use derivative instruments for hedging purposes or as part of an investment strategy. Use of these instruments may involve certain costs and risks such as liquidity risk, interest rate risk, market risk, credit risk, leverage risk, management risk and the risk that a Fund

may not be able to close out a position when it would be most advantageous to do so. Changes in regulation relating to a mutual fund’s use of derivatives and related instruments could potentially limit or impact a Fund’s ability to invest in derivatives, limit a Fund’s ability to employ certain strategies that use derivatives and/or adversely affect the value or performance of derivatives and a Fund. Certain derivative transactions may have a leveraging effect on a Fund. For example, a small investment in a derivative instrument may have a significant impact on a Fund’s exposure to interest rates, currency exchange rates or other investments. As a result, a relatively small price movement in an asset, instrument or component of the index underlying a derivative instrument may cause an immediate and substantial loss or gain, which translates into heightened volatility for the Funds. A Fund may engage in such transactions regardless of whether the Fund owns the asset, instrument or components of the index underlying the derivative instrument. A Fund may invest a significant portion of its assets in these types of instruments. If it does, the Fund’s investment exposure could far exceed the value of its portfolio securities and its investment performance could be primarily dependent upon securities it does not own. Investing in foreign (non-U.S.) securities may entail risk due to foreign (non-U.S.) economic and political developments; this risk may be increased when investing in emerging markets.

The value of an equity security of an issuer that has paid dividends in the past may decrease if the issuer reduces or eliminates future payments to its shareholders. If the dividends or distributions received by a Fund decrease, the Fund may have less income to distribute to the Fund’s shareholders. In addition, during certain market conditions, the equity securities of issuers that have paid regular dividends or distributions may not be widely available or may be highly concentrated in particular sectors of the market. A Fund may invest a significant portion of its assets in value stocks. Value stocks may perform differently from other types of stocks and the market as a whole. A value stock may decrease in price or may not increase in price as anticipated by PIMCO if it continues to be undervalued by the market or the factors that the portfolio manager believes will cause the stock price to increase do not occur.

The geographical classification of foreign (non-U.S.) securities in this report are classified by the country of incorporation of a holding. In certain instances, a security’s country of incorporation may be different from its country of economic exposure.

On each individual Fund Summary page in this Shareholder Report, the Average Annual Total Return table and Cumulative Returns chart measure performance assuming that any dividend and capital gain distributions were reinvested. Returns do not reflect the deduction of taxes that a shareholder would pay on (i) Fund distributions or (ii) the redemption of Fund shares. The Cumulative Returns chart and Average

4 PIMCO EQUITY SERIES

Annual Total Return table reflect any sales load that would have applied at the time of purchase or any Contingent Deferred Sales Charge (“CDSC”) that would have applied if a full redemption occurred on the last business day of the period shown in the Cumulative Returns chart. Class A shares are subject to an initial sales charge. A CDSC may be imposed in certain circumstances on Class A shares that are purchased without an initial sales charge and then redeemed during the first (i) 18 months after purchase for purchases made prior to August 10, 2015 and (ii) 12 months after purchase for purchases made on or after August 10, 2015. The Cumulative Returns chart reflects only Institutional Class performance. Performance for Class P, Administrative Class, Class D, Class A, Class C and Class R shares, if applicable, are

typically lower than Institutional Class performance due to the lower expenses paid by Institutional Class shares. Performance shown is net of fees and expenses. The minimum initial investment amount for Institutional Class, Class P and Administrative Class shares is $1,000,000. The minimum initial investment amount for Class A, Class C and Class D shares is $1,000. There is no minimum initial investment for Class R shares. Each Fund measures its performance against a broad-based securities market index (“benchmark index”). The benchmark index does not take into account fees, expenses, or taxes. A Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future.

The following table discloses the inception dates of each Fund and its respective share classes along with each Fund’s diversification status as of period end:

Fund Name

Fund Inception

Institutional Class

Class P

Class D

Class A

Class C

Diversification Status

PIMCO Dividend and Income Fund

12/14/11

12/14/11

12/14/11

12/14/11

12/14/11

12/14/11

Diversified

PIMCO EqS® Long/Short Fund

04/20/12

04/20/12

04/30/12

04/30/12

04/30/12

04/30/12

Non-diversified

An investment in a Fund is not a bank deposit and is not guaranteed or insured by the Federal Deposit Insurance Corporation (“FDIC”) or any other government agency. It is possible to lose money on investments in a Fund.

The Trustees are responsible generally for overseeing the management of the Trust. The Trustees authorize the Trust to enter into service agreements with the Adviser, the Distributor, the Administrator and other service providers in order to provide, and in some cases authorize service providers to procure through other parties, necessary or desirable services on behalf of the Trust and the Funds. Shareholders are not parties to or third-party beneficiaries of such service agreements. Neither a Fund’s prospectus nor a Fund’s summary prospectus, the Trust’s Statement of Additional Information (“SAI”), any contracts filed as exhibits to the Trust’s registration statement, nor any other communications, disclosure documents or regulatory filings (including this report) from or on behalf of the Trust or a Fund creates a contract between or among any shareholder of a Fund, on the one hand, and the Trust, a Fund, a service provider to the Trust or a Fund, and/or the Trustees or officers of the Trust, on the other hand. The Trustees (or the Trust and its officers, service providers or other delegates acting under authority of the Trustees) may amend the most recent prospectus or use a new prospectus, summary prospectus or SAI with respect to a Fund or the Trust, and/or amend, file and/or issue any other communications, disclosure documents or regulatory filings, and may amend or enter into any contracts to which the Trust or a Fund is a party, and interpret the investment objective(s), policies, restrictions and contractual provisions applicable to any Fund, without shareholder

input or approval, except in circumstances in which shareholder approval is specifically required by law (such as changes to fundamental investment policies) or where a shareholder approval requirement is specifically disclosed in the Trust’s then-current prospectus or SAI.

PIMCO has adopted written proxy voting policies and procedures (“Proxy Policy”) as required by Rule 206(4)-6 under the Investment Advisers Act of 1940, as amended. The Proxy Policy has been adopted by PIMCO Equity Series as the policies and procedures that PIMCO will use when voting proxies on behalf of a Fund. A description of the policies and procedures that PIMCO uses to vote proxies relating to portfolio securities of a Fund, and information about how the Fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30th, are available without charge, upon request, by calling the Trust at (888) 87-PIMCO, on the Fund’s website at www.pimco.com, and on the Securities and Exchange Commission’s (“SEC”) website at www.sec.gov.

PIMCO Equity Series files a complete schedule of each Fund’s portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. A copy of a Fund’s Form N-Q is available on the SEC’s website at www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. A Fund’s Form N-Q will also be available without charge, upon request, by calling the Trust at (888) 87-PIMCO and on the Fund’s website at www.pimco.com. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.

SEMIANNUAL REPORT DECEMBER 31, 2016 5

PIMCO Dividend and Income Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO Dividend and Income Fund (formerly, PIMCO Dividend and Income Builder Fund) (the “Fund”) seeks to provide current income that exceeds the average yield on global stocks by investing under normal circumstances at least 80% of its assets in a diversified portfolio of income-producing investments, and will typically invest between 60-80% of its assets in equity and equity-related securities (such portion of the Fund’s portfolio, the “Equity Sleeve”) providing exposure to a portfolio of stocks (the “RAE Income Global Portfolio”). The stocks for the Equity Sleeve are selected by the Fund’s sub-adviser, Research Affiliates, LLC from a broad universe of global equities. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		5 Year		Fund Inception (12/14/11)
	PIMCO Dividend and Income Fund Institutional Class		7.23%		9.93%		6.66%		7.03%
	PIMCO Dividend and Income Fund Class P		7.14%		10.01%		6.60%		6.97%
	PIMCO Dividend and Income Fund Class D		7.01%		9.64%		6.30%		6.68%
	PIMCO Dividend and Income Fund Class A		7.04%		9.57%		6.29%		6.68%
	PIMCO Dividend and Income Fund Class A (adjusted)		1.14%		3.52%		5.10%		5.50%
	PIMCO Dividend and Income Fund Class C		6.63%		8.78%		5.51%		5.88%
	PIMCO Dividend and Income Fund Class C (adjusted)		5.63%		7.78%		5.51%		5.88%
	MSCI World Indexª±		6.81%		7.51%		10.41%		11.14%
	MSCI All Country World Index		6.55%		7.86%		9.36%		10.02%
	75% MSCI World Index/25% Bloomberg Barclays Global Aggregate USD Unhedgedªª±±		3.42%		6.27%		7.89%		8.47%
	75% MSCI All Country World Index/25% Bloomberg Barclays Global Aggregate USD Unhedged		3.22%		6.53%		7.12%		7.66%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª Prior to June 16, 2016, The Fund’s primary benchmark was the MSCI All Country World Index. The MSCI All Country World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The Index consists of 46 country indices comprising 23 developed and 23 emerging market country indices.

^± The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The MSCI World Index consists of 23 developed market country indices.

^ªª Prior to June 16, 2016, The Fund’s secondary benchmark was the 75% MSCI All Country World Index/25% Bloomberg Barclays Global Aggregate USD Unhedged. The benchmark is a blend of 75% MSCI World Index/25% Bloomberg Barclays Global Aggregate USD Unhedged. The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The MSCI World Index consists of 23 developed market country indices. Bloomberg Barclays Global Aggregate (USD Unhedged) Index provides a broad-based measure of the global investment-grade fixed income markets. The three major components of this index are the U.S. Aggregate, the Pan-European Aggregate, and the Asian-Pacific Aggregate Indices. The index also includes Eurodollar and Euro-Yen corporate bonds, Canadian Government securities, and USD investment grade 144A securities.

^±± The benchmark is a blend of 75% MSCI World Index/25% Bloomberg Barclays Global Aggregate USD Unhedged. The MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The MSCI World Index consists of 23 developed market country indices. Bloomberg Barclays Global Aggregate (USD Unhedged) Index provides a broad-based measure of the global investment-grade fixed income markets. The three major components of this index are the U.S. Aggregate, the Pan-European Aggregate, and the Asian-Pacific Aggregate Indices. The index also includes Eurodollar and Euro-Yen corporate bonds, Canadian Government securities, and USD investment grade 144A securities.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses, as supplemented, is 0.83% for the Institutional Class shares, 0.93% for the Class P shares, 1.18% for the Class D shares, 1.18% for the Class A shares, and 1.93% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

6 PIMCO EQUITY SERIES

Institutional Class - PQIIX Class P - PQIPX Class D - PQIDX Class A - PQIZX Class C - PQICX

Top 10 Holdings as of 12/31/2016^1§

Exxon Mobil Corp.	2.2%
International Business Machines Corp.	1.8%
AT&T, Inc.	1.8%
Royal Dutch Shell PLC ‘A’	1.7%
HSBC Holdings PLC	1.7%
Pfizer, Inc.	1.7%
Chevron Corp.	1.7%
Structured Asset Investment Loan Trust	1.6%
Banco Santander S.A.	1.3%
Fannie Mae, TBA	1.3%

Geographic Breakdown as of 12/31/2016^1§

United States	51.4%
United Kingdom	10.1%
Japan	8.5%
France	5.9%
Germany	3.6%
Netherlands	2.7%
Spain	2.3%
Canada	2.3%
Switzerland	1.9%
Cayman Islands	1.5%
Italy	1.4%
Australia	1.4%
Denmark	1.1%
Luxembourg	1.0%
Other	3.9%

Sector Breakdown as of12/31/2016^1§

Financials	18.2%
Energy	14.0%
Industrials	8.9%
Utilities	7.0%
Asset-Backed Securities	7.0%
Health Care	6.5%
Information Technology	6.3%
Telecommunication Services	5.6%
Materials	4.8%
Consumer Discretionary	4.5%
Consumer Staples	4.3%
Non-Agency Mortgage-Backed Securities	3.9%
U.S. Government Agencies	3.7%
U.S. Treasury Obligations	2.1%
Other	2.2%

¹ % of Investments, at value.

^§ Top 10 Holdings, Geographic and Sector Breakdown and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Overweight exposure to and security selection in the materials sector contributed to relative returns.

» Underweight exposure to and security selection in the consumer staples sector contributed to relative returns.

» Overweight exposure to and security selection in the financials sector contributed to relative returns.

» Overweight exposure to and security selection in the utilities sector detracted from relative returns.

» Overweight exposure to and security selection in the telecommunication services sector detracted from relative returns.

» Exposure to non-agency MBS contributed to absolute returns. The Markit iBoxx Broad US Non-Agency RMBS USD Index increased 11.66%.

» Exposure to U.S. duration detracted from returns, as U.S. Treasury yields increased.

SEMIANNUAL REPORT DECEMBER 31, 2016 7

PIMCO EqS^® Long/Short Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO EqS^® Long/Short Fund seeks long-term capital appreciation by investing under normal circumstances in long and short positions of equity and equity-related securities, including common and preferred stock (and securities convertible into, or that PIMCO expects to be exchanged for, common or preferred stock), utilizing a fundamental investing style that integrates bottom-up and top-down research. The Fund will normally invest a substantial portion of its assets in equity and equity-related securities. The Fund may also invest in fixed income securities of varying maturities, cash and cash equivalents. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016§
		6 Months*		1 Year		5 Year		10 Year		Fund Inception (01/01/03)
	PIMCO EqS® Long/Short Fund Institutional Class		1.74%		2.00%		6.43%		7.22%		11.03%
	PIMCO EqS® Long/Short Fund Class P		1.68%		1.86%		6.34%		7.18%		11.00%
	PIMCO EqS® Long/Short Fund Class D		1.55%		1.64%		6.07%		7.04%		10.89%
	PIMCO EqS® Long/Short Fund Class A		1.49%		1.57%		6.06%		7.03%		10.89%
	PIMCO EqS® Long/Short Fund Class A (adjusted)		(4.09)%		(4.01)%		4.86%		6.43%		10.44%
	PIMCO EqS® Long/Short Fund Class C		1.11%		0.93%		5.33%		6.67%		10.62%
	PIMCO EqS® Long/Short Fund Class C (adjusted)		0.15%		(0.03)%		5.33%		6.67%		10.62%
	3 Month USD LIBOR Index±		0.37%		0.68%		0.39%		1.24%		1.68%

All Fund returns are net of fees and expenses.

* Cumulative return.

^± The 3 Month USD LIBOR (London Interbank Offered Rate) Index is an average interest rate, determined by the ICE Benchmark Administration, that banks charge one another for the use of short-term money (3 months) in England’s Eurodollar market.

It is not possible to invest directly in an unmanaged index.

^§ For periods prior to April 20, 2012, the Fund’s performance reflects the performance when the Fund was a partnership, net of actual fees and expenses charged to individual partnership accounts in the aggregate. If the performance had been restated to reflect the applicable fees and expenses of each share class, the performance may have been higher or lower. The Fund began operations as a partnership on January 1, 2003 and, on April 20, 2012, was reorganized into a newly-formed fund that was registered as an investment company under the Investment Company Act of 1940. Prior to the reorganization, the Fund had an investment objective, investment strategies, investment guidelines, and restrictions that were substantially similar to those currently applicable to the Fund; however, the Fund was not registered as an investment company under the Investment Company Act of 1940 and was not subject to its requirements or requirements imposed by the Internal Revenue Code of 1986 which, if applicable, may have adversely affected its performance. The performance of Class P, D, A and C shares for the period from April 20, 2012 to April 30, 2012 is based on the performance of the Institutional Class shares of the Fund. The performance of each class of shares will differ as a result of the different levels of fees and expenses applicable to each class of shares.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, as supplemented, is 2.44% for the Institutional Class shares, 2.54% for the Class P shares, 2.79% for the Class D shares, 2.79% for the Class A shares, and 3.54% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

8 PIMCO EQUITY SERIES

Institutional Class - PMHIX Class P - PMHBX Class D - PMHDX Class A - PMHAX Class C - PMHCX

Top 10 Holdings as of 12/31/2016^1§

IHS Markit Ltd.	3.7%
First Data Corp. ‘A’	3.5%
Williams Partners LP	3.3%
Energy Transfer Partners LP	3.0%
Enterprise Products Partners LP	3.0%
Nestle S.A.	2.9%
NVR, Inc.	2.9%
CSX Corp.	2.5%
Bank of the Ozarks, Inc.	2.3%
KAR Auction Services, Inc.	2.2%

Sector Breakdown as of 12/31/2016^2§

Energy	11.4%
Consumer Discretionary	10.2%
Industrials	10.2%
Information Technology	8.7%
Materials	4.5%
Consumer Staples	4.4%
Financials	2.6%
Real Estate	1.7%
Utilities	1.5%
Health Care	1.3%
U.S. Treasury Floating Rate Notes	0.6%

¹ % of Investments, at value.

² % of net exposure (Investments, at value less Securities Sold Short). Financial derivative instruments and short-term instruments are not taken into consideration.

^§ Top 10 Holdings, Sector Breakdown, and % of investments exclude securities sold short, financial derivative instruments, and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Long equity positions contributed to absolute returns, as the prices of these securities generally rose.

» A long position in First Data Corporation contributed to absolute returns, as the price of this security rose.

» A long position in Bank of the Ozarks contributed to absolute returns, as the price of this security rose.

» The Fund’s cash holdings contributed to absolute returns, as the prices of these holdings generally rose.

» Short equity positions detracted from absolute returns, as the prices of these securities generally rose.

» A long position in Nestlé detracted from absolute returns, as the price of this security declined.

SEMIANNUAL REPORT DECEMBER 31, 2016 9

Expense Examples

Example

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and exchange fees and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for all Funds and share classes is from July 1, 2016 to December 31, 2016 unless noted otherwise in the table and footnotes below.

Actual Expenses

The information in the table under the heading “Actual” provides information about actual account values and actual expenses. You may use the information in these columns, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60), then multiply the result by the number in the appropriate row for your share class, in the column entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) on purchase payments and exchange fees. Therefore, the information under the heading “Hypothetical (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Expense ratios may vary from period to period because of various factors such as an increase in expenses that are not covered by the management fees, such as fees and expenses of the independent trustees and their counsel, extraordinary expenses and interest expense.

	Actual						Hypothetical (5% return before expenses)
	Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Net Annualized Expense Ratio**
PIMCO Dividend and Income Fund
Institutional Class	$	1,000.00	$	1,072.30	$	4.17	$	1,000.00	$	1,021.45	$	4.07		0.79	%
Class P		1,000.00		1,071.40		4.70		1,000.00		1,020.94		4.58		0.89
Class D		1,000.00		1,070.10		6.01		1,000.00		1,019.67		5.87		1.14
Class A		1,000.00		1,070.40		6.01		1,000.00		1,019.67		5.87		1.14
Class C		1,000.00		1,066.30		9.95		1,000.00		1,015.85		9.71		1.89
PIMCO EqS® Long/Short Fund
Institutional Class	$	1,000.00	$	1,017.40	$	9.15	$	1,000.00	$	1,016.41	$	9.15		1.78	%
Class P		1,000.00		1,016.80		9.66		1,000.00		1,015.90		9.66		1.88
Class D		1,000.00		1,015.50		10.94		1,000.00		1,014.63		10.93		2.13
Class A		1,000.00		1,014.90		10.94		1,000.00		1,014.63		10.93		2.13
Class C		1,000.00		1,011.10		14.76		1,000.00		1,010.80		14.76		2.88

* Expenses Paid During Period are equal to the net annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 186/365 (to reflect the one-half year period).

** Net Annualized Expense Ratio is reflective of any applicable contractual fee waivers and/or expense reimbursements or voluntary fee waivers. Details regarding fee waivers can be found in Note 8 in the Notes to Financial Statements.

10 PIMCO EQUITY SERIES

(THIS PAGE INTENTIONALLY LEFT BLANK)

SEMIANNUAL REPORT DECEMBER 31, 2016 11

Financial Highlights

			Investment Operations									Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net Investment Income (Loss)(a)			Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Total
PIMCO Dividend and Income Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.94	$	0.14		$	0.58		$	0.72		$	(0.14	)	$	0.00		$	(0.14	)
06/30/2016		12.29		0.43			(1.58	)		(1.15	)		(0.44	)		(0.76	)		(1.20	)
06/30/2015		13.12		0.47			(0.50	)		(0.03	)		(0.46	)		(0.34	)		(0.80	)
06/30/2014		11.60		0.44			1.54			1.98			(0.46	)		0.00			(0.46	)
06/30/2013		10.47		0.54			1.03			1.57			(0.42	)		(0.02	)		(0.44	)
12/14/2011 - 06/30/2012		10.00		0.25			0.47			0.72			(0.25	)		0.00			(0.25	)
Class P
07/01/2016 - 12/31/2016+		9.96		0.13			0.58			0.71			(0.13	)		0.00			(0.13	)
06/30/2016		12.30		0.39			(1.54	)		(1.15	)		(0.43	)		(0.76	)		(1.19	)
06/30/2015		13.13		0.46			(0.50	)		(0.04	)		(0.45	)		(0.34	)		(0.79	)
06/30/2014		11.62		0.44			1.52			1.96			(0.45	)		0.00			(0.45	)
06/30/2013		10.48		0.54			1.03			1.57			(0.41	)		(0.02	)		(0.43	)
12/14/2011 - 06/30/2012		10.00		0.30			0.42			0.72			(0.24	)		0.00			(0.24	)
Class D
07/01/2016 - 12/31/2016+		9.94		0.12			0.58			0.70			(0.12	)		0.00			(0.12	)
06/30/2016		12.29		0.36			(1.54	)		(1.18	)		(0.41	)		(0.76	)		(1.17	)
06/30/2015		13.12		0.46			(0.53	)		(0.07	)		(0.42	)		(0.34	)		(0.76	)
06/30/2014		11.61		0.40			1.53			1.93			(0.42	)		0.00			(0.42	)
06/30/2013		10.47		0.46			1.09			1.55			(0.39	)		(0.02	)		(0.41	)
12/14/2011 - 06/30/2012		10.00		0.26			0.44			0.70			(0.23	)		0.00			(0.23	)
Class A
07/01/2016 - 12/31/2016+		9.94		0.12			0.58			0.70			(0.12	)		0.00			(0.12	)
06/30/2016		12.29		0.39			(1.57	)		(1.18	)		(0.41	)		(0.76	)		(1.17	)
06/30/2015		13.12		0.43			(0.50	)		(0.07	)		(0.42	)		(0.34	)		(0.76	)
06/30/2014		11.61		0.42			1.51			1.93			(0.42	)		0.00			(0.42	)
06/30/2013		10.47		0.48			1.07			1.55			(0.39	)		(0.02	)		(0.41	)
12/14/2011 - 06/30/2012		10.00		0.26			0.44			0.70			(0.23	)		0.00			(0.23	)
Class C
07/01/2016 - 12/31/2016+		9.92		0.08			0.58			0.66			(0.08	)		0.00			(0.08	)
06/30/2016		12.27		0.31			(1.57	)		(1.26	)		(0.33	)		(0.76	)		(1.09	)
06/30/2015		13.10		0.34			(0.51	)		(0.17	)		(0.32	)		(0.34	)		(0.66	)
06/30/2014		11.59		0.33			1.51			1.84			(0.33	)		0.00			(0.33	)
06/30/2013		10.46		0.40			1.06			1.46			(0.31	)		(0.02	)		(0.33	)
12/14/2011 - 06/30/2012		10.00		0.24			0.41			0.65			(0.19	)		0.00			(0.19	)
PIMCO EqS® Long/Short Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	11.69	$	(0.04	)	$	0.24		$	0.20		$	(0.36	)	$	(0.23	)	$	(0.59	)
06/30/2016		12.07		(0.17	)		(0.07	)		(0.24	)		0.00			(0.14	)		(0.14	)
06/30/2015		11.92		0.02			0.18			0.20			0.00			(0.05	)		(0.05	)
06/30/2014		11.09		(0.10	)		1.60			1.50			(0.06	)		(0.61	)		(0.67	)
06/30/2013		9.71		0.15			1.27			1.42			(0.04	)		0.00			(0.04	)
04/20/2012 - 06/30/2012		10.00		(0.02	)		(0.27	)		(0.29	)		0.00			0.00			0.00
Class P
07/01/2016 - 12/31/2016+		11.63		(0.04	)		0.23			0.19			(0.35	)		(0.23	)		(0.58	)
06/30/2016		12.02		(0.18	)		(0.07	)		(0.25	)		0.00			(0.14	)		(0.14	)
06/30/2015		11.88		0.02			0.17			0.19			0.00			(0.05	)		(0.05	)
06/30/2014		11.08		(0.08	)		1.56			1.48			(0.07	)		(0.61	)		(0.68	)
06/30/2013		9.70		(0.05	)		1.47			1.42			(0.04	)		0.00			(0.04	)
04/30/2012 - 06/30/2012		10.00		(0.02	)		(0.28	)		(0.30	)		0.00			0.00			0.00

12 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Expenses Excluding Interest Expense and Dividends on Securities Sold  Short			Expenses Excluding Interest Expense and Dividends on Securities Sold Short and Waivers			Expenses Net Investment Income (Loss)			Portfolio Turnover Rate
$	10.52		7.23	%	$	24,326		0.79	%*		0.81	%*		0.79	%*		0.81	%*		2.61	%*		49	%
	9.94		(9.06	)		31,840		0.83	(c)		1.00	(c)		0.83	(c)		1.00	(c)		4.02			114
	12.29		(0.12	)		68,607		0.83			1.00			0.83			1.00			3.70			98
	13.12		17.23			90,408		0.84			1.00			0.84			1.00			3.56			79
	11.60		15.17			69,203		0.83			1.00			0.83			1.00			4.66			75
	10.47		7.17			11,170		0.83	*		1.57	*		0.83	*		1.57	*		4.35	*		28
	10.54		7.14			22,113		0.89	*		0.91	*		0.89	*		0.91	*		2.49	*		49
	9.96		(9.05	)		34,120		0.93	(c)		1.10	(c)		0.93	(c)		1.10	(c)		3.52			114
	12.30		(0.22	)		169,790		0.93			1.10			0.93			1.10			3.64			98
	13.13		17.05			158,122		0.94			1.10			0.94			1.10			3.53			79
	11.62		15.15			85,724		0.93			1.10			0.93			1.10			4.62			75
	10.48		7.21			8,207		0.93	*		2.47	*		0.93	*		2.47	*		5.28	*		28
	10.52		7.01			8,807		1.14	*		1.16	*		1.14	*		1.16	*		2.24	*		49
	9.94		(9.38	)		10,623		1.18	(c)		1.35	(c)		1.18	(c)		1.35	(c)		3.36			114
	12.29		(0.47	)		41,094		1.18			1.35			1.18			1.35			3.59			98
	13.12		16.78			32,523		1.19			1.35			1.19			1.35			3.19			79
	11.61		14.91			23,204		1.18			1.35			1.18			1.35			4.00			75
	10.47		6.98			2,306		1.18	*		2.26	*		1.18	*		2.26	*		4.52	*		28
	10.52		7.04			142,081		1.14	*		1.16	*		1.14	*		1.16	*		2.24	*		49
	9.94		(9.38	)		167,857		1.18	(c)		1.35	(c)		1.18	(c)		1.35	(c)		3.66			114
	12.29		(0.49	)		296,317		1.18			1.35			1.18			1.35			3.39			98
	13.12		16.78			320,719		1.19			1.35			1.19			1.35			3.34			79
	11.61		14.91			117,579		1.18			1.35			1.18			1.35			4.18			75
	10.47		6.98			13,314		1.18	*		2.43	*		1.18	*		2.43	*		4.62	*		28
	10.50		6.63			164,552		1.89	*		1.91	*		1.89	*		1.91	*		1.49	*		49
	9.92		(10.07	)		195,393		1.93	(c)		2.10	(c)		1.93	(c)		2.10	(c)		2.90			114
	12.27		(1.23	)		358,171		1.93			2.10			1.93			2.10			2.67			98
	13.10		15.97			353,287		1.94			2.10			1.94			2.10			2.67			79
	11.59		14.08			86,879		1.93			2.10			1.93			2.10			3.42			75
	10.46		6.46			8,000		1.93	*		3.46	*		1.93	*		3.46	*		4.27	*		28
$	11.30		1.74	%	$	160,553		1.78	%*		1.80	%*		1.49	%*		1.51	%*		(0.61	)%*		117	%
	11.69		(2.02	)		243,341		2.42			2.43			1.50			1.51			(1.45	)		672
	12.07		1.74			299,808		1.91			1.92			1.49			1.50			0.20			450	(d)
	11.92		13.59			545,346		2.02			2.04			1.48			1.50			(0.82	)		522
	11.09		14.66			329,610		2.65			2.75			1.40			1.50			1.45			528
	9.71		(2.90	)		212,229		1.52	*		2.41	*		1.40	*		2.29	*		(1.30	)*		113
	11.24		1.68			153,785		1.88	*		1.90	*		1.59	*		1.61	*		(0.73	)*		117
	11.63		(2.11	)		249,973		2.53			2.54			1.60			1.61			(1.50	)		672
	12.02		1.66			207,511		2.01			2.02			1.59			1.60			0.16			450	(d)
	11.88		13.40			277,661		2.00			2.02			1.58			1.60			(0.71	)		522
	11.08		14.77			15,664		3.94			4.04			1.50			1.60			(0.48	)		528
	9.70		(3.00	)		10		1.62	*		2.40	*		1.50	*		2.28	*		(1.34	)*		113

SEMIANNUAL REPORT DECEMBER 31, 2016 13

Financial Highlights (Cont.)

			Investment Operations									Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net Investment Income (Loss)(a)			Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Total
PIMCO EqS® Long/Short Fund (Cont.)
Class D
07/01/2016 - 12/31/2016+	$	11.53	$	(0.06	)	$	0.24		$	0.18		$	(0.33	)	$	(0.23	)	$	(0.56	)
06/30/2016		11.95		(0.20	)		(0.08	)		(0.28	)		0.00			(0.14	)		(0.14	)
06/30/2015		11.84		(0.02	)		0.18			0.16			0.00			(0.05	)		(0.05	)
06/30/2014		11.06		(0.12	)		1.57			1.45			(0.06	)		(0.61	)		(0.67	)
06/30/2013		9.70		(0.10	)		1.48			1.38			(0.02	)		0.00			(0.02	)
04/30/2012 - 06/30/2012		10.00		(0.03	)		(0.27	)		(0.30	)		0.00			0.00			0.00
Class A
07/01/2016 - 12/31/2016+		11.52		(0.06	)		0.23			0.17			(0.34	)		(0.23	)		(0.57	)
06/30/2016		11.94		(0.21	)		(0.07	)		(0.28	)		0.00			(0.14	)		(0.14	)
06/30/2015		11.83		(0.02	)		0.18			0.16			0.00			(0.05	)		(0.05	)
06/30/2014		11.05		(0.12	)		1.57			1.45			(0.06	)		(0.61	)		(0.67	)
06/30/2013		9.70		(0.00	)^		1.38			1.38			(0.03	)		0.00			(0.03	)
04/30/2012 - 06/30/2012		10.00		(0.03	)		(0.27	)		(0.30	)		0.00			0.00			0.00
Class C
07/01/2016 - 12/31/2016+		11.20		(0.10	)		0.22			0.12			(0.29	)		(0.23	)		(0.52	)
06/30/2016		11.69		(0.29	)		(0.06	)		(0.35	)		0.00			(0.14	)		(0.14	)
06/30/2015		11.67		(0.11	)		0.18			0.07			0.00			(0.05	)		(0.05	)
06/30/2014		10.98		(0.20	)		1.55			1.35			(0.05	)		(0.61	)		(0.66	)
06/30/2013		9.69		0.01			1.29			1.30			(0.01	)		0.00			(0.01	)
04/30/2012 - 06/30/2012		10.00		(0.04	)		(0.27	)		(0.31	)		0.00			0.00			0.00

+ Unaudited

* Annualized

^{^}  Reflects an amount rounding to less than one cent.

^(a)  Per share amounts based on average number of shares outstanding during the year or period.

^(b)  The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

^(c)  Effective June 16, 2016, the Fund’s advisory fee wad decreased by 0.20% to an annual rate of 0.49%

^(d)  The amount previously reported as 763% in the Fund’s annual report has been restated, as above.

14 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Expenses Excluding Interest Expense and Dividends on Securities Sold  Short			Expenses Excluding Interest Expense and Dividends on Securities Sold  Short and Waivers			Expenses Net Investment Income (Loss)			Portfolio Turnover Rate
$	11.15		1.55	%	$	36,606		2.13	% *		2.15	% *		1.84	% *		1.86	% *		(0.94	) % *		117	%
	11.53		(2.37	)		62,130		2.77			2.78			1.85			1.86			(1.73	)		672
	11.95		1.41			44,227		2.26			2.27			1.84			1.85			(0.19	)		450	(d)
	11.84		13.13			77,934		2.31			2.33			1.83			1.85			(1.01	)		522
	11.06		14.31			12,421		3.95			4.05			1.75			1.85			(0.97	)		528
	9.70		(3.00	)		111		1.87	*		3.97	*		1.77	*		3.87	*		(1.72	)*		113
	11.12		1.49			105,993		2.13	*		2.15	*		1.84	*		1.86	*		(0.95	)*		117
	11.52		(2.38	)		147,582		2.79			2.80			1.85			1.86			(1.79	)		672
	11.94		1.41			172,843		2.26			2.27			1.84			1.85			(0.18	)		450	(d)
	11.83		13.17			382,160		2.27			2.29			1.83			1.85			(0.98	)		522
	11.05		14.27			24,759		3.62			3.72			1.75			1.85			(0.03	)		528
	9.70		(3.00	)		1,219		1.87	*		3.17	*		1.74	*		3.04	*		(1.70	)*		113
	10.80		1.11			109,816		2.88	*		2.90	*		2.59	*		2.61	*		(1.69	)*		117
	11.20		(3.03	)		145,358		3.54			3.55			2.60			2.61			(2.51	)		672
	11.69		0.66			140,719		3.01			3.02			2.59			2.60			(0.95	)		450	(d)
	11.67		12.26			214,485		3.00			3.02			2.58			2.60			(1.71	)		522
	10.98		13.41			9,530		4.04			4.14			2.50			2.60			0.13			528
	9.69		(3.10	)		53		2.62	*		4.50	*		2.52	*		4.40	*		(2.46	)*		113

SEMIANNUAL REPORT DECEMBER 31, 2016 15

Statements of Assets and Liabilities

(Amounts in thousands†, except per share amounts)	PIMCO Dividend and Income Fund			PIMCO EqS® Long/Short Fund
Assets:
Investments, at value
Investments in securities*	$	372,211		$	549,623
Investments in Affiliates		1,485			24,585
Financial Derivative Instruments
Exchange-traded or centrally cleared		75			167
Over the counter		979			705
Cash		499			1
Deposits with counterparty		1,043			72,633
Foreign currency, at value		551			481
Receivable for investments sold		10,401			20,975
Receivable for TBA investments sold		17,899			0
Receivable for Fund shares sold		156			804
Interest and/or dividends receivable		1,935			293
Dividends receivable from Affiliates		1			53
Reimbursement receivable from PIMCO		215			289
Other assets		1			1
Total Assets		407,451			670,610
Liabilities:
Borrowings & Other Financing Transactions
Payable for reverse repurchase agreements	$	1,563		$	0
Payable for short sales		97			74,472
Financial Derivative Instruments
Exchange-traded or centrally cleared		80			44
Over the counter		558			206
Payable for investments purchased		10,865			21,549
Payable for investments in Affiliates purchased		1			53
Payable for TBA investments purchased		29,990			0
Deposits from counterparty		580			540
Payable for Fund shares redeemed		1,108			5,787
Accrued investment advisory fees		163			560
Accrued supervisory and administrative fees		131			281
Accrued distribution fees		115			87
Accrued servicing fees		70			51
Other liabilities		251			227
Total Liabilities		45,572			103,857
Net Assets	$	361,879		$	566,753
Net Assets Consist of:
Paid in capital	$	476,378		$	560,053
(Overdistributed) net investment income		(980	)		(19,683	)
Accumulated undistributed net realized gain (loss)		(126,629	)		5,920
Net unrealized appreciation		13,110			20,463
Net Assets	$	361,879		$	566,753
Cost of investments in securities	$	359,982		$	530,924
Cost of investments in Affiliates	$	1,485		$	24,580
Cost of foreign currency held	$	550		$	484
Proceeds received on short sales	$	96		$	75,127
Cost or premiums of financial derivative instruments, net	$	(454	)	$	0
* Includes repurchase agreements of:	$	0		$	2,840

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

16 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	PIMCO Dividend and Income Fund		PIMCO EqS® Long/Short Fund
Net Assets:
Institutional Class	$	24,326	$	160,553
Class P		22,113		153,785
Class D		8,807		36,606
Class A		142,081		105,993
Class C		164,552		109,816
Shares Issued and Outstanding:
Institutional Class		2,311		14,210
Class P		2,097		13,683
Class D		837		3,284
Class A		13,507		9,527
Class C		15,673		10,169
Net Asset Value Per Share Outstanding:
Institutional Class	$	10.52	$	11.30
Class P		10.54		11.24
Class D		10.52		11.15
Class A		10.52		11.12
Class C		10.50		10.80

SEMIANNUAL REPORT DECEMBER 31, 2016 17

Statements of Operations

(Unaudited)

Six Months Ended December 31, 2016
(Amounts in thousands†)	PIMCO Dividend and Income Fund			PIMCO EqS® Long/Short Fund
Investment Income:
Interest	$	2,031		$	494
Dividends, net of foreign taxes*		4,807			3,006
Dividends from Investments in Affiliates		12			750
Total Income		6,850			4,250
Expenses:
Investment advisory fees		991			3,768
Supervisory and administrative fees		795			1,891
Distribution and/or servicing fees - Class D		13			68
Distribution fees - Class C		683			505
Servicing fees - Class A		195			164
Servicing fees - Class C		228			168
Dividends on short sales		0			813
Trustee fees		35			63
Interest expense		4			219
Miscellaneous expense		10			18
Total Expenses		2,954			7,677
Waiver and/or Reimbursement by PIMCO		(35	)		(63	)
Net Expenses		2,919			7,614
Net Investment Income (Loss)		3,931			(3,364	)
Net Realized Gain (Loss):
Investments in securities		2,834			41,436
Investments in Affiliates		(1	)		69
Exchange-traded or centrally cleared financial derivative instruments		859			(3,194	)
Over the counter financial derivative instruments		815			1,753
Short sales		0			(3,855	)
Foreign currency		(43	)		(103	)
Net Realized Gain		4,464			36,106
Net Change in Unrealized Appreciation (Depreciation):
Investments in securities		18,174			(23,165	)
Investments in Affiliates		(1	)		(27	)
Exchange-traded or centrally cleared financial derivative instruments		(426	)		620
Over the counter financial derivative instruments		474			1,228
Short sales		0			2,211
Foreign currency assets and liabilities		6			(110	)
Net Change in Unrealized Appreciation (Depreciation)		18,227			(19,243	)
Net Increase in Net Assets Resulting from Operations	$	26,622		$	13,499
* Foreign tax withholdings - Dividends	$	197		$	41

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

18 PIMCO EQUITY SERIES See Accompanying Notes

Statements of Changes in Net Assets

	PIMCO Dividend and Income Fund						PIMCO EqS® Long/Short Fund
(Amounts in thousands†)	Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016			Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016
(Decrease) in Net Assets from:
Operations:
Net investment income (loss)	$	3,931		$	21,611		$	(3,364	)	$	(15,129	)
Net realized gain (loss)		4,464			(132,213	)		36,106			4,258
Net change in unrealized appreciation (depreciation)		18,227			12,518			(19,243	)		(10,199	)
Net Increase (Decrease) in Net Assets Resulting from Operations		26,622			(98,084	)		13,499			(21,070	)
Distributions to Shareholders:
From net investment income
Institutional Class		(318	)		(1,746	)		(5,009	)		0
Class P		(275	)		(3,101	)		(4,771	)		0
Class D		(98	)		(848	)		(1,056	)		0
Class A		(1,604	)		(8,671	)		(3,239	)		0
Class C		(1,206	)		(8,146	)		(2,934	)		0
Class R		NA			(4	)^		NA			NA
From net realized capital gains
Institutional Class		0			(2,576	)		(3,352	)		(2,579	)
Class P		0			(5,302	)		(3,145	)		(3,075	)
Class D		0			(1,876	)		(852	)		(641	)
Class A		0			(16,603	)		(2,245	)		(1,768	)
Class C		0			(19,121	)		(2,370	)		(1,826	)
Class R		NA			(18	)^		NA			NA
Total Distributions(a)		(3,501	)		(68,012	)		(28,973	)		(9,889	)
Portfolio Share Transactions:
Net increase (decrease) resulting from Fund share transactions**		(101,075	)		(328,333	)		(266,157	)		14,235
Total (Decrease) in Net Assets		(77,954	)		(494,429	)		(281,631	)		(16,724	)
Net Assets:
Beginning of year or period		439,833			934,262			848,384			865,108
End of year or period*	$	361,879		$	439,833		$	566,753		$	848,384
* Including undistributed (overdistributed) net investment income of:	$	(980	)	$	(1,410	)	$	(19,683	)	$	690

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

^{^}  Class R Shares liquidated at the close of business on January 22, 2016.

** See Note 12 in the Notes to Financial Statements.

^(a)  The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

SEMIANNUAL REPORT DECEMBER 31, 2016 19

Statement of Cash Flows

Six Months Ended December 31,2016 (Unaudited)
(Amounts in thousands)	PIMCO EqS®  Long/Short Fund
Cash Flows Provided by Operating Activities:
Net increase in net assets resulting from operations	$	13,499
Adjustments to Reconcile Net Increase in Net Assets from Operations to Net Cash Provided by Operating Activities:
Purchases of long-term securities		(468,097	)
Proceeds from sales of long-term securities		708,524
Proceeds from sales of short-term portfolio investments, net		110,154
(Increase) in deposits with counterparty		(8,295	)
Decrease in receivable for investments sold		4,029
Decrease in interest and/or dividends receivable		336
Decrease in dividends receivable from Affiliates		144
Payments on exchange-traded or centrally cleared financial derivative instruments		(2,697	)
Proceeds from over the counter financial derivative instruments		1,752
(Increase) in other assets		(1	)
(Decrease) in payable for investments purchased		(56,730	)
Increase in deposits from counterparty		120
(Decrease) in accrued investment advisory fees		(185	)
(Decrease) in accrued supervisory and administrative fees		(92	)
(Decrease) in accrued distribution fees		(17	)
(Decrease) in accrued servicing fees		(10	)
(Increase) in reimbursement receivable from PIMCO		(138	)
Payments on short sales transactions, net		7,426
Payments on foreign currency transactions		(213	)
(Decrease) in other liabilities		(3	)
Net Realized (Gain) Loss
Investments in securities		(41,436	)
Investments in Affiliates		(69	)
Exchange-traded or centrally cleared financial derivative instruments		3,194
Over the counter financial derivative instruments		(1,753	)
Short sales		3,855
Foreign currency		103
Net Change in Unrealized (Appreciation) Depreciation
Investments in securities		23,165
Investments in Affiliates		27
Exchange-traded or centrally cleared financial derivative instruments		(620	)
Over the counter financial derivative instruments		(1,228	)
Short sales		(2,211	)
Foreign currency assets and liabilities		110
Net amortization (accretion) on investments		(392	)
Net Cash Provided by Operating Activities		292,251
Cash Flows (Used for) Financing Activities:
Proceeds from shares sold		66,978
Payments on shares redeemed		(358,683	)
Cash distributions paid*		(66	)
Net Cash (Used for) Financing Activities		(291,771	)
Net Increase in Cash and Foreign Currency		480
Cash and Foreign Currency:
Beginning of period		2
End of period	$	482
* Reinvestment of distributions	$	28,907
Supplemental Disclosure of Cash Flow Information:
Interest expense paid during the period	$	15

20 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO Dividend and Income Fund

December 31, 2016 (Unaudited)

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 102.9%
ASSET-BACKED SECURITIES 7.2%
CAYMAN ISLANDS 1.5%
ACAS CLO Ltd.
2.332% due 10/25/2025	$		750	$		750
Mariner CLO LLC
2.221% due 07/23/2026			700			702
NewMark Capital Funding CLO Ltd.
2.054% due 06/02/2025			1,100			1,096
OZLM Ltd.
2.430% due 04/17/2026			1,000			1,001
Palmer Square CLO Ltd.
2.280% due 10/17/2025			700			699
TICP CLO Ltd.
2.384% due 04/26/2026			1,100			1,099
Trainer Wortham First Republic CBO Ltd.
2.081% due 11/06/2038			63			63
Total Cayman Islands						5,410
UNITED STATES 5.7%
Conseco Financial Corp.
6.280% due 09/01/2030			586			621
Credit Suisse First Boston Mortgage Securities Corp.
1.376% due 01/25/2032			1,545			1,371
EMC Mortgage Loan Trust
1.884% due 02/25/2041			39			39
HSI Asset Securitization Corp. Trust
0.926% due 12/25/2036			5,494			2,312
Morgan Stanley Home Equity Loan Trust
0.856% due 12/25/2036			2,081			1,176
1.176% due 12/25/2035			3,600			3,174
Progress Residential Trust
2.236% due 09/17/2033			998			1,008
Residential Asset Securities Corp. Trust
1.469% due 01/25/2034			2,097			1,924
Structured Asset Investment Loan Trust
0.906% due 09/25/2036			6,696			5,893
VOLT LLC
3.500% due 07/25/2046			3,143			3,139
Total United States						20,657
Total Asset-Backed Securities (Cost $25,453)						26,067
BANK LOAN OBLIGATIONS 0.9%
UNITED STATES 0.9%
Diamond Resorts Corp.
7.000% due 08/11/2023			100			99
Energy Future Intermediate Holding Co. LLC
4.250% due 06/30/2017			1,988			2,003
Hilton Worldwide Finance LLC
3.256% due 10/25/2023			272			276
3.500% due 10/26/2020			20			20
iHeartCommunications, Inc.
7.520% due 01/30/2019			300			245
Las Vegas Sands LLC
3.020% due 12/19/2020			398			401
OGX
13.000% due 04/10/2049 ^			15			7
TEX Operations Co. LLC
5.000% due 08/04/2023			29			29
Total Bank Loan Obligations (Cost $3,117)						3,080
		SHARES
COMMON STOCKS 74.7%
AUSTRALIA 1.3%
CONSUMER DISCRETIONARY 0.1%
Myer Holdings Ltd.			281,645			280

	SHARES			MARKET VALUE (000S)
CONSUMER STAPLES 0.1%
Coca-Cola Amatil Ltd.		29,460	$		215
Metcash Ltd. (a)		192,964			317
					532
ENERGY 0.3%
Woodside Petroleum Ltd.		20,949			469
WorleyParsons Ltd.		96,551			672
					1,141
FINANCIALS 0.3%
AMP Ltd.		49,686			180
Australia & New Zealand Banking Group Ltd.		27,691			606
Genworth Mortgage Insurance Australia Ltd.		74,034			175
					961
HEALTH CARE 0.1%
Primary Health Care Ltd.		71,068			209
MATERIALS 0.4%
CSR Ltd.		86,598			288
Fortescue Metals Group Ltd.		164,104			686
Mineral Resources Ltd.		7,109			62
Orica Ltd.		22,774			289
OZ Minerals Ltd.		53,509			302
					1,627
Total Australia					4,750
AUSTRIA 0.4%
ENERGY 0.2%
OMV AG		18,086			638
FINANCIALS 0.1%
Raiffeisen Bank International AG		34,067			621
MATERIALS 0.1%
voestalpine AG		8,316			325
Total Austria					1,584
BELGIUM 0.1%
CONSUMER DISCRETIONARY 0.0%
D’ieteren S.A.		2,093			93
TELECOMMUNICATION SERVICES 0.1%
Proximus S.A.		9,512			273
Total Belgium					366
BRAZIL 0.0%
ENERGY 0.0%
OGX Petroleo e Gas S.A. SP - ADR		6,334			0
Total Brazil					0
CANADA 2.3%
ENERGY 0.6%
Baytex Energy Corp. (a)		43,503			213
Bonavista Energy Corp.		77,676			278
Encana Corp.		16,407			193

	SHARES			MARKET VALUE (000S)
Enerplus Corp.		70,052	$		665
Husky Energy, Inc. (a)		40,809			495
Pengrowth Energy Corp.		44,043			63
Penn West Petroleum Ltd. (a)		86,645			153
					2,060
FINANCIALS 0.7%
Canadian Imperial Bank of Commerce		16,944			1,383
Genworth MI Canada, Inc.		5,796			145
IGM Financial, Inc.		5,938			169
National Bank of Canada		11,992			487
Power Corp. of Canada		15,599			349
Power Financial Corp.		6,854			171
					2,704
INDUSTRIALS 0.1%
Bombardier, Inc. ‘B’ (a)		60,937			106
Russel Metals, Inc.		6,424			122
					228
MATERIALS 0.6%
IAMGOLD Corp. (a)		46,790			180
Teck Resources Ltd. ‘B’		111,489			2,231
					2,411
TELECOMMUNICATION SERVICES 0.1%
Manitoba Telecom Services, Inc.		7,513			213
UTILITIES 0.2%
Atco Ltd. ‘I’		10,020			333
TransAlta Corp.		68,446			379
					712
Total Canada					8,328
DENMARK 0.4%
INDUSTRIALS 0.3%
AP Moller - Maersk A/S		774			1,234
TELECOMMUNICATION SERVICES 0.1%
TDC A/S		66,750			342
Total Denmark					1,576
FINLAND 0.3%
INDUSTRIALS 0.0%
Metso OYJ		2,106			60
MATERIALS 0.1%
Stora Enso OYJ ‘R’		36,657			392
UTILITIES 0.2%
Fortum OYJ		33,941			519
Total Finland					971
FRANCE 5.4%
CONSUMER DISCRETIONARY 0.8%
Cie Generale des Etablissements Michelin		7,874			875
Lagardere S.C.A.		23,997			666

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 21

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Television Francaise 1		3,069	$		31
Vivendi S.A.		65,443			1,241
					2,813
CONSUMER STAPLES 0.1%
Casino Guichard Perrachon S.A.		9,413			451
ENERGY 0.9%
Total S.A.		60,976			3,127
Vallourec S.A.		29,230			201
					3,328
FINANCIALS 0.9%
CNP Assurances		9,413			174
Societe Generale S.A.		60,296			2,966
					3,140
HEALTH CARE 1.0%
Sanofi		44,655			3,611
INDUSTRIALS 0.6%
Bouygues S.A.		22,890			819
Rexel S.A.		8,267			136
Vinci S.A.		17,149			1,167
					2,122
TELECOMMUNICATION SERVICES 0.4%
Orange S.A.		108,006			1,638
UTILITIES 0.7%
Electricite de France S.A.		73,337			746
Engie S.A.		137,793			1,754
					2,500
Total France					19,603
GERMANY 3.2%
CONSUMER DISCRETIONARY 0.4%
Bayerische Motoren Werke AG		13,637			1,270
CONSUMER STAPLES 0.4%
METRO AG		30,887			1,027
Suedzucker AG		10,499			250
					1,277
FINANCIALS 0.3%
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen		6,367			1,203
HEALTH CARE 0.0%
Rhoen Klinikum AG		5,465			147
INDUSTRIALS 0.5%
Bilfinger SE		7,729			298
Deutsche Lufthansa AG		104,259			1,344
Deutsche Post AG		6,390			209
					1,851

	SHARES			MARKET VALUE (000S)
MATERIALS 0.6%
BASF SE		18,912	$		1,753
Evonik Industries AG		5,379			160
K+S AG		11,711			279
					2,192
UTILITIES 1.0%
E.ON SE		263,260			1,852
RWE AG		122,194			1,516
Uniper SE (a)		6,736			93
					3,461
Total Germany					11,401
HONG KONG 0.5%
CONSUMER DISCRETIONARY 0.1%
SJM Holdings Ltd.		369,000			288
INDUSTRIALS 0.1%
Noble Group Ltd.		1,984,000			231
INFORMATION TECHNOLOGY 0.1%
Kingboard Chemical Holdings Ltd.		84,000			254
REAL ESTATE 0.2%
Kerry Properties Ltd.		70,000			189
Shimao Property Holdings Ltd.		191,000			249
Swire Pacific Ltd. ‘A’		39,500			376
Wheelock & Co. Ltd.		43,000			241
					1,055
Total Hong Kong					1,828
ISRAEL 0.3%
FINANCIALS 0.1%
Bank Leumi Le-Israel BM (a)		117,738			484
MATERIALS 0.1%
Israel Chemicals Ltd.		65,432			267
TELECOMMUNICATION SERVICES 0.1%
Bezeq The Israeli Telecommunication Corp. Ltd.		217,650			413
Total Israel					1,164
ITALY 1.4%
ENERGY 0.7%
Eni SpA		149,407			2,422
Snam SpA		42,566			175
					2,597
FINANCIALS 0.2%
Poste Italiane SpA		77,417			514
UTILITIES 0.5%
Enel SpA		417,597			1,836
Total Italy					4,947

	SHARES			MARKET VALUE (000S)
JAPAN 8.7%
CONSUMER DISCRETIONARY 0.9%
Aisin Seiki Co. Ltd.		7,400	$		320
Benesse Holdings, Inc.		11,600			319
DCM Holdings Co. Ltd.		3,500			31
EDION Corp.		3,600			34
Fuji Media Holdings, Inc.		20,700			289
Isuzu Motors Ltd.		4,900			62
Nikon Corp.		27,500			427
Nissan Motor Co. Ltd.		100,300			1,006
Onward Holdings Co. Ltd.		22,000			154
Sega Sammy Holdings, Inc.		4,100			61
Sumitomo Rubber Industries Ltd.		16,500			261
Yamada Denki Co. Ltd.		31,400			169
Yokohama Rubber Co. Ltd.		1,600			29
					3,162
CONSUMER STAPLES 0.1%
Coca-Cola West Co. Ltd.		9,500			280
Kirin Holdings Co. Ltd.		15,400			250
					530
ENERGY 0.2%
Idemitsu Kosan Co. Ltd.		11,600			308
JX Holdings, Inc.		137,300			580
					888
FINANCIALS 1.8%
Mitsubishi UFJ Financial Group, Inc.		370,000			2,282
Mizuho Financial Group, Inc.		716,000			1,285
Nishi-Nippon Financial Holdings, Inc. (a)		15,500			162
North Pacific Bank Ltd.		15,500			64
Resona Holdings, Inc.		124,100			636
Sumitomo Mitsui Financial Group, Inc.		39,800			1,516
Sumitomo Mitsui Trust Holdings, Inc.		13,500			483
					6,428
HEALTH CARE 0.4%
Daiichi Sankyo Co. Ltd.		22,300			455
Hoya Corp.		3,700			155
Takeda Pharmaceutical Co. Ltd.		15,800			656
					1,266
INDUSTRIALS 2.1%
Asahi Glass Co. Ltd.		84,000			570
Dai Nippon Printing Co. Ltd.		7,000			69
Hitachi Construction Machinery Co. Ltd.		15,700			339
ITOCHU Corp.		42,200			559
Japan Airlines Co. Ltd.		12,700			371
Komatsu Ltd.		32,800			743
Marubeni Corp.		144,300			816
Mitsubishi Corp.		39,700			843
Mitsui & Co. Ltd.		81,200			1,113
Mitsui Engineering & Shipbuilding Co. Ltd.		55,000			85
Nippon Yusen KK		226,000			418
Sumitomo Corp.		72,500			851
Sumitomo Heavy Industries Ltd.		6,000			39
Toshiba Corp.		297,000			717

22 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
West Japan Railway Co.		3,100	$		190
					7,723
INFORMATION TECHNOLOGY 1.8%
Brother Industries Ltd.		9,900			178
Canon, Inc.		54,800			1,543
DeNA Co. Ltd.		900			20
Fujitsu Ltd.		220,000			1,218
Gree, Inc.		10,800			57
Hitachi Ltd.		421,000			2,270
Ibiden Co. Ltd.		18,000			241
Nippon Electric Glass Co. Ltd.		64,000			345
Ricoh Co. Ltd.		95,000			803
					6,675
MATERIALS 0.7%
Asahi Kasei Corp.		16,000			139
Denka Co. Ltd.		32,000			141
DIC Corp.		8,600			261
Kobe Steel Ltd.		25,900			246
Mitsubishi Chemical Holdings Corp.		72,900			471
Mitsui Mining & Smelting Co. Ltd.		100,000			252
Nippon Light Metal Holdings Co. Ltd.		14,300			30
Rengo Co. Ltd.		29,000			158
Showa Denko KK		27,300			390
Sumitomo Metal Mining Co. Ltd.		15,000			191
Ube Industries Ltd.		88,000			184
					2,463
REAL ESTATE 0.1%
Daito Trust Construction Co. Ltd.		1,300			195
TELECOMMUNICATION SERVICES 0.5%
Nippon Telegraph & Telephone Corp.		29,000			1,221
NTT DOCOMO, Inc.		30,100			684
					1,905
UTILITIES 0.1%
Chugoku Electric Power Co., Inc.		18,300			214
Hokuriku Electric Power Co.		18,600			208
					422
Total Japan					31,657
LUXEMBOURG 0.5%
CONSUMER DISCRETIONARY 0.0%
RTL Group S.A.		1,850			136
MATERIALS 0.5%
ArcelorMittal		230,178			1,691
Total Luxembourg					1,827
MACAU 0.0%
CONSUMER DISCRETIONARY 0.0%
Wynn Macau Ltd.		19,200			30
Total Macau					30

	SHARES			MARKET VALUE (000S)
MEXICO 0.0%
CONSUMER DISCRETIONARY 0.0%
Desarrolladora Homex S.A.B. de C.V. (a)		41,996	$		2
Total Mexico					2
NETHERLANDS 2.7%
CONSUMER STAPLES 0.3%
Koninklijke Ahold Delhaize NV		55,347			1,166
ENERGY 1.8%
Fugro NV		13,142			201
Royal Dutch Shell PLC ‘A’		237,003			6,464
					6,665
FINANCIALS 0.1%
Aegon NV		30,256			166
Delta Lloyd NV		32,149			180
					346
INDUSTRIALS 0.4%
Koninklijke Philips NV		43,254			1,322
TELECOMMUNICATION SERVICES 0.1%
Koninklijke KPN NV		60,259			178
VimpelCom Ltd. SP - ADR		39,936			154
					332
Total Netherlands					9,831
NEW ZEALAND 0.1%
TELECOMMUNICATION SERVICES 0.1%
Spark New Zealand Ltd.		90,106			213
Total New Zealand					213
NORWAY 0.7%
CONSUMER STAPLES 0.1%
Marine Harvest ASA		18,920			342
ENERGY 0.6%
Aker Solutions ASA		13,572			65
Statoil ASA		114,885			2,097
					2,162
FINANCIALS 0.0%
Gjensidige Forsikring ASA		9,451			150
Total Norway					2,654
PORTUGAL 0.1%
UTILITIES 0.1%
EDP - Energias de Portugal S.A.		113,258			345
Total Portugal					345
SINGAPORE 0.1%
INDUSTRIALS 0.1%
Keppel Corp. Ltd.		86,900			346
Total Singapore					346

	SHARES			MARKET VALUE (000S)
SPAIN 2.4%
CONSUMER STAPLES 0.1%
Distribuidora Internacional de Alimentacion S.A.		39,565	$		194
FINANCIALS 1.4%
Banco Santander S.A.		944,033			4,911
Mapfre S.A.		86,120			263
					5,174
INDUSTRIALS 0.3%
Abertis Infraestructuras S.A.		12,961			181
ACS Actividades de Construccion y Servicios S.A.		19,001			600
Obrascon Huarte Lain S.A.		62,178			215
					996
TELECOMMUNICATION SERVICES 0.3%
Telefonica S.A.		101,831			940
UTILITIES 0.3%
Endesa S.A.		60,110			1,271
Total Spain					8,575
SWEDEN 0.4%
FINANCIALS 0.0%
Ratos AB ‘B’		35,288			167
HEALTH CARE 0.0%
Getinge AB ‘B’		8,880			142
INDUSTRIALS 0.1%
Skanska AB ‘B’		8,609			203
TELECOMMUNICATION SERVICES 0.3%
Tele2 AB ‘B’		75,467			603
Telia Co. AB		109,707			441
					1,044
Total Sweden					1,556
SWITZERLAND 2.0%
CONSUMER DISCRETIONARY 0.1%
Garmin Ltd.		4,370			212
ENERGY 0.0%
Transocean Ltd.		10,721			158
FINANCIALS 1.2%
Baloise Holding AG		1,502			189
Swiss Life Holding AG		2,935			829
Swiss Re AG		14,742			1,395
Zurich Insurance Group AG		7,060			1,940
					4,353
HEALTH CARE 0.6%
Novartis AG		9,043			658
Roche Holding AG		6,859			1,563
					2,221

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 23

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

	SHARES			MARKET VALUE (000S)
TELECOMMUNICATION SERVICES 0.1%
Swisscom AG		683	$		305
Total Switzerland					7,249
UNITED KINGDOM 7.7%
CONSUMER DISCRETIONARY 0.3%
Kingfisher PLC		114,278			492
Marks & Spencer Group PLC		112,113			483
Pearson PLC		19,915			200
					1,175
CONSUMER STAPLES 0.7%
British American Tobacco PLC		21,539			1,221
J Sainsbury PLC		147,206			452
Tate & Lyle PLC		18,638			162
WM Morrison Supermarkets PLC		263,674			749
					2,584
ENERGY 1.4%
BP PLC		760,627			4,764
Subsea 7 S.A.		9,755			123
					4,887
FINANCIALS 3.1%
Barclays PLC		1,085,878			2,980
HSBC Holdings PLC		794,179			6,408
Old Mutual PLC		128,765			328
Standard Chartered PLC		190,022			1,550
					11,266
HEALTH CARE 0.5%
GlaxoSmithKline PLC		103,237			1,983
INDUSTRIALS 0.4%
Aggreko PLC		5,168			58
BAE Systems PLC		128,721			936
Firstgroup PLC (a)		126,140			161
IMI PLC		2,363			30
Smiths Group PLC		1,709			30
Stagecoach Group PLC		44,625			119
					1,334
MATERIALS 0.3%
Anglo American PLC (a)		40,932			579
Rio Tinto PLC		12,207			466
					1,045
TELECOMMUNICATION SERVICES 0.4%
Vodafone Group PLC		577,630			1,422
UTILITIES 0.6%
Centrica PLC		296,148			853
Drax Group PLC		58,086			270
National Grid PLC		65,874			770
Severn Trent PLC		5,765			157
					2,050
Total United Kingdom					27,746

	SHARES			MARKET VALUE (000S)
UNITED STATES 33.7%
CONSUMER DISCRETIONARY 2.0%
Abercrombie & Fitch Co. ‘A’		23,530	$		282
Coach, Inc.		4,938			173
Dillard’s, Inc. ‘A’		6,029			378
Ford Motor Co.		51,448			624
Gap, Inc.		32,080			720
Goodyear Tire & Rubber Co.		4,337			134
Guess?, Inc.		14,432			175
Kohl’s Corp.		26,642			1,315
Macy’s, Inc.		17,368			622
Mattel, Inc.		7,980			220
Regal Entertainment Group ‘A’		7,282			150
Rent-A-Center, Inc.		14,971			168
Staples, Inc.		22,236			201
Time, Inc.		16,461			294
Tupperware Brands Corp.		3,967			209
Viacom, Inc. ‘B’		29,232			1,026
Weight Watchers International, Inc. (a)		18,666			214
Wynn Resorts Ltd.		3,612			312
					7,217
CONSUMER STAPLES 2.5%
Altria Group, Inc.		9,902			670
Avon Products, Inc.		152,506			769
Bunge Ltd.		3,745			270
Herbalife Ltd. (a)		8,374			403
Kimberly-Clark Corp.		1,977			226
PepsiCo, Inc.		3,796			397
Philip Morris International, Inc.		28,672			2,623
Procter & Gamble Co.		9,393			790
Wal-Mart Stores, Inc.		42,713			2,952
					9,100
ENERGY 7.7%
Apache Corp.		15,485			983
California Resources Corp. (a)		26,123			556
Chesapeake Energy Corp. (a)		268,191			1,883
Chevron Corp.		53,168			6,258
ConocoPhillips		55,043			2,760
CONSOL Energy, Inc.		6,172			113
Denbury Resources, Inc. (a)		98,194			361
Devon Energy Corp.		1,703			78
Diamond Offshore Drilling, Inc.		12,225			216
Exxon Mobil Corp.		90,025			8,126
Hess Corp.		15,700			978
HollyFrontier Corp.		13,899			455
Marathon Oil Corp.		61,723			1,069
Marathon Petroleum Corp.		12,675			638
Murphy Oil Corp.		23,440			730
National Oilwell Varco, Inc.		20,997			786
Occidental Petroleum Corp.		15,051			1,072
ONEOK, Inc.		520			30
Patterson-UTI Energy, Inc.		1,121			30
Spectra Energy Corp.		8,014			329
Superior Energy Services, Inc.		4,288			72
Valero Energy Corp.		6,957			475
					27,998
FINANCIALS 3.6%
Aflac, Inc.		6,119			426
American International Group, Inc.		44,999			2,939

	SHARES			MARKET VALUE (000S)
American National Insurance Co.		662	$		82
Assurant, Inc.		5,024			466
Capital One Financial Corp.		9,712			847
Discover Financial Services		8,665			625
Donnelley Financial Solutions, Inc. (a)		1,921			44
Fifth Third Bancorp		5,942			160
Franklin Resources, Inc.		1,319			52
Goldman Sachs Group, Inc.		1,180			283
JPMorgan Chase & Co.		28,202			2,434
Loews Corp.		9,070			425
Navient Corp.		45,686			751
People’s United Financial, Inc.		11,231			217
Progressive Corp.		3,959			140
Reinsurance Group of America, Inc.		1,118			141
Santander Consumer USA Holdings, Inc. (a)		17,830			241
SLM Corp. (a)		55,119			607
Travelers Cos., Inc.		16,923			2,072
					12,952
HEALTH CARE 4.0%
Anthem, Inc.		16,606			2,387
Baxter International, Inc.		9,850			437
HCA Holdings, Inc. (a)		20,954			1,551
Johnson & Johnson		15,944			1,837
Merck & Co., Inc.		25,848			1,522
Pfizer, Inc.		195,380			6,346
Quest Diagnostics, Inc.		5,779			531
					14,611
INDUSTRIALS 2.0%
AGCO Corp.		517			30
Armstrong World Industries, Inc. (a)		7,645			320
Caterpillar, Inc.		14,827			1,375
Deere & Co.		14,511			1,495
Dun & Bradstreet Corp.		1,025			124
Emerson Electric Co.		17,208			959
Joy Global, Inc.		17,288			484
L3 Technologies, Inc.		4,064			618
LSC Communications, Inc.		1,921			57
Norfolk Southern Corp.		6,613			715
Oshkosh Corp.		455			29
Pitney Bowes, Inc.		18,136			275
RR Donnelley & Sons Co.		5,123			84
Ryder System, Inc.		399			30
Waste Management, Inc.		6,933			492
					7,087
INFORMATION TECHNOLOGY 4.6%
Booz Allen Hamilton Holding Corp.		12,574			454
CA, Inc.		12,948			411
Corning, Inc.		35,517			862
HP, Inc.		58,806			873
Intel Corp.		126,580			4,591
International Business Machines Corp.		41,172			6,834
Jabil Circuit, Inc.		6,162			146
Seagate Technology PLC		35,978			1,373
Western Union Co.		20,403			443
Xerox Corp.		68,575			599
					16,586

24 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

		SHARES			MARKET VALUE (000S)
MATERIALS 1.5%
CF Industries Holdings, Inc.			14,070	$		443
Domtar Corp.			9,896			386
Freeport-McMoRan, Inc. (a)			160,757			2,120
Huntsman Corp.			6,757			129
LyondellBasell Industries NV ‘A’			10,229			877
Mosaic Co.			31,191			915
Newmont Mining Corp.			13,994			477
Reliance Steel & Aluminum Co.			1,719			137
						5,484
TELECOMMUNICATION SERVICES 3.3%
AT&T, Inc.			159,578			6,787
CenturyLink, Inc.			47,764			1,136
Frontier Communications Corp.			74,639			252
Telephone & Data Systems, Inc.			3,029			88
Verizon Communications, Inc.			67,014			3,577
						11,840
UTILITIES 2.5%
Ameren Corp.			6,211			326
American Electric Power Co., Inc.			14,300			900
CenterPoint Energy, Inc.			19,261			475
Consolidated Edison, Inc.			11,277			831
Entergy Corp.			18,578			1,365
Exelon Corp.			35,243			1,251
FirstEnergy Corp.			34,130			1,057
Great Plains Energy, Inc.			6,903			189
Pinnacle West Capital Corp.			4,205			328
PPL Corp.			15,981			544
Public Service Enterprise Group, Inc.			15,726			690
Southern Co.			12,956			637
Vectren Corp.			2,808			146
Xcel Energy, Inc.			6,140			250
						8,989
Total United States						121,864
Total Common Stocks (Cost $255,604)						270,413
		PRINCIPAL AMOUNT (000S)
CORPORATE BONDS & NOTES 7.9%
AUSTRALIA 0.1%
BANKING & FINANCE 0.1%
National Australia Bank Ltd.
1.375% due 07/12/2019	$		400			393
Total Australia						393
AUSTRIA 0.0%
INDUSTRIALS 0.0%
OGX Austria GmbH
8.375% due 04/01/2022 ^			200			0
8.500% due 06/01/2018 ^			200			0
						0
Total Austria						0
BRAZIL 0.4%
UTILITIES 0.4%
Petrobras Global Finance BV
5.375% due 01/27/2021			483			473

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
4.375% due 05/20/2023	$		57	$		50
4.875% due 03/17/2020			273			271
3.873% due 03/17/2020			37			36
6.250% due 12/14/2026	GBP		100			116
6.850% due 06/05/2115	$		108			88
6.875% due 01/20/2040			2			2
8.375% due 05/23/2021			485			524
						1,560
Total Brazil						1,560
CAYMAN ISLANDS 0.0%
UTILITIES 0.0%
Odebrecht Drilling Norbe Ltd.
6.350% due 06/30/2022			143			65
Total Cayman Islands						65
DENMARK 0.7%
BANKING & FINANCE 0.7%
Nykredit Realkredit A/S
3.000% due 10/01/2047	DKK		9,529			1,403
Realkredit Danmark A/S
2.000% due 04/01/2017			8,800			1,254
						2,657
Total Denmark						2,657
FRANCE 0.7%
BANKING & FINANCE 0.4%
BPCE S.A.
12.500% due 09/30/2019 (f)	$		100			122
Credit Agricole S.A.
7.875% due 01/23/2024 (f)			500			507
RCI Banque S.A.
3.500% due 04/03/2018			1,000			1,019
						1,648
INDUSTRIALS 0.3%
SFR Group S.A.
7.375% due 05/01/2026			1,000			1,025
Total France						2,673
GERMANY 0.2%
BANKING & FINANCE 0.2%
Deutsche Bank AG
4.250% due 10/14/2021			590			592
Total Germany						592
IRELAND 0.2%
BANKING & FINANCE 0.1%
Vnesheconombank Via VEB Finance PLC
6.902% due 07/09/2020			100			108
INDUSTRIALS 0.1%
Russian Railways via RZD Capital PLC
7.487% due 03/25/2031	GBP		300			420
Total Ireland						528
ITALY 0.1%
UTILITIES 0.1%
Telecom Italia SpA
7.375% due 12/15/2017			250			325
Total Italy						325

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
LUXEMBOURG 0.6%
BANKING & FINANCE 0.2%
Sberbank of Russia Via SB Capital S.A.
3.352% due 11/15/2019	EUR		200	$		222
6.125% due 02/07/2022	$		400			436
						658
UTILITIES 0.4%
Gazprom Neft OAO Via GPN Capital S.A.
4.375% due 09/19/2022			300			298
6.000% due 11/27/2023			300			319
Gazprom OAO Via Gaz Capital S.A.
9.250% due 04/23/2019			600			681
5.999% due 01/23/2021			30			32
6.605% due 02/13/2018	EUR		50			56
						1,386
Total Luxembourg						2,044
MEXICO 0.0%
INDUSTRIALS 0.0%
Corp. GEO S.A.B. de C.V.
8.875% due 03/27/2022 ^	$		300			0
9.250% due 06/30/2020 ^			100			0
Petroleos Mexicanos
4.607% due 03/11/2022			20			21
5.375% due 03/13/2022			10			10
6.500% due 03/13/2027			40			41
						72
Total Mexico						72
NETHERLANDS 0.1%
BANKING & FINANCE 0.1%
Cooperatieve Rabobank UA
6.625% due 06/29/2021 (f)	EUR		200			226
Total Netherlands						226
UNITED KINGDOM 2.0%
BANKING & FINANCE 1.7%
Barclays Bank PLC
14.000% due 06/15/2019 (f)	GBP		300			455
7.625% due 11/21/2022	$		830			912
HSBC Holdings PLC
3.600% due 05/25/2023			200			201
6.000% due 09/29/2023 (f)	EUR		520			567
Lloyds Banking Group PLC
7.875% due 06/27/2029 (f)	GBP		400			523
7.625% due 06/27/2023 (f)			200			259
Royal Bank of Scotland Group PLC
7.500% due 08/10/2020 (f)	$		360			342
8.000% due 08/10/2025 (f)			450			432
2.500% due 03/22/2023	EUR		350			376
Royal Bank of Scotland PLC
9.500% due 03/16/2022	$		200			203
Santander UK Group Holdings PLC
4.750% due 09/15/2025			760			746
Santander UK PLC
5.000% due 11/07/2023			200			204
Tesco Property Finance PLC
6.052% due 10/13/2039	GBP		778			996
TIG FinCo PLC
8.500% due 03/02/2020			60			76
						6,292
INDUSTRIALS 0.3%
Enterprise Inns PLC
6.875% due 02/15/2021			200			269

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 25

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
Marstons Issuer PLC
5.641% due 07/15/2035	GBP		200	$		224
Mitchells & Butlers Finance PLC
0.823% due 12/15/2030			149			160
Spirit Issuer PLC
6.582% due 12/28/2027			200			270
3.067% due 12/28/2031			22			25
Unique Pub Finance Co. PLC
5.659% due 06/30/2027			48			63
						1,011
Total United Kingdom						7,303
UNITED STATES 2.8%
BANKING & FINANCE 1.3%
Blackstone CQP Holdco LP
9.296% due 03/19/2019	$		321			324
Cantor Fitzgerald LP
7.875% due 10/15/2019			280			311
CIT Group, Inc.
3.875% due 02/19/2019			378			387
International Lease Finance Corp.
7.125% due 09/01/2018			325			351
6.250% due 05/15/2019			1,110			1,196
Navient Corp.
8.000% due 03/25/2020			600			667
Springleaf Finance Corp.
6.900% due 12/15/2017			200			209
8.250% due 12/15/2020			980			1,068
						4,513
INDUSTRIALS 1.3%
Anheuser-Busch InBev Finance, Inc.
4.900% due 02/01/2046			17			18
Caesars Entertainment Operating Co., Inc.
8.500% due 02/15/2020 ^(g)			286			300
9.000% due 02/15/2020 ^(g)			240			250
11.250% due 06/01/2017 ^(g)			304			311
CVS Pass-Through Trust
8.353% due 07/10/2031			696			898
Diamond Resorts International, Inc.
7.750% due 09/01/2023			103			105
iHeartCommunications, Inc.
9.000% due 03/01/2021			3			2
9.000% due 12/15/2019			54			44
9.000% due 09/15/2022			697			515
Time Warner Cable LLC
6.750% due 07/01/2018			500			534
5.000% due 02/01/2020			600			637
Time Warner, Inc.
3.800% due 02/15/2027			14			14
Tyson Foods, Inc.
4.875% due 08/15/2034			500			510
Viacom, Inc.
2.200% due 04/01/2019			450			446
						4,584
UTILITIES 0.2%
AT&T, Inc.
5.650% due 02/15/2047			8			9
Kinder Morgan Finance Co. LLC
6.000% due 01/15/2018			800			833
						842
Total United States						9,939

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
VENEZUELA 0.0%
INDUSTRIALS 0.0%
Petroleos de Venezuela S.A.
8.500% due 11/02/2017	$		200	$		159
Total Venezuela						159
Total Corporate Bonds & Notes (Cost $29,444)						28,536
NON-AGENCY MORTGAGE-BACKED SECURITIES 4.0%
UNITED KINGDOM 0.7%
Eurosail PLC
1.325% due 06/13/2045	GBP		1,241			1,398
Grifonas Finance PLC
0.088% due 08/28/2039	EUR		445			355
Juno Eclipse Ltd.
0.000% due 11/20/2022			453			473
RMAC PLC
0.616% due 06/12/2036	GBP		322			365
Total United Kingdom						2,591
UNITED STATES 3.3%
Banc of America Alternative Loan Trust
6.000% due 04/25/2036 ^	$		63			55
6.000% due 07/25/2046 ^			132			116
Banc of America Funding Trust
3.096% due 05/20/2036 ^			30			27
Banc of America Mortgage Trust
3.439% due 11/20/2046 ^			12			10
6.000% due 10/25/2036 ^			36			31
Bear Stearns Mortgage Funding Trust
7.500% due 08/25/2036			168			162
Chase Mortgage Finance Trust
3.210% due 09/25/2036 ^			74			66
Countrywide Alternative Loan Trust
1.456% due 10/25/2037 ^			6,097			1,872
5.500% due 09/25/2035			2,028			1,911
6.000% due 06/25/2036 ^			191			158
6.000% due 02/25/2037 ^			89			61
6.000% due 06/25/2037 ^			595			456
6.250% due 12/25/2036 ^			37			27
Countrywide Home Loan Mortgage Pass-Through Trust
1.256% due 07/25/2037 ^			31			19
Credit Suisse First Boston Mortgage Securities Corp.
6.000% due 11/25/2035 ^			23			13
6.000% due 01/25/2036			53			41
Credit Suisse Mortgage Capital Certificates
2.448% due 12/29/2037			202			140
Credit Suisse Mortgage Capital Mortgage-Backed Trust
5.000% due 03/25/2037 ^			3			3
First Horizon Alternative Mortgage Securities Trust
3.129% due 06/25/2036			593			486
HSI Asset Loan Obligation Trust
6.000% due 06/25/2037 ^			16			14
JPMorgan Alternative Loan Trust
1.852% due 05/26/2037			118			104
JPMorgan Mortgage Trust
6.500% due 07/25/2036 ^			133			108
Merrill Lynch Mortgage Investors Trust
3.243% due 03/25/2036 ^			20			14
Residential Accredit Loans, Inc. Trust
1.156% due 10/25/2045			144			110
5.500% due 03/25/2037			696			559
6.250% due 03/25/2037 ^			51			41
Structured Adjustable Rate Mortgage Loan Trust
3.086% due 10/25/2036 ^			3,334			2,465
Wells Fargo Alternative Loan Trust
3.139% due 07/25/2037 ^			2,039			1,737

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
Wells Fargo Commercial Mortgage Trust
3.412% due 09/15/2058	$		1,156	$		1,190
Total United States						11,996
Total Non-Agency Mortgage-Backed Securities (Cost $16,177)						14,587
MUNICIPAL BONDS & NOTES 0.5%
CALIFORNIA 0.2%
California State Public Works Board Revenue Notes, Series 2011
5.786% due 12/01/2021			750			813
Total California						813
ILLINOIS 0.0%
Illinois State General Obligation Bonds, (BABs), Series 2010
6.630% due 02/01/2035			15			16
Illinois State General Obligation Bonds, Series 2003
5.100% due 06/01/2033			120			106
Total Illinois						122
MICHIGAN 0.1%
Michigan Tobacco Settlement Finance Authority Revenue Bonds, Series 2006
7.309% due 06/01/2034			220			203
Total Michigan						203
VIRGINIA 0.1%
Tobacco Settlement Financing Corp., Virginia Revenue Bonds, Series 2007
6.706% due 06/01/2046			385			308
Total Virginia						308
WEST VIRGINIA 0.1%
Tobacco Settlement Finance Authority, West Virginia Revenue Bonds, Series 2007
7.467% due 06/01/2047			365			330
Total West Virginia						330
Total Municipal Bonds & Notes (Cost $1,752)						1,776
		SHARES
PREFERRED STOCKS 0.4%
GERMANY 0.4%
INDUSTRIALS 0.4%
Volkswagen AG			9,979			1,396
Total Preferred Stocks (Cost $1,366)						1,396
REAL ESTATE INVESTMENT TRUSTS 0.3%
CANADA 0.1%
REAL ESTATE 0.1%
Dream Office Real Estate Investment Trust			14,726			214
Total Canada						214
UNITED STATES 0.2%
FINANCIALS 0.1%
Annaly Capital Management, Inc.			38,864			387
Chimera Investment Corp.			7,095			121
						508

26 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

		SHARES			MARKET VALUE (000S)
REAL ESTATE 0.1%
Hospitality Properties Trust			4,299	$		137
Iron Mountain, Inc.			7,604			247
						384
Total United States						892
Total Real Estate Investment Trusts (Cost $1,145)						1,106
		PRINCIPAL AMOUNT (000S)
SOVEREIGN ISSUES 0.4%
BRAZIL 0.1%
Brazil Notas do Tesouro Nacional
6.000% due 05/15/2045 (e)	BRL		1,477			469
Total Brazil						469
GREECE 0.1%
Republic of Greece Government International Bond
3.800% due 08/08/2017	JPY		39,000			327
4.500% due 07/03/2017			10,000			85
4.750% due 04/17/2019	EUR		100			100
Total Greece						512
SAUDI ARABIA 0.1%
Saudi Government International Bond
4.500% due 10/26/2046	$		200			192
Total Saudi Arabia						192
SPAIN 0.0%
Autonomous Community of Catalonia
4.900% due 09/15/2021	EUR		50			57
Total Spain						57

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
VENEZUELA 0.1%
Venezuela Government International Bond
7.650% due 04/21/2025	$		100	$		46
7.750% due 10/13/2019			200			112
Total Venezuela						158
Total Sovereign Issues (Cost $1,713)						1,388
U.S. GOVERNMENT AGENCIES 3.8%
UNITED STATES 3.8%
Fannie Mae
3.000% due 11/01/2029			35			36
3.500% due 02/01/2046 (h)			1,766			1,811
Fannie Mae, TBA
2.500% due 02/01/2032			1,000			1,000
3.000% due 02/01/2047			4,900			4,857
3.500% due 02/01/2047			4,000			4,092
Freddie Mac, TBA
3.000% due 01/01/2047			2,000			1,985
Total U.S. Government Agencies (Cost $13,826)						13,781
U.S. TREASURY OBLIGATIONS 2.2%
UNITED STATES 2.2%
U.S. Treasury Bonds
2.875% due 11/15/2046			1,000			963
U.S. Treasury Notes
1.125% due 06/30/2021			1,100			1,064
1.750% due 11/30/2021			900			893
2.000% due 11/15/2026 (h)			700			672
2.125% due 11/30/2023			1,400			1,389
2.250% due 12/31/2023			3,000			2,998
Total U.S. Treasury Obligations (Cost $8,027)						7,979

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
SHORT-TERM INSTRUMENTS 0.6%
JAPAN TREASURY BILLS 0.6%
(0.255)% due 01/30/2017 (b)(c)	JPY		240,000	$		2,054
MEXICO TREASURY BILLS 0.0%
5.789% due 02/02/2017 (c)(d)	MXN		1,000			48
Total Short-Term Instruments (Cost $2,358)						2,102
Total Investments in Securities (Cost $359,982)						372,211
		SHARES
INVESTMENTS IN AFFILIATES 0.4%
SHORT-TERM INSTRUMENTS 0.4%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 0.4%
PIMCO Short-Term Floating NAV Portfolio III			150,182			1,485
Total Short-Term Instruments (Cost $1,485)						1,485
Total Investments in Affiliates (Cost $1,485)						1,485
Total Investments 103.3% (Cost $361,467)				$		373,696
Financial Derivative Instruments (i)(j) 0.1% (Cost or Premiums, net $(454))						416
Other Assets and Liabilities, net (3.4)%						(12,233	)
Net Assets 100.0%				$		361,879

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF CONTRACTS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

^ Security is in default.

(a) Security did not produce income within the last twelve months.

(b) Coupon represents a weighted average yield to maturity.

(c) Zero coupon security.

(d) Coupon represents a yield to maturity.

(e) Principal amount of security is adjusted for inflation.

(f) Perpetual maturity; date shown, if applicable, represents next contractual call date.

(g) Security is subject to a forbearance agreement entered into by the Fund which forbears the Fund from taking action to, among other things, accelerate and collect payments on the subject note with respect to specified events of default.

BORROWINGS AND OTHER FINANCING TRANSACTIONS

REVERSE REPURCHASE AGREEMENTS:

Counterparty	Borrowing Rate(1)			Borrowing Date		Maturity Date		Amount Borrowed(1)			Payable for Reverse Repurchase Agreements
BOS		(0.400	)%		01/03/2017		01/09/2017	$	(674	)	$	(674	)
		1.030			12/14/2016		01/18/2017		(889	)		(889	)
Total Reverse Repurchase Agreements											$	(1,563	)

⁽¹⁾ The average amount of borrowings outstanding during the period ended December 31, 2016 was $(319) at a weighted average interest rate of 0.725%. Average borrowings includes sale-buyback transactions, of which there were none open at period end.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 27

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

SHORT SALES

Description	Coupon		Maturity Date		Principal Amount		Proceeds			Payable for Short Sales
U.S. Treasury Notes		1.125%		09/30/2021		$    100	$	(96	)	$	(97	)
Total Short Sales							$	(96	)	$	(97	)

BORROWINGS AND OTHER FINANCING TRANSACTIONS SUMMARY

The following is a summary by counterparty of the market value of Borrowings and Other Financing Transactions and collateral pledged/(received) as of December 31, 2016:

(h) Securities with an aggregate market value of $1,592 have been pledged as collateral under the terms of the following master agreements as of December 31, 2016.

Counterparty	Repurchase Agreement Proceeds to be Received		Payable for Reverse Repurchase Agreements			Payable for Sale-Buyback Transactions		Payable for Short Sales			Total Borrowings and Other Financing Transactions			Collateral Pledged/(Received)		Net  Exposure(2)
Global/Master Repurchase Agreement
BOS	$	0	$	(1,563	)	$	0	$	0		$	(1,563	)	$	1,592	$	29
Master Securities Forward Transaction Agreement
BPS		0		0			0		(97	)		(97	)		0		(97	)
Total Borrowings and Other Financing Transactions	$	0	$	(1,563	)	$	0	$	(97	)

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from borrowings and other financing transactions can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 7, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

CERTAIN TRANSFERS ACCOUNTED FOR AS SECURED BORROWINGS

Remaining Contractual Maturity of the Agreements

	Overnight and Continuous		Up to 30 days			31-90 days		Greater Than 90 days		Total
Reverse Repurchase Agreements
U.S. Government Agencies	$	0	$	(889	)	$	0	$	0	$	(889	)
Total Borrowings	$	0	$	(889	)	$	0	$	0	$	(889	)
Gross amount of recognized liabilities for reverse repurchase agreements(3)										$	(889	)

⁽³⁾ Unsettled reverse repurchase agreements liability of $(674) is outstanding at period end.

(i)  FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED

FUTURES CONTRACTS:

Description	Type	Expiration Month		# of Contracts		Unrealized Appreciation/ (Depreciation)			Variation Margin
									Asset		Liability
British pound currency March Futures	Short		03/2017		56	$	134		$	0	$	(30	)
Euro currency March Futures	Short		03/2017		11		18			0		(7	)
Japanese yen currency March Futures	Short		03/2017		3		5			0		0
U.S. Treasury 10-Year Note March Futures	Long		03/2017		16		(10	)		6		0
Total Futures Contracts						$	147		$	6	$	(37	)

SWAP AGREEMENTS:

CREDIT DEFAULT SWAPS ON CREDIT INDICES - SELL PROTECTION⁽¹⁾

Index/Tranches	Fixed Receive Rate			Maturity Date		Notional Amount(2)		Market Value(3)			Unrealized (Depreciation)			Variation Margin
														Asset		Liability
CDX.HY-26 5-Year Index		0.000	%		06/20/2021	$	600	$	(43	)	$	(1	)	$	0	$	(1	)

⁽¹⁾ If the Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced index or (ii) pay a net settlement amount in the form of cash, securities or other deliverable obligations equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index.

28 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

⁽²⁾ The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

⁽³⁾ The prices and resulting values for credit default swap agreements on credit indices serve as an indicator of the current status of the payment/performance risk and represent the likelihood of an expected liability (or profit) for the credit derivative should the notional amount of the swap agreement be closed/sold as of the period end. Increasing market values, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced indices’ credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

INTEREST RATE SWAPS

Pay/Receive Floating Rate	Floating Rate Index	Fixed Rate			Maturity Date		Notional Amount			Market Value			Unrealized Appreciation/ (Depreciation)			Variation Margin
																Asset		Liability
Pay	3-Month USD-LIBOR		1.750	%		12/21/2023		$	1,700	$	47		$	4		$	0	$	(3	)
Receive	3-Month USD-LIBOR		1.750			12/21/2026			7,200		385			475			0		(24	)
Receive	3-Month USD-LIBOR		1.500			06/21/2027			200		17			(1	)		0		(1	)
Receive	3-Month USD-LIBOR		2.250			12/21/2046			600		49			127			0		(5	)
Pay	3-Month ZAR-JIBAR		8.250			03/15/2022		ZAR	31,900		37			32			6		0
Pay	6-Month AUD-BBR-BBSW		2.750			06/17/2026		AUD	9,300		(121	)		(469	)		48		0
Pay	6-Month JPY-LIBOR		0.000			09/20/2026		JPY	20,000		3			0			0		0
Receive	6-Month JPY-LIBOR		0.500			09/20/2046			80,000		63			20			0		(9	)
Pay	28-Day MXN-TIIE		5.610			07/07/2021		MXN	700		(3	)		(1	)		0		0
Pay	28-Day MXN-TIIE		6.750			08/31/2021			2,000		(3	)		(2	)		0		0
Pay	28-Day MXN-TIIE		5.797			09/06/2021			1,200		(4	)		(1	)		0		0
Pay	28-Day MXN-TIIE		7.030			11/10/2021			2,400		(3	)		(2	)		0		0
Pay	28-Day MXN-TIIE		7.350			11/17/2021			600		0			0			0		0
Pay	28-Day MXN-TIIE		7.387			11/17/2021			500		0			0			0		0
Pay	28-Day MXN-TIIE		7.199			12/03/2021			500		0			0			0		0
Pay	28-Day MXN-TIIE		5.990			01/30/2026			4,300		(27	)		(23	)		1		0
Pay	28-Day MXN-TIIE		6.080			03/10/2026			14,100		(84	)		(77	)		4		0
Pay	28-Day MXN-TIIE		6.490			09/08/2026			30,000		(145	)		(158	)		10		0
Pay	28-Day MXN-TIIE		7.380			11/04/2026			100		0			0			0		0
										$	211		$	(76	)	$	69	$	(42	)
Total Swap Agreements										$	168		$	(77	)	$	69	$	(43	)

FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED SUMMARY

The following is a summary of the market value and variation margin of Exchange-Traded or Centrally Cleared Financial Derivative Instruments as of December 31, 2016:

Cash of $1,007 has been pledged as collateral for exchange-traded and centrally cleared financial derivative instruments as of December 31, 2016.

	Financial Derivative Assets								Financial Derivative Liabilities
	Market Value		Variation Margin Asset						Market Value		Variation Margin Liability
	Purchased Options		Futures		Swap Agreements		Total		Written Options		Futures		Swap Agreements		Total
Total Exchange-Traded or Centrally Cleared	$	0	$	6	$	69	$	75	$	0	$	(37)	$	(43)	$	(80)

(j)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

FORWARD FOREIGN CURRENCY CONTRACTS:

Counterparty	Settlement Month		Currency to be Delivered		Currency to be Received		Unrealized Appreciation/ (Depreciation)
							Asset		Liability
AZD		01/2017	AUD	86	$	62	$	0	$	0
		02/2017	$	1,142	GBP	924		0		(2	)
BOA		01/2017	DKK	10,500	$	1,587		100		0
		01/2017	JPY	48,365		420		6		0
		01/2017	$	1,954	EUR	1,879		24		0
		02/2017	EUR	1,879	$	1,957		0		(24	)
		02/2017	$	967	MXN	18,552		0		(77	)
		04/2017	DKK	8,976	$	1,362		85		0
BPS		01/2017	BRL	5,071		1,467		0		(91	)
		01/2017	EUR	2,835		3,007		22		0
		01/2017	$	1,544	BRL	5,071		14		0
		02/2017	GBP	2,373	$	2,961		33		0
		02/2017	$	106	MXN	2,174		0		(2	)

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 29

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

Counterparty	Settlement Month		Currency to be Delivered		Currency to be Received		Unrealized Appreciation/ (Depreciation)
							Asset		Liability
CBK		01/2017	AUD	139	$	103	$	3	$	0
		01/2017	JPY	240,000		2,326		269		0
		01/2017	$	112	EUR	107		1		0
DUB		01/2017	BRL	3,976	$	1,208		0		(13	)
		01/2017	$	1,167	BRL	3,976		54		0
		02/2017	BRL	2,948	$	860		0		(39	)
		02/2017	$	414	BRL	1,398		13		0
GLM		01/2017	BRL	205	$	63		0		0
		01/2017	EUR	17		18		0		0
		01/2017	$	169	AUD	226		0		(6	)
		01/2017		60	BRL	205		3		0
		01/2017		117	DKK	780		0		(7	)
		01/2017		2,564	JPY	293,300		0		(54	)
		02/2017	ZAR	415	$	30		0		0
HUS		01/2017	AUD	1,269		945		29		0
IND		02/2017	JPY	104,219		991		97		0
JPM		01/2017	BRL	68		21		0		0
		01/2017	$	20	BRL	68		1		0
		01/2017		1,442	JPY	169,473		9		0
		02/2017	JPY	169,473	$	1,443		0		(9	)
		02/2017	$	543	RUB	35,977		37		0
MSB		01/2017		70	AUD	94		0		(2	)
SCX		01/2017	BRL	1,398	$	429		0		(1	)
		01/2017	JPY	414,408		3,709		163		0
		01/2017	$	414	BRL	1,398		15		0
		01/2017		924	EUR	866		0		(12	)
		02/2017	MXN	992	$	48		1		0
Total Forward Foreign Currency Contracts							$	979	$	(339	)

SWAP AGREEMENTS:

CREDIT DEFAULT SWAPS ON CORPORATE ISSUES - SELL PROTECTION⁽¹⁾

Counterparty	Reference Entity	Fixed Receive Rate		Maturity Date		Implied Credit Spread at December 31, 2016(2)		Notional Amount(3)		Premiums (Received)			Unrealized Appreciation		Swap Agreements, at Value
															Asset		Liability
GST	Petrobras Global Finance BV		1.000%		12/20/2021		4.729%		$    200	$	(37	)	$	5	$	0	$	(32	)

CREDIT DEFAULT SWAPS ON CREDIT INDICES - SELL PROTECTION⁽¹⁾

Counterparty	Index/Tranches	Fixed Receive Rate			Maturity Date		Notional Amount(3)		Premiums (Received)			Unrealized Appreciation		Swap Agreements, at  Value(4)
														Asset		Liability
DUB	CMBX.NA.AAA.9 Index		0.500	%		09/17/2058	$	2,300		$    (128	)	$	78	$	0	$	(50	)
FBF	CMBX.NA.AAA.9 Index		0.500			09/17/2058		600		(24	)		11		0		(13	)
GST	CMBX.NA.AAA.9 Index		0.500			09/17/2058		3,200		(132	)		62		0		(70	)
MYC	CMBX.NA.AAA.9 Index		0.500			09/17/2058		2,400		(133	)		81		0		(52	)
										$    (417	)	$	232	$	0	$	(185	)

⁽¹⁾ If the Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation or underlying securities comprising the referenced index or (ii) pay a net settlement amount in the form of cash, securities or other deliverable obligations equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index.

⁽²⁾ Implied credit spreads, represented in absolute terms, utilized in determining the market value of credit default swap agreements on corporate issues as of period end serve as an indicator of the current status of the payment/performance risk and represent the likelihood or risk of default for the credit derivative. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

⁽³⁾ The maximum potential amount the Fund could be required to pay as a seller of credit protection or receive as a buyer of credit protection if a credit event occurs as defined under the terms of that particular swap agreement.

⁽⁴⁾ The prices and resulting values for credit default swap agreements on credit indices serve as an indicator of the current status of the payment/performance risk and represent the likelihood of an expected liability (or profit) for the credit derivative should the notional amount of the swap agreement be closed/sold as of the period end. Increasing market values, in absolute terms when compared to the notional amount of the swap, represent a deterioration of the referenced indices’ credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

30 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

INTEREST RATE SWAPS

Counterparty	Pay/Receive Floating Rate	Floating Rate Index	Fixed Rate			Maturity Date		Notional Amount		Premiums Paid/(Received)			Unrealized Appreciation/ (Depreciation)			Swap Agreements, at Value
																Asset		Liability
DUB	Pay	3-Month USD-LIBOR		2.100	%		02/21/2022	$	4,500	$	0		$	(2	)	$	0	$	(2	)
GLM	Pay	3-Month USD-LIBOR		2.100			02/21/2022		40		0			0			0		0
										$	0		$	(2	)	$	0	$	(2	)
Total Swap Agreements										$	(454	)	$	235		$	0	$	(219	)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts			Written Options		Swap Agreements			Total Over the Counter			Net Market Value of OTC Derivatives			Collateral Pledged/ (Received)			Net Exposure(5)
AZD	$	0	$	0	$	0	$	0	$	(2	)	$	0	$	0		$	(2	)	$	(2	)	$	0		$	(2	)
BOA		215		0		0		215		(101	)		0		0			(101	)		114			0			114
BPS		69		0		0		69		(93	)		0		0			(93	)		(24	)		0			(24	)
CBK		273		0		0		273		0			0		0			0			273			(300	)		(27	)
DUB		67		0		0		67		(52	)		0		(52	)		(104	)		(37	)		0			(37	)
FBF		0		0		0		0		0			0		(13	)		(13	)		(13	)		0			(13	)
GLM		3		0		0		3		(67	)		0		0			(67	)		(64	)		0			(64	)
GST		0		0		0		0		0			0		(102	)		(102	)		(102	)		0			(102	)
HUS		29		0		0		29		0			0		0			0			29			0			29
IND		97		0		0		97		0			0		0			0			97			0			97
JPM		47		0		0		47		(9	)		0		0			(9	)		38			0			38
MSB		0		0		0		0		(2	)		0		0			(2	)		(2	)		0			(2	)
MYC		0		0		0		0		0			0		(52	)		(52	)		(52	)		0			(52	)
SCX		179		0		0		179		(13	)		0		0			(13	)		166			(280	)		(114	)
Total Over the Counter	$	979	$	0	$	0	$	979	$	(339	)	$	0	$	(219	)	$	(558	)

⁽⁵⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 7, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 7, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	0	$	0	$	6	$	6
Swap Agreements		0		0		0		0		69		69
	$	0	$	0	$	0	$	0	$	75	$	75
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	979	$	0	$	979
	$	0	$	0	$	0	$	979	$	75	$	1,054
Financial Derivative Instruments - Liabilities
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	0	$	37	$	0	$	37
Swap Agreements		0		1		0		0		42		43
	$	0	$	1	$	0	$	37	$	42	$	80
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	339	$	0	$	339
Swap Agreements		0		217		0		0		2		219
	$	0	$	217	$	0	$	339	$	2	$	558
	$	0	$	218	$	0	$	376	$	44	$	638

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 31

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts			Equity Contracts		Foreign Exchange Contracts			Interest Rate Contracts			Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Futures	$	0	$	0		$	0	$	(36	)	$	783		$	747
Swap Agreements		0		62			0		0			50			112
	$	0	$	62		$	0	$	(36	)	$	833		$	859
Over the counter
Forward Foreign Currency Contracts	$	0	$	0		$	0	$	794		$	0		$	794
Swap Agreements		0		21			0		0			0			21
	$	0	$	21		$	0	$	794		$	0		$	815
	$	0	$	83		$	0	$	758		$	833		$	1,674
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Futures	$	0	$	0		$	0	$	(326	)	$	(10	)	$	(336	)
Swap Agreements		0		(14	)		0		0			(76	)		(90	)
	$	0	$	(14	)	$	0	$	(326	)	$	(86	)	$	(426	)
Over the counter
Forward Foreign Currency Contracts	$	0	$	0		$	0	$	261		$	0		$	261
Swap Agreements		0		215			0		0			(2	)		213
	$	0	$	215		$	0	$	261		$	(2	)	$	474
	$	0	$	201		$	0	$	(65	)	$	(88	)	$	48

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Asset-Backed Securities
Cayman Islands	$	0	$	5,410	$	0	$	5,410
United States		0		20,657		0		20,657
Bank Loan Obligations
United States		0		3,073		7		3,080
Common Stocks
Australia
Consumer Discretionary		0		280		0		280
Consumer Staples		0		532		0		532
Energy		0		1,141		0		1,141
Financials		0		961		0		961
Health Care		0		209		0		209
Materials		0		1,627		0		1,627
Austria
Energy		0		638		0		638
Financials		0		621		0		621
Materials		0		325		0		325
Belgium
Consumer Discretionary		0		93		0		93
Telecommunication Services		0		273		0		273
Canada
Energy		2,060		0		0		2,060
Financials		2,704		0		0		2,704
Industrials		228		0		0		228
Materials		2,411		0		0		2,411
Telecommunication Services		213		0		0		213
Utilities		712		0		0		712
Denmark
Industrials		0		1,234		0		1,234
Telecommunication Services		0		342		0		342
Finland
Industrials		0		60		0		60
Materials		0		392		0		392
Utilities		0		519		0		519

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
France
Consumer Discretionary	$	0	$	2,813	$	0	$	2,813
Consumer Staples		0		451		0		451
Energy		0		3,328		0		3,328
Financials		0		3,140		0		3,140
Health Care		0		3,611		0		3,611
Industrials		0		2,122		0		2,122
Telecommunication Services		0		1,638		0		1,638
Utilities		0		2,500		0		2,500
Germany
Consumer Discretionary		0		1,270		0		1,270
Consumer Staples		0		1,277		0		1,277
Financials		0		1,203		0		1,203
Health Care		0		147		0		147
Industrials		0		1,851		0		1,851
Materials		0		2,192		0		2,192
Utilities		0		3,461		0		3,461
Hong Kong
Consumer Discretionary		0		288		0		288
Industrials		0		231		0		231
Information Technology		0		254		0		254
Real Estate		0		1,055		0		1,055
Israel
Financials		0		484		0		484
Materials		0		267		0		267
Telecommunication Services		0		413		0		413
Italy
Energy		0		2,597		0		2,597
Financials		514		0		0		514
Utilities		0		1,836		0		1,836
Japan
Consumer Discretionary		0		3,162		0		3,162
Consumer Staples		0		530		0		530
Energy		0		888		0		888
Financials		162		6,266		0		6,428

32 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Health Care	$	0	$	1,266	$	0	$	1,266
Industrials		0		7,723		0		7,723
Information Technology		0		6,675		0		6,675
Materials		0		2,463		0		2,463
Real Estate		0		195		0		195
Telecommunication Services		0		1,905		0		1,905
Utilities		0		422		0		422
Luxembourg
Consumer Discretionary		0		136		0		136
Materials		0		1,691		0		1,691
Macau
Consumer Discretionary		0		30		0		30
Mexico
Consumer Discretionary		2		0		0		2
Netherlands
Consumer Staples		0		1,166		0		1,166
Energy		0		6,665		0		6,665
Financials		0		346		0		346
Industrials		0		1,322		0		1,322
Telecommunication Services		154		178		0		332
New Zealand
Telecommunication Services		0		213		0		213
Norway
Consumer Staples		0		342		0		342
Energy		0		2,162		0		2,162
Financials		0		150		0		150
Portugal
Utilities		0		345		0		345
Singapore
Industrials		0		346		0		346
Spain
Consumer Staples		0		194		0		194
Financials		0		5,174		0		5,174
Industrials		0		996		0		996
Telecommunication Services		0		940		0		940
Utilities		0		1,271		0		1,271
Sweden
Financials		0		167		0		167
Health Care		0		142		0		142
Industrials		0		203		0		203
Telecommunication Services		0		1,044		0		1,044
Switzerland
Consumer Discretionary		212		0		0		212
Energy		158		0		0		158
Financials		0		4,353		0		4,353
Health Care		0		2,221		0		2,221
Telecommunication Services		0		305		0		305
United Kingdom
Consumer Discretionary		0		1,175		0		1,175
Consumer Staples		0		2,584		0		2,584
Energy		0		4,887		0		4,887
Financials		0		11,266		0		11,266
Health Care		0		1,983		0		1,983
Industrials		0		1,334		0		1,334
Materials		0		1,045		0		1,045
Telecommunication Services		0		1,422		0		1,422
Utilities		0		2,050		0		2,050
United States
Consumer Discretionary		7,217		0		0		7,217
Consumer Staples		9,100		0		0		9,100
Energy		27,998		0		0		27,998
Financials		12,952		0		0		12,952
Health Care		14,611		0		0		14,611
Industrials		7,087		0		0		7,087
Information Technology		16,586		0		0		16,586
Materials		5,484		0		0		5,484
Telecommunication Services		11,840		0		0		11,840
Utilities		8,989		0		0		8,989
Corporate Bonds & Notes
Australia
Banking & Finance		0		393		0		393
Brazil
Utilities		0		1,560		0		1,560

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Cayman Islands
Utilities	$	0	$	65	$	0	$	65
Denmark
Banking & Finance		0		2,657		0		2,657
France
Banking & Finance		0		1,648		0		1,648
Industrials		0		1,025		0		1,025
Germany
Banking & Finance		0		592		0		592
Ireland
Banking & Finance		0		108		0		108
Industrials		0		420		0		420
Italy
Utilities		0		325		0		325
Luxembourg
Banking & Finance		0		658		0		658
Utilities		0		1,386		0		1,386
Mexico
Industrials		0		72		0		72
Netherlands
Banking & Finance		0		226		0		226
United Kingdom
Banking & Finance		0		6,292		0		6,292
Industrials		0		1,011		0		1,011
United States
Banking & Finance		0		4,513		0		4,513
Industrials		0		4,584		0		4,584
Utilities		0		842		0		842
Venezuela
Industrials		0		159		0		159
Non-Agency Mortgage-Backed Securities
United Kingdom		0		2,591		0		2,591
United States		0		11,996		0		11,996
Municipal Bonds & Notes
California		0		813		0		813
Illinois		0		122		0		122
Michigan		0		203		0		203
Virginia		0		308		0		308
West Virginia		0		330		0		330
Preferred Stocks
Germany
Industrials		0		1,396		0		1,396
Real Estate Investment Trusts
Canada
Real Estate		214		0		0		214
United States
Financials		508		0		0		508
Real Estate		384		0		0		384
Sovereign Issues
Brazil		0		469		0		469
Greece		0		512		0		512
Saudi Arabia		0		192		0		192
Spain		0		57		0		57
Venezuela		0		158		0		158
U.S. Government Agencies
United States		0		13,781		0		13,781
U.S. Treasury Obligations
United States		0		7,979		0		7,979
Short-Term Instruments
Japan Treasury Bills		0		2,054		0		2,054
Mexico Treasury Bills		0		48		0		48
	$	132,500	$	239,704	$	7	$	372,211
Investments in Affiliates, at Value
Short-Term Instruments
Central Funds Used for Cash Management Purposes	$	1,485	$	0	$	0	$	1,485
Total Investments	$	133,985	$	239,704	$	7	$	373,696

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 33

Schedule of Investments PIMCO Dividend and Income Fund (Cont.)

December 31, 2016 (Unaudited)

Category and Subcategory	Level 1		Level 2			Level 3		Fair Value at 12/31/2016
Short Sales, at Value - Liabilities
U.S. Treasury Obligations	$	0	$	(97	)	$	0	$	(97	)
	$	0	$	(97	)	$	0	$	(97	)
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared		6		69			0		75
Over the counter		0		979			0		979
	$	6	$	1,048		$	0	$	1,054

Category and Subcategory	Level 1			Level 2			Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Liabilities
Exchange-traded or centrally cleared	$	(37	)	$	(43	)	$	0	$	(80	)
Over the counter		0			(558	)		0		(558	)
	$	(37	)	$	(601	)	$	0	$	(638	)
Total Financial Derivative Instruments	$	(31	)	$	447		$	0	$	416
Totals	$	133,954		$	240,054		$	7	$	374,015

There were assets and liabilities valued at $1,452 transferred from Level 1 to Level 2 during the period ended December 31, 2016. There were no significant assets and liabilities transferred from Level 2 to Level 1 during the period ended December 31, 2016. There were no significant transfers between Levels 2 and 3 during the period ended December 31, 2016.

34 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO EqS^®Long/Short Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 97.0%
COMMON STOCKS 59.2%
AUSTRALIA 2.2%
MATERIALS 2.2%
BHP Billiton Ltd. ADR		347,000	$		12,416
Total Australia					12,416
CANADA 1.7%
ENERGY 0.4%
Enbridge, Inc.		50,000			2,104
UTILITIES 1.3%
Fortis, Inc.		250,000			7,720
Total Canada					9,824
SWITZERLAND 3.0%
CONSUMER STAPLES 3.0%
Nestle S.A.		235,000			16,835
Total Switzerland					16,835
UNITED KINGDOM 5.4%
CONSUMER DISCRETIONARY 1.6%
Delphi Automotive PLC		135,000			9,092
INDUSTRIALS 3.8%
IHS Markit Ltd. (a)		600,000			21,246
Total United Kingdom					30,338
UNITED STATES 46.9%
CONSUMER DISCRETIONARY 7.9%
Carnival Corp.		180,000			9,371
DR Horton, Inc.		200,000			5,466
Lowe’s Cos., Inc.		85,000			6,045
NVR, Inc. (a)(g)		10,000			16,690
Royal Caribbean Cruises Ltd.		90,000			7,384
					44,956
CONSUMER STAPLES 3.1%
Kroger Co.		350,000			12,079
Sanderson Farms, Inc. (g)		60,000			5,654
					17,733

	SHARES			MARKET VALUE (000S)
ENERGY 13.0%
Arch Coal, Inc. (a)(g)		35,000	$		2,732
Enable Midstream Partners LP (g)		311,000			4,892
Energy Transfer Partners LP		490,000			17,547
Enterprise Products Partners LP		630,000			17,035
Plains All American Pipeline LP		390,000			12,593
Williams Partners LP		500,000			19,015
					73,814
FINANCIALS 2.3%
Bank of the Ozarks, Inc. (g)		250,000			13,147
HEALTH CARE 2.3%
Laboratory Corp. of America Holdings (a)		78,000			10,014
Merck & Co., Inc.		50,000			2,943
					12,957
INDUSTRIALS 8.8%
CSX Corp. (g)		395,000			14,192
KAR Auction Services, Inc.		300,000			12,786
Norfolk Southern Corp.		106,000			11,456
Union Pacific Corp.		110,000			11,405
					49,839
INFORMATION TECHNOLOGY 7.7%
DST Systems, Inc.		110,000			11,786
eBay, Inc. (a)		400,000			11,876
First Data Corp. ‘A’ (a)		1,400,000			19,866
					43,528
MATERIALS 1.8%
Sealed Air Corp.		220,000			9,975
Total United States					265,949
Total Common Stocks (Cost $317,431)					335,362
REAL ESTATE INVESTMENT TRUSTS 1.4%
UNITED STATES 1.4%
REAL ESTATE 1.4%
Iron Mountain, Inc.		255,000			8,282
Total Real Estate Investment Trusts (Cost $7,519)					8,282

		PRINCIPAL AMOUNT (000S)			MARKET VALUE (000S)
U.S. TREASURY OBLIGATIONS 0.6%
UNITED STATES 0.6%
U.S. Treasury Floating Rate Notes
0.730% due 07/31/2018	$		3,200	$		3,203
Total U.S. Treasury Obligations (Cost $3,200)						3,203
SHORT-TERM INSTRUMENTS 35.8%
REPURCHASE AGREEMENTS (d) 0.5%
						2,840
U.S. TREASURY BILLS 35.3%
0.488% due 03/02/2017 - 03/16/2017 (b)(c)(h)			200,100			199,936
Total Short-Term Instruments (Cost $202,774)						202,776
Total Investments in Securities (Cost $530,924)						549,623
		SHARES
INVESTMENTS IN AFFILIATES 4.3%
SHORT-TERM INSTRUMENTS 4.3%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 4.3%
PIMCO Short-Term Floating NAV Portfolio III			2,487,075			24,585
Total Short-Term Instruments (Cost $24,580)						24,585
Total Investments in Affiliates (Cost $24,580)						24,585
Total Investments 101.3% (Cost $555,504)				$		574,208
Securities Sold Short (e) (13.1)% (Proceeds $75,127)						(74,472	)
Financial Derivative Instruments (f)(i) 0.1% (Cost or Premiums, net $0)						622
Other Assets and Liabilities, net 11.7%						66,395
Net Assets 100.0%				$		566,753

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF CONTRACTS AND SHARES):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Security did not produce income within the last twelve months.

(b) Coupon represents a weighted average yield to maturity.

(c) Zero coupon security.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 35

Schedule of Investments PIMCO EqS^®Long/Short Fund (Cont.)

BORROWINGS AND OTHER FINANCING TRANSACTIONS

(d)  REPURCHASE AGREEMENTS:

Counterparty	Lending Rate			Settlement Date		Maturity Date		Principal Amount		Collateralized By	Collateral (Received)			Repurchase Agreements, at Value		Repurchase Agreement Proceeds to be Received(1)
SSB		0.010	%		12/30/2016		01/03/2017	$	2,840	U.S. Treasury Notes 1.000% due 05/15/2018(2)	$	(2,897	)	$	2,840	$	2,840
Total Repurchase Agreements											$	(5,794	)	$	2,840	$	2,840

⁽¹⁾  Includes accrued interest.

⁽²⁾  Collateral is held in custody by the counterparty.

(e)  SECURITIES SOLD SHORT:

Counterparty	Description	Shares		Proceeds			Payable for Short  Sales(3)
	Common Stocks
	Canada
	Energy
GSC	TransCanada Corp.		75,000	$	(3,287	)	$	(3,413	)
	Industrials
FOB	Canadian Pacific Railway Ltd.		41,000		(3,036	)		(5,864	)
GSC	Canadian Pacific Railway Ltd.		20,000		(5,942	)		(2,861	)
	United Kingdom
	Industrials
GSC	Rolls-Royce Holdings PLC		14,250,000		(4,134	)		(3,713	)
	United States
	Consumer Discretionary
FOB	Buckle, Inc.		130,430		(4,040	)		(2,974	)
	Consumer Staples
GSC	Mead Johnson Nutrition Co.		60,000		(4,706	)		(4,266	)
FOB	Procter & Gamble Co.		100,000		(8,356	)		(8,408	)
	Energy
GSC	Exxon Mobil Corp.		170,000		(14,826	)		(15,344	)
	Health Care
FOB	Merck & Co., Inc.		50,000		(3,184	)		(2,967	)
	Quest Diagnostics, Inc.		40,000		(3,082	)		(3,676	)
	Industrials
GSC	Swift Transportation Co.		100,000		(2,435	)		(2,436	)
FOB	Emerson Electric Co.		60,000		(3,397	)		(3,345	)
GSC	JB Hunt Transport Services, Inc.		20,000		(1,945	)		(1,942	)
	Exchange-Traded Funds
	United States
FOB	Consumer Staples Select Sector SPDR Fund		71,000		(3,687	)		(3,672	)
GSC	Technology Select Sector SPDR Fund		65,000		(3,036	)		(3,143	)
FOB	VanEck Vectors Semiconductor ETF		90,000		(6,034	)		(6,448	)
Total Short Sales				$	(75,127	)	$	(74,472	)

⁽³⁾  Payable for short sales includes $92 of dividends payable.

BORROWINGS AND OTHER FINANCING TRANSACTIONS SUMMARY

The following is a summary by counterparty of the market value of Borrowings and Other Financing Transactions and collateral pledged/(received) as of December 31, 2016:

Counterparty	Repurchase Agreement Proceeds to be Received		Payable for Reverse Repurchase Agreements		Payable for Sale-Buyback Transactions		Payable for Short Sales		Total Borrowings and Other Financing Transactions		Collateral Pledged/(Received)			Net  Exposure(4)
Global/Master Repurchase Agreement
SSB	$	2,840	$	0	$	0	$	0	$	2,840	$	(2,897	)	$	(57	)

36 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

Counterparty	Repurchase Agreement Proceeds to be Received		Payable for Reverse Repurchase Agreements		Payable for Sale-Buyback Transactions		Payable for Short Sales			Total Borrowings and Other Financing Transactions			Collateral Pledged/(Received)		Net  Exposure(4)
Prime Brokerage Agreement
FOB	$	0	$	0	$	0	$	(37,354	)	$	(37,354	)	$	44,968	$	7,614
GSC		0		0		0		(37,118	)		(37,118	)		54,050		16,932
Total Borrowings and Other Financing Transactions	$	2,840	$	0	$	0	$	(74,472	)

⁽⁴⁾  Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from borrowings and other financing transactions can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 7, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

(f)  FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED

FUTURES CONTRACTS:

Description	Type	Expiration Month		# of Contracts		Unrealized Appreciation		Variation Margin
								Asset		Liability
Euro STOXX 50 March Futures	Long		03/2017		593	$	346	$	100	$	(44	)
Russell 2000 Mini Index March Futures	Short		03/2017		234		274		67		0
Total Futures Contracts						$	620	$	167	$	(44	)

FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED SUMMARY

The following is a summary of the market value and variation margin of Exchange-Traded or Centrally Cleared Financial Derivative Instruments as of December 31, 2016:

(g) Securities with an aggregate market value of $23,703 and cash of $75,315 have been pledged as collateral as of December 31, 2016 for equity short sales and equity options as governed by prime brokerage agreements and agreements governing listed equity option transactions.

(h) Securities with an aggregate market value of $1,920 and cash of $734 have been pledged as collateral for exchange-traded and centrally cleared financial derivative instruments as of December 31, 2016. See Note 7, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

	Financial Derivative Assets								Financial Derivative Liabilities
	Market Value		Variation Margin Asset						Market Value		Variation Margin Liability
	Purchased Options		Futures		Swap Agreements		Total		Written Options		Futures		Swap Agreements		Total
Total Exchange-Traded or Centrally Cleared	$	0	$	167	$	0	$	167	$	0	$	(44)	$	0	$	(44)

(i) FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

FORWARD FOREIGN CURRENCY CONTRACTS:

Counterparty	Settlement Month		Currency to be Delivered		Currency to be Received		Unrealized Appreciation/ (Depreciation)
							Asset		Liability
AZD		01/2017	$	11,847	AUD	16,458	$	30	$	0
		02/2017	AUD	16,458	$	11,839		0		(29	)
BOA		01/2017	$	15,645	CHF	16,010		80		0
		02/2017	CHF	16,011	$	15,671		0		(84	)
CBK		01/2017		16,010		15,836		111		0
GLM		01/2017	AUD	1,937		1,445		47		0
		01/2017	CAD	22,162		16,478		0		(30	)
HUS		01/2017	AUD	12,864		9,577		294		0
JPM		01/2017	GBP	1,128		1,429		38		0
TOR		01/2017	AUD	1,657		1,236		41		0
		01/2017	$	16,443	CAD	22,162		64		0
		02/2017	CAD	22,162	$	16,449		0		(63	)
Total Forward Foreign Currency Contracts							$	705	$	(206	)

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 37

Schedule of Investments PIMCO EqS^®Long/Short Fund (Cont.)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral (received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts			Written Options		Swap Agreements		Total Over the Counter			Net Market Value of OTC Derivatives			Collateral (Received)			Net Exposure(1)
AZD	$	30	$	0	$	0	$	30	$	(29	)	$	0	$	0	$	(29	)	$	1		$	0		$	1
BOA		80		0		0		80		(84	)		0		0		(84	)		(4	)		0			(4	)
CBK		111		0		0		111		0			0		0		0			111			(280	)		(169	)
GLM		47		0		0		47		(30	)		0		0		(30	)		17			0			17
HUS		294		0		0		294		0			0		0		0			294			(260	)		34
JPM		38		0		0		38		0			0		0		0			38			0			38
TOR		105		0		0		105		(63	)		0		0		(63	)		42			0			42
Total Over the Counter	$	705	$	0	$	0	$	705	$	(206	)	$	0	$	0	$	(206	)

⁽¹⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 7, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 7, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	167	$	0	$	0	$	167
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	705	$	0	$	705
	$	0	$	0	$	167	$	705	$	0	$	872
Financial Derivative Instruments - Liabilities
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	44	$	0	$	0	$	44
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	206	$	0	$	206
	$	0	$	0	$	44	$	206	$	0	$	250

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	(3,194	)	$	0	$	0	$	(3,194	)
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0		$	1,753	$	0	$	1,753
	$	0	$	0	$	(3,194	)	$	1,753	$	0	$	(1,441	)
Net Change in Unrealized Appreciation on Financial Derivative Instruments
Exchange-traded or centrally cleared
Futures	$	0	$	0	$	620		$	0	$	0	$	620
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0		$	1,228	$	0	$	1,228
	$	0	$	0	$	620		$	1,228	$	0	$	1,848

38 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Common Stocks
Australia
Materials	$	12,416	$	0	$	0	$	12,416
Canada
Energy		2,104		0		0		2,104
Utilities		7,720		0		0		7,720
Switzerland
Consumer Staples		0		16,835		0		16,835
United Kingdom
Consumer Discretionary		9,092		0		0		9,092
Industrials		21,246		0		0		21,246
United States
Consumer Discretionary		44,956		0		0		44,956
Consumer Staples		17,733		0		0		17,733
Energy		73,814		0		0		73,814
Financials		13,147		0		0		13,147
Health Care		12,957		0		0		12,957
Industrials		49,839		0		0		49,839
Information Technology		43,528		0		0		43,528
Materials		9,975		0		0		9,975
Real Estate Investment Trusts
United States
Real Estate		8,282		0		0		8,282
U.S. Treasury Obligations
United States		0		3,203		0		3,203
Short-Term Instruments
Repurchase Agreements		0		2,840		0		2,840
U.S. Treasury Bills		0		199,936		0		199,936
	$	326,809	$	222,814	$	0	$	549,623
Investments in Affiliates, at Value
Short-Term Instruments
Central Funds Used for Cash Management Purposes	$	24,585	$	0	$	0	$	24,585
Total Investments	$	351,394	$	222,814	$	0	$	574,208

Category and Subcategory	Level 1			Level 2			Level 3		Fair Value at 12/31/2016
Short Sales, at Value - Liabilities
Common Stocks
Canada
Energy	$	(3,413	)	$	0		$	0	$	(3,413	)
Industrials		(8,725	)		0			0		(8,725	)
United Kingdom
Industrials		(17	)		(3,696	)		0		(3,713	)
United States
Consumer Discretionary		(2,974	)		0			0		(2,974	)
Consumer Staples		(12,674	)		0			0		(12,674	)
Energy		(15,344	)		0			0		(15,344	)
Health Care		(6,643	)		0			0		(6,643	)
Industrials		(7,723	)		0			0		(7,723	)
Exchange-Traded Funds
United States		(13,263	)		0			0		(13,263	)
	$	(70,776	)	$	(3,696	)	$	0	$	(74,472	)
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared		167			0			0		167
Over the counter		0			705	��		0		705
	$	167		$	705		$	0	$	872
Financial Derivative Instruments - Liabilities
Exchange-traded or centrally cleared		(44	)		0			0		(44	)
Over the counter		0			(206	)		0		(206	)
	$	(44	)	$	(206	)	$	0	$	(250	)
Total Financial Derivative Instruments	$	123		$	499		$	0	$	622
Totals	$	280,741		$	219,617		$	0	$	500,358

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 39

Notes to Financial Statements

1. ORGANIZATION

PIMCO Equity Series^® (the “Trust”) was established as a Delaware statutory trust on December 28, 2009. The Trust is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. Information presented in these financial statements pertains to the Institutional Class, Class P, Class D, Class A, Class C and Class R shares of the funds (each a “Fund” and collectively the “Funds”) indicated on the cover of this report. Pacific Investment Management Company LLC (“PIMCO”) serves as the investment adviser (the “Adviser”) for the Funds. Effective June 16, 2016, Research Affiliates, LLC (“Research Affiliates”) serves as the interim sub-adviser with respect to the equity portion of the PIMCO Dividend and Income Fund. Effective June 16, 2016, PIMCO and Research Affiliates have also engaged Parametric Portfolio Associates, LLC (“Parametric”) on an interim basis to implement the equity portion of the PIMCO Dividend and Income Fund’s investment strategies. On August 26, 2016, the Fund’s shareholders approved definitive agreements retaining Research Affiliates and Parametric as sub-adviser and portfolio implementer, respectively.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Trust in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Each Fund is treated as an investment company under the reporting requirements of U.S. GAAP. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

(a) Securities Transactions and Investment Income  Securities transactions are recorded as of the trade date for financial reporting purposes. Realized gains (losses) from securities sold are recorded on the identified cost basis. Dividend income is recorded on the ex-dividend date, except certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as a Fund is informed of the ex-dividend date. Interest income, adjusted for the accretion of discounts and amortization of premiums, is recorded on the accrual basis from settlement date, Estimated tax liabilities on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized appreciation (depreciation) on investments on the Statements of Operations, as appropriate. Tax liabilities realized as a result of such security sales are reflected as a component of net realized gain (loss)

on investments on the Statements of Operations. Paydown gains (losses) on mortgage-related and other asset-backed securities are recorded as components of interest income on the Statements of Operations. Income or short-term capital gain distributions received from registered investment companies are recorded as dividend income. Long-term capital gain distributions received from registered investment companies are recorded as realized gains.

Debt obligations may be placed on non-accrual status and related interest income may be reduced by ceasing current accruals and writing off interest receivable when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. A debt obligation is removed from non-accrual status when the issuer resumes interest payments or when collectability of interest is probable.

(b) Cash and Foreign Currency  The functional and reporting currency for the Funds is the U.S. dollar. The market values of foreign securities, currency holdings and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the current exchange rates each business day. Purchases and sales of securities and income and expense items denominated in foreign currencies, if any, are translated into U.S. dollars at the exchange rate in effect on the transaction date. The Funds do not separately report the effects of changes in foreign exchange rates from changes in market prices on securities held. Such changes are included in net realized gain (loss) and net change in unrealized appreciation (depreciation) from investments on the Statements of Operations. The Funds may invest in foreign currency-denominated securities and may engage in foreign currency transactions either on a spot (cash) basis at the rate prevailing in the currency exchange market at the time or through a forward foreign currency contract. Realized foreign exchange gains (losses) arising from sales of spot foreign currencies, currency gains (losses) realized between the trade and settlement dates on securities transactions and the difference between the recorded amounts of dividends, interest, and foreign withholding taxes and the U.S. dollar equivalent of the amounts actually received or paid are included in net realized gain (loss) on foreign currency transactions on the Statements of Operations. Net unrealized foreign exchange gains (losses) arising from changes in foreign exchange rates on foreign denominated assets and liabilities other than investments in securities held at the end of the reporting period are included in net change in unrealized appreciation (depreciation) on foreign currency assets and liabilities on the Statements of Operations.

(c) Multiclass Operations  Each class offered by the Trust has equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets.

40 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

Realized and unrealized capital gains (losses) are allocated daily based on the relative net assets of each class of the respective Fund. Class specific expenses, where applicable, currently include supervisory and administrative and distribution and servicing fees. Under certain circumstances, the per share net asset value (“NAV”) of a class of the respective Fund’s shares may be different from the per share NAV of another class of shares as a result of the different daily expense accruals applicable to each class of shares.

(d) Distributions to Shareholders  The following table shows the anticipated frequency of distributions from net investment income, if any, for each Fund.

	Distribution Frequency
Fund Name	Declared		Distributed
PIMCO Dividend and Income Fund		Quarterly		Quarterly
PIMCO EqS® Long/Short Fund		Annually		Annually

Net realized capital gains earned by each Fund, if any, will be distributed no less frequently than once each year.

Income distributions and capital gain distributions are determined in accordance with income tax regulations which may differ from U.S. GAAP. Differences between tax regulations and U.S. GAAP may cause timing differences between income and capital gain recognition. Further, the character of investment income and capital gains may be different for certain transactions under the two methods of accounting. As a result, income distributions and capital gain distributions declared during a fiscal period may differ significantly from the net investment income (loss) and realized gains (losses) reported on the Fund’s annual financial statements presented under U.S. GAAP.

If a Fund estimates that a portion of one of its dividend distributions may be comprised of amounts from sources other than net investment income, the Fund will notify shareholders of record of the estimated composition of such distribution through a Section 19 Notice. To determine the sources of a Fund’s distributions during the reporting period, the Fund references its internal accounting records at the time the distribution is paid and generally bases its projections of the final tax character of those distributions on the tax characteristics of the distribution reflected in its internal accounting records at the time of such payment. If, based on such records, a particular distribution does not include capital gains or paid-in surplus or other capital sources, a Section 19 Notice generally would not be issued. It is important to note that differences exist between a Fund’s daily internal accounting records, the Fund’s financial statements presented in accordance with U.S. GAAP, and recordkeeping practices under income tax regulations. Examples of such differences may include, among others, the treatment of paydowns on mortgage-backed securities purchased at a discount and periodic payments under interest rate swap contracts.

Notwithstanding a Fund’s estimates and projections, it is possible that a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP or the final tax character of those distributions might later report that the sources of those distributions included capital gains and/or a return of capital. Additionally, given differences in tax and U.S. GAAP treatment of certain distributions, a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP might report that the sources of these distributions included capital gains and/or a return of capital. Please visit www.pimco.com for the most recent Section 19 Notice, if applicable, for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be reported on Form 1099 DIV sent to shareholders each January.

Distributions classified as a tax basis return of capital, if any, are reflected on the Statements of Changes in Net Assets and have been recorded to paid in capital. In addition, other amounts have been reclassified between undistributed (overdistributed) net investment income (loss), accumulated undistributed (overdistributed) net realized gain (loss) and/or paid in capital to more appropriately conform U.S. GAAP to tax characterizations of distributions.

(e) Statement of Cash Flows  U.S. GAAP requires entities providing financial statements that report both financial position and results of operations to also provide a statement of cash flows for each period for which results of operations are provided, but exempts investment companies meeting certain conditions. One of the conditions is that substantially all of the enterprise’s investments were carried at fair value during the period and classified as Level 1 or Level 2 in the fair value hierarchy in accordance with the requirements of U.S. GAAP. Another condition is that the enterprise had little or no debt, based on the average debt outstanding during the period, in relation to average total assets. Funds with certain degrees of borrowing activity, typically through the use of reverse repurchase agreements or sale-buyback transactions, have been determined to be at a level requiring a Statement of Cash Flows. Statements of Cash Flows, as applicable, have been prepared using the indirect method which requires net change in net assets resulting from operations to be adjusted to reconcile to net cash flows from operating activities.

(f) New Accounting Pronouncements  In August 2014, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”), ASU 2014-15 requiring management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern. The ASU is effective prospectively for annual periods ending after December 15, 2016, and interim periods thereafter. The

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Notes to Financial Statements (Cont.)

Funds have adopted the ASU. The implementation of the ASU did not have an impact on the Funds’ financial statements.

In May 2015, the FASB issued ASU 2015-07 which removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the NAV per share practical expedient. The ASU also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using the NAV per share practical expedient. The ASU is effective for annual periods beginning after December 15, 2015 and interim periods within those annual periods. The ASU did not have an impact on the Funds’ financial statements.

In August 2016, the FASB issued ASU 2016-15 which amends ASC 230 to clarify guidance on the classification of certain cash receipts and cash payments in the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

In October 2016, the U.S. Securities and Exchange Commission (“SEC”) adopted new rules and forms, and amendments to certain current rules and forms, to modernize reporting and disclosure of information by registered investment companies. The amendments to Regulation S-X will require standardized, enhanced disclosure about derivatives in investment company financial statements, and will also change the rules governing the form and content of such financial statements. The amendments to Regulation S-X take effect on August 1, 2017. At this time, management is assessing the anticipated impact of these regulatory developments.

In November 2016, the FASB issued ASU 2016-18 which amends ASC 230 to provide guidance on the classification and presentation of changes in restricted cash and restricted cash equivalents on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

3. INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

(a) Investment Valuation Policies  The price of a Fund’s shares is based on the Fund’s NAV. The NAV of a Fund, or each of its share classes, as applicable, is determined by dividing the total value of portfolio investments and other assets, less any liabilities attributable to that Fund or class, by the total number of shares outstanding of that Fund or class.

On each day that the New York Stock Exchange (“NYSE”) is open, Fund shares are ordinarily valued as of the close of regular trading

(“NYSE Close”). Information that becomes known to the Funds or their agents after the time as of which NAV has been calculated on a particular day will not generally be used to retroactively adjust the price of a security or the NAV determined earlier that day. Each Fund reserves the right to change the time its respective NAV is calculated if the Fund closes earlier, or as permitted by the SEC.

For purposes of calculating NAV, portfolio securities and other assets for which market quotes are readily available are valued at market value. Market value is generally determined on the basis of official closing prices or the last reported sales prices, or if no sales are reported, based on quotes obtained from established market makers or prices (including evaluated prices) supplied by the Funds’ approved pricing services, quotation reporting systems and other third-party sources (together, “Pricing Services”). The Funds will normally use pricing data for domestic equity securities received shortly after the NYSE Close and do not normally take into account trading, clearances or settlements that take place after the NYSE Close. A foreign (non-U.S.) equity security traded on a foreign exchange or on more than one exchange is typically valued using pricing information from the exchange considered by the Adviser to be the primary exchange. A foreign (non-U.S.) equity security will be valued as of the close of trading on the foreign exchange, or the NYSE Close, if the NYSE Close occurs before the end of trading on the foreign exchange. Domestic and foreign (non-U.S.) fixed income securities, non-exchange traded derivatives, and equity options are normally valued on the basis of quotes obtained from brokers and dealers or Pricing Services using data reflecting the earlier closing of the principal markets for those securities. Prices obtained from Pricing Services may be based on, among other things, information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Certain fixed income securities purchased on a delayed-delivery basis are marked to market daily until settlement at the forward settlement date. Exchange-traded options, except equity options, futures and options on futures are valued at the settlement price determined by the relevant exchange. Swap agreements are valued on the basis of bid quotes obtained from brokers and dealers or market-based prices supplied by Pricing Services or other pricing sources. The Funds’ investments in open-end management investment companies, other than exchange-traded funds (“ETFs”), are valued at the NAVs of such investments.

If a foreign (non-U.S.) equity security’s value has materially changed after the close of the security’s primary exchange or principal market but before the NYSE Close, the security may be valued at fair value based on procedures established and approved by the Board of Trustees of the Trust (the “Board”). Foreign (non-U.S.) equity securities that do not trade when the NYSE is open are also valued at fair value. With respect to foreign (non-U.S.) equity securities, the Fund may

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determine the fair value of investments based on information provided by Pricing Services and other third-party vendors, which may recommend fair value or adjustments with reference to other securities, indices or assets. In considering whether fair valuation is required and in determining fair values, the Fund may, among other things, consider significant events (which may be considered to include changes in the value of U.S. securities or securities indices) that occur after the close of the relevant market and before the NYSE Close. A Fund may utilize modeling tools provided by third-party vendors to determine fair values of non-U.S. securities. Foreign exchanges may permit trading in foreign (non-U.S.) equity securities on days when the Trust is not open for business, which may result in a Fund’s portfolio investments being affected when shareholders are unable to buy or sell shares.

Senior secured floating rate loans for which an active secondary market exists to a reliable degree will be valued at the mean of the last available bid/ask prices in the market for such loans, as provided by a Pricing Service. Senior secured floating rate loans for which an active secondary market does not exist to a reliable degree will be valued at fair value, which is intended to approximate market value. In valuing a senior secured floating rate loan at fair value, the factors considered may include, but are not limited to, the following: (a) the creditworthiness of the borrower and any intermediate participants, (b) the terms of the loan, (c) recent prices in the market for similar loans, if any, and (d) recent prices in the market for instruments of similar quality, rate, period until next interest rate reset and maturity.

Investments valued in currencies other than the U.S. dollar are converted to the U.S. dollar using exchange rates obtained from Pricing Services. As a result, the value of such investments and, in turn, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of investments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Trust is not open for business. As a result, to the extent that a Fund holds foreign (non-U.S.) investments, the value of those investments may change at times when shareholders are unable to buy or sell shares and the value of such investments will be reflected in the Fund’s next calculated NAV.

Investments for which market quotes or market based valuations are not readily available are valued at fair value as determined in good faith by the Board or persons acting at their direction. The Board has adopted methods for valuing securities and other assets in circumstances where market quotes are not readily available, and has delegated to the Adviser the responsibility for applying the fair valuation methods. In the event that market quotes or market based valuations are not readily available, and the security or asset cannot be valued pursuant to a Board approved valuation method, the value of

the security or asset will be determined in good faith by the Valuation Oversight Committee of the Board (“Valuation Oversight Committee”), generally based on recommendations provided by the Adviser. The Adviser may consult with the Sub-Adviser or Parametric in providing such recommendations or otherwise with respect to valuation of the PIMCO Dividend and Income Fund’s portfolio securities or other assets. Market quotes are considered not readily available in circumstances where there is an absence of current or reliable market-based data (e.g., trade information, bid/ask information, indicative market quotations (“Broker Quotes”), Pricing Services’ prices), including where events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s securities or assets. In addition, market quotes are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities trade do not open for trading for the entire day and no other market prices are available. The Board has delegated to the Adviser the responsibility for monitoring significant events that may materially affect the values of the Fund’s securities or assets and for determining whether the value of the applicable securities or assets should be reevaluated in light of such significant events.

When a Fund uses fair valuation to determine the value of a portfolio security or other asset for purposes of calculating its NAV, such investments will not be priced on the basis of quotes from the primary market in which they are traded, but rather may be priced by another method that the Board or persons acting at their direction believe reflects fair value. Fair valuation may require subjective determinations about the value of a security. While the Trust’s policy is intended to result in a calculation of the Fund’s NAV that fairly reflects security values as of the time of pricing, the Trust cannot ensure that fair values determined by the Board or persons acting at their direction would accurately reflect the price that a Fund could obtain for a security if it were to dispose of that security as of the time of pricing (for instance, in a forced or distressed sale). The prices used by a Fund may differ from the value that would be realized if the securities were sold. The Funds’ use of fair valuation may also help to deter “stale price arbitrage” as discussed under the “Abusive Trading Practices” section in each Fund’s prospectus.

(b) Fair Value Hierarchy  U.S. GAAP describes fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. It establishes a fair value hierarchy that prioritizes inputs to valuation methods and requires disclosure of the fair value hierarchy, separately for each major category of assets and liabilities, that segregates fair value measurements into levels (Level 1, 2, or 3). The inputs or methodology used for valuing securities are not necessarily an indication of the risks associated with investing in those

SEMIANNUAL REPORT DECEMBER 31, 2016 43

Notes to Financial Statements (Cont.)

securities. Levels 1, 2, and 3 of the fair value hierarchy are defined as follows:

^∎  Level 1 — Quoted prices in active markets or exchanges for identical assets and liabilities.

^∎  Level 2 — Significant other observable inputs, which may include, but are not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs.

^∎  Level 3 — Significant unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, which may include assumptions made by the Board or persons acting at their direction that are used in determining the fair value of investments.

In accordance with the requirements of U.S. GAAP, the amounts of transfers between Levels 1 and 2 and transfers into and out of Level 3, if material, are disclosed in the Notes to Schedule of Investments for each respective Fund.

For fair valuations using significant unobservable inputs, U.S. GAAP requires a reconciliation of the beginning to ending balances for reported fair values that presents changes attributable to realized gain (loss), unrealized appreciation (depreciation), purchases and sales, accrued discounts (premiums), and transfers into and out of the Level 3 category during the period. The end of period value is used for the transfers between Levels of a Fund’s assets and liabilities. Additionally, U.S. GAAP requires quantitative information regarding the significant unobservable inputs used in the determination of fair value of assets or liabilities categorized as Level 3 in the fair value hierarchy. In accordance with the requirements of U.S. GAAP, a fair value hierarchy, and if material, a Level 3 reconciliation and details of significant unobservable inputs, have been included in the Notes to Schedule of Investments for each respective Fund.

(c) Valuation Techniques and the Fair Value Hierarchy Level 1 and Level 2 trading assets and trading liabilities, at fair value  The valuation methods (or “techniques”) and significant inputs used in determining the fair values of portfolio securities or other assets and liabilities categorized as Level 1 and Level 2 of the fair value hierarchy are as follows:

Fixed income securities including corporate, convertible and municipal bonds and notes, U.S. government agencies, U.S. treasury obligations, sovereign issues, bank loans, convertible preferred securities and non-U.S. bonds are normally valued on the basis of quotes obtained

from brokers and dealers or Pricing Services that use broker-dealer quotations, reported trades or valuation estimates from their internal pricing models. The Pricing Services’ internal models use inputs that are observable such as issuer details, interest rates, yield curves, prepayment speeds, credit risks/spreads, default rates and quoted prices for similar assets. Securities that use similar valuation techniques and inputs as described above are categorized as Level 2 of the fair value hierarchy.

Fixed income securities purchased on a delayed-delivery basis or as a repurchase commitment in a sale-buyback transaction are marked to market daily until settlement at the forward settlement date and are categorized as Level 2 of the fair value hierarchy.

Mortgage-related and asset-backed securities are usually issued as separate tranches, or classes, of securities within each deal. These securities are also normally valued by Pricing Services that use broker-dealer quotations, reported trades or valuation estimates from their internal pricing models. The pricing models for these securities usually consider tranche-level attributes, current market data, estimated cash flows and market-based yield spreads for each tranche, and incorporate deal collateral performance, as available. Mortgage-related and asset-backed securities that use similar valuation techniques and inputs as described above are categorized as Level 2 of the fair value hierarchy.

Common stocks, ETFs, exchange-traded notes and financial derivative instruments, such as futures contracts, rights and warrants, or options on futures that are traded on a national securities exchange, are stated at the last reported sale or settlement price on the day of valuation. To the extent these securities are actively traded and valuation adjustments are not applied, they are categorized as Level 1 of the fair value hierarchy.

Valuation adjustments may be applied to certain securities that are solely traded on a foreign exchange to account for the market movement between the close of the foreign market and the NYSE Close. These securities are valued using Pricing Services that consider the correlation of the trading patterns of the foreign security to the intraday trading in the U.S. markets for investments. Securities using these valuation adjustments are categorized as Level 2 of the fair value hierarchy. Preferred securities and other equities traded on inactive markets or valued by reference to similar instruments are also categorized as Level 2 of the fair value hierarchy.

Equity-linked securities are valued by referencing the last reported sale or settlement price of the linked referenced equity on the day of valuation. Foreign exchange adjustments are applied to the last reported price to convert the linked equity’s trading currency to the contract’s settling currency. These investments are categorized as Level 2 of the fair value hierarchy.

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Investments in registered open-end investment companies (other than ETFs) will be valued based upon the NAVs of such investments and are categorized as Level 1 of the fair value hierarchy. Investments in unregistered open-end investment companies will be calculated based upon the NAVs of such investments and are considered Level 1 provided that the NAVs are observable, calculated daily and are the value at which both purchases and sales will be conducted.

Short-term debt instruments (such as commercial paper) having a remaining maturity of 60 days or less may be valued at amortized cost, so long as the amortized cost of such short-term debt instrument is approximately the same as the fair value of the instrument as determined without the use of amortized cost valuation.

Equity exchange-traded options and over the counter financial derivative instruments, such as forward foreign currency contracts and options contracts derive their value from underlying asset prices, indices, reference rates, and other inputs or a combination of these factors. These contracts are normally valued on the basis of quotes obtained from a quotation reporting system, established market makers or Pricing Services (normally determined as of the NYSE Close).

Depending on the product and the terms of the transaction, financial derivative instruments can be valued by Pricing Services using a series of techniques, including simulation pricing models. The pricing models use inputs that are observed from actively quoted markets such as quoted prices, issuer details, indices, bid/ask spreads, interest rates, implied volatilities, yield curves, dividends and exchange rates. Financial derivative instruments that use similar valuation techniques and inputs as described above are categorized as Level 2 of the fair value hierarchy.

Centrally cleared swaps and over the counter swaps derive their value from underlying asset prices, indices, reference rates, and other inputs or a combination of these factors. They are valued using a broker-dealer bid quotation or on market-based prices provided by Pricing Services or other pricing sources (normally determined as of the NYSE close). Centrally cleared swaps and over the counter swaps can be valued by Pricing Services using a series of techniques, including simulation pricing models. The pricing models may use inputs that are observed from actively quoted markets such as the overnight index swap rate (“OIS”), London Interbank Offered Rate (“LIBOR”) forward rate, interest rates, yield curves and credit spreads. These securities are categorized as Level 2 of the fair value hierarchy.

Level 3 trading assets and trading liabilities, at fair value  When a fair valuation method is applied by the Adviser that uses significant unobservable inputs, investments will be priced by a method that the Board or persons acting at their direction believe reflects fair value and are categorized as Level 3 of the fair value hierarchy.

The validity of the fair value is reviewed by the Adviser on a periodic basis and may be amended in accordance with the Trust’s valuation procedures.

4. SECURITIES AND OTHER INVESTMENTS

(a) Investments in Affiliates

Each Fund may invest in the PIMCO Short-Term Floating NAV Portfolio III (“Central Fund”) to the extent permitted by the Act and rules thereunder. The Central Fund is a registered investment company created for use solely by the series of the Trust and other series of registered investment companies advised by the Adviser, in connection with their cash management activities. The main investments of the Central Fund are money market and short maturity fixed income instruments. The Central Fund may incur expenses related to its investment activities, but does not pay Investment Advisory Fees or Supervisory and Administrative Fees to the Adviser. The Central Fund is considered to be affiliated with the Funds. The table below shows the Funds’ transactions in and earnings from investments in an affiliated Fund for the period ended December 31, 2016 (amounts in thousands^†):

Investments in PIMCO Short-Term Floating NAV Portfolio III
Fund Name	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Dividend and Income Fund	$	7,674	$	61,013	$	(67,200	)	$	(1	)	$	(1	)	$	1,485	$	12	$	0
PIMCO EqS® Long/Short Fund		252,193		241,151		(468,801	)		69			(27	)		24,585		750		0

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions paid are determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

SEMIANNUAL REPORT DECEMBER 31, 2016 45

Notes to Financial Statements (Cont.)

(b) Investments in Securities

Loan Participations, Assignments and Originations  Certain Funds may invest in direct debt instruments which are interests in amounts owed to lenders or lending syndicates by corporate, governmental, or other borrowers. A Fund’s investments in loans may be in the form of participations in loans or assignments of all or a portion of loans from third parties or investments in or originations of loans by the Fund or Funds. A loan is often administered by a bank or other financial institution (the “agent”) that acts as agent for all holders. The agent administers the terms of the loan, as specified in the loan agreement. A Fund may invest in multiple series or tranches of a loan, which may have varying terms and carry different associated risks. When a Fund purchases assignments from agents it acquires direct rights against the borrowers of the loans. These loans may include participations in bridge loans, which are loans taken out by borrowers for a short period (typically less than one year) pending arrangement of more permanent financing through, for example, the issuance of bonds, frequently high yield bonds issued for the purpose of acquisitions.

The types of loans and related investments in which the Funds may invest include, among others, senior loans, subordinated loans (including second lien loans, B-Notes and mezzanine loans), whole loans, commercial real estate and other commercial loans and structured loans. The Funds may originate loans or acquire direct interests in loans through primary loan distributions and/or in private transactions. In the case of subordinated loans, there may be significant indebtedness ranking ahead of the borrower’s obligation to the holder of such a loan, including in the event of the borrower’s insolvency. Mezzanine loans are typically secured by a pledge of an equity interest in the mortgage borrower that owns the real estate rather than an interest in a mortgage.

Investments in loans may include unfunded loan commitments, which are contractual obligations for funding. Unfunded loan commitments may include revolving credit facilities, which may obligate a Fund to supply additional cash to the borrower on demand. Unfunded loan commitments represent a future obligation in full, even though a percentage of the committed amount may not be utilized by the borrower. When investing in a loan participation, a Fund has the right to receive payments of principal, interest and any fees to which it is entitled only from the agent selling the loan agreement and only upon receipt of payments by the agent from the borrower. A Fund may receive a commitment fee based on the undrawn portion of the underlying line of credit portion of a loan. In certain circumstances, a Fund may receive a penalty fee upon the prepayment of a loan by a borrower. Fees earned or paid are recorded as a component of interest

income or interest expense, respectively, on the Statements of Operations. As of December 31, 2016, the Funds had no unfunded loan commitments outstanding.

Mortgage-Related and Other Asset-Backed Securities  Certain Funds may invest in mortgage-related and other asset-backed securities that directly or indirectly represent a participation in, or are secured by and payable from, loans on real property. Mortgage-related securities are created from pools of residential or commercial mortgage loans, including mortgage loans made by savings and loan institutions, mortgage bankers, commercial banks and others. These securities provide a monthly payment which consists of both interest and principal. Interest may be determined by fixed or adjustable rates. The rate of prepayments on underlying mortgages will affect the price and volatility of a mortgage-related security, and may have the effect of shortening or extending the effective duration of the security relative to what was anticipated at the time of purchase. The timely payment of principal and interest of certain mortgage-related securities is guaranteed with the full faith and credit of the U.S. Government. Pools created and guaranteed by non-governmental issuers, including government-sponsored corporations, may be supported by various forms of insurance or guarantees, but there can be no assurance that private insurers or guarantors can meet their obligations under the insurance policies or guarantee arrangements. Many of the risks of investing in mortgage-related securities secured by commercial mortgage loans reflect the effects of local and other economic conditions on real estate markets, the ability of tenants to make lease payments, and the ability of a property to attract and retain tenants. These securities may be less liquid and may exhibit greater price volatility than other types of mortgage-related or other asset-backed securities. Other asset-backed securities are created from many types of assets, including auto loans, credit card receivables, home equity loans, and student loans.

Collateralized Debt Obligations  (“CDOs”) include Collateralized Bond Obligations (“CBOs”), Collateralized Loan Obligations (“CLOs”) and other similarly structured securities. CBOs and CLOs are types of asset-backed securities. A CBO is a trust which is backed by a diversified pool of high risk, below investment grade fixed income securities. A CLO is a trust typically collateralized by a pool of loans, which may include, among others, domestic and foreign senior secured loans, senior unsecured loans, and subordinate corporate loans, including loans that may be rated below investment grade or equivalent unrated loans. The risks of an investment in a CDO depend largely on the type of the collateral securities and the class of the CDO in which a Fund invests. In addition to the normal risks associated with fixed income securities discussed elsewhere in this report and each Fund’s prospectus and statement of additional information (e.g., prepayment risk, credit risk, liquidity risk, market risk, structural risk, legal risk and interest rate risk (which may be exacerbated if the interest rate payable on a structured financing changes based on multiples of changes in interest rates or inversely to changes in interest rates)), CBOs, CLOs and other CDOs

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carry additional risks including, but not limited to, (i) the possibility that distributions from collateral securities will not be adequate to make interest or other payments, (ii) the quality of the collateral may decline in value or default, (iii) a Fund may invest in CBOs, CLOs, or other CDOs that are subordinate to other classes, and (iv) the complex structure of the security may not be fully understood at the time of investment and may produce disputes with the issuer or unexpected investment results.

Collateralized Mortgage Obligations  (“CMOs”) are debt obligations of a legal entity that are collateralized by whole mortgage loans or private mortgage bonds and divided into classes. CMOs are structured into multiple classes, often referred to as “tranches”, with each class bearing a different stated maturity and entitled to a different schedule for payments of principal and interest, including prepayments. CMOs may be less liquid and may exhibit greater price volatility than other types of mortgage-related or asset-backed securities.

Real Estate Investment Trusts (“REITs”)  Certain Funds may invest in REITs, which are pooled investment vehicles that own, and typically operate, income-producing real estate. If a REIT meets certain requirements, including distributing to shareholders substantially all of its taxable income (other than net capital gains), then it is not taxed on the income distributed to shareholders. Distributions received from REITs may be characterized as income, capital gain or a return of capital. A return of capital is recorded by a Fund as a reduction to the cost basis of its investment in the REIT. REITs are subject to management fees and other expenses, and so the Funds that invest in REITs will bear their proportionate share of the costs of the REITs’ operations.

U.S. Government Agencies or Government-Sponsored Enterprises  Certain Funds may invest in securities of U.S. Government agencies or government-sponsored enterprises. U.S. Government securities are obligations of and, in certain cases, guaranteed by, the U.S. Government, its agencies or instrumentalities. Some U.S. Government securities, such as Treasury bills, notes and bonds, and securities guaranteed by the Government National Mortgage Association (“GNMA” or “Ginnie Mae”), are supported by the full faith and credit of the U.S. Government; others, such as those of the Federal Home Loan Banks, are supported by the right of the issuer to borrow from the U.S. Department of the Treasury (the “U.S. Treasury”); and others, such as those of the Federal National Mortgage Association (“FNMA” or “Fannie Mae”), are supported by the discretionary authority of the U.S. Government to purchase the agency’s obligations. U.S. Government securities may include zero coupon securities. Zero coupon securities do not distribute interest on a current basis and tend to be subject to a greater risk than interest-paying securities.

Government-related guarantors (i.e., not backed by the full faith and credit of the U.S. Government) include FNMA and the Federal Home Loan Mortgage Corporation (“FHLMC” or “Freddie Mac”). FNMA is a government-sponsored corporation. FNMA purchases conventional (i.e., not insured or guaranteed by any government agency) residential mortgages from a list of approved seller/servicers which include state and federally chartered savings and loan associations, mutual savings banks, commercial banks and credit unions and mortgage bankers. Pass-through securities issued by FNMA are guaranteed as to timely payment of principal and interest by FNMA, but are not backed by the full faith and credit of the U.S. Government. FHLMC issues Participation Certificates (“PCs”), which are pass-through securities, each representing an undivided interest in a pool of residential mortgages. FHLMC guarantees the timely payment of interest and ultimate collection of principal, but PCs are not backed by the full faith and credit of the U.S. Government.

Certain Funds may engage in strategies where they seek to extend the expiration or maturity of a position, such as a To Be Announced (“TBA”) security on an underlying asset, by closing out the position before expiration and opening a new position with respect to the same underlying asset with a later expiration date. TBA securities purchased or sold are reflected on the Statements of Assets and Liabilities as an asset or liability, respectively.

5. BORROWINGS AND OTHER FINANCING TRANSACTIONS

The following disclosures contain information on a Fund’s ability to lend or borrow cash or securities to the extent permitted under the Act, which may be viewed as borrowing or financing transactions by a Fund. The location of these instruments in each Fund’s financial statements is described below. For a detailed description of credit and counterparty risks that can be associated with borrowings and other financing transactions, please see Note 7 Principal Risks.

(a) Repurchase Agreements  Certain Funds may engage in repurchase agreements. Under the terms of a typical repurchase agreement, a Fund purchases an underlying debt obligation (collateral) subject to an obligation of the seller to repurchase, and a Fund to resell, the obligation at an agreed-upon price and time. The underlying securities for all repurchase agreements are held by a Fund’s custodian or designated subcustodians under tri-party repurchase agreements and in certain instances will remain in custody with the counterparty. The market value of the collateral must be equal to or exceed the total amount of the repurchase obligations, including interest. Repurchase agreements, if any, including accrued interest, are included on the Statements of Assets and Liabilities. Interest earned is recorded as a component of interest income on the Statements of Operations. In

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Notes to Financial Statements (Cont.)

periods of increased demand for collateral, a Fund may pay a fee for the receipt of collateral, which may result in interest expense to the Fund.

(b) Reverse Repurchase Agreements  Certain Funds may enter into reverse repurchase agreements. In a reverse repurchase agreement, the Fund delivers a security in exchange for cash to a financial institution, the counterparty, with a simultaneous agreement to repurchase the same or substantially the same security at an agreed upon price and date. The Fund is entitled to receive principal and interest payments, if any, made on the security delivered to the counterparty during the term of the agreement. Cash received in exchange for securities delivered plus accrued interest payments to be made by the Fund to counterparties are reflected as a liability on the Consolidated Statement of Assets and Liabilities. Interest payments made by the Fund to counterparties are recorded as a component of interest expense on the Consolidated Statement of Operations. In periods of increased demand for the security, the Fund may receive a fee for use of the security by the counterparty, which may result in interest income to the Fund. The Fund will segregate assets determined to be liquid by the Adviser or will otherwise cover its obligations under reverse repurchase agreements.

(c) Sale-Buybacks  Certain Funds may enter into financing transactions referred to as ‘sale-buybacks’. A sale-buyback transaction consists of a sale of a security by the Fund to a financial institution, the counterparty, with a simultaneous agreement to repurchase the same or substantially the same security at an agreed-upon price and date. The Fund is not entitled to receive principal and interest payments, if any, made on the security sold to the counterparty during the term of the agreement. The agreed-upon proceeds for securities to be repurchased by the Fund are reflected as a liability on the Consolidated Statement of Assets and Liabilities. The Fund will recognize net income represented by the price differential between the price received for the transferred security and the agreed-upon repurchase price. This is commonly referred to as the ‘price drop’. A price drop consists of (i) the foregone interest and inflationary income adjustments, if any, the Fund would have otherwise received had the security not been sold and (ii) the negotiated financing terms between the Fund and counterparty. Foregone interest and inflationary income adjustments, if any, are recorded as components of interest income on the Consolidated Statement of Operations. Interest payments based upon negotiated financing terms made by the Fund to counterparties are recorded as a component of interest expense on the Consolidated Statement of Operations. In periods of increased demand for the security, the Fund may receive a fee for use of the security by the counterparty, which may result in interest income to the Fund. The Fund will segregate assets determined to be liquid by the Adviser or will otherwise cover its obligations under sale-buyback transactions.

(d) Short Sales  Certain Funds may enter into short sales transactions. Short sales are transactions in which a Fund sells a security that it may not own. A Fund may make short sales of securities to (i) offset potential declines in long positions in similar securities, (ii) to increase the flexibility of the Fund, (iii) for investment return, (iv) as part of a risk arbitrage strategy, and (v) as part of its overall portfolio management strategies involving the use of derivative instruments. When a Fund engages in a short sale, it may borrow the security sold short and deliver it to the counterparty. A Fund will ordinarily have to pay a fee or premium to borrow a security and be obligated to repay the lender of the security any dividend or interest that accrues on the security during the period of the loan. Securities sold in short sale transactions and the dividend or interest payable on such securities, if any, are reflected as payable for short sales on the Statements of Assets and Liabilities. Short sales expose a Fund to the risk that it will be required to cover its short position at a time when the security or other asset has appreciated in value, thus resulting in losses to the Fund. A short sale is “against the box” if a Fund holds in its portfolio or has the right to acquire the security sold short at no additional cost. A Fund will be subject to additional risks to the extent that it engages in short sales that are not “against the box.” A Fund’s loss on a short sale could theoretically be unlimited in cases where the Fund is unable, for whatever reason, to close out its short position.

6. FINANCIAL DERIVATIVE INSTRUMENTS

The following disclosures contain information on how and why the Funds use financial derivative instruments, and how financial derivative instruments affect the Funds’ financial position, results of operations and cash flows. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the net realized gain (loss) and net change in unrealized appreciation (depreciation) on the Statements of Operations, each categorized by type of financial derivative contract and related risk exposure, are included in a table in the Notes to Schedules of Investments. The financial derivative instruments outstanding as of period end and the amounts of net realized gain (loss) and net change in unrealized appreciation (depreciation) on financial derivative instruments during the period, as disclosed in the Notes to Schedules of Investments, serve as indicators of the volume of financial derivative activity for the Funds.

(a) Forward Foreign Currency Contracts  Certain Funds may enter into forward foreign currency contracts in connection with settling planned purchases or sales of securities, to hedge the currency exposure associated with some or all of a Fund’s securities or as a part of an investment strategy. A forward foreign currency contract is an agreement between two parties to buy and sell a currency at a set price on a future date. The market value of a forward foreign currency contract fluctuates with changes in foreign currency exchange rates.

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Forward foreign currency contracts are marked to market daily, and the change in value is recorded by a Fund as an unrealized gain (loss). Realized gains (losses) are equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed and are recorded upon delivery or receipt of the currency. These contracts may involve market risk in excess of the unrealized gain (loss) reflected on the Statements of Assets and Liabilities. In addition, a Fund could be exposed to risk if the counterparties are unable to meet the terms of the contracts or if the value of the currency changes unfavorably to the U.S. dollar. To mitigate such risk, cash or securities may be exchanged as collateral pursuant to the terms of the underlying contracts.

(b) Futures Contracts  Certain Funds may enter into futures contracts. A Fund may use futures contracts to manage its exposure to the securities markets or to movements in interest rates and currency values. The primary risks associated with the use of futures contracts are the imperfect correlation between the change in market value of the securities held by a Fund and the prices of futures contracts and the possibility of an illiquid market. Futures contracts are valued based upon their quoted daily settlement prices. Upon entering into a futures contract, a Fund is required to deposit with its futures broker an amount of cash, U.S. Government and Agency Obligations, or select sovereign debt, in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and based on such movements in the price of the contracts,

an appropriate payable or receivable for the change in value may be posted or collected by the Fund (“Futures Variation Margin”). Gains (losses) are recognized but not considered realized until the contracts expire or close. Futures contracts involve, to varying degrees, risk of loss in excess of the Futures Variation Margin included within exchange traded or centrally cleared financial derivative instruments on the Statements of Assets and Liabilities.

(c) Swap Agreements  Certain Funds may invest in swap agreements. Swap agreements are bilaterally negotiated agreements between a Fund and a counterparty to exchange or swap investment cash flows, assets, foreign currencies or market-linked returns at specified, future intervals. Swap agreements may be privately negotiated in the over the counter market (“OTC swaps”) or may be cleared through a third party, known as a central counterparty or derivatives clearing organization (“Centrally Cleared Swaps”). A Fund may enter into asset, credit default, cross-currency, interest rate, total return, variance and other forms of swap agreements to manage its exposure to credit, currency, interest rate, commodity, equity and inflation risk. In connection with these agreements, securities or cash may be identified as collateral or margin in accordance with the terms of the respective swap agreements to provide assets of value and recourse in the event of default or bankruptcy/insolvency.

Centrally Cleared Swaps are marked to market daily based upon valuations as determined from the underlying contract or in accordance with the requirements of the central counterparty or derivatives clearing organization. Changes in market value, if any, are reflected as a component of net change in unrealized appreciation (depreciation) on the Statements of Operations. Daily changes in valuation of centrally cleared swaps (“Swap Variation Margin”), if any, are disclosed within centrally cleared financial derivative instruments on the Statements of Assets and Liabilities. OTC swap payments received or paid at the beginning of the measurement period are included on the Statements of Assets and Liabilities and represent premiums paid or received upon entering into the swap agreement to compensate for differences between the stated terms of the swap agreement and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). Upfront premiums received (paid) are initially recorded as liabilities (assets) and subsequently marked to market to reflect the current value of the swap. These upfront premiums are recorded as realized gain (loss) on the Statements of Operations upon termination or maturity of the swap. A liquidation payment received or made at the termination of the swap is recorded as realized gain (loss) on the Statements of Operations. Net periodic payments received or paid by a Fund are included as part of realized gain (loss) on the Statements of Operations.

For purposes of applying a Fund’s investment policies and restrictions, swap agreements are generally valued by a Fund at market value. In the case of a credit default swap, in applying certain of a Fund’s investment policies and restrictions, the Funds will value the credit default swap at its notional value or its full exposure value (i.e., the sum of the notional amount for the contract plus the market value), but may value the credit default swap at market value for purposes of applying certain of a Fund’s other investment policies and restrictions. For example, a Fund may value credit default swaps at full exposure value for purposes of a Fund’s credit quality guidelines (if any) because such value reflects a Fund’s actual economic exposure during the term of the credit default swap agreement. In this context, both the notional amount and the market value may be positive or negative depending on whether a Fund is selling or buying protection through the credit default swap. The manner in which certain securities or other instruments are valued by a Fund for purposes of applying investment policies and restrictions may differ from the manner in which those investments are valued by other types of investors.

Entering into swap agreements involves, to varying degrees, elements of interest, credit, market and documentation risk in excess of the amounts recognized on the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of contractual

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Notes to Financial Statements (Cont.)

terms in the agreements and that there may be unfavorable changes in interest rates.

A Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that amount is positive. The risk may be mitigated by having a master netting arrangement between a Fund and the counterparty and by the posting of collateral to a Fund to cover a Fund’s exposure to the counterparty.

Credit Default Swap Agreements  Certain Funds may use credit default swaps on corporate, loan, sovereign, U.S. municipal or U.S. Treasury issues to provide a measure of protection against defaults of the issuers (i.e., to reduce risk where a Fund owns or has exposure to the referenced obligation) or to take an active long or short position with respect to the likelihood of a particular issuer’s default. Credit default swap agreements involve one party making a stream of payments (referred to as the buyer of protection) to another party (the seller of protection) in exchange for the right to receive a specified return in the event that the referenced entity, obligation or index, as specified in the swap agreement, undergoes a certain credit event. As a seller of protection on credit default swap agreements, a Fund will generally receive from the buyer of protection a fixed rate of income throughout the term of the swap provided that there is no credit event. As the seller, a Fund would effectively add leverage to its portfolio because, in addition to its total net assets, a Fund would be subject to investment exposure on the notional amount of the swap.

If a Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, a Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation, other deliverable obligations or underlying securities comprising the referenced index or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. If a Fund is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, a Fund will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and deliver the referenced obligation, other deliverable obligations or underlying securities comprising the referenced index or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or underlying securities comprising the referenced index. Recovery values are estimated by market makers considering either industry standard recovery rates or entity specific factors and considerations until a credit event occurs. If a credit event has occurred,

the recovery value is determined by a facilitated auction whereby a minimum number of allowable broker bids, together with a specified valuation method, are used to calculate the settlement value. The ability to deliver other obligations may result in a cheapest-to-deliver option (the buyer of protection’s right to choose the deliverable obligation with the lowest value following a credit event).

Credit default swap agreements on credit indices involve one party making a stream of payments to another party in exchange for the right to receive a specified return in the event of a write-down, principal shortfall, interest shortfall or default of all or part of the referenced entities comprising the credit index. A credit index is a basket of credit instruments or exposures designed to be representative of some part of the credit market as a whole. These indices are made up of reference credits that are judged by a poll of dealers to be the most liquid entities in the credit default swap market based on the sector of the index. Components of the indices may include, but are not limited to, investment grade securities, high yield securities, asset-backed securities, emerging markets, and/or various credit ratings within each sector. Credit indices are traded using credit default swaps with standardized terms including a fixed spread and standard maturity dates. An index credit default swap references all the names in the index, and if there is a default, the credit event is settled based on that name’s weight in the index. The composition of the indices changes periodically, usually every six months, and for most indices, each name has an equal weight in the index. A Fund may use credit default swaps on credit indices to hedge a portfolio of credit default swaps or bonds, which is less expensive than it would be to buy many credit default swaps to achieve a similar effect. Credit default swaps on indices are instruments for protecting investors owning bonds against default, and traders use them to speculate on changes in credit quality.

Implied credit spreads, represented in absolute terms, utilized in determining the market value of credit default swap agreements on corporate, loan, sovereign, U.S. municipal or U.S. Treasury issues as of period end, if any, are disclosed in the Notes to Schedules of Investments. They serve as an indicator of the current status of payment/performance risk and represent the likelihood or risk of default for the reference entity. The implied credit spread of a particular referenced entity reflects the cost of buying/selling protection and may include upfront payments required to be made to enter into the agreement. Wider credit spreads represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement. For credit default swap agreements on asset-backed securities and credit indices, the quoted market prices and resulting values serve as the indicator of the current status of the payment/performance risk. Increasing market values, in absolute terms when

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compared to the notional amount of the swap, represent a deterioration of the referenced entity’s credit soundness and a greater likelihood or risk of default or other credit event occurring as defined under the terms of the agreement.

The maximum potential amount of future payments (undiscounted) that a Fund as a seller of protection could be required to make under a credit default swap agreement equals the notional amount of the agreement. Notional amounts of each individual credit default swap agreement outstanding as of period end for which a Fund is the seller of protection are disclosed in the Notes to Schedules of Investments. These potential amounts would be partially offset by any recovery values of the respective referenced obligations, upfront payments received upon entering into the agreement, or net amounts received from the settlement of buy protection credit default swap agreements entered into by a Fund for the same referenced entity or entities.

Interest Rate Swap Agreements  Certain Fund is subject to interest rate risk exposure in the normal course of pursuing its investment objectives. Because the Fund holds fixed rate bonds, the value of these bonds may decrease if interest rates rise. To help hedge against this risk and to maintain its ability to generate income at prevailing market rates, the Fund may enter into interest rate swap agreements. Interest rate swap agreements involve the exchange by the Fund with another party for their respective commitment to pay or receive interest on the notional amount of principal. Certain forms of interest rate swap agreements may include: (i) interest rate caps, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates exceed a specified rate, or “cap”, (ii) interest rate floors, under which, in return for a premium, one party agrees to make payments to the other to the extent that interest rates fall below a specified rate, or “floor”, (iii) interest rate collars, under which a party sells a cap and purchases a floor or vice versa in an attempt to protect itself against interest rate movements exceeding given minimum or maximum levels, (iv) callable interest rate swaps, under which the buyer pays an upfront fee in consideration for the right to early terminate the swap transaction in whole, at zero cost and at a predetermined date and time prior to the maturity date, (v) spreadlocks, which allow the interest rate swap users to lock in the forward differential (or spread) between the interest rate swap rate and a specified benchmark, or (vi) basis swaps, under which two parties can exchange variable interest rates based on different segments of money markets.

7. PRINCIPAL RISKS

In the normal course of business, the Funds trade financial instruments and enter into financial transactions where risk of potential loss exists due to such things as changes in the market (market risk) or failure or inability of the other party to a transaction to perform (credit and

counterparty risk). See below for a detailed description of select principal risks. For a more comprehensive list of potential risks the Funds may be subject to, please see the Important Information About the Funds.

Market Risks  A Fund’s investments in financial derivative instruments and other financial instruments expose the Fund to various risks such as, but not limited to, interest rate, foreign (non-U.S.) currency, equity and commodity risks.

The market values of equities, such as common stocks and preferred securities or equity related investments such as futures and options, have historically risen and fallen in periodic cycles and may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. They may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Different types of equity securities may react differently to these developments. Equity securities and equity related investments generally have greater market price volatility than fixed income securities.

Issuers that have paid regular dividends or distributions to shareholders may not continue to do so in the future. An issuer may reduce or eliminate future dividends or distributions at any time and for any reason. Moreover, a Fund may use a dividend capture strategy (i.e., purchasing an equity security shortly before the issuer pays a dividend and selling it shortly thereafter), which may expose the Fund to higher portfolio turnover, increased trading costs and the potential for capital loss or gain, particularly in the event of significant short-term price movements of stocks subject to dividend capture trading. Also, securities purchased to capture a dividend often decline in value at the time of sale (i.e., shortly following the dividend) and the resulting realized loss to the Fund may exceed the amount of the dividend received, thereby negatively impacting the Fund’s net asset value.

Interest rate risk is the risk that fixed income securities and other instruments held by a Fund will decline in value because of an increase in interest rates. As nominal interest rates rise, the value of certain fixed income securities held by a Fund is likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Interest rate changes can be sudden and unpredictable, and a Fund may lose money if these changes are not anticipated by the Fund’s management. A Fund may not be able to hedge against changes in interest rates or may choose not to do so for cost or other reasons. In addition, any hedges may not work as intended.

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Notes to Financial Statements (Cont.)

Duration is a measure used to determine the sensitivity of a security’s price to changes in interest rates that incorporates a security’s yield, coupon, final maturity and call features, among other characteristics. Convexity is an additional measure of interest rate sensitivity that measures the rate of change of duration in response to changes in interest rates. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. A wide variety of factors can cause interest rates to rise (e.g., central bank monetary policies, inflation rates, general economic conditions, etc.). At present, the U.S. and many parts of the world, including certain European countries, are at or near historically low interest rates. The Funds may be subject to heightened interest rate risk because the Fed has ended its quantitative easing program and has begun, and may continue, to raise interest rates. To the extent that the Fed continues to raise interest rates, there is a risk that rates across the financial system may rise. Further, while bond markets have steadily grown over the past three decades, dealer “market making” ability has not kept pace and in some cases has decreased. Given the importance of intermediary “market making” in creating a robust and active market, fixed income securities are currently facing increased volatility and liquidity risks. All of these factors, collectively and/or individually, could cause a Fund to lose value. If a Fund lost enough value, the Fund could face increased shareholder redemptions, which could force the Fund to liquidate investments at disadvantageous times or prices, thereby adversely affecting the Fund. Also, the Fund may be adversely affected when a large shareholder purchases or redeems large amounts of shares, which can occur at any time and may impact the Fund in the same manner as a high volume of redemption requests. Large shareholder transactions may impact the Fund’s liquidity and net asset value. Such transactions may also increase the Fund’s transaction costs or otherwise cause the Fund to perform differently than intended. Moreover, the Fund is subject to the risk that other shareholders may make investment decisions based on the choices of a large shareholder.

To the extent that a Fund may invest in securities and instruments that are economically tied to Russia, the Fund is subject to various risks such as, but not limited to political, economic, legal, market and currency risks. The risks include uncertain political and economic policies, short-term market volatility, poor accounting standards, corruption and crime, an inadequate regulatory system, and unpredictable taxation. Investments in Russia are particularly subject to the risk that further economic sanctions may be imposed by the United States and/or other countries. Such sanctions — which may impact companies in many sectors, including energy, financial services and defense, among others — may negatively impact a Fund’s performance and/or ability to achieve its investment objective. The Russian securities market, as compared to U.S. markets, has significant price volatility, less liquidity,

a smaller market capitalization and a smaller number of traded securities. Adverse currency exchange rates are a risk and there may be a lack of available currency hedging instruments. Investments in Russia may be subject to the risk of nationalization or expropriation of assets. Oil, natural gas, metals, and timber account for a significant portion of Russia’s exports, leaving the country vulnerable to swings in world prices.

If a Fund invests directly in foreign (non-U.S.) currencies or in securities that trade in, and receive revenues in, foreign (non-U.S.) currencies, or in financial derivative instruments that provide exposure to foreign (non-U.S.) currencies, it will be subject to the risk that those currencies will decline in value relative to the base currency of the Fund, or, in the case of hedging positions, that the Fund’s base currency will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates, intervention (or the failure to intervene) by U.S. or foreign governments, central banks or supranational entities such as the International Monetary Fund, or by the imposition of currency controls or other political developments in the United States or abroad. As a result, a Fund’s investments in foreign currency-denominated securities may reduce the Fund’s returns.

Credit and Counterparty Risks  A Fund will be exposed to credit risk to parties with whom it trades and will also bear the risk of settlement default. A Fund minimizes concentrations of credit risk by undertaking transactions with a large number of customers and counterparties on recognized and reputable exchanges, where applicable. Over the counter (“OTC”) derivative transactions are subject to the risk that a counterparty to the transaction will not fulfill its contractual obligations to the other party, as many of the protections afforded to centrally cleared derivative transactions might not be available for OTC derivative transactions. For derivatives traded on an exchange or through a central counterparty, credit risk resides with the Fund’s clearing broker, or the clearinghouse itself, rather than with a counterparty in an OTC derivative transaction. A Fund could lose money if the issuer or guarantor of a fixed income security, or the counterparty to a financial derivative instruments contract, repurchase agreement or a loan of portfolio securities, is unable or unwilling to make timely principal and/or interest payments, or to otherwise honor its obligations. Securities and financial derivative instruments are subject to varying degrees of credit risk, which may be reflected in credit ratings.

Similar to credit risk, a Fund may be exposed to counterparty risk, or the risk that an institution or other entity with which the Fund has unsettled or open transactions will default. PIMCO, as the Adviser, minimizes counterparty risks to the Funds through a number of ways. Prior to entering into transactions with a new counterparty, the PIMCO Counterparty Risk Committee conducts an extensive credit review of

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such counterparty and must approve the use of such counterparty. Furthermore, pursuant to the terms of the underlying contract, to the extent that unpaid amounts owed to a Fund exceed a predetermined threshold, such counterparty shall advance collateral to the Fund in the form of cash or securities equal in value to the unpaid amount owed to the Fund. A Fund may invest such collateral in securities or other instruments and will typically pay interest to the counterparty on the collateral received. If the unpaid amount owed to a Fund subsequently decreases, the Fund would be required to return to the counterparty all or a portion of the collateral previously advanced. PIMCO’s attempts to minimize counterparty risk may, however, be unsuccessful.

All transactions in listed securities are settled/paid for upon delivery using approved counterparties. The risk of default is considered minimal, as delivery of securities sold is only made once a Fund has received payment. Payment is made on a purchase once the securities have been delivered by the counterparty. The trade will fail if either party fails to meet its obligation.

Model Risk  In making investment allocation decisions, Research Affiliates LLC (the “Sub-Adviser”) may utilize quantitative models that may be proprietary or developed by third-parties. These models are used by the Sub-Adviser to help determine a Fund’s investment allocation decisions. Investment models used in making investment allocation decisions may not adequately take into account certain factors and may result in a decline in the value of your investment. Models rely on accurate financial and market data inputs. If inaccurate data is entered into a model, the resulting information will be incorrect. In addition, the models used may be predictive in nature and such models may result in an incorrect assessment of future events. The models evaluate securities or securities markets based on certain assumptions concerning the interplay of market factors. The markets or the prices of individual securities may be affected by factors not foreseen in developing the models.

Master Netting Arrangements  A Fund may be subject to various netting arrangements (“Master Agreements”) with select counterparties. Master Agreements govern the terms of certain transactions, and reduce the counterparty risk associated with relevant transactions by specifying credit protection mechanisms and providing standardization that improves legal certainty. Each type of Master Agreement governs certain types of transactions. Different types of transactions may be traded out of different legal entities or affiliates of a particular organization, resulting in the need for multiple agreements with a single counterparty. As the Master Agreements are specific to unique operations of different asset types, they allow a Fund to close out and net its total exposure to a counterparty in the event of a default with respect to all the transactions governed under a single Master Agreement with a counterparty. For financial reporting purposes the Statements of Assets and Liabilities

generally present derivative assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting.

Master Agreements can also help limit counterparty risk by specifying collateral posting arrangements at pre-arranged exposure levels. Under most Master Agreements, collateral is routinely transferred if the total net exposure to certain transactions (net of existing collateral already in place) governed under the relevant Master Agreement with a counterparty in a given account exceeds a specified threshold, which typically ranges from zero to $250,000 depending on the counterparty and the type of Master Agreement. United States Treasury Bills and U.S. dollar cash are generally the preferred forms of collateral, although other forms of AAA rated paper or sovereign securities may be used depending on the terms outlined in the applicable Master Agreement. Securities and cash pledged as collateral are reflected as assets on the Statements of Assets and Liabilities as either a component of Investments at value (securities) or Deposits with counterparty. Cash collateral received is not typically held in a segregated account and as such is reflected as a liability on the Statements of Assets and Liabilities as Deposits from counterparty. The market value of any securities received as collateral is not reflected as a component of NAV. A Fund’s overall exposure to counterparty risk can change substantially within a short period, as it is affected by each transaction subject to the relevant Master Agreement.

Master Repurchase Agreements and Global Master Repurchase Agreements (individually and collectively “Master Repo Agreements”) govern repurchase, reverse repurchase, and sale-buyback transactions between a Fund and select counterparties. Master Repo Agreements maintain provisions for, among other things, initiation, income payments, events of default, and maintenance of collateral. The market value of transactions under the Master Repo Agreement, collateral pledged or received, and the net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

Master Securities Forward Transaction Agreements (“Master Forward Agreements”) govern certain forward settling transactions, such as TBA securities, delayed-delivery or sale-buyback transactions by and between a Fund and select counterparties. The Master Forward Agreements maintain provisions for, among other things, transaction initiation and confirmation, payment and transfer, events of default, termination, and maintenance of collateral. The market value of forward settling transactions, collateral pledged or received, and the net exposure by counterparty as of period end is disclosed in the Notes to Schedules of Investments.

Customer Account Agreements and related addenda govern cleared derivatives transactions such as futures, options on futures, and cleared OTC derivatives. Such transactions require posting of initial margin as

SEMIANNUAL REPORT DECEMBER 31, 2016 53

Notes to Financial Statements (Cont.)

determined by each relevant clearing agency which is segregated in an account at a futures commission merchant (“FCM”) registered with the Commodity Futures Trading Commission (“CFTC”). In the United States, counterparty risk may be reduced as creditors of an FCM cannot have a claim to Fund assets in the segregated account. Portability of exposure reduces risk to the Funds. Variation margin, or changes in market value, are exchanged daily, but may not be netted between futures and cleared OTC derivatives unless the parties have agreed to a separate arrangement in respect of portfolio margining. The market value or accumulated unrealized appreciation (depreciation), initial margin posted, and any unsettled variation margin as of period end is disclosed in the Notes to Schedules of Investments.

Prime Broker Arrangements may be entered into to facilitate execution and/or clearing of listed equity option transactions or short sales of equity securities between a Fund and selected counterparties. The arrangements provide guidelines surrounding the rights, obligations, and other events, including, but not limited to, margin, execution, and settlement. These agreements maintain provisions for, among other things, payments, maintenance of collateral, events of default, and termination. Margin and other assets delivered as collateral are typically in the possession of the prime broker and would offset any

obligations due to the prime broker. The market values of listed options and securities sold short and related collateral are disclosed in the Notes to Schedules of Investments.

International Swaps and Derivatives Association, Inc. Master Agreements and Credit Support Annexes (“ISDA Master Agreements”) govern bilateral OTC derivative transactions entered into by a Fund with select counterparties. ISDA Master Agreements maintain provisions for general obligations, representations, agreements, collateral posting and events of default or termination. Events of termination include conditions that may entitle counterparties to elect to terminate early and cause settlement of all outstanding transactions under the applicable ISDA Master Agreement. Any election to terminate early could be material to the financial statements. In limited circumstances, the ISDA Master Agreement may contain additional provisions that add counterparty protection beyond coverage of existing daily exposure if the counterparty has a decline in credit quality below a predefined level. These amounts, if any, may be segregated with a third-party custodian. The market value of OTC financial derivative instruments, collateral received or pledged, and net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

8. FEES AND EXPENSES

(a) Investment Advisory Fee  PIMCO is a majority-owned subsidiary of Allianz Asset Management of America L.P. (“Allianz Asset Management”) and serves as the Adviser to the Trust, pursuant to an investment advisory contract. The Adviser receives a monthly fee from each Fund at an annual rate based on average daily net assets (the “Investment Advisory Fee”). The Investment Advisory Fee for all classes is charged at an annual rate as noted in the table in note (b) below.

(b) Supervisory and Administrative Fee  PIMCO serves as administrator (the “Administrator”) and provides supervisory and administrative services to the Trust for which it receives a monthly supervisory and administrative fee based on each share class’s average daily net assets (the “Supervisory and Administrative Fee”). As the Administrator, PIMCO bears the costs of various third-party services, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs.

Investment Advisory Fees and Supervisory and Administrative Fees for all classes, as applicable, are charged at an annual rate as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

	Investment Advisory Fee	Supervisory and Administrative Fee
Fund Name	All Classes	Institutional Class		Class P		Administrative Class	Class D		Class A		Class C		Class R
PIMCO Dividend and Income Fund	0.49%		0.30%		0.40%	N/A		0.40%		0.40%		0.40%	N/A
PIMCO EqS® Long/Short Fund	1.04%		0.45%		0.55%	N/A		0.55%		0.55%		0.55%	N/A

(c) Distribution and Servicing Fees  PIMCO Investments LLC (“PI”), a wholly-owned subsidiary of PIMCO, serves as the distributor (“Distributor”) of the Trust’s shares.

The Trust has adopted separate Distribution and Servicing Plans with respect to the Class A, Class C and Class R shares of the Trust pursuant to Rule 12b-1 under the Act. In connection with the distribution of Class C and Class R shares of the Trust, the Distributor receives

distribution fees from the Trust of up to 0.75% for Class C shares and 0.25% for Class R shares, and in connection with personal services rendered to Class A, Class C and Class R shareholders and the maintenance of such shareholder accounts, the Distributor receives servicing fees from the Trust of up to 0.25% for each of Class A, Class C and Class R shares (percentages reflect annual rates of the average daily net assets attributable to the applicable class).

54 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

The Trust has adopted a Distribution and Servicing Plan with respect to the Class D shares of each Fund pursuant to Rule 12b-1 under the Act (the “Class D Plan”). Under the terms of the Class D Plan, a Fund is permitted to compensate the Distributor out of the assets attributable to the Class D shares of the Fund, in an amount up to 0.25% on an annual basis of the average daily net assets of the Fund’s Class D shares for providing, or procuring through financial intermediaries, distribution, shareholder services, and/or maintenance of shareholder accounts with respect to Class D shareholders of the Fund, some of which may be deemed to be primarily intended to result in the sale of Class D shares.

The Trust has adopted a Distribution and Servicing Plan with respect to the Administrative Class shares of each Fund pursuant to Rule 12b-1 under the Act (the “Administrative Class Plan”). Under the terms of the Administrative Class Plan, a Fund may compensate the Distributor for providing, or procuring through financial intermediaries, distribution, administrative, recordkeeping, shareholder and/or related services with respect to Administrative Class shares. The Administrative Class Plan permits a Fund to make total payments at an annual rate of up to 0.25% of the average daily net assets attributable to the Administrative Class shares.

The Trust paid distribution and servicing fees at effective rates as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

	Distribution Fee		Servicing Fee
Administrative Class		—		0.25%
Class D		—		0.25%
Class A		—		0.25%
Class C		0.75%		0.25%
Class R		0.25%		0.25%

The Distributor also received the proceeds of the initial sales charges paid by the shareholders upon the purchase of Class A shares and the contingent deferred sales charges paid by the shareholders upon certain redemptions of Class A and Class C shares. For the period ended December 31, 2016, the Distributor retained $44,078 representing commissions (sales charges) and contingent deferred sales charges from the Trust.

(d) Fund Expenses  PIMCO provides or procures supervisory and administrative services for shareholders and also bears the costs of various third-party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs. The Trust is responsible for the following expenses: (i) taxes and governmental fees; (ii) brokerage fees and commissions and other portfolio transaction expenses; (iii) the costs of borrowing money, including interest expense; (iv) fees and expenses of the Trustees who are not “interested persons” of PIMCO or the Trust, and any counsel retained exclusively for their benefit; (v) extraordinary expense,

including costs of litigation and indemnification expenses; (vi) organizational expenses; and (vii) any expenses allocated or allocable to a specific class of shares, which include service fees payable with respect to the Administrative Class Shares, and may include certain other expenses as permitted by the Trust’s Multi-Class Plan adopted pursuant to Rule 18f-3 under the Act and subject to review and approval by the Trustees. The ratio of expenses to average net assets per share class, as disclosed on the Financial Highlights, may differ from the annual funds operating expenses per share class.

Each Trustee, other than those affiliated with PIMCO or its affiliates, receives an annual retainer of $62,000, plus $6,250 for each Board meeting attended in person, $375 ($750 in the case of the audit committee chair with respect to audit committee meetings) for each committee meeting attended and $750 for each Board meeting attended telephonically, plus reimbursement of related expenses. In addition, the audit committee chair receives an additional annual retainer of $9,000, the valuation oversight committee lead receives an additional annual retainer of $2,000 (to the extent there are co-leads of the valuation oversight committee, the annual retainer will be split evenly between the co-leads, so that each co-lead individually receives an additional retainer of $1,000) and the governance committee chair receives an additional annual retainer of $750.

These expenses are allocated on a pro rata basis to each Fund of the Trust according to its respective net assets. The Trust pays no compensation directly to any Trustee or any other officer who is affiliated with the Administrator, all of whom receive remuneration for their services to the Trust from the Administrator or its affiliates.

(e) Expense Limitation  Pursuant to the Expense Limitation Agreement, PIMCO has agreed to waive a portion of the Funds’ Supervisory and Administrative Fee, or reimburse the Funds, to the extent that the payment of each Fund’s organizational expenses and pro rata share of Trustee Fees exceed 0.0049%, the “Expense Limit” (calculated as a percentage of each Fund’s average daily net assets attributable to each class). The Expense Limitation Agreement will automatically renew for one-year terms unless PIMCO provides written notice to the Trust at least 30 days prior to the end of the then current term.

Pursuant to the Fee Waiver Agreement, PIMCO contractually agreed to reduce its Advisory Fee for the PIMCO Dividend and Income Fund. Effective June 16, 2016, this contractual agreement has been terminated. PIMCO may be reimbursed for these waived amounts in future periods, not to exceed thirty-six months after the waiver. The waiver is reflected in the Statement of Operations as a component of Waiver and/or Reimbursement by PIMCO.

SEMIANNUAL REPORT DECEMBER 31, 2016 55

Notes to Financial Statements (Cont.)

Amounts waived (under the Expense Limitation Agreement and Fee Waiver Agreement) may be reimbursed to PIMCO, provided that (1) the Fund’s annualized organizational expenses and pro rata share of Trustee Fees plus the amount reimbursed does not exceed the Expense Limit; (2) such amount paid to PIMCO will not exceed the total Reimbursement Amount, which is the portion of the Supervisory and Administrative Fee or Advisory Fee that was waived, reduced or reimbursed by PIMCO; and (3) such amount will not include any amounts previously reimbursed to PIMCO. The recoverable amounts to PIMCO at December 31, 2016, were as follows (amounts in thousands):

	Expiring within
Fund Name	12 months		13 - 24 months		25 - 36 months		Total
PIMCO Dividend and Income Fund	$	1,981	$	1,407	$	427	$	3,815
PIMCO EqS® Long/Short Fund		71		68		114		253

9. RELATED PARTY TRANSACTIONS

The Adviser, Administrator, and Distributor are related parties. Fees payable to these parties are disclosed in Note 8 Fees and Expenses, and the accrued related party fee amounts are disclosed on the Statements of Assets and Liabilities.

Certain Funds are permitted to purchase or sell securities from or to certain related affiliated funds under specified conditions outlined in procedures adopted by the Board. The procedures have been designed to ensure that any purchase or sale of securities by the Funds from or to another fund or portfolio that are, or could be, considered an affiliate, or an affiliate of an affiliate, by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 under the Act. Further, as defined under the procedures, each transaction is effected at the current market price. During the period ended December 31, 2016, the Funds below engaged in purchases and sales of securities pursuant to Rule 17a-7 under the Act (amounts in thousands^†):

Fund Name	Purchases		Sales
PIMCO Dividend and Income Fund	$	1,760	$	6,240

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

10. GUARANTEES AND INDEMNIFICATIONS

Under the Trust’s organizational documents, each Trustee or officer of the Trust is indemnified and each employee or other agent of the Trust

(including the Trust’s investment manager) may be indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts.

11. PURCHASES AND SALES OF SECURITIES

The length of time a Fund has held a particular security is not generally a consideration in investment decisions. A change in the securities held by a Fund is known as “portfolio turnover.” Each Fund may engage in frequent and active trading of portfolio securities to achieve its investment objective, particularly during periods of volatile market movements. High portfolio turnover may involve correspondingly greater transaction costs to a Fund, including brokerage commissions or dealer mark-ups and other transaction costs on the sale of securities and reinvestments in other securities. Such sales may also result in realization of taxable capital gains, including short-term capital gains (which are generally taxed at ordinary income tax rates). The transaction costs and tax effects associated with portfolio turnover may adversely affect a Fund’s performance. The portfolio turnover rates are reported in the Financial Highlights.

Purchases and sales of securities (excluding short-term investments) for the period ended December 31, 2016, were as follows (amounts in thousands):

	U.S. Government/Agency				All Other
Fund Name	Purchases		Sales		Purchases		Sales
PIMCO Dividend and Income Fund	$	135,770	$	112,317	$	56,436	$	147,927
PIMCO EqS® Long/Short Fund		3,200		3,203		647,193		894,911

56 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

12. SHARES OF BENEFICIAL INTEREST

The Funds may issue an unlimited number of shares of beneficial interest with a $0.001 par value. Changes in shares of beneficial interest were as follows (shares and amounts in thousands^†):

	PIMCO Dividend and Income Fund												PIMCO EqS® Long/Short Fund
	Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Receipts for shares sold
Institutional Class		245		$	2,519			1,999		$	19,199			1,977		$	23,367			18,899		$	220,296
Class P		425			4,387			2,499			27,174			2,142			25,217			20,667			242,511
Class D		188			1,958			702			7,868			573			6,718			3,190			37,157
Class A		702			7,226			4,205			46,505			527			6,153			5,433			63,329
Class C		647			6,697			4,077			44,242			423			4,792			4,981			56,809
Class R		0			0			2	^		15	^		0			0			0			0
Issued as reinvestment of distributions
Institutional Class		30			318			426			4,233			729			8,346			218			2,550
Class P		17			183			564			5,610			694			7,896			263			3,072
Class D		9			95			271			2,689			169			1,907			55			640
Class A		128			1,348			2,181			21,595			485			5,471			152			1,763
Class C		94			984			2,223			21,928			484			5,287			161			1,820
Class R		0			0			2	^		22	^		0			0			0			0
Cost of shares redeemed
Institutional Class		(1,167	)		(11,979	)		(4,804	)		(50,731	)		(9,310	)		(110,540	)		(23,144	)		(271,801	)
Class P		(1,771	)		(18,210	)		(13,443	)		(141,787	)		(10,642	)		(125,690	)		(16,702	)		(193,796	)
Class D		(429	)		(4,473	)		(3,248	)		(33,913	)		(2,847	)		(33,103	)		(1,558	)		(18,122	)
Class A		(4,216	)		(43,266	)		(13,604	)		(140,011	)		(4,296	)		(49,993	)		(7,254	)		(84,522	)
Class C		(4,773	)		(48,862	)		(15,791	)		(162,722	)		(3,721	)		(41,985	)		(4,195	)		(47,471	)
Class R		0			0			(27	)^		(249	)^		0			0			0			0
Net increase (decrease) resulting from Fund share transactions		(9,871	)	$	(101,075	)		(31,766	)	$	(328,333	)		(22,613	)	$	(266,157	)		1,166		$	14,235

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

^{^}  Class R Shares liquidated at the close of business on January 22, 2016.

13. REGULATORY AND LITIGATION MATTERS

The Funds are not named as defendants in any material litigation or arbitration proceedings and are not aware of any material litigation or claim pending or threatened against them.

PIMCO, the investment manager of the PIMCO Total Return Active Exchange-Traded Fund (“BOND”), has entered into a settlement agreement with the SEC that relates to BOND.

The settlement relates to disclosures regarding BOND’s performance attribution during the first four months of its existence in 2012 and the valuation of 43 smaller-sized positions of non-agency mortgage-backed securities using third-party vendor prices, as well as PIMCO’s policies and procedures related to these matters.

The settlement resolves the SEC’s investigation of BOND.

The foregoing speaks only as of the date of this report.

14. FEDERAL INCOME TAX MATTERS

Each Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code (the “Code”) and

distribute all of its taxable income and net realized gains, if applicable, to shareholders. Accordingly, no provision for Federal income taxes has been made.

A Fund may be subject to local withholding taxes, including those imposed on realized capital gains. Any applicable foreign capital gains tax is accrued daily based upon net unrealized gains, and may be payable following the sale of any applicable investments.

In accordance with U.S. GAAP, the Adviser has reviewed the Funds’ tax positions for all open tax years. As of December 31, 2016, the Funds have recorded no liability for net unrecognized tax benefits relating to uncertain income tax positions they have taken or expect to take in future tax returns.

The Funds file U.S. tax returns. While the statute of limitations remains open to examine the Funds’ U.S. tax returns filed for the fiscal years ending in 2013-2015, no examinations are in progress or anticipated at this time. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

SEMIANNUAL REPORT DECEMBER 31, 2016 57

Notes to Financial Statements (Cont.)

December 31, 2016 (Unaudited)

Under the Regulated Investment Company Modernization Act of 2010, a fund is permitted to carry forward any new capital losses for an unlimited period. Additionally, such capital losses that are carried

forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term under previous law.

As of their last fiscal year ended June 30, 2016, the Funds had the following post-effective capital losses with no expiration (amounts in thousands):

	Short-Term		Long-Term
PIMCO Dividend and Income Fund	$	73,130	$	55,301
PIMCO EqS® Long/Short Fund		6,058		1,758

As of December 31, 2016, the aggregate cost and the net unrealized appreciation (depreciation) of investments for Federal income tax purposes are as follows (amounts in thousands^†):

	Federal Tax Cost		Aggregate Gross Unrealized Appreciation		Aggregate Gross Unrealized (Depreciation)			Net Unrealized Appreciation/ (Depreciation)
PIMCO Dividend and Income Fund	$	361,583	$	25,700	$	(13,587	)	$	12,113
PIMCO EqS® Long/Short Fund		558,390		20,065		(4,247	)		15,818

⁽¹⁾  Primary differences, if any, between book and tax net unrealized appreciation (depreciation) are attributable to wash sale loss deferrals for Federal income tax purposes.

58 PIMCO EQUITY SERIES

Glossary: (abbreviations that may be used in the preceding statements)

(Unaudited)

Counterparty Abbreviations:
AZD	Australia and New Zealand Banking Group	FOB	Credit Suisse Securities (USA) LLC	JPM	JPMorgan Chase Bank N.A.
BOA	Bank of America N.A.	GLM	Goldman Sachs Bank USA	MSB	Morgan Stanley Bank, N.A
BOS	Banc of America Securities LLC	GSC	Goldman Sachs & Co.	MYC	Morgan Stanley Capital Services, Inc.
BPS	BNP Paribas S.A.	GST	Goldman Sachs International	SCX	Standard Chartered Bank
CBK	Citibank N.A.	HUS	HSBC Bank USA N.A.	SSB	State Street Bank and Trust Co.
DUB	Deutsche Bank AG	IND	Crédit Agricole Corporate and Investment Bank S.A.	TOR	Toronto Dominion Bank
FBF	Credit Suisse International
Currency Abbreviations:
AUD	Australian Dollar	DKK	Danish Krone	MXN	Mexican Peso
BRL	Brazilian Real	EUR	Euro	RUB	Russian Ruble
CAD	Canadian Dollar	GBP	British Pound	USD (or $)	United States Dollar
CHF	Swiss Franc	JPY	Japanese Yen	ZAR	South African Rand
Index/Spread Abbreviations:
CDX.HY	Credit Derivatives Index - High Yield	CMBX	Commercial Mortgage-Backed Index
Other Abbreviations:
ADR	American Depositary Receipt	CBO	Collateralized Bond Obligation	SP - ADR	Sponsored American Depositary Receipt
BABs	Build America Bonds	CLO	Collateralized Loan Obligation	SPDR	Standard & Poor’s Depositary Receipts
BBR	Bank Bill Rate	JIBAR	Johannesburg Interbank Agreed Rate	TBA	To-Be-Announced
BBSW	Bank Bill Swap Reference Rate	LIBOR	London Interbank Offered Rate	TIIE	Tasa de Interés Interbancaria de Equilibrio “Equilibrium Interbank Interest Rate”

SEMIANNUAL REPORT DECEMBER 31, 2016 59

Approval of Investment Advisory Contract and Other Agreements

Approval of Renewal of the Investment Advisory Contract, Sub-Advisory Agreement, Portfolio Implementation Agreement and Second Amended and Restated Supervision and Administration Agreement

At a meeting held on August 17, 2016, the Board of Trustees (the “Board”) of PIMCO Equity Series (the “Trust”), including the Trustees who are not “interested persons” of the Trust under the Investment Company Act of 1940, as amended (the “Independent Trustees”), considered and unanimously approved the renewal of the Investment Advisory Contract (the “Investment Advisory Contract”) between the Trust, on behalf of each of the Trust’s series (the “Funds”), and Pacific Investment Management Company LLC (“PIMCO”) for an additional one-year term through August 31, 2017. The Board also considered and unanimously approved the renewal of the Second Amended and Restated Supervision and Administration Agreement (the “Supervision and Administration Agreement” and together with the Investment Advisory Contract, the “Agreements”) between the Trust, on behalf of the Funds, and PIMCO for an additional one-year term through August 31, 2017. In addition, the Board considered and unanimously approved the renewal of the: (i) Sub-Advisory Agreement (the “Sub-Advisory Agreement”) between PIMCO, on behalf of PIMCO RAE Fundamental Emerging Markets Fund, PIMCO RAE Fundamental Global ex-US Fund, PIMCO RAE Fundamental Global Fund, PIMCO RAE Fundamental International Fund, PIMCO RAE Fundamental US Fund and PIMCO RAE Fundamental US Small Fund (the “RAE Fundamental Funds”), each a series of the Trust, and Research Affiliates, LLC (“Research Affiliates”); and (ii) Portfolio Implementation Agreement (the “Portfolio Implementation Agreement”) between PIMCO, on behalf of the RAE Fundamental Funds, each a series of the Trust, Research Affiliates and Parametric Portfolio Associates LLC (“Parametric”), each for an additional one-year term through August 31, 2017.

The information, material factors and conclusions that formed the basis for the Board’s approvals are summarized below.

1. INFORMATION RECEIVED

(a) Materials Reviewed:  During the course of the past year, the Trustees received a wide variety of materials relating to the services provided by PIMCO, Research Affiliates and Parametric to the Trust. At each of its quarterly meetings, the Board reviewed the Funds’ investment performance and a significant amount of information relating to Fund operations, including shareholder services, valuation and custody, the Funds’ compliance program and other information relating to the nature, extent and quality of services provided by PIMCO, Research Affiliates and Parametric to the Trust and each of the Funds, as applicable. In considering whether to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio

Implementation Agreement, the Board reviewed additional information, including, but not limited to, comparative industry data with regard to investment performance, advisory and supervisory and administrative fees and expenses, financial information for PIMCO and, where relevant, Research Affiliates and Parametric, information regarding the profitability to PIMCO of its relationship with the Funds, information about the personnel providing investment management services, other advisory services and supervisory and administrative services to the Funds, and information about the fees charged and services provided to other clients with similar investment mandates as the Funds, where applicable. In addition, the Board reviewed materials provided by counsel to the Trust and the Independent Trustees, which included, among other things, memoranda outlining legal duties of the Board in considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement.

(b) Review Process:  In connection with considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board reviewed written materials prepared by PIMCO and, where applicable, Research Affiliates and Parametric in response to requests from counsel to the Trust and the Independent Trustees encompassing a wide variety of topics. The Board requested and received assistance and advice regarding, among other things, applicable legal standards from counsel to the Trust and the Independent Trustees, and reviewed comparative fee and performance data prepared at the Board’s request by Lipper, Inc. (“Lipper”), an independent provider of investment company performance information and fee and expense data. The Board received presentations on matters related to the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement and met both as a full Board and in a separate session of the Independent Trustees, without management present, at the August 17, 2016 meeting.

The approval determinations were made on the basis of each Trustee’s business judgment after consideration and evaluation of all the information presented. Individual Trustees may have given different weights to certain factors and assigned various degrees of materiality to information received in connection with the approval process. In deciding to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board did not identify any single factor or particular information that, in isolation, was controlling. The discussion below is intended to summarize the broad factors and information that figured prominently in the Board’s consideration of the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, but is not intended to summarize all of the factors considered by the Board.

60 PIMCO EQUITY SERIES

(Unaudited)

2. NATURE, EXTENT AND QUALITY OF SERVICES

(a) PIMCO, Research Affiliates, Parametric, their Personnel, and Resources:  The Board considered the depth and quality of PIMCO’s investment management process, including: the experience, capability and integrity of its senior management and other personnel; the overall financial strength and stability of its organization; and the ability of its organizational structure to address changes in the Funds’ asset levels. The Board also considered the various services in addition to portfolio management that PIMCO provides under the Investment Advisory Contract. The Board noted that PIMCO makes available to its investment professionals a variety of resources and systems relating to investment management, compliance, trading, performance and portfolio accounting. The Board also noted PIMCO’s commitment to investing in information technology and infrastructure supporting investment management and compliance, as well as PIMCO’s continuing efforts to attract, retain and promote qualified personnel, including personnel with relevant equities experience, and to maintain and enhance its resources and systems. The Board considered PIMCO’s policies, procedures and systems reasonably designed to assure compliance with applicable laws and regulations and its commitment to further developing and strengthening these programs, its oversight of matters that may involve conflicts of interest between the Funds’ investments and those of other accounts managed by PIMCO, and its efforts to keep the Trustees informed about matters relevant to the Funds and their shareholders. The Board also considered PIMCO’s continuous investment in new disciplines and talented personnel, which has enhanced PIMCO’s services to the Funds and has allowed PIMCO to introduce innovative new funds over time.

The Trustees considered information they had received about the steps that PIMCO has taken with respect to active management of counterparty risk, such as implementing procedures requiring daily collateral adjustments and frequent communication between credit analysts and the Counterparty Risk Committee, which oversees counterparty risk on a firm-wide basis, continually evaluating requests to add or remove approved counterparties as market needs and conditions warrant. The Trustees also considered that PIMCO has continued to strengthen the process it uses to assess the financial stability of counterparties with which the Funds do business, to manage collateral and to protect the Funds from an unforeseen deterioration in the creditworthiness of trading counterparties. The Trustees noted that, consistent with its fiduciary duty, PIMCO executes transactions through a competitive best execution process and uses only those counterparties that meet its stringent and monitored criteria. The Trustees considered that PIMCO’s collateral management team utilizes a counterparty risk system to analyze portfolio level exposure and collateral being exchanged with counterparties.

In addition, the Trustees considered new services and service enhancements that PIMCO has implemented since the Board renewed the Agreements in 2015, including, but not limited to: continuing enhancement of analytics and technology systems; enhancing data processing and security and development tools and applications; continuing investment in its enterprise risk management function, including PIMCO’s cybersecurity program; building specialized talent in the PIMCO Global Advisory Board and continuing to hire new portfolio managers; continuing to expand the Funds Business Group global operating model; developing a website monitoring application to ensure accurate data content; engaging a third-party to perform an independent assessment of the application utilized for income servicing and enhancing the application to provide portfolio managers with more timely and high quality quarterly reporting; establishing a Fund Treasurer’s Office to provide, among other things, guidance with respect to industry and regulatory initiatives; advancing technology developers in global tax management application; conducting an end-to-end review of State Street IMS, custodian and pricing vendor connectivity in connection with the pricing function; continuing development of Pricing Portal to improve identification and feedback to vendors regarding valuations; continuing extensive pricing vendor due diligence; and partnering with Boston Financial Data Services, Inc. to establish secondary call center and other call center enhancements.

Similarly, the Board considered the sub-advisory services provided by Research Affiliates to the RAE Fundamental Funds. The Board also considered Research Affiliates’ supervisory responsibilities with respect to Parametric’s provision of portfolio implementation services to the RAE Fundamental Funds. The Board further considered the depth and quality of Research Affiliates’ investment management and research capabilities, the experience and capabilities of its portfolio management personnel and, in particular, the experience and capabilities of Robert Arnott, Research Affiliates’ principal, and the overall financial strength of the organization.

In addition, the Board considered the portfolio implementation and other operational services provided by Parametric to the RAE Fundamental Funds by, among other things, effecting portfolio transactions on behalf of the RAE Fundamental Funds. The Board also considered information about Parametric’s personnel responsible for providing services under the Portfolio Implementation Agreement. The Board also considered the nature and quality of Parametric’s trading, risk management, and compliance capabilities and resources, including Parametric’s policies and procedures regarding trade aggregation and allocation, which are integral parts of its role as portfolio implementer.

Ultimately, the Board concluded that the nature, extent and quality of services provided by PIMCO under the Agreements, by Research Affiliates under the Sub-Advisory Agreement, and by Parametric under

SEMIANNUAL REPORT DECEMBER 31, 2016 61

Approval of Investment Advisory Contract and Other Agreements (Cont.)

the Portfolio Implementation Agreement are likely to continue to benefit the Funds and their shareholders, as applicable.

(b) Other Services:  The Board also considered the nature, extent and quality of supervisory and administrative services provided by PIMCO to the Funds under the Supervision and Administration Agreement. The Board considered the terms of the Supervision and Administration Agreement, under which the Trust pays for the supervisory and administrative services provided pursuant to that agreement under what is essentially an all-in fee structure (the “unified fee”). In return, PIMCO provides or procures certain supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board noted that the scope and complexity, as well as the costs, of the supervisory and administrative services provided by PIMCO under the Supervision and Administration Agreement continue to increase. The Board considered PIMCO’s provision of supervisory and administrative services and its supervision of the Trust’s third party service providers to assure that these service providers continue to provide a high level of service relative to alternatives available in the market.

Ultimately, the Board concluded that the nature, extent and quality of the services provided by PIMCO has benefited, and will likely continue to benefit, the Funds and their shareholders.

3. INVESTMENT PERFORMANCE

The Board reviewed information from PIMCO concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 and other performance data, as available, over short- and long-term periods ended June 30, 2016 (the “PIMCO Report”) and from Lipper concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 (the “Lipper Report”). The Board considered information regarding both the short- and long-term investment performance of each Fund relative to its peer group and relevant benchmark index as provided to the Board in advance of each of its quarterly meetings throughout the year, including the PIMCO Report and Lipper Report, which were provided in advance of the August 17, 2016 meeting.

The Board noted that, according to Lipper, certain Funds had underperformed in comparison to their respective peer groups or benchmark indexes, or both, over short- and long-term periods. The Board discussed with PIMCO the reasons for the underperformance of certain Funds over short- and long-term periods. The Board also discussed actions that have been taken by PIMCO to attempt to improve performance and took note of PIMCO’s plans to monitor performance going forward.

The Board ultimately concluded, within the context of all of its considerations in connection with the Agreements, that PIMCO’s performance record and process in managing the Funds indicates that its continued management is likely to benefit the Funds and their shareholders, and merits the approval of the renewal of the Agreements.

4. ADVISORY FEES, SUPERVISORY AND ADMINISTRATIVE FEES AND TOTAL EXPENSES

The Board considered that PIMCO seeks to price funds to scale at the outset with reference to the total expense ratios of the respective Lipper median, if available, while providing a premium for innovative investment offerings. PIMCO reported to the Board that, in proposing fees for any Fund or class of shares, it considers a number of factors, including, but not limited to, the type and complexity of the services provided, the cost of providing services, the risk assumed by PIMCO in the development of products and the provision of services, the impact on potential returns from different levels of fees, the competitive marketplace for financial products, and the attractiveness of potential Fund returns to current and potential investors. Fees charged to or proposed for different Funds for advisory services and supervisory and administrative services may vary in light of these various factors. The Board also considered that PIMCO reviews the Funds’ fee levels and carefully considers reductions where appropriate.

The Board reviewed the advisory fees, supervisory and administrative fees and total expenses of the Funds (each as a percentage of average net assets) and compared such amounts with the average and median fee and expense levels of other similar funds. The Board also reviewed information relating to the sub-advisory fees paid to Research Affiliates with respect to applicable Funds, taking into account that PIMCO compensates Research Affiliates from the advisory fees paid by such Funds to PIMCO. With respect to advisory fees, the Board reviewed data from Lipper that compared the average and median advisory fees of other funds in a “Peer Group” of comparable funds, as well as the universe of other similar funds. The Board noted that PIMCO had contractually agreed, through October 31, 2016, to reduce its advisory fee by amounts shown in the table below:

PIMCO Dividend and Income Fund	0.16%
PIMCO RAE Fundamental Emerging Markets Fund	0.20%
PIMCO RAE Fundamental Global Fund	0.20%
PIMCO RAE Fundamental Global ex-US Fund	0.20%
PIMCO RAE Fundamental International Fund	0.10%
PIMCO RAE Fundamental US Fund	0.10%
PIMCO RAE Fundamental US Small Fund	0.10%

The Board further noted that the PIMCO Global Dividend Fund, PIMCO Balanced Income Fund, PIMCO U.S. Dividend Fund and PIMCO International Dividend Fund are expected to liquidate on August 26, 2016.

62 PIMCO EQUITY SERIES

(Unaudited)

The Board also reviewed data comparing the Funds’ advisory fees to the standard and negotiated fee rates PIMCO charges to separate accounts and to other sub-advised clients with similar investment strategies, including differences in advisory services provided. The Board discussed comparisons of fees for Funds with fees for separate accounts and/or PIMCO private/alternative funds with similar investment strategies, noting that for certain Funds, there were no appropriate comparisons because PIMCO did not manage comparable separate accounts at the time that the Board considered the Agreements. The Board noted that the advisory fees (or management fees, where applicable) for most Funds were similar to the fee rates charged to other investment companies with the same investment strategies as the Funds.

Regarding advisory fees charged by PIMCO in its capacity as sub-adviser to third-party/unaffiliated funds, the Trustees took into account that such fees may be lower than the fees charged by PIMCO to serve as adviser to the Funds. The Trustees also took into account that there are various reasons for any such differences in fees, including, but not limited to, the fact that PIMCO may be subject to varying levels of entrepreneurial risk and regulatory requirements, differing legal liabilities on a contract-by-contract basis and different servicing requirements when PIMCO does not serve as the sponsor of a fund and is not principally responsible for all aspects of a fund’s investment program and operations as compared to when PIMCO serves as investment adviser and sponsor. In considering the fees paid by the Funds, the Board noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds.

The Board considered the Funds’ supervisory and administrative fees, comparing them to similar funds in the report supplied by Lipper. The Board also considered that as the Funds’ business has become increasingly complex and the number of Funds has grown over time, PIMCO has provided an increasingly broad array of fund supervisory and administrative functions. In addition, the Board considered the Trust’s unified fee structure, under which the Trust pays for the supervisory and administrative services it requires for one set fee. In return for this unified fee, PIMCO provides or procures supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board further considered that many other funds pay for comparable services separately, and thus it is difficult to directly compare the Trust’s unified supervisory and administrative fees with the fees paid by other funds for administrative services alone. The Board also considered that the unified supervisory and administrative fee leads to Fund fees that are fixed, rather than variable. The Board noted that, although the unified fee structure does not have

breakpoints, it implicitly reflects economies of scale by fixing the absolute level of Fund fees at competitive levels even if the Funds’ operating costs rise when assets remain flat or decrease. The Board considered that the Funds’ unified fee structure meant that fees were not impacted by recent outflows in certain Funds, unlike funds without a unified fee structure, which may see increased expense ratios when fixed costs are passed through to a smaller asset base. The Board concluded that the Funds’ supervisory and administrative fees were reasonable in relation to the value of the services provided, including the services provided to different classes of shareholders, and that the expenses assumed contractually by PIMCO under the Supervision and Administration Agreement represent, in effect, a cap on overall Fund fees, which is beneficial to the Funds and their shareholders.

The Board noted that the Funds’ total expenses continued to be generally in line with those of competitor funds. The Board discussed with PIMCO those Funds and/or classes of Funds that had above median total expenses. Upon comparing the Funds’ total expenses to other funds in the “Peer Groups” provided by Lipper, the Board found total expenses of each Fund to be reasonable.

The Trustees also considered the advisory fees charged to the Funds that operate as funds of funds (the “Funds of Funds”) and the advisory services provided in exchange for such fees. The Trustees determined that such services were in addition to the advisory services provided to the underlying funds in which the Funds of Funds may invest and, therefore, such services were not duplicative of the advisory services provided to the underlying funds. The Board also considered the various fee waiver agreements in place for the Funds of Funds.

Based on the information presented by PIMCO, Research Affiliates, Parametric and Lipper, members of the Board determined, in the exercise of their business judgment, that the level of the advisory fees and supervisory and administrative fees charged by PIMCO under the Agreements, as well as the total expenses of each Fund, are reasonable.

5. ADVISER COSTS, LEVEL OF PROFITS AND ECONOMIES OF SCALE

The Board reviewed information regarding PIMCO’s costs of providing services to the Funds as a whole and considered that PIMCO did not derive any profit from the Funds during the calendar year ended December 31, 2015, and does not expect to derive any profit from the Funds during the calendar year ended December 31, 2016. The Board noted that it had received information regarding the structure and manner in which PIMCO’s investment professionals were compensated, and PIMCO’s view of the relationship of such compensation to the attraction and retention of quality personnel. The Board considered PIMCO’s need to invest in technology, cyber security, information security, shareholder privacy, business continuity planning, infrastructure and staff to reinforce and offer new services and to accommodate changing regulatory requirements.

SEMIANNUAL REPORT DECEMBER 31, 2016 63

Approval of Investment Advisory Contract and Other Agreements (Cont.)

(Unaudited)

With respect to potential economies of scale, the Board noted that PIMCO shares the benefits of economies of scale with the Funds and their shareholders in a number of ways, including through the pricing of Funds to scale from inception and the enhancement of services provided to the Funds in return for fees paid. In considering the advisory fees paid by the Funds, the Board also noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds. The Board considered that the Funds’ unified fee rates had been set competitively and/or priced to scale from inception and continued to be competitive compared with peers. The Board also considered that the unified fee is a transparent means of informing a Fund’s shareholders of the fees associated with the Fund, and that the Fund bears certain expenses that are not covered by the advisory fee or the unified fee. The Board further considered the challenges that arise when managing large funds, which can result in certain “diseconomies” of scale.

The Trustees considered that the unified fee has provided inherent economies of scale because a Fund maintains competitive fixed unified fees even if the particular Fund’s assets decline and/or operating costs rise. The Trustees further considered that, in contrast, breakpoints may be a proxy for charging higher fees on lower asset levels and that when a fund’s assets decline, breakpoints may reverse, which causes expense ratios to increase. The Trustees also considered that, unlike the Funds’ unified fee structure, funds with “pass through” administrative fee structures may experience increased expense ratios when fixed dollar fees are charged against declining fund assets. The Trustees also considered that the unified fee protects shareholders from a rise in operating costs that may result from, among other things, PIMCO’s investments in various business enhancements and infrastructure, including those referenced above. The Trustees noted that PIMCO’s investments in these areas are extensive.

The Board concluded that the Funds’ cost structures were reasonable and that the unified fee structure inherently involves the sharing of economies of scale between PIMCO and each of the Funds, to the benefit of their respective shareholders.

6. ANCILLARY BENEFITS

The Board considered other benefits realized by PIMCO and its affiliates as a result of PIMCO’s relationship with the Trust, including possible ancillary benefits to PIMCO’s institutional investment management business due to the reputation and market penetration of the Trust. The Board also considered that affiliates of PIMCO provide distribution and shareholder services to the Funds and their shareholders, for which they may be compensated through distribution and servicing fees paid pursuant to the Funds’ Rule 12b-1 plans or otherwise. The Board reviewed PIMCO’s soft dollar policies and procedures, noting that while PIMCO has the authority to receive the benefit of research provided by

broker-dealers executing portfolio transactions on behalf of the Funds, it has adopted a policy not to enter into contractual soft dollar arrangements.

7. CONCLUSIONS

Based on their review, including their comprehensive consideration and evaluation of each of the broad factors and information summarized above, the Independent Trustees and the Board as a whole concluded that the nature, extent and quality of the services rendered to the Funds by PIMCO, Research Affiliates and Parametric supported the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement. The Independent Trustees and the Board as a whole concluded that the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement continued to be fair and reasonable to the Funds and their shareholders, that the Funds’ shareholders received reasonable value in return for the fees paid to PIMCO by the Funds under the Agreements, the fees paid to Research Affiliates by PIMCO under the Sub-Advisory Agreement, and the fees paid to Parametric by PIMCO under the Portfolio Implementation Agreement, and that the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement was in the best interests of the Funds and their shareholders.

64 PIMCO EQUITY SERIES

Results of Proxy Voting

(Unaudited)

At a special meeting of shareholders held on August 26, 2016, PIMCO sought approval from shareholders of the PIMCO Dividend and Income Fund to enter into a sub-advisory agreement with Research Affiliates, LLC and a portfolio implementation agreement with Research Affiliates, LLC and Parametric Portfolio Associations, LLC.

The results of the proxy solicitation on the preceding matters were as follows:

PIMCO Equity Series

Proposal 1: To approve a sub-advisory agreement for the Fund

For*	Against*		Abstain*
15,360,763		855,024		944,023

Proposal 2: To approve a portfolio implementation agreement for the Fund

For*	Against*		Abstain*
15,324,472		909,160		956,177

* Certain series of the Trust’s shares were held by PIMCO-advised funds or accounts for which PIMCO had discretionary authority to vote proxies. Accordingly, PIMCO voted such shares in proportion to the votes of all other Trust shareholders voting on the proposal.

SEMIANNUAL REPORT DECEMBER 31, 2016 65

General Information

Investment Adviser and Administrator

Pacific Investment Management Company LLC

650 Newport Center Drive

Newport Beach, CA 92660

Investment Sub-Adviser

Research Affiliates, LLC

620 Newport Center Drive, Suite 900

Newport Beach, CA 92660

Distributor

PIMCO Investments LLC

1633 Broadway

New York, NY 10019

Custodian

State Street Bank and Trust Company

801 Pennsylvania Avenue

Kansas City, MO 64105

Transfer Agent

Boston Financial Data Services

Institutional Class, Class P, Administrative Class, Class D

330 W. 9th Street, 5th Floor

Kansas City, MO 64105

Boston Financial Data Services

Class A, Class C, Class R

P.O. Box 55060

Boston, MA 02205-5060

Legal Counsel

Dechert LLP

1900 K Street, N.W.

Washington, D.C. 20006

Independent Registered Public Accounting Firm

PricewaterhouseCoopers LLP

1100 Walnut Street, Suite 1300

Kansas City, MO 64106

This report is submitted for the general information of the shareholders of the PIMCO Equity Series.

PES4001SAR_123116

PIMCO Equity Series^®

Semiannual Report

December 31, 2016

PIMCO RAE Fundamental Emerging Markets Fund

PIMCO RAE Fundamental Global Fund

PIMCO RAE Fundamental Global ex-US Fund

PIMCO RAE Fundamental International Fund

PIMCO RAE Fundamental US Fund

PIMCO RAE Fundamental US Small Fund

Share Classes

∎ Institutional

∎ P

∎ A

∎ C

Table of Contents

	Page
Chairman’s Letter		2
Important Information About the Funds		4
Expense Examples		20
Financial Highlights		22
Statements of Assets and Liabilities		26
Statements of Operations		28
Statements of Changes in Net Assets		29
Notes to Financial Statements		62
Glossary		78
Approval of Investment Advisory Contract and Other Agreements		79
Results of Proxy Voting		84

Fund	Fund Summary		Schedule of Investments
PIMCO RAE Fundamental Emerging Markets Fund		8		31
PIMCO RAE Fundamental Global Fund		10		39
PIMCO RAE Fundamental Global ex-US Fund		12		40
PIMCO RAE Fundamental International Fund		14		41
PIMCO RAE Fundamental US Fund		16		51
PIMCO RAE Fundamental US Small Fund		18		55

This material is authorized for use only when preceded or accompanied by the current PIMCO Equity Series prospectus. The Shareholder Reports for the other series of the PIMCO Equity Series are printed separately.

Chairman’s Letter

Dear Shareholder,

Please find enclosed the Semiannual Report for the PIMCO Equity Series covering the six-month reporting period ended December 31, 2016. The following pages contain specific details about the investment performance of each fund and a discussion of the factors that most affected performance during the reporting period.

In June 2016, the unexpected outcome of the U.K. “Brexit” referendum dominated headlines and market movements. Volatility rose as a result and sovereign yields rallied significantly, while risk assets generally underperformed. Steadier commodity prices and fiscal stimulus in China helped bolster market sentiment, even as central banks remained on hold ahead of the Brexit referendum. Softer-than-expected employment data in the U.S. pushed market expectations for the next Federal Reserve (“Fed”) interest rate hike further out into the future, with the Fed continuing to hold rates steady through the end of November.

Leading up to the November 8^th U.S. presidential election, investors generally shook off the surprising result of the Brexit referendum, along with a host of political developments including new leadership in the U.K. and Brazil, and a coup attempt in Turkey. In this environment, volatility generally remained low and risk assets rallied. Central banks featured prominently in the headlines as monetary policy concerns (in particular, the longevity of central bank support) lingered beneath the seemingly benign market environment. The Bank of Japan’s “comprehensive review,” inaction by the European Central Bank (“ECB”), and the Fed’s solidifying path towards a potential interest rate increase in December 2016 all contributed to sovereign yields generally rising during this period. Still, equities moved higher (U.S. stock indices set record highs), credit spreads tightened, and emerging market assets continued to gain.

In the wake of the not expected result of the U.S. election, volatility fell, equities rallied, credit spreads tightened and the U.S. dollar strengthened. In contrast, interest rates rose dramatically as most markets focused on the pro-growth and inflationary potential of fiscal expansion, tax cuts, and deregulation. Part of the rise in interest rates was also due to a sharp increase in inflation expectations. Despite the generally positive risk sentiment towards the end of the reporting period, emerging markets weakened as protectionist rhetoric from the incoming administration weighed on the asset class.

Finally, the ECB at its December 8^th meeting opted to leave its main policy rate unchanged, and announced an expansion of its Quantitative Easing program to exceed $2.4 trillion by the end of 2017. And on December 14^th, the Fed raised its key lending rate, the Federal Funds Rate, by 0.25% to a range of 0.50%-0.75%, representing their second rate increase in ten years.

Highlights of the financial markets during the six-month reporting period include:

^∎  Global developed market equities experienced strong performance amid a period marked by unconventional central bank policy, the continued recovery in commodity prices and higher sovereign yields. U.S. equities, as represented by the S&P 500 Index, returned 7.82% over the reporting period. International equity markets (developed ex-U.S.), as represented by the MSCI EAFE Index returned 5.67%, and 14.06% on a USD-hedged basis over the reporting period. Japanese equities, as represented by the Nikkei 225 Index in JPY, returned 23.83% over the reporting period, and European equities, as represented by the MSCI Europe Index in EUR, returned 10.58% over the reporting period. Following the surprise outcome of the U.K.’s referendum to leave the European Union and accompanying market volatility in June, developed market equities posted strong gains. Global central banks continued down the path of unconventional monetary policy, as the Bank of Japan adopted a yield-curve targeting framework and the ECB extended its asset purchase program. The rally in developed market equities was further supported by the result of the U.S. presidential election, and the possibility of a new paradigm of stronger growth, higher inflation and higher natural interest rates.

^∎  Emerging market equities, as represented by the MSCI Emerging Markets Index, returned 4.49% over the reporting period. Benefits from improving internal and external conditions for many emerging markets economies and the continued recovery in commodity prices offset negative implications of the potential for fiscal stimulus in the U.S., a more hawkish Fed and protectionist trade policies.

2 PIMCO EQUITY SERIES

^∎  U.S. Treasuries, as represented by the Bloomberg Barclays U.S. Treasury Index, declined 4.11% for the reporting period. Yields rose across the U.S. Treasury yield curve in reaction to the Fed’s interest rate increase, rising concern over inflation and strong investor risk appetite. The benchmark ten-year U.S. Treasury note yielded 2.45% at the end of the reporting period, up from 1.49% on June 30, 2016. The Bloomberg Barclays U.S. Aggregate Index, a widely used index of U.S. investment-grade bonds, declined 2.53% for the reporting period.

If you have any questions regarding the PIMCO Equity Series, please contact your account manager or financial adviser, or call one of our shareholder associates at 888.87.PIMCO (888.877.4626). We also invite you to visit our website at www.pimco.com to learn more about our views and global thought leadership.

Thank you again for the trust you have placed in us. We value your commitment and will continue to work diligently to meet your broad investment and investment solution needs.

Sincerely,     Brent R. Harris Chairman of the Board,
PIMCO Equity Series   February 21, 2017  

Past performance is no guarantee of future results. Unless otherwise noted, index returns reflect the reinvestment of income dividends and capital gains, if any, but do not reflect fees, brokerage commissions or other expenses of investing. It is not possible to invest directly in an unmanaged index.

SEMIANNUAL REPORT DECEMBER 31, 2016 3

Important Information About the Funds

We believe that equity funds have an important role to play in a well-diversified investment portfolio. It is important to note, however, that equity funds are subject to notable risks. Among other things, equity and equity-related securities may decline in value due to both real and perceived general market, economic, and industry conditions.

The PIMCO RAE Fundamental Global Fund and PIMCO RAE Fundamental Global ex-US Fund are each “fund of funds,” which is a term used to describe mutual funds that pursue their investment objective by investing in other mutual funds instead of investing directly in stocks or bonds of other issuers. Under normal circumstances, the PIMCO RAE Fundamental Global Fund invests substantially all of its assets in Institutional Class shares of the PIMCO RAE Fundamental US Fund, PIMCO RAE Fundamental International Fund (“International Fund”) and PIMCO RAE Fundamental Emerging Markets Fund (“Emerging Markets Fund”) (collectively, “Underlying Funds”), and equity securities that are eligible investments for the Underlying Funds. Under normal circumstances, the PIMCO RAE Fundamental Global ex-US Fund invests substantially all of its assets in Institutional Class shares of the International Fund and Emerging Markets Fund, equity securities of small companies economically tied to non-U.S. countries, and securities that are eligible investments for the International Fund and Emerging Markets Fund. The PIMCO RAE Fundamental Global Fund and PIMCO RAE Fundamental Global ex-US Fund may invest in other affiliated funds and unaffiliated funds, which may or may not be registered under the Investment Company Act of 1940 (together with the Underlying Funds, “Acquired Funds”). The cost of investing in these Funds will generally be higher than the cost of investing in a mutual fund that invests directly in individual stocks and bonds.

The values of equity securities, such as common stocks and preferred stocks, have historically risen and fallen in periodic cycles and may decline due to general market conditions, which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. Equity securities may also decline due to factors that affect a particular industry or industries, such as labor shortages, increased production costs and competitive conditions within an industry. In addition, the value of an equity security may decline for a number of reasons that directly relate to the issuer, such as management performance, financial leverage and reduced demand for the issuer’s goods or services, as well as the historical and prospective earnings of the issuer and the value of its assets. Different types of equity securities may react differently to these developments and a change in the financial condition of a single issuer may affect securities markets as a whole.

During a general downturn in the securities markets, multiple asset classes, including equity securities, may decline in value simultaneously. The market price of equity securities owned by a Fund may go up or down, sometimes rapidly or unpredictably. Equity securities generally have greater price volatility than fixed income securities and common stocks generally have the greatest appreciation and depreciation potential of all corporate securities.

The Funds may be subject to various risks as described in the Funds’ prospectus. Some of these risks may include, but are not limited to, the following: new/small fund risk, allocation risk, Acquired Fund risk, equity risk, value investing risk, foreign (non-U.S.) investment risk, emerging markets risk, issuer non-diversification risk, market risk, issuer risk, credit risk, distressed company risk, currency risk, liquidity risk, leveraging risk, management risk, small company risk, arbitrage risk, derivatives risk and model risk. A complete description of these and other risks is contained in the Funds’ prospectus.

The Funds may use derivative instruments for hedging purposes or as part of an investment strategy. Use of these instruments may involve certain costs and risks such as liquidity risk, interest rate risk, market risk, credit risk, leverage risk, management risk and the risk that a Fund may not be able to close out a position when it would be most advantageous to do so. Changes in regulation relating to a mutual fund’s use of derivatives and related instruments could potentially limit or impact a Fund’s ability to invest in derivatives, limit a Fund’s ability to employ certain strategies that use derivatives and/or adversely affect the value or performance of derivatives and a Fund. Certain derivative transactions may have a leveraging effect on a Fund. For example, a small investment in a derivative instrument may have a significant impact on a Fund’s exposure to interest rates, currency exchange rates or other investments. As a result, a relatively small price movement in an asset, instrument or component of the index underlying a derivative instrument may cause an immediate and substantial loss or gain, which translates into heightened volatility for the Funds. A Fund may engage in such transactions regardless of whether the Fund owns the asset, instrument or components of the index underlying the derivative instrument. A Fund may invest a significant portion of its assets in these types of instruments. If it does, the Fund’s investment exposure could far exceed the value of its portfolio securities and its investment performance could be primarily dependent upon securities it does not own. Investing in foreign (non-U.S.) securities may entail risk due to foreign (non-U.S.) economic and political developments; this risk may be increased when investing in emerging markets. For example, if an Underlying Fund invests in emerging market debt, it may face increased exposure to interest rate, liquidity, volatility, and redemption risk due to the specific economic, political, geographical, or legal background of the foreign (non-U.S.) issuer.

4 PIMCO EQUITY SERIES

The value of an equity security of an issuer that has paid dividends in the past may decrease if the issuer reduces or eliminates future payments to its shareholders. If the dividends or distributions received by a Fund decrease, the Fund may have less income to distribute to the Fund’s shareholders. In addition, during certain market conditions, the equity securities of issuers that have paid regular dividends or distributions may not be widely available or may be highly concentrated in particular sectors of the market. A Fund may invest a significant portion of its assets in value stocks. Value stocks may perform differently from other types of stocks and the market as a whole. A value stock may decrease in price or may not increase in price as anticipated by PIMCO if it continues to be undervalued by the market or the factors that the portfolio manager believes will cause the stock price to increase do not occur.

The geographical classification of foreign (non-U.S.) securities in this report are classified by the country of incorporation of a holding. In certain instances, a security’s country of incorporation may be different from its country of economic exposure.

On each individual Fund Summary page in this Shareholder Report, the Average Annual Total Return table and Cumulative Returns chart measure performance assuming that any dividend and capital gain distributions were reinvested. Returns do not reflect the deduction of taxes that a shareholder would pay on (i) Fund distributions or (ii) the

redemption of Fund shares. The Cumulative Returns chart and Average Annual Total Return table reflect any sales load that would have applied at the time of purchase or any Contingent Deferred Sales Charge (“CDSC”) that would have applied if a full redemption occurred on the last business day of the period shown in the Cumulative Returns chart. Class A shares are subject to an initial sales charge. A CDSC may be imposed in certain circumstances on Class A shares that are purchased without an initial sales charge and then redeemed during the first (i) 18 months after purchase for purchases made prior to August 10, 2015 and (ii) 12 months after purchase for purchases made on or after August 10, 2015. The Cumulative Returns chart reflects only Institutional Class performance. Performance for Class P, Administrative Class, Class D, Class A, Class C and Class R shares, if applicable, are typically lower than Institutional Class performance due to the lower expenses paid by Institutional Class shares. Performance shown is net of fees and expenses. The minimum initial investment amount for Institutional Class, Class P and Administrative Class shares is $1,000,000. The minimum initial investment amount for Class A, Class C and Class D shares is $1,000. There is no minimum initial investment for Class R shares. Each Fund measures its performance against a broad-based securities market index (“benchmark index”). The benchmark index does not take into account fees, expenses, or taxes. A Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future.

The following table discloses the inception dates of each Fund and its respective share classes along with the Fund’s diversification status as of period end:

Fund Name

Fund Inception

Institutional Class

Class P

Administrative Class

Class D

Class A

Class C

Class R

Diversification Status

PIMCO RAE Fundamental Emerging Markets Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

PIMCO RAE Fundamental Global Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

PIMCO RAE Fundamental Global ex-US Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

PIMCO RAE Fundamental International Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

PIMCO RAE Fundamental US Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

PIMCO RAE Fundamental US Small Fund

06/05/15

06/05/15

06/05/15

—

—

06/05/15

06/05/15

—

Non-diversified

An investment in a Fund is not a bank deposit and is not guaranteed or insured by the Federal Deposit Insurance Corporation (“FDIC”) or any other government agency. It is possible to lose money on investments in a Fund.

The Trustees are responsible generally for overseeing the management of the Trust. The Trustees authorize the Trust to enter into service agreements with the Adviser, the Distributor, the Administrator and other service providers in order to provide, and in some cases authorize service providers to procure through other parties, necessary or desirable services on behalf of the Trust and the Funds. Shareholders are not parties to or third-party beneficiaries of such service agreements. Neither a Fund’s prospectus nor a Fund’s summary

prospectus, the Trust’s Statement of Additional Information (“SAI”), any contracts filed as exhibits to the Trust’s registration statement, nor any other communications, disclosure documents or regulatory filings (including this report) from or on behalf of the Trust or a Fund creates a contract between or among any shareholder of a Fund, on the one hand, and the Trust, a Fund, a service provider to the Trust or a Fund, and/or the Trustees or officers of the Trust, on the other hand. The Trustees (or the Trust and its officers, service providers or other delegates acting under authority of the Trustees) may amend the most recent prospectus or use a new prospectus, summary prospectus or SAI with respect to a Fund or the Trust, and/or amend, file and/or issue any other communications, disclosure documents or regulatory filings, and may amend or enter into any contracts to which the Trust or a Fund is a

SEMIANNUAL REPORT DECEMBER 31, 2016 5

Important Information About the Funds (Cont.)

party, and interpret the investment objective(s), policies, restrictions and contractual provisions applicable to any Fund, without shareholder

input or approval, except in circumstances in which shareholder approval is specifically required by law (such as changes to fundamental investment policies) or where a shareholder approval requirement is specifically disclosed in the Trust’s then-current prospectus or SAI.

PIMCO has adopted written proxy voting policies and procedures (“Proxy Policy”) as required by Rule 206(4)-6 under the Investment Advisers Act of 1940, as amended. The Proxy Policy has been adopted by PIMCO Equity Series as the policies and procedures that PIMCO will use when voting proxies on behalf of a Fund. A description of the policies and procedures that PIMCO uses to vote proxies relating to portfolio securities of a Fund, and information about how the Fund

voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30th, are available without charge, upon request, by calling the Trust at (888) 87-PIMCO, on the Fund’s website at www.pimco.com, and on the Securities and Exchange Commission’s (“SEC”) website at www.sec.gov.

PIMCO Equity Series files a complete schedule of each Fund’s portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. A copy of a Fund’s Form N-Q is available on the SEC’s website at www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. A Fund’s Form N-Q will also be available without charge, upon request, by calling the Trust at (888) 87-PIMCO and on the Fund’s website at www.pimco.com. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.

6 PIMCO EQUITY SERIES

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SEMIANNUAL REPORT DECEMBER 31, 2016 7

PIMCO RAE Fundamental Emerging Markets Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental Emerging Markets Fund seeks long-term capital appreciation by investing under normal circumstances at least 80% of its assets in investments that are economically tied to emerging market countries. Specifically, under normal circumstances, the Fund will obtain exposure to a portfolio of stocks economically tied to emerging market countries (“RAE Fundamental Emerging Markets Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016§
		6 Months*		1 Year		5 Year		10 Year		Fund Inception (05/31/06)
	PIMCO RAE Fundamental Emerging Markets Fund Institutional Class		13.98%		32.50%		2.64%		3.67%		5.55%
	PIMCO RAE Fundamental Emerging Markets Fund Class P		13.99%		32.40%		2.61%		3.65%		5.53%
	PIMCO RAE Fundamental Emerging Markets Fund Class A		13.77%		32.08%		2.55%		3.63%		5.51%
	PIMCO RAE Fundamental Emerging Markets Fund Class A (adjusted)		9.51%		27.18%		1.77%		3.23%		5.13%
	PIMCO RAE Fundamental Emerging Markets Fund Class C		13.35%		31.03%		2.29%		3.49%		5.38%
	PIMCO RAE Fundamental Emerging Markets Fund Class C (adjusted)		12.35%		30.03%		2.29%		3.49%		5.38%
	MSCI Emerging Markets Index±		4.49%		11.19%		1.28%		1.84%		3.74%

All Fund returns are net of fees and expenses.

* Cumulative return.

^± The MSCI Emerging Markets Index is a free float-adjusted market capitalization index that is designed to measure equity market performance of emerging markets.

It is not possible to invest directly in an unmanaged index.

^§ For periods prior to June 5, 2015, the Fund’s performance reflects the performance when the Fund was a partnership, net of actual fees and expenses charged to individual partnership accounts in the aggregate. If the performance had been restated to reflect the applicable fees and expenses of each share class, the performance may have been higher or lower. The Fund began operations as a partnership on May 31, 2006 and, on June 5, 2015, was reorganized into a newly-formed fund that was registered as an investment company under the Investment Company Act of 1940. Prior to the reorganization, the Fund had an investment objective, investment strategies, investment guidelines, and restrictions that were substantially similar to those currently applicable to the Fund; however, the Fund was not registered as an investment company under the Investment Company Act of 1940 and was not subject to its requirements or requirements imposed by the Internal Revenue Code of 1986 which, if applicable, may have adversely affected its performance. The performance of each class of shares will differ as a result of the different levels of fees and expenses applicable to each class of shares.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, as supplemented, is 0.95% for the Institutional Class shares, 1.05% for the Class P shares, 1.30% for the Class A shares and 2.05% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

8 PIMCO EQUITY SERIES

Institutional Class - PEIFX Class P - PEPFX Class A - PEAFX Class C - PECFX

Top 10 Holdings as of 12/31/2016^1§

Petroleo Brasileiro S.A. SP — ADR	3.4%
Vale S.A.	3.3%
Samsung Electronics Co. Ltd.	3.2%
China Construction Bank Corp. ‘H’	3.1%
Gazprom PJSC SP — ADR	2.7%
Lukoil PJSC SP — ADR	2.6%
Itau Unibanco Holding S.A. SP — ADR ‘H’	2.2%
Industrial & Commercial Bank of China Ltd. ‘H’	1.9%
Banco do Brasil S.A.	1.9%
Banco Bradesco S.A. ADR	1.6%

Geographic Breakdown as of 12/31/2016^1§

Brazil	22.6%
China	15.9%
Russia	14.0%
South Korea	13.7%
South Africa	7.5%
Taiwan	7.2%
India	5.4%
Hong Kong	2.9%
Thailand	2.6%
Poland	2.5%
Indonesia	1.5%
Mexico	1.3%
Greece	1.2%
Turkey	1.1%
Other	0.6%

¹ % of Investments, at value.

^§ Top 10 Holdings, Geographic Breakdown and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Overweight exposure to and positioning in the metals & mining industry positively contributed to relative performance, as the industry outperformed the MSCI Emerging Markets Index.

» Overweight exposure to and positioning in the banking industry positively contributed to relative performance, as the industry outperformed the MSCI Emerging Markets Index.

» Overweight exposure to and positioning in the oil gas & consumable fuels industry positively contributed to relative performance, as the industry outperformed the MSCI Emerging Markets Index.

» Positioning in the electric utilities industry positively contributed to relative performance, as portfolio holdings in this industry outperformed the MSCI Emerging Markets Index.

» Underweight exposure to and positioning in the consumer staples sector positively contributed to relative performance, as the sector underperformed the MSCI Emerging Markets Index.

» Underweight exposure to and positioning in the industrials sector positively contributed to relative performance, as the sector underperformed the MSCI Emerging Markets Index.

» Underweight exposure to the information technology sector detracted from relative performance, as the sector outperformed the MSCI Emerging Markets Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 9

PIMCO RAE Fundamental Global Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental Global Fund seeks long-term capital appreciation by investing under normal circumstances substantially all of its assets in (i) Institutional Class shares of the PIMCO RAE Fundamental US Fund (“US Fund”), the PIMCO RAE Fundamental International Fund (“International Fund”), and the PIMCO RAE Fundamental Emerging Markets Fund (“Emerging Markets Fund”) (together, the US Fund, the International Fund and the Emerging Markets Fund are referred to as the “Underlying Funds”) and (ii) equity securities that are eligible investments for the Underlying Funds. Under normal circumstances, each of the Underlying Funds obtains exposure to a portfolio of stocks (each, a “RAE Fundamental Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (06/05/15)
	PIMCO RAE Fundamental Global Fund Institutional Class		9.62%		14.40%		2.12%
	PIMCO RAE Fundamental Global Fund Class P		9.49%		14.15%		1.94%
	PIMCO RAE Fundamental Global Fund Class A		9.40%		13.93%		1.76%
	PIMCO RAE Fundamental Global Fund Class A (adjusted)		5.31%		9.63%		(0.68)%
	PIMCO RAE Fundamental Global Fund Class C		9.03%		13.08%		1.02%
	PIMCO RAE Fundamental Global Fund Class C (adjusted)		8.03%		12.08%		1.02%
	MSCI All Country World Index±		6.55%		7.86%		0.84%

All Fund returns are net of fees and expenses.

* Cumulative return.

^± The MSCI All Country World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The Index consists of 46 country indices comprising 23 developed and 23 emerging market country indices.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying Fund Expenses), as supplemented, is 1.16% for the Institutional Class shares, 1.26% for the Class P shares, 1.51% for the Class A shares and 2.26% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

10 PIMCO EQUITY SERIES

Institutional Class - PFQIX Class P - PFQPX Class A - PFQAX Class C - PFQCX

Top Holdings as of 12/31/2016^1§

PIMCO RAE Fundamental International Fund	45.9%
PIMCO RAE Fundamental U.S. Fund	41.2%
PIMCO RAE Fundamental Emerging Markets Fund	12.9%

¹ % of Investments, at value.

^§ Top Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Overweight exposure to and positioning in the financials sector positively contributed to relative performance, as the sector outperformed the MSCI All Country World Index.

» Overweight exposure to and positioning in the materials sector positively contributed to relative performance, as the sector outperformed the MSCI All Country World Index.

» Overweight exposure to and positioning in the oil gas & consumable fuels industry positively contributed to relative performance, as the industry outperformed the MSCI All Country World Index.

» Positioning in the industrials sector positively contributed to relative performance, as portfolio holdings outperformed the MSCI All Country World Index.

» Overweight exposure to and positioning in the telecommunication services sector detracted from relative performance, as the sector underperformed the MSCI All Country World Index.

» Positioning in the information technology sector detracted from relative performance, as portfolio holdings underperformed the MSCI All Country World Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 11

PIMCO RAE Fundamental Global ex-US Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental Global ex-US Fund seeks long-term capital appreciation by investing under normal circumstances substantially all of its assets in (i) Institutional Class shares of the PIMCO RAE Fundamental International Fund (“International Fund”) and the PIMCO RAE Fundamental Emerging Markets Fund (“Emerging Markets Fund”) (together, the International Fund and the Emerging Markets Fund are referred to as the “Underlying Funds”), (ii) securities that are eligible investments for the Underlying Funds. Under normal circumstances, each of the Underlying Funds obtains exposure to a portfolio of stocks (each, a “RAE Fundamental Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (06/05/15)
	PIMCO RAE Fundamental Global ex-US Fund Institutional Class		10.39%		12.99%		(1.95)%
	PIMCO RAE Fundamental Global ex-US Fund Class P		10.38%		12.85%		(2.06)%
	PIMCO RAE Fundamental Global ex-US Fund Class A		10.27%		12.61%		(2.27)%
	PIMCO RAE Fundamental Global ex-US Fund Class A (adjusted)		6.10%		8.39%		(4.62)%
	PIMCO RAE Fundamental Global ex-US Fund Class C		9.74%		11.69%		(3.06)%
	PIMCO RAE Fundamental Global ex-US Fund Class C (adjusted)		8.74%		10.69%		(3.06)%
	MSCI All Country World ex US Index±		5.57%		4.50%		(4.05)%

All Fund returns are net of fees and expenses.

* Cumulative return.

^± The MSCI All Country World ex US Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The Index consists of 45 country indices comprising 22 developed and 23 emerging market country indices.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying Fund Expenses), as supplemented, is 1.31% for the Institutional Class shares, 1.41% for the Class P shares, 1.66% for the Class A shares and 2.41% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

12 PIMCO EQUITY SERIES

Institutional Class - PZRIX Class P - PZRPX Class A - PZRAX Class C - PZRCX

Top Holdings as of 12/31/2016^1§

PIMCO RAE Fundamental International Fund	78.0%
PIMCO RAE Fundamental Emerging Markets Fund	22.0%

¹ % of Investments, at value.

^§ Top Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Overweight exposure to and positioning in the banking industry positively contributed to relative performance, as the industry outperformed the MSCI All Country World ex-USA Index.

» Positioning in the industrials sector positively contributed to relative performance, as portfolio holdings outperformed the MSCI All Country World ex-USA Index.

» Positioning in the consumer discretionary sector positively contributed to relative performance, as portfolio holdings outperformed the MSCI All Country World ex-USA Index.

» Overweight exposure to and positioning in the telecommunication services sector detracted from relative performance, as the sector underperformed the MSCI All Country World ex-USA Index.

» Positioning in the consumer staples sector detracted from relative performance, as portfolio holdings underperformed the MSCI All Country World ex-USA Index.

» Positioning in the oil gas & consumable fuels industry detracted from relative performance, as portfolio holdings underperformed the MSCI All Country World ex-USA Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 13

PIMCO RAE Fundamental International Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental International Fund seeks long-term capital appreciation by obtaining under normal circumstances exposure to a portfolio of stocks economically tied to at least three foreign (non-U.S.) countries (“RAE Fundamental International Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (06/05/15)
	PIMCO RAE Fundamental International Fund Institutional Class		9.37%		8.23%		(2.49)%
	PIMCO RAE Fundamental International Fund Class P		9.37%		8.11%		(2.56)%
	PIMCO RAE Fundamental International Fund Class A		9.20%		7.81%		(2.83)%
	PIMCO RAE Fundamental International Fund Class A (adjusted)		5.14%		3.74%		(5.17)%
	PIMCO RAE Fundamental International Fund Class C		8.77%		7.00%		(3.59)%
	PIMCO RAE Fundamental International Fund Class C (adjusted)		7.77%		6.00%		(3.59)%
	MSCI EAFE Index±		5.67%		1.00%		(3.95)%

All Fund returns are net of fees and expenses.

* Cumulative return.

^± MSCI EAFE Index is an unmanaged index designed to represent the performance of large and mid-cap securities across 21 developed markets, including countries in Europe, Australasia and the Far East, excluding the U.S. and Canada. It is not possible to invest directly in the index.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, as supplemented, is 0.60% for the Institutional Class shares, 0.70% for the Class P shares, 0.95% for the Class A shares and 1.70% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

14 PIMCO EQUITY SERIES

Institutional Class - PPYIX Class P - PPYPX Class A - PPYAX Class C - PPYCX

Top 10 Holdings as of 12/31/2016^1§

HSBC Holdings PLC	2.3%
Royal Dutch Shell PLC ‘A’	2.1%
BP PLC	1.6%
BHP Billiton Ltd.	1.6%
Banco Santander S.A.	1.5%
Total S.A.	1.1%
Barclays PLC	1.1%
BNP Paribas S.A.	1.1%
Societe Generale S.A.	1.0%
Eni SpA	1.0%

Geographic Breakdown as of 12/31/2016^1§

Japan	18.2%
United Kingdom	15.9%
France	11.7%
Canada	10.6%
Germany	9.6%
Australia	6.8%
Switzerland	5.5%
Netherlands	4.4%
Spain	3.8%
Italy	3.2%
Sweden	2.0%
Norway	1.3%
Hong Kong	1.0%
Other	6.0%

¹ % of Investments, at value.

^§ Top 10 Holdings, Geographic Breakdown and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Overweight exposure to and positioning in the banking industry positively contributed to relative performance, as the industry outperformed the MSCI EAFE Index.

» Overweight exposure to the metals & mining industry positively contributed to relative performance, as the industry outperformed the MSCI EAFE Index.

» Underweight exposure to the health care sector positively contributed to relative performance, as the sector underperformed the MSCI EAFE Index.

» Overweight exposure to the utilities sector detracted from relative performance, as the sector underperformed the MSCI EAFE Index.

» Overweight exposure to the telecommunications services sector detracted from relative performance, as the sector underperformed the MSCI EAFE Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 15

PIMCO RAE Fundamental US Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental US Fund seeks long-term capital appreciation by investing under normal circumstances at least 80% of its assets in securities of U.S. companies. Specifically, under normal circumstances, the Fund will obtain exposure to a portfolio of stocks of U.S. companies (“RAE Fundamental US Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016§
		6 Months*		1 Year		5 Year		10 Year		Fund Inception (12/22/04)
	PIMCO RAE Fundamental US Fund Institutional Class		8.82%		15.41%		14.76%		7.08%		7.96%
	PIMCO RAE Fundamental US Fund Class P		8.74%		15.33%		14.73%		7.06%		7.95%
	PIMCO RAE Fundamental US Fund Class A		8.53%		14.87%		14.61%		7.01%		7.90%
	PIMCO RAE Fundamental US Fund Class A (adjusted)		4.48%		10.57%		13.74%		6.60%		7.56%
	PIMCO RAE Fundamental US Fund Class C		8.15%		14.14%		14.33%		6.88%		7.79%
	PIMCO RAE Fundamental US Fund Class C (adjusted)		7.15%		13.14%		14.33%		6.88%		7.79%
	S&P 500 Index±		7.82%		11.96%		14.66%		6.95%		7.48%	¨

All Fund returns are net of fees and expenses.

* Cumulative return.

^¨ Average annual total return since 12/31/2004.

^± S&P 500 Index is an unmanaged market index generally considered representative of the stock market as a whole. The Index focuses on the large-cap segment of the U.S. equities market.

It is not possible to invest directly in an unmanaged index.

^§ For periods prior to June 5, 2015, the Fund’s performance reflects the performance when the Fund was a partnership, net of actual fees and expenses charged to individual partnership accounts in the aggregate. If the performance had been restated to reflect the applicable fees and expenses of each share class, the performance may have been higher or lower. The Fund began operations as a partnership on December 22, 2004 and, on June 5, 2015, was reorganized into a newly-formed fund that was registered as an investment company under the Investment Company Act of 1940. Prior to the reorganization, the Fund had an investment objective, investment strategies, investment guidelines, and restrictions that were substantially similar to those currently applicable to the Fund; however, the Fund was not registered as an investment company under the Investment Company Act of 1940 and was not subject to its requirements or requirements imposed by the Internal Revenue Code of 1986 which, if applicable, may have adversely affected its performance. The performance of each class of shares will differ as a result of the different levels of fees and expenses applicable to each class of shares.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, as supplemented, is 0.50% for the Institutional Class shares, 0.60% for the Class P shares, 0.90% for the Class A shares and 1.65% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

16 PIMCO EQUITY SERIES

Institutional Class - PKAIX Class P - PKAPX Class A - PKAAX Class C - PKACX

Top 10 Holdings as of 12/31/2016^1§

Exxon Mobil Corp.	3.0%
AT&T, Inc.	2.8%
Chevron Corp.	2.6%
International Business Machines Corp.	2.5%
Pfizer, Inc.	2.2%
JPMorgan Chase & Co.	1.9%
Apple, Inc.	1.8%
Intel Corp.	1.8%
Microsoft Corp.	1.7%
General Electric Co.	1.5%

Sector Breakdown as of12/31/2016^1§

Information Technology	18.5%
Financials	14.1%
Energy	13.3%
Consumer Discretionary	10.8%
Health Care	10.6%
Industrials	9.2%
Consumer Staples	8.1%
Utilities	6.1%
Telecommunication Services	4.7%
Materials	4.1%
Other	0.5%

¹ % of Investments, at value.

^§ Top 10 Holdings, Sector Breakdown and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Underweight exposure and positioning in the information technology sector positively contributed to relative performance, as portfolio holdings outperformed the S&P 500 Index holdings.

» Overweight exposure to and positioning in the oil gas & consumable fuels industry contributed to relative performance, as portfolio holdings outperformed the S&P 500 Index holdings.

» Underweight exposure to the healthcare sector positively contributed to relative performance, as the sector underperformed the S&P 500 Index.

» Underweight exposure to the real estate sector positively contributed to relative performance, as the sector underperformed the S&P 500 Index.

» Overweight exposure and positioning in the diversified telecommunication services industry detracted from relative performance, as the industry underperformed the S&P 500 Index.

» Overweight exposure to the utilities sector detracted from relative performance, as the sector underperformed the S&P 500 Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 17

PIMCO RAE Fundamental US Small Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO RAE Fundamental US Small Fund seeks long-term capital appreciation by investing under normal circumstances at least 80% of its assets in securities of U.S. small companies. Specifically, under normal circumstances, the Fund will obtain exposure to a portfolio of stocks of U.S. small companies (“RAE Fundamental US Small Portfolio”). The stocks are selected by the Fund’s sub-adviser, Research Affiliates, LLC, from a broad universe of companies which satisfy certain liquidity and capacity requirements. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016§
		6 Months*		1 Year		5 Year		10 Year		Fund Inception (09/29/05)
	PIMCO RAE Fundamental US Small Fund Institutional Class		21.13%		27.14%		16.09%		7.97%		8.83%
	PIMCO RAE Fundamental US Small Fund Class P		21.14%		27.02%		16.04%		7.95%		8.81%
	PIMCO RAE Fundamental US Small Fund Class A		20.97%		26.70%		15.93%		7.89%		8.76%
	PIMCO RAE Fundamental US Small Fund Class A (adjusted)		16.46%		21.89%		15.05%		7.48%		8.39%
	PIMCO RAE Fundamental US Small Fund Class C		20.47%		25.66%		15.67%		7.77%		8.65%
	PIMCO RAE Fundamental US Small Fund Class C (adjusted)		19.47%		24.66%		15.67%		7.77%		8.65%
	Russell 2000® Index±		18.68%		21.31%		14.46%		7.07%		7.96% ¨

All Fund returns are net of fees and expenses.

* Cumulative return.

^¨ Average annual total return since 9/30/2005

^± Russell 2000^® Index is composed of 2,000 of the smallest companies in the Russell 3000 Index and is considered to be representative of the small cap market in general.

It is not possible to invest directly in an unmanaged index.

^§ For periods prior to June 5, 2015, the Fund’s performance reflects the performance when the Fund was a partnership, net of actual fees and expenses charged to individual partnership accounts in the aggregate. If the performance had been restated to reflect the applicable fees and expenses of each share class, the performance may have been higher or lower. The Fund began operations as a partnership on September 29, 2005 and, on June 5, 2015, was reorganized into a newly-formed fund that was registered as an investment company under the Investment Company Act of 1940. Prior to the reorganization, the Fund had an investment objective, investment strategies, investment guidelines, and restrictions that were substantially similar to those currently applicable to the Fund; however, the Fund was not registered as an investment company under the Investment Company Act of 1940 and was not subject to its requirements or requirements imposed by the Internal Revenue Code of 1986 which, if applicable, may have adversely affected its performance. The performance of each class of shares will differ as a result of the different levels of fees and expenses applicable to each class of shares.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 3.75% on Class A shares and 1.00% CDSC on Class C shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, as supplemented, is 0.60% for the Institutional Class shares, 0.70% for the Class P shares, 1.00% for the Class A shares and 1.75% for the Class C shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

18 PIMCO EQUITY SERIES

Institutional Class - PMJIX Class P - PMJPX Class A - PMJAX Class C - PMJCX

Top 10 Holdings as of 12/31/2016^1§

Unit Corp.	0.5%
SkyWest, Inc.	0.5%
Cliffs Natural Resources, Inc.	0.4%
Tronox Ltd. ‘A’	0.4%
World Acceptance Corp.	0.4%
PNM Resources, Inc.	0.4%
American Equity Investment Life Holding Co.	0.4%
Central Garden & Pet Co. ‘A’	0.4%
Unisys Corp.	0.3%
DeVry Education Group, Inc.	0.3%
Pier 1 Imports, Inc.	0.3%

Sector Breakdown as of12/31/2016^1§

Industrials	19.1%
Financials	17.5%
Consumer Discretionary	16.6%
Information Technology	13.6%
Materials	6.9%
Energy	6.5%
Real Estate	6.3%
Health Care	5.7%
Consumer Staples	3.2%
Utilities	2.9%
Telecommunication Services	1.7%

¹ % of Investments, at value.

^§ Top 10 Holdings, Sector Breakdown and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Positioning within the information technology sector positively contributed to relative performance, as portfolio holdings outperformed the Russell 2000 Index.

» Overweight exposure to and positioning in the industrials sector positively contributed to relative performance, as the sector and portfolio holdings outperformed the Russell 2000 Index.

» Underweight exposure to and positioning in the Equity Real Estate Investment Trusts industry positively contributed to relative performance, as the industry underperformed the Russell 2000 Index.

» Underweight exposure to the banking industry detracted from relative performance, as the industry outperformed the Russell 2000 Index.

» Overweight exposure to the telecommunication services sector detracted from relative performance, as the sector underperformed the Russell 2000 Index.

SEMIANNUAL REPORT DECEMBER 31, 2016 19

Expense Examples

Example

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and exchange fees and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for all Funds and share classes is from July 1, 2016 to December 31, 2016 unless noted otherwise in the table and footnotes below.

Actual Expenses

The information in the table under the heading “Actual” provides information about actual account values and actual expenses. You may use the information in these columns, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60), then multiply the result by the number in the appropriate row for your share class, in the column entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) on purchase payments and exchange fees. Therefore, the information under the heading “Hypothetical (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Expense ratios may vary from period to period because of various factors such as an increase in expenses that are not covered by the management fees, such as fees and expenses of the independent trustees and their counsel, extraordinary expenses and interest expense.

	Actual						Hypothetical (5% return before expenses)
	Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Net Annualized Expense Ratio**
PIMCO RAE Fundamental Emerging Markets Fund
Institutional Class	$	1,000.00	$	1,139.80	$	4.09	$	1,000.00	$	1,021.66	$	3.86		0.75	%
Class P		1,000.00		1,139.90		4.63		1,000.00		1,021.15		4.38		0.85
Class A		1,000.00		1,137.70		5.99		1,000.00		1,019.87		5.66		1.10
Class C		1,000.00		1,133.50		10.06		1,000.00		1,016.05		9.50		1.85
PIMCO RAE Fundamental Global Fund
Institutional Class	$	1,000.00	$	1,096.20	$	0.11	$	1,000.00	$	1,025.38	$	0.10		0.02	%
Class P		1,000.00		1,094.90		0.64		1,000.00		1,024.87		0.62		0.12
Class A		1,000.00		1,094.00		1.97		1,000.00		1,023.59		1.91		0.37
Class C		1,000.00		1,090.30		5.97		1,000.00		1,019.77		5.76		1.12
PIMCO RAE Fundamental Global ex-US Fund
Institutional Class	$	1,000.00	$	1,103.90	$	0.00	$	1,000.00	$	1,025.48	$	0.00		0.00	%
Class P		1,000.00		1,103.80		0.54		1,000.00		1,024.97		0.52		0.10
Class A		1,000.00		1,102.70		1.88		1,000.00		1,023.70		1.80		0.35
Class C		1,000.00		1,097.40		5.88		1,000.00		1,019.87		5.66		1.10

20 PIMCO EQUITY SERIES

	Actual						Hypothetical (5% return before expenses)
	Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Net Annualized Expense Ratio**
PIMCO RAE Fundamental International Fund
Institutional Class	$	1,000.00	$	1,093.70	$	2.67	$	1,000.00	$	1,022.93	$	2.58		0.50	%
Class P		1,000.00		1,093.70		3.20		1,000.00		1,022.42		3.09		0.60
Class A		1,000.00		1,092.00		4.53		1,000.00		1,021.15		4.38		0.85
Class C		1,000.00		1,087.70		8.51		1,000.00		1,017.33		8.22		1.60
PIMCO RAE Fundamental US Fund
Institutional Class	$	1,000.00	$	1,088.20	$	2.13	$	1,000.00	$	1,023.44	$	2.06		0.40	%
Class P		1,000.00		1,087.40		2.66		1,000.00		1,022.93		2.58		0.50
Class A		1,000.00		1,085.30		4.25		1,000.00		1,021.40		4.12		0.80
Class C		1,000.00		1,081.50		8.22		1,000.00		1,017.58		7.97		1.55
PIMCO RAE Fundamental US Small Fund
Institutional Class	$	1,000.00	$	1,211.30	$	2.82	$	1,000.00	$	1,022.93	$	2.58		0.50	%
Class P		1,000.00		1,211.40		3.38		1,000.00		1,022.42		3.09		0.60
Class A		1,000.00		1,209.70		5.07		1,000.00		1,020.89		4.63		0.90
Class C		1,000.00		1,204.70		9.27		1,000.00		1,017.07		8.48		1.65

* Expenses Paid During Period are equal to the net annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 186/365 (to reflect the one-half year period).

** Net Annualized Expense Ratio is reflective of any applicable contractual fee waivers and/or expense reimbursements or voluntary fee waivers. Details regarding fee waivers can be found in Note 7 in the Notes to Financial Statements.

SEMIANNUAL REPORT DECEMBER 31, 2016 21

Financial Highlights

			Investment Operations									Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net Investment Income (Loss)(a)			Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Tax Basis Return of Capital			Total
PIMCO RAE Fundamental Emerging Markets Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	8.73	$	0.10		$	1.12		$	1.22		$	(0.27	)	$	0.00		$	0.00		$	(0.27	)
06/30/2016		9.95		0.32			(1.37	)		(1.05	)		(0.17	)		0.00			0.00			(0.17	)
06/05/2015 - 06/30/2015		10.00		0.06			(0.11	)		(0.05	)		0.00			0.00			0.00			0.00
Class P
07/01/2016 - 12/31/2016+		8.70		0.08			1.13			1.21			(0.26	)		0.00			0.00			(0.26	)
06/30/2016		9.96		0.25			(1.33	)		(1.08	)		(0.18	)		0.00			0.00			(0.18	)
06/05/2015 - 06/30/2015		10.00		0.06			(0.10	)		(0.04	)		0.00			0.00			0.00			0.00
Class A
07/01/2016 - 12/31/2016+		8.73		0.06			1.14			1.20			(0.25	)		0.00			0.00			(0.25	)
06/30/2016		9.96		0.22			(1.30	)		(1.08	)		(0.15	)		0.00			0.00			(0.15	)
06/05/2015 - 06/30/2015		10.00		0.08			(0.12	)		(0.04	)		0.00			0.00			0.00			0.00
Class C
07/01/2016 - 12/31/2016+		8.67		0.04			1.12			1.16			(0.25	)		0.00			0.00			(0.25	)
06/30/2016		9.95		0.21			(1.36	)		(1.15	)		(0.13	)		0.00			0.00			(0.13	)
06/05/2015 - 06/30/2015		10.00		0.06			(0.11	)		(0.05	)		0.00			0.00			0.00			0.00
PIMCO RAE Fundamental Global Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.32	$	0.25		$	0.64		$	0.89		$	(0.24	)	$	(0.09	)	$	0.00		$	(0.33	)
06/30/2016		9.86		0.14			(0.58	)		(0.44	)		(0.10	)		0.00			0.00			(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.14	)		(0.14	)		0.00			0.00			0.00			0.00
Class P
07/01/2016 - 12/31/2016+		9.31		0.42			0.46			0.88			(0.24	)		(0.09	)		0.00			(0.33	)
06/30/2016		9.85		0.08			(0.52	)		(0.44	)		(0.10	)		0.00			0.00			(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.15	)		(0.15	)		0.00			0.00			0.00			0.00
Class A
07/01/2016 - 12/31/2016+		9.29		0.27			0.60			0.87			(0.23	)		(0.09	)		0.00			(0.32	)
06/30/2016		9.85		0.02			(0.48	)		(0.46	)		(0.10	)		0.00			0.00			(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.15	)		(0.15	)		0.00			0.00			0.00			0.00
Class C
07/01/2016 - 12/31/2016+		9.22		0.22			0.61			0.83			(0.20	)		(0.09	)		0.00			(0.29	)
06/30/2016		9.84		(0.00	)		(0.52	)		(0.52	)		(0.10	)		0.00			0.00			(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.01	)		(0.15	)		(0.16	)		0.00			0.00			0.00			0.00
PIMCO RAE Fundamental Global ex-US Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	8.68	$	0.22		$	0.68		$	0.90		$	(0.24	)	$	0.00		$	0.00		$	(0.24	)
06/30/2016		9.86		0.10			(1.18	)		(1.08	)		(0.10	)		0.00			(0.00	)^		(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.14	)		(0.14	)		0.00			0.00			0.00			0.00
Class P
07/01/2016 - 12/31/2016+		8.67		0.63			0.27			0.90			(0.24	)		0.00			0.00			(0.24	)
06/30/2016		9.86		0.09			(1.18	)		(1.09	)		(0.10	)		0.00			(0.00	)^		(0.10	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.14	)		(0.14	)		0.00			0.00			0.00			0.00
Class A
07/01/2016 - 12/31/2016+		8.66		1.23			(0.34	)		0.89			(0.24	)		0.00			0.00			(0.24	)
06/30/2016		9.86		(0.00	)		(1.11	)		(1.11	)		(0.09	)		0.00			(0.00	)^		(0.09	)
06/05/2015 - 06/30/2015		10.00		(0.00	)^		(0.14	)		(0.14	)		0.00			0.00			0.00			0.00
Class C
07/01/2016 - 12/31/2016+		8.61		0.21			0.63			0.84			(0.20	)		0.00			0.00			(0.20	)
06/30/2016		9.85		(0.06	)		(1.11	)		(1.17	)		(0.07	)		0.00			(0.00	)^		(0.07	)
06/05/2015 - 06/30/2015		10.00		(0.01	)		(0.14	)		(0.15	)		0.00			0.00			0.00			0.00
PIMCO RAE Fundamental International Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	8.56	$	0.09		$	0.71		$	0.80		$	(0.21	)	$	0.00		$	0.00		$	(0.21	)
06/30/2016		9.83		0.28			(1.32	)		(1.04	)		(0.08	)		(0.15	)		0.00			(0.23	)
06/05/2015 - 06/30/2015		10.00		0.02			(0.19	)		(0.17	)		0.00			0.00			0.00			0.00

22 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Net Investment Income (Loss)			Portfolio Turnover Rate
$	9.68		13.98	%	$	1,495,546		0.75	%*		0.96	%*		2.09	%*		18	%
	8.73		(10.32	)		1,379,204		0.76			0.96			3.92			30
	9.95		(0.50	)		199,378		0.75	*		0.98	*		10.11	*		7
	9.65		13.99			3,278		0.85	*		1.06	*		1.63	*		18
	8.70		(10.54	)		1,827		0.86			1.06			3.25			30
	9.96		(0.40	)		10		0.85	*		1.08	*		10.09	*		7
	9.68		13.77			1,516		1.10	*		1.31	*		1.21	*		18
	8.73		(10.61	)		146		1.11			1.31			2.64			30
	9.96		(0.40	)		19		1.10	*		1.33	*		13.46	*		7
	9.58		13.35			361		1.85	*		2.06	*		0.79	*		18
	8.67		(11.33	)		95		1.86			2.06			2.56			30
	9.95		(0.50	)		10		1.85	*		2.08	*		9.08	*		7
$	9.88		9.62	%	$	381,930		0.02	%*		0.71	%*		5.01	%*		12	%
	9.32		(4.38	)		282,274		0.04			0.71			1.59			13
	9.86		(1.40	)		38,160		0.04	*		0.86	*		(0.04	)*		2
	9.86		9.49			158		0.12	*		0.81	*		8.46	*		12
	9.31		(4.44	)		57		0.14			0.81			0.92			13
	9.85		(1.50	)		10		0.14	*		0.96	*		(0.14	)*		2
	9.84		9.40			504		0.37	*		1.06	*		5.45	*		12
	9.29		(4.61	)		286		0.39			1.06			0.23			13
	9.85		(1.50	)		10		0.39	*		1.21	*		(0.40	)*		2
	9.76		9.03			1,067		1.12	*		1.81	*		4.45	*		12
	9.22		(5.29	)		667		1.14			1.81			(0.04	)		13
	9.84		(1.60	)		17		1.14	*		1.96	*		(1.06	)*		2
$	9.34		10.39	%	$	67,631		0.00	%*†		0.76	%*		4.75	%*		5	%
	8.68		(10.93	)		62,809		0.00	†		0.76			1.10			8
	9.86		(1.40	)		70,077		0.01	*		0.84	*		(0.02	)*		2
	9.33		10.38			38		0.10	*		0.86	*		13.22	*		5
	8.67		(11.07	)		9		0.10			0.86			1.01			8
	9.86		(1.40	)		10		0.11	*		0.94	*		(0.11	)*		2
	9.31		10.27			187		0.35	*		1.11	*		25.99	*		5
	8.66		(11.29	)		9		0.35			1.11			(0.02	)		8
	9.86		(1.40	)		10		0.36	*		1.19	*		(0.37	)*		2
	9.25		9.74			560		1.10	*		1.86	*		4.40	*		5
	8.61		(11.90	)		354		1.10			1.86			(0.67	)		8
	9.85		(1.50	)		10		1.11	*		1.94	*		(1.12	)*		2
$	9.15		9.37	%	$	329,255		0.50	%*		0.61	%*		1.99	%*		9	%
	8.56		(10.60	)		247,182		0.50			0.61			3.25			39
	9.83		(1.70	)		151,532		0.50	*		0.64	*		2.68	*		7

SEMIANNUAL REPORT DECEMBER 31, 2016 23

Financial Highlights (Cont.)

			Investment Operations									Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net Investment Income (Loss)(a)			Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Tax Basis Return of Capital		Total
PIMCO RAE Fundamental International Fund (Cont.)
Class P
07/01/2016 - 12/31/2016+	$	8.55	$	0.09		$	0.71		$	0.80		$	(0.22	)	$	0.00		$	0.00	$	(0.22	)
06/30/2016		9.83		0.28			(1.33	)		(1.05	)		(0.08	)		(0.15	)		0.00		(0.23	)
06/05/2015 - 06/30/2015		10.00		0.02			(0.19	)		(0.17	)		0.00			0.00			0.00		0.00
Class A
07/01/2016 - 12/31/2016+		8.55		0.08			0.71			0.79			(0.20	)		0.00			0.00		(0.20	)
06/30/2016		9.83		0.34			(1.42	)		(1.08	)		(0.05	)		(0.15	)		0.00		(0.20	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.18	)		(0.17	)		0.00			0.00			0.00		0.00
Class C
07/01/2016 - 12/31/2016+		8.45		0.04			0.70			0.74			(0.17	)		0.00			0.00		(0.17	)
06/30/2016		9.83		0.28			(1.43	)		(1.15	)		(0.08	)		(0.15	)		0.00		(0.23	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.18	)		(0.17	)		0.00			0.00			0.00		0.00
PIMCO RAE Fundamental US Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.82	$	0.11		$	0.76		$	0.87		$	(0.22	)	$	(0.32	)	$	0.00	$	(0.54	)
06/30/2016		9.85		0.22			0.08			0.30			(0.11	)		(0.22	)		0.00		(0.33	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.16	)		(0.15	)		0.00			0.00			0.00		0.00
Class P
07/01/2016 - 12/31/2016+		9.81		0.11			0.75			0.86			(0.22	)		(0.32	)		0.00		(0.54	)
06/30/2016		9.85		0.21			0.08			0.29			(0.11	)		(0.22	)		0.00		(0.33	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.16	)		(0.15	)		0.00			0.00			0.00		0.00
Class A
07/01/2016 - 12/31/2016+		9.79		0.09			0.75			0.84			(0.21	)		(0.32	)		0.00		(0.53	)
06/30/2016		9.86		0.18			0.07			0.25			(0.10	)		(0.22	)		0.00		(0.32	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.15	)		(0.14	)		0.00			0.00			0.00		0.00
Class C
07/01/2016 - 12/31/2016+		9.71		0.05			0.75			0.80			(0.20	)		(0.32	)		0.00		(0.52	)
06/30/2016		9.85		0.11			0.06			0.17			(0.09	)		(0.22	)		0.00		(0.31	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.16	)		(0.15	)		0.00			0.00			0.00		0.00
PIMCO RAE Fundamental US Small Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.31	$	0.07		$	1.90		$	1.97		$	(0.14	)	$	0.00		$	0.00	$	(0.14	)
06/30/2016		9.93		0.10			(0.57	)		(0.47	)		(0.04	)		(0.11	)		0.00		(0.15	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.08	)		(0.07	)		0.00			0.00			0.00		0.00
Class P
07/01/2016 - 12/31/2016+		9.29		0.06			1.90			1.96			(0.13	)		0.00			0.00		(0.13	)
06/30/2016		9.92		0.11			(0.59	)		(0.48	)		(0.04	)		(0.11	)		0.00		(0.15	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.09	)		(0.08	)		0.00			0.00			0.00		0.00
Class A
07/01/2016 - 12/31/2016+		9.29		0.05			1.90			1.95			(0.13	)		0.00			0.00		(0.13	)
06/30/2016		9.92		0.08			(0.60	)		(0.52	)		(0.00	)^		(0.11	)		0.00		(0.11	)
06/05/2015 - 06/30/2015		10.00		0.01			(0.09	)		(0.08	)		0.00			0.00			0.00		0.00
Class C
07/01/2016 - 12/31/2016+		9.19		0.01			1.87			1.88			(0.10	)		0.00			0.00		(0.10	)
06/30/2016		9.91		0.01			(0.58	)		(0.57	)		(0.04	)		(0.11	)		0.00		(0.15	)
06/05/2015 - 06/30/2015		10.00		0.00	^		(0.09	)		(0.09	)		0.00			0.00			0.00		0.00

+ Unaudited

* Annualized

^ Reflects an amount rounding to less than one cent.

^†  Less than 0.005%.

^(a) Per share amounts based on average number of shares outstanding during the year or period.

^(b) The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

24 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Net Investment Income (Loss)			Portfolio Turnover Rate
$	9.13		9.37	%	$	6,450		0.60	%*		0.71	%*		1.98	%*		9	%
	8.55		(10.70	)		1,041		0.60			0.71			3.24			39
	9.83		(1.70	)		10		0.60	*		0.74	*		2.57	*		7
	9.14		9.20			191		0.85	*		0.96	*		1.68	*		9
	8.55		(10.95	)		46		0.85			0.96			3.94			39
	9.83		(1.70	)		10		0.85	*		0.99	*		2.32	*		7
	9.02		8.77			460		1.60	*		1.71	*		0.86	*		9
	8.45		(11.69	)		300		1.60			1.71			3.28			39
	9.83		(1.70	)		10		1.60	*		1.74	*		1.56	*		7
$	10.15		8.82	%	$	558,501		0.40	%*		0.51	%*		2.17	%*		17	%
	9.82		3.16			511,838		0.40			0.51			2.29			42
	9.85		(1.50	)		447,755		0.40	*		0.51	*		2.03	*		5
	10.13		8.74			6,289		0.50	*		0.61	*		2.05	*		17
	9.81		3.09			3,372		0.50			0.61			2.22			42
	9.85		(1.50	)		10		0.50	*		0.61	*		1.92	*		5
	10.10		8.53			5,139		0.80	*		0.91	*		1.76	*		17
	9.79		2.67			2,982		0.80			0.91			1.88			42
	9.86		(1.40	)		14		0.80	*		0.91	*		1.67	*		5
	9.99		8.15			4,840		1.55	*		1.66	*		0.99	*		17
	9.71		1.89			1,765		1.55			1.66			1.15			42
	9.85		(1.50	)		10		1.55	*		1.66	*		0.86	*		5
$	11.14		21.13	%	$	96,624		0.50	%*		0.61	%*		1.32	%*		26	%
	9.31		(4.68	)		81,226		0.50			0.61			1.10			85
	9.93		(0.70	)		46,426		0.50	*		0.73	*		1.44	*		9
	11.12		21.14			1,918		0.60	*		0.71	*		1.23	*		26
	9.29		(4.79	)		1,456		0.60			0.71			1.26			85
	9.92		(0.80	)		10		0.60	*		0.83	*		1.33	*		9
	11.11		20.97			4,536		0.90	*		1.01	*		1.00	*		26
	9.29		(5.11	)		1,699		0.90			1.01			0.85			85
	9.92		(0.80	)		10		0.90	*		1.13	*		1.04	*		9
	10.97		20.47			453		1.65	*		1.76	*		0.25	*		26
	9.19		(5.69	)		247		1.65			1.76			0.08			85
	9.91		(0.90	)		10		1.65	*		1.88	*		0.28	*		9

SEMIANNUAL REPORT DECEMBER 31, 2016 25

Statements of Assets and Liabilities

(Amounts in thousands†, except per share amounts)	PIMCO RAE Fundamental Emerging Markets Fund			PIMCO RAE Fundamental Global Fund			PIMCO RAE Fundamental Global  ex-US Fund			PIMCO RAE Fundamental International Fund			PIMCO RAE Fundamental US Fund			PIMCO RAE Fundamental US Small Fund
Assets:
Investments, at value
Investments in securities	$	1,492,598		$	0		$	0		$	335,380		$	572,356		$	101,919
Investments in Affiliates		0			383,109			67,522			0			0			0
Cash		0			563			246			735			7,101			640
Foreign currency, at value		295			0			0			156			0			0
Receivable for investments sold		22,111			0			0			4			1			1
Receivable for investments in Affiliates sold		0			0			0			0			0			0
Receivable for Fund shares sold		75			0			830			436			150			1,166
Interest and/or dividends receivable		7,642			0			0			578			854			174
Reimbursement receivable from PIMCO		72			24			10			27			70			12
Other assets		0			0			0			13			0			0
Total Assets		1,522,793			383,696			68,608			337,329			580,532			103,912
Liabilities:
Payable for investments purchased	$	0		$	0		$	0		$	0		$	0		$	317
Payable for investments in Affiliates purchased		0			0			180			0			0			0
Payable for Fund shares redeemed		527			0			0			744			5,461			1
Overdraft due to custodian		18,718			0			0			0			0			0
Accrued investment advisory fees		415			0			0			60			78			23
Accrued supervisory and administrative fees		622			2			0			91			132			24
Accrued distribution fees		0			1			1			0			3			0
Accrued servicing fees		0			0			0			0			2			1
Accrued taxes payable		680			0			0			0			0			0
Other liabilities		1,130			34			11			78			87			15
Total Liabilities		22,092			37			192			973			5,763			381
Net Assets	$	1,500,701		$	383,659		$	68,416		$	336,356		$	574,769		$	103,531
Net Assets Consist of:
Paid in capital	$	1,275,221		$	365,523		$	73,085		$	317,884		$	451,005		$	83,924
(Overdistributed) net investment income		(11,565	)		(382	)		(124	)		(608	)		(865	)		(195	)
Accumulated undistributed net realized gain (loss)		(23,275	)		3,855			(795	)		(15,864	)		2,026			(3,856	)
Net unrealized appreciation (depreciation)		260,320			14,663			(3,750	)		34,944			122,603			23,658
Net Assets	$	1,500,701		$	383,659		$	68,416		$	336,356		$	574,769		$	103,531
Cost of investments in securities	$	1,231,615		$	0		$	0		$	300,426		$	449,753		$	78,261
Cost of investments in Affiliates	$	0		$	368,446		$	71,272		$	0		$	0		$	0
Cost of foreign currency held	$	294		$	0		$	0		$	156		$	0		$	0

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

26 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	PIMCO RAE Fundamental Emerging Markets Fund		PIMCO RAE Fundamental Global Fund		PIMCO RAE Fundamental Global  ex-US Fund		PIMCO RAE Fundamental International Fund		PIMCO RAE Fundamental US Fund		PIMCO RAE Fundamental US Small Fund
Net Assets:
Institutional Class	$	1,495,546	$	381,930	$	67,631	$	329,255	$	558,501	$	96,624
Class P		3,278		158		38		6,450		6,289		1,918
Class A		1,516		504		187		191		5,139		4,536
Class C		361		1,067		560		460		4,840		453
Shares Issued and Outstanding:
Institutional Class		154,419		38,657		7,241		35,985		55,028		8,674
Class P		340		16		4		707		621		173
Class A		157		51		20		21		509		408
Class C		38		109		61		51		485		41
Net Asset Value Per Share Outstanding:
Institutional Class	$	9.68	$	9.88	$	9.34	$	9.15	$	10.15	$	11.14
Class P		9.65		9.86		9.33		9.13		10.13		11.12
Class A		9.68		9.84		9.31		9.14		10.10		11.11
Class C		9.58		9.76		9.25		9.02		9.99		10.97

SEMIANNUAL REPORT DECEMBER 31, 2016 27

Statements of Operations

(Unaudited)

Six Months Ended December 31, 2016
(Amounts in thousands†)	PIMCO RAE Fundamental Emerging Markets Fund			PIMCO RAE Fundamental Global Fund			PIMCO RAE Fundamental Global  ex-US Fund			PIMCO RAE Fundamental International Fund			PIMCO RAE Fundamental US Fund			PIMCO RAE Fundamental US Small Fund
Investment Income:
Dividends, net of foreign taxes*	$	22,522		$	0		$	0		$	3,732		$	7,272		$	857
Dividends from Investments in Affiliates		0			9,109			1,584			0			0			0
Total Income		22,522			9,109			1,584			3,732			7,272			857
Expenses:
Investment advisory fees		3,955			722			133			448			704			164
Supervisory and administrative fees		3,563			542			116			448			711			120
Distribution fees - Class C		1			3			2			1			10			1
Servicing fees - Class A		2			1			0			0			5			3
Servicing fees - Class C		0			1			1			1			3			1
Trustee fees		91			22			5			19			41			7
Interest expense		4			0			0			2			0			0
Miscellaneous expense		39			9			2			7			14			2
Total Expenses		7,655			1,300			259			926			1,488			298
Waiver and/or Reimbursement by PIMCO		(1,673	)		(1,257	)		(254	)		(168	)		(322	)		(54	)
Net Expenses		5,982			43			5			758			1,166			244
Net Investment Income		16,540			9,066			1,579			2,974			6,106			613
Net Realized Gain (Loss):
Investments in securities		17,089			0			0			426			11,753			4,036
Investments in Affiliates		0			655			(392	)		0			0			0
Net capital gain distributions received from Affiliate investments		0			4,600			0			0			0			0
Over the counter financial derivative instruments		521			0			0			(7	)		0			0
Foreign currency		(1,201	)		0			0			(193	)		0			0
Net Realized Gain (Loss)		16,409			5,255			(392	)		226			11,753			4,036
Net Change in Unrealized Appreciation (Depreciation):
Investments in securities		165,424			0			0			22,869			29,169			13,097
Investments in Affiliates		0			17,429			5,217			0			0			0
Over the counter financial derivative instruments		(408	)		0			0			0			0			0
Foreign currency assets and liabilities		538			0			0			37			0			0
Net Change in Unrealized Appreciation		165,554			17,429			5,217			22,906			29,169			13,097
Net Increase in Net Assets Resulting from Operations	$	198,503		$	31,750		$	6,404		$	26,106		$	47,028		$	17,746
* Foreign tax withholdings - Dividends	$	3,313		$	0		$	0		$	285		$	0		$	0

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

28 PIMCO EQUITY SERIES See Accompanying Notes

Statements of Changes in Net Assets

	PIMCO RAE Fundamental Emerging Markets Fund						PIMCO RAE Fundamental Global Fund						PIMCO RAE Fundamental Global ex-US  Fund
(Amount in thousands†)	Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016			Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016			Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016
Increase (Decrease) in Net Assets from:
Operations:
Net investment income	$	16,540		$	16,472		$	9,066		$	2,268		$	1,579		$	689
Net realized gain (loss)		16,409			(37,135	)		5,255			2,243			(392	)		(381	)
Net change in unrealized appreciation (depreciation)		165,554			100,046			17,429			(2,222	)		5,217			(8,010	)
Net Increase (Decrease) in Net Assets Resulting from Operations		198,503			79,383			31,750			2,289			6,404			(7,702	)
Distributions to Shareholders:
From net investment income
Institutional Class		(40,860	)		(3,853	)		(9,363	)		(2,395	)		(1,683	)		(692	)
Class P		(92	)		(61	)		(4	)		(0	)		(1	)		0
Class A		(40	)		(1	)		(12	)		(2	)		(4	)		0
Class C		(9	)		(0	)		(21	)		(3	)		(12	)		0
From net realized capital gains
Institutional Class		0			0			(3,530	)		0			0			0
Class P		0			0			(1	)		0			0			0
Class A		0			0			(5	)		0			0			0
Class C		0			0			(10	)		0			0			0
Tax basis return of capital
Institutional Class		0			0			0			0			0			(28	)
Class P		0			0			0			0			0			(0	)
Class A		0			0			0			0			0			(0	)
Class C		0			0			0			0			0			(0	)
Total Distributions(a)		(41,001	)		(3,915	)		(12,946	)		(2,400	)		(1,700	)		(720	)
Portfolio Share Transactions:
Net increase (decrease) resulting from Fund share transactions**		(38,073	)		1,106,387			81,571			245,198			531			1,496
Total Increase (Decrease) in Net Assets		119,429			1,181,855			100,375			245,087			5,235			(6,926	)
Net Assets:
Beginning of year or period		1,381,272			199,417			283,284			38,197			63,181			70,107
End of year or period*	$	1,500,701		$	1,381,272		$	383,659		$	283,284		$	68,416		$	63,181
* Including undistributed (overdistributed) net investment income of:	$	(11,565	)	$	12,896		$	(382	)	$	(48	)	$	(124	)	$	(3	)

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

** See Note 11 in the Notes to Financial Statements.

^(a)  The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

SEMIANNUAL REPORT DECEMBER 31, 2016 29

Statements of Changes in Net Assets (Cont.)

	PIMCO RAE Fundamental International Fund						PIMCO RAE Fundamental US Fund						PIMCO RAE Fundamental US Small Fund
(Amount in thousands†)	Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016			Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016			Six Months Ended December 31, 2016 (Unaudited)			Year Ended June 30, 2016
Increase in Net Assets from:
Operations:
Net investment income	$	2,974		$	5,793		$	6,106		$	10,617		$	613		$	934
Net realized gain (loss)		226			(14,145	)		11,753			15,976			4,036			(7,337	)
Net change in unrealized appreciation (depreciation)		22,906			(10,831	)		29,169			(13,066	)		13,097			3,050
Net Increase (Decrease) in Net Assets Resulting from Operations		26,106			(19,183	)		47,028			13,527			17,746			(3,353	)
Distributions to Shareholders:
From net investment income
Institutional Class		(7,439	)		(1,748	)		(12,165	)		(5,444	)		(1,184	)		(518	)
Class P		(152	)		(9	)		(138	)		(21	)		(22	)		(1	)
Class A		(1	)		(0	)		(103	)		(15	)		(39	)		(0	)
Class C		(9	)		(2	)		(94	)		(3	)		(4	)		(1	)
From net realized capital gains
Institutional Class		0			(3,508	)		(16,709	)		(11,342	)		0			(1,268	)
Class P		0			(17	)		(167	)		(43	)		0			(2	)
Class A		0			(0	)		(137	)		(32	)		0			(5	)
Class C		0			(1	)		(133	)		(6	)		0			(0	)
Total Distributions(a)		(7,601	)		(5,285	)		(29,646	)		(16,906	)		(1,249	)		(1,795	)
Portfolio Share Transactions:
Net increase resulting from Fund share transactions**		69,282			121,475			37,430			75,547			2,406			43,320
Total Increase in Net Assets		87,787			97,007			54,812			72,168			18,903			38,172
Net Assets:
Beginning of year or period		248,569			151,562			519,957			447,789			84,628			46,456
End of year or period*	$	336,356		$	248,569		$	574,769		$	519,957		$	103,531		$	84,628
* Including undistributed (overdistributed) net investment income of:	$	(608	)	$	4,019		$	(865	)	$	5,529		$	(195	)	$	441

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

** See Note 11 in the Notes to Financial Statements.

^(a)  The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

30 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO RAE Fundamental Emerging Markets Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 99.5%
COMMON STOCKS 92.0%
BRAZIL 15.4%
CONSUMER DISCRETIONARY 0.4%
Cyrela Brazil Realty S.A. Empreendimentos e Participacoes		558,200	$		1,755
Grendene S.A.		28,300			153
Lojas Renner S.A.		57,700			410
MRV Engenharia e Participacoes S.A.		394,300			1,322
Via Varejo S.A.		629,300			2,074
					5,714
CONSUMER STAPLES 0.8%
Ambev S.A. ADR		405,357			1,990
BRF S.A.		50,800			752
JBS S.A.		836,000			2,924
Marfrig Global Foods S.A. (a)		1,638,900			3,323
Natura Cosmeticos S.A.		522,400			3,690
					12,679
ENERGY 3.5%
Cosan S.A. Industria e Comercio		142,100			1,662
Petroleo Brasileiro S.A. SP - ADR (a)		5,043,794			50,993
					52,655
FINANCIALS 6.2%
Banco Bradesco S.A. ADR		2,834,008			24,684
Banco do Brasil S.A.		3,325,600			28,632
BM&FBovespa S.A. - Bolsa de Valores Mercadorias e Futuros		760,200			3,846
Grupo BTG Pactual		87,886			393
Itau Unibanco Holding S.A. SP - ADR ‘H’		3,184,394			32,736
Porto Seguro S.A.		18,800			155
Sul America S.A.		440,859			2,436
					92,882
HEALTH CARE 0.0%
Hypermarcas S.A.		67,200			538
INDUSTRIALS 0.2%
CCR S.A.		175,300			857
EcoRodovias Infraestrutura e Logistica S.A.		544,600			1,377
Embraer S.A. SP - ADR		24,676			475
Localiza Rent a Car S.A.		14,900			156
					2,865
MATERIALS 1.3%
Cia Siderurgica Nacional S.A. SP - ADR (a)		2,432,015			7,856
Duratex S.A. (a)		478,000			998
Fibria Celulose S.A. SP - ADR		150,984			1,451
Gerdau S.A. SP - ADR		3,023,015			9,492
					19,797
REAL ESTATE 0.2%
BR Malls Participacoes S.A. (a)		442,020			1,621

	SHARES			MARKET VALUE (000S)
BR Properties S.A.		307,000	$		706
					2,327
TELECOMMUNICATION SERVICES 0.5%
Telefonica Brasil S.A. ADR		373,238			4,994
TIM Participacoes S.A. ADR		261,486			3,086
					8,080
UTILITIES 2.3%
AES Tiete Energia S.A.		339,700			1,461
Alupar Investimento S.A.		66,625			350
Cia de Saneamento Basico do Estado de Sao Paulo ADR		567,601			4,927
Cia de Saneamento de Minas Gerais-COPASA		107,400			1,203
Cia Energetica de Minas Gerais SP - ADR		5,027,184			11,462
CPFL Energia S.A. ADR		298,002			4,589
EDP - Energias do Brasil S.A.		899,300			3,695
Engie Brasil Energia S.A.		178,800			1,918
Light S.A.		611,400			3,256
Transmissora Alianca de Energia Eletrica S.A.		159,200			1,014
					33,875
Total Brazil					231,412
CHILE 0.6%
CONSUMER STAPLES 0.1%
Cencosud S.A.		741,840			2,082
ENERGY 0.0%
Empresas COPEC S.A.		16,750			161
FINANCIALS 0.1%
Banco de Chile		2,707,060			315
Banco de Credito e Inversiones		6,430			325
Banco Santander Chile ADR		14,439			316
Sociedad Matriz del Banco de Chile S.A.		628,000			205
					1,161
INDUSTRIALS 0.1%
Latam Airlines Group S.A. SP - ADR (a)		123,006			1,006
MATERIALS 0.2%
Antofagasta PLC		222,343			1,841
CAP S.A.		151,380			1,080
Sociedad Quimica y Minera de Chile S.A. SP - ADR		16,317			468
					3,389
TELECOMMUNICATION SERVICES 0.0%
Empresa Nacional de Telecomunicaciones S.A. (a)		43,850			466
UTILITIES 0.1%
Colbun S.A.		859,160			169
Enel Generacion Chile S.A. ADR		8,362			163
Enersis Americas S.A.		121,453			997

	SHARES			MARKET VALUE (000S)
Inversiones Aguas Metropolitanas S.A.		78,867	$		114
					1,443
Total Chile					9,708
CHINA 15.8%
CONSUMER DISCRETIONARY 0.3%
Belle International Holdings Ltd.		5,274,000			2,954
Dongfeng Motor Group Co. Ltd. ‘H’		270,000			262
GOME Electrical Appliances Holding Ltd.		5,771,000			698
Zhongsheng Group Holdings Ltd.		736,500			656
					4,570
CONSUMER STAPLES 0.1%
Tingyi Cayman Islands Holding Corp.		784,000			950
ENERGY 3.4%
China Coal Energy Co. Ltd. ‘H’		907,000			428
China Oilfield Services Ltd.‘H’		164,000			151
China Petroleum & Chemical Corp. ‘H’		22,018,400			15,507
China Shenhua Energy Co. Ltd. ‘H’		3,734,000			6,980
CNOOC Ltd.		15,309,000			19,025
Inner Mongolia Yitai Coal Co. Ltd. ‘B’		2,229,194			2,066
PetroChina Co. Ltd. ‘H’		8,802,000			6,537
Yanzhou Coal Mining Co. Ltd. ‘H’		684,000			464
					51,158
FINANCIALS 8.6%
Agricultural Bank of China Ltd. ‘H’		29,160,000			11,901
Bank of China Ltd. ‘H’		53,087,000			23,407
Bank of Communications Co. Ltd. ‘H’		8,397,000			6,039
China CITIC Bank Corp. Ltd. ‘H’		4,126,000			2,611
China Construction Bank Corp. ‘H’		59,799,000			45,796
China Everbright Bank Co. Ltd. ‘H’		2,600,000			1,180
China Huarong Asset Management Co. Ltd. (a)		388,000			139
China Life Insurance Co. Ltd. ‘H’		155,000			401
China Merchants Bank Co. Ltd. ‘H’		1,377,000			3,211
China Minsheng Banking Corp. Ltd. ‘H’		2,098,600			2,233
Chongqing Rural Commercial Bank Co. Ltd. ‘H’		2,970,000			1,737
Industrial & Commercial Bank of China Ltd. ‘H’		48,521,000			28,930
People’s Insurance Co. Group of China Ltd. ‘H’		1,163,000			456
PICC Property & Casualty Co. Ltd. ‘H’		108,000			167
Ping An Insurance Group Co. of China Ltd. ‘H’		356,000			1,769
					129,977

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 31

Schedule of Investments PIMCO RAE Fundamental Emerging Markets Fund (Cont.)

	SHARES			MARKET VALUE (000S)
INDUSTRIALS 0.3%
Air China Ltd. ‘H’		206,000	$		131
Beijing Capital International Airport Co. Ltd. ‘H’		604,000			609
China Communications Construction Co. Ltd. ‘H’		147,000			168
China Energy Engineering Corp. Ltd.		1,058,000			188
China Railway Construction Corp. Ltd. ‘H’		228,000			292
China Railway Group Ltd. ‘H’		176,000			144
Guangshen Railway Co. Ltd. ‘H’		628,000			378
Harbin Electric Co. Ltd. ‘H’		378,000			175
Shenzhen Expressway Co. Ltd. ‘H’		146,000			124
Sinopec Engineering Group Co. Ltd. ‘H’		681,500			567
Sinotruk Hong Kong Ltd.		236,500			168
Weichai Power Co. Ltd. ‘H’		217,000			333
Yangzijiang Shipbuilding Holdings Ltd.		720,000			404
Zhejiang Expressway Co. Ltd. ‘H’		756,000			720
					4,401
INFORMATION TECHNOLOGY 0.4%
China Railway Signal & Communication Corp. Ltd. ‘H’		258,000			185
Legend Holdings Corp. ‘H’		464,000			1,027
Lenovo Group Ltd.		582,000			351
NetEase, Inc. ADR		5,100			1,098
Sohu.com, Inc. (a)		4,896			166
Tencent Holdings Ltd.		150,000			3,637
					6,464
MATERIALS 0.7%
Angang Steel Co. Ltd. ‘H’		580,000			343
Anhui Conch Cement Co. Ltd. ‘H’		362,500			981
China BlueChemical Ltd. ‘H’		1,142,000			315
China Hongqiao Group Ltd.		896,000			787
China National Building Material Co. Ltd. ‘H’		14,438,000			6,992
China National Materials Co. Ltd. ‘H’		1,261,000			293
China Zhongwang Holdings Ltd.		316,800			134
Jiangxi Copper Co. Ltd. ‘H’		135,000			187
Shandong Chenming Paper Holdings Ltd. ‘B’		194,800			193
					10,225
REAL ESTATE 1.4%
Agile Property Holdings Ltd.		4,108,000			2,086
China Evergrande Group		4,440,000			2,752
CIFI Holdings Group Co. Ltd.		1,326,000			356
Country Garden Holdings Co. Ltd.		7,524,000			4,194
Greentown China Holdings Ltd. (a)		1,369,500			1,104
Guangzhou R&F Properties Co. Ltd. ‘H’		3,045,800			3,668
KWG Property Holding Ltd.		1,429,000			808
Longfor Properties Co. Ltd.		119,000			150
Red Star Macalline Group Corp. Ltd. ‘H’		346,800			357
Shui On Land Ltd.		2,991,000			643

	SHARES			MARKET VALUE (000S)
Sino-Ocean Land Holdings Ltd.		3,807,000	$		1,696
SOHO China Ltd.		4,805,000			2,359
Sunac China Holdings Ltd.		492,000			408
					20,581
TELECOMMUNICATION SERVICES 0.5%
China Communications Services Corp. Ltd. ‘H’		2,140,000			1,360
China Telecom Corp. Ltd. ‘H’		12,400,000			5,688
					7,048
UTILITIES 0.1%
CGN Power Co. Ltd. ‘H’		440,000			120
Datang International Power Generation Co. Ltd. ‘H’		2,942,000			768
Huaneng Power International, Inc. ‘H’		1,244,000			821
					1,709
Total China					237,083
GREECE 1.2%
CONSUMER DISCRETIONARY 0.2%
FF Group (a)		20,220			409
OPAP S.A.		302,405			2,673
					3,082
FINANCIALS 0.8%
Alpha Bank AE (a)		2,352,197			4,695
Eurobank Ergasias S.A. (a)		706,769			479
National Bank of Greece S.A. (a)		17,618,201			4,598
Piraeus Bank S.A. (a)		12,919,343			2,834
					12,606
TELECOMMUNICATION SERVICES 0.2%
Hellenic Telecommunications Organization S.A.		232,197			2,181
UTILITIES 0.0%
Public Power Corp. S.A.		66,634			203
Total Greece					18,072
HONG KONG 2.9%
CONSUMER STAPLES 0.4%
China Agri-Industries Holdings Ltd. (a)		2,123,000			826
China Resources Beer Holdings Co. Ltd. (a)		2,692,000			5,333
					6,159
ENERGY 0.1%
Kunlun Energy Co. Ltd.		1,702,000			1,268
FINANCIALS 0.3%
BOC Hong Kong Holdings Ltd.		921,500			3,282
China Taiping Insurance Holdings Co. Ltd. (a)		481,400			987
					4,269

	SHARES			MARKET VALUE (000S)
INDUSTRIALS 0.2%
China Merchants Holdings International Co. Ltd.		54,000	$		133
CITIC Ltd.		377,000			537
COSCO SHIPPING Ports Ltd.		702,000			704
Shanghai Industrial Holdings Ltd.		780,000			2,103
					3,477
MATERIALS 0.2%
China Resources Cement Holdings Ltd.		2,826,000			1,093
Shougang Fushan Resources Group Ltd.		5,148,000			1,003
					2,096
REAL ESTATE 0.5%
China Jinmao Holdings Group Ltd.		5,120,000			1,375
China Overseas Land & Investment Ltd.		324,000			852
China Resources Land Ltd.		268,000			600
Poly Property Group Co. Ltd.		8,195,000			2,702
Yuexiu Property Co. Ltd.		9,724,000			1,325
					6,854
TELECOMMUNICATION SERVICES 1.0%
China Mobile Ltd.		696,500			7,343
China Unicom Hong Kong Ltd.		6,718,000			7,775
					15,118
UTILITIES 0.2%
China Power International Development Ltd.		2,734,000			987
China Resources Power Holdings Co. Ltd.		1,632,000			2,582
					3,569
Total Hong Kong					42,810
INDIA 5.4%
CONSUMER DISCRETIONARY 0.2%
Tata Motors Ltd.		434,249			2,996
CONSUMER STAPLES 0.1%
Hindustan Unilever Ltd.		24,484			298
ITC Ltd.		242,760			859
					1,157
ENERGY 0.8%
Bharat Petroleum Corp. Ltd.		44,474			415
Cairn India Ltd.		1,244,377			4,422
Coal India Ltd.		93,874			414
Hindustan Petroleum Corp. Ltd.		176,200			1,146
Indian Oil Corp. Ltd.		251,570			1,195
Oil & Natural Gas Corp. Ltd.		872,304			2,445
Oil India Ltd.		80,480			535
Reliance Industries Ltd.		60,654			963
Reliance Industries Ltd. SP - GDR		3,194			101
					11,636

32 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
FINANCIALS 1.5%
Allahabad Bank (a)		1,321,580	$		1,170
Andhra Bank		1,652,432			1,152
Bank of Baroda (a)		609,836			1,372
Bank of India		1,286,370			2,022
Canara Bank (a)		490,500			1,888
ICICI Bank Ltd.		293,753			1,099
IDBI Bank Ltd. (a)		489,630			500
Indian Bank		194,920			632
Oriental Bank of Commerce		997,185			1,547
Power Finance Corp. Ltd.		437,630			782
Punjab National Bank (a)		1,601,286			2,698
Rural Electrification Corp. Ltd.		847,840			1,550
State Bank of India		755,419			2,772
State Bank of India SP - GDR		23,639			863
Syndicate Bank (a)		954,209			864
UCO Bank (a)		542,251			266
Union Bank of India		1,008,550			1,811
					22,988
HEALTH CARE 0.0%
Piramal Enterprises Ltd.		29,603			705
INDUSTRIALS 0.3%
Adani Enterprises Ltd.		431,180			486
Bharat Heavy Electricals Ltd.		802,201			1,424
Jaiprakash Associates Ltd. (a)		18,388,364			2,186
					4,096
INFORMATION TECHNOLOGY 0.1%
Infosys Ltd. SP - ADR		72,260			1,072
Tata Consultancy Services Ltd.		10,870			378
					1,450
MATERIALS 2.0%
Hindalco Industries Ltd.		2,351,630			5,314
Hindustan Zinc Ltd.		45,740			171
Jindal Steel & Power Ltd.		2,818,910			2,836
JSW Steel Ltd.		106,360			2,531
National Aluminium Co. Ltd.		457,840			442
NMDC Ltd.		375,570			680
Steel Authority of India Ltd. (a)		2,275,660			1,634
Tata Chemicals Ltd.		79,873			589
Tata Steel Ltd.		1,579,529			9,051
Vedanta Ltd.		825,300			2,605
Vedanta Resources PLC		377,012			4,046
					29,899
REAL ESTATE 0.0%
DLF Ltd.		284,460			464
TELECOMMUNICATION SERVICES 0.1%
Bharti Airtel Ltd.		28,520			128
Reliance Communications Ltd.		2,871,312			1,433
					1,561
UTILITIES 0.3%
Adani Power Ltd. (a)		509,410			224
NHPC Ltd.		1,740,670			679
NTPC Ltd.		174,337			423
Reliance Infrastructure Ltd.		153,230			1,049

	SHARES			MARKET VALUE (000S)
Tata Power Co. Ltd.		1,510,539	$		1,681
					4,056
Total India					81,008
INDONESIA 1.5%
CONSUMER DISCRETIONARY 0.1%
Astra International Tbk PT		2,353,900		��	1,439
CONSUMER STAPLES 0.1%
Indofood Sukses Makmur Tbk PT		2,463,800			1,443
ENERGY 0.5%
Adaro Energy Tbk PT		25,865,700			3,229
Bumi Resources Tbk PT (a)		47,896,000			988
Indo Tambangraya Megah Tbk PT		947,000			1,181
Tambang Batubara Bukit Asam Persero Tbk PT		1,407,000			1,298
United Tractors Tbk PT		982,500			1,546
					8,242
FINANCIALS 0.3%
Bank Central Asia Tbk PT		340,700			391
Bank Mandiri Persero Tbk PT		1,791,100			1,533
Bank Negara Indonesia Persero Tbk PT		3,317,400			1,354
Bank Rakyat Indonesia Persero Tbk PT		1,247,700			1,078
					4,356
INDUSTRIALS 0.0%
Berlian Laju Tanker Tbk PT (a)		707,200			0
MATERIALS 0.1%
Semen Indonesia Persero Tbk PT		435,900			296
Vale Indonesia Tbk PT (a)		5,549,000			1,150
					1,446
TELECOMMUNICATION SERVICES 0.2%
Telekomunikasi Indonesia Persero Tbk PT		10,443,000			3,072
XL Axiata Tbk PT		694,000			119
					3,191
UTILITIES 0.2%
Perusahaan Gas Negara Persero Tbk		12,044,000			2,403
Total Indonesia					22,520
MEXICO 1.3%
CONSUMER STAPLES 0.3%
Coca-Cola Femsa S.A.B. de C.V. SP - ADR		7,560			480
Fomento Economico Mexicano S.A.B. de C.V. SP - ADR		14,859			1,132
Grupo Bimbo S.A.B. de C.V. ‘A’		417,800			945
Grupo Comercial Chedraui S.A. de C.V.		53,000			95
Kimberly-Clark de Mexico S.A.B. de C.V. ‘A’		419,900			756

	SHARES			MARKET VALUE (000S)
Wal-Mart de Mexico S.A.B. de C.V.		389,700	$		698
					4,106
FINANCIALS 0.2%
Grupo Elektra S.A.B. de C.V.		42,290			531
Grupo Financiero Banorte S.A.B. de C.V. ‘O’		98,700			486
Grupo Financiero Santander Mexico S.A.B. de C.V. ADR ‘B’		310,646			2,233
					3,250
INDUSTRIALS 0.1%
Grupo Aeromexico S.A.B. de C.V. (a)		302,322			569
OHL Mexico S.A.B. de C.V.		1,438,600			1,415
					1,984
MATERIALS 0.5%
Cemex S.A.B. de C.V. SP - ADR (a)		542,077			4,353
Fresnillo PLC		23,328			346
Grupo Mexico S.A.B. de C.V. ‘B’		186,199			506
Industrias Penoles S.A.B. de C.V.		71,080			1,318
					6,523
TELECOMMUNICATION SERVICES 0.2%
America Movil S.A.B. de C.V. SP - ADR ‘L’		261,107			3,282
Total Mexico					19,145
POLAND 2.5%
ENERGY 0.3%
Grupa Lotos S.A. (a)		108,575			991
Polski Koncern Naftowy Orlen S.A.		122,376			2,492
Polskie Gornictwo Naftowe i Gazownictwo S.A.		912,759			1,227
					4,710
FINANCIALS 0.6%
Bank Handlowy w Warszawie S.A.		8,120			148
Bank Pekao S.A.		49,422			1,484
Powszechna Kasa Oszczednosci Bank Polski S.A. (a)		443,383			2,979
Powszechny Zaklad Ubezpieczen S.A.		487,962			3,869
					8,480
INDUSTRIALS 0.0%
PKP Cargo S.A.		28,606			321
INFORMATION TECHNOLOGY 0.1%
Asseco Poland S.A.		82,969			1,069
MATERIALS 0.8%
Jastrzebska Spolka Weglowa S.A.		154,580			2,471
KGHM Polska Miedz S.A.		411,912			9,058
Synthos S.A.		297,099			324
					11,853

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 33

Schedule of Investments PIMCO RAE Fundamental Emerging Markets Fund (Cont.)

	SHARES			MARKET VALUE (000S)
TELECOMMUNICATION SERVICES 0.1%
Orange Polska S.A.		1,689,928	$		2,223
UTILITIES 0.6%
Enea S.A.		412,388			935
Energa S.A.		865,597			1,881
PGE Polska Grupa Energetyczna S.A.		1,710,292			4,266
Tauron Polska Energia S.A. (a)		3,367,869			2,293
					9,375
Total Poland					38,031
RUSSIA 13.5%
CONSUMER STAPLES 0.5%
X5 Retail Group NV SP - GDR (a)		221,568			7,190
ENERGY 7.9%
Gazprom Neft PJSC SP - ADR		62,665			1,099
Gazprom PJSC SP - ADR		8,103,010			40,881
Lukoil PJSC SP - ADR		684,378			38,336
Rosneft Oil, Co. PJSC		1,921,054			12,476
Surgutneftegas OJSC SP - ADR		4,656,402			23,475
Tatneft PJSC SP - ADR		78,791			3,242
					119,509
FINANCIALS 0.6%
Sberbank of Russia PJSC SP - ADR		632,333			7,281
VTB Bank PJSC SP - GDR		669,046			1,592
					8,873
INDUSTRIALS 0.5%
Aeroflot PJSC		2,939,760			7,348
INFORMATION TECHNOLOGY 0.0%
Mail.Ru Group Ltd. GDR (a)		5,120			94
MATERIALS 1.5%
Alrosa PJSC		111,221			176
Evraz PLC (a)		1,457,926			3,985
Magnitogorsk Iron & Steel Works OJSC		1,771,000			955
Mechel PJSC SP - ADR		294,903			1,690
MMC Norilsk Nickel PJSC ADR		699,304			11,639
Novolipetsk Steel PJSC GDR		53,070			987
PhosAgro PJSC SP - GDR		140,418			2,141
Severstal PJSC SP - GDR		82,223			1,239
					22,812
TELECOMMUNICATION SERVICES 1.4%
MegaFon PJSC SP - GDR		304,423			2,877
Mobile TeleSystems PJSC		2,761,160			11,613
Rostelecom PJSC		1,781,450			2,441
Sistema PJSC FC SP - GDR		464,854			4,184
					21,115
UTILITIES 1.1%
Federal Grid Co. Unified Energy System PJSC		1,677,080,000			5,552

	SHARES			MARKET VALUE (000S)
Inter RAO UES PJSC		49,690,000	$		3,096
Mosenergo PJSC		6,070,000			246
Rosseti PJSC		153,696,000			2,866
RusHydro PJSC		289,167,000			4,355
					16,115
Total Russia					203,056
SOUTH AFRICA 7.4%
CONSUMER DISCRETIONARY 0.2%
Imperial Holdings Ltd.		229,613			3,038
Truworths International Ltd.		68,000			394
Tsogo Sun Holdings Ltd.		149,481			300
					3,732
CONSUMER STAPLES 0.1%
Bid Corp. Ltd.		50,073			887
Massmart Holdings Ltd.		67,450			620
Pick n Pay Stores Ltd.		32,260			150
Tiger Brands Ltd.		9,241			267
					1,924
ENERGY 0.1%
Exxaro Resources Ltd.		231,410			1,494
FINANCIALS 2.5%
Barclays Africa Group Ltd.		561,723			6,895
FirstRand Ltd.		535,910			2,068
Investec Ltd.		88,418			580
Liberty Holdings Ltd.		378,451			3,037
MMI Holdings Ltd.		392,941			671
Nedbank Group Ltd.		327,178			5,663
Sanlam Ltd.		808,874			3,700
Standard Bank Group Ltd.		1,304,750			14,367
					36,981
HEALTH CARE 0.1%
Life Healthcare Group Holdings Ltd.		226,620			537
Netcare Ltd.		238,566			554
					1,091
INDUSTRIALS 0.4%
Barloworld Ltd.		700,846			5,993
Bidvest Group Ltd.		62,798			827
					6,820
MATERIALS 2.5%
African Rainbow Minerals Ltd.		237,920			1,693
AngloGold Ashanti Ltd. SP - ADR (a)		308,440			3,242
Assore Ltd.		11,220			193
Gold Fields Ltd. SP - ADR		1,489,576			4,484
Harmony Gold Mining Co. Ltd. SP - ADR		160,000			354
Impala Platinum Holdings Ltd. (a)		882,181			2,714
Kumba Iron Ore Ltd. (a)		505,497			5,852
Lonmin PLC (a)		742,343			1,286
Nampak Ltd.		1,444,148			1,943
Sappi Ltd. (a)		536,192			3,498
Sasol Ltd.		390,660			11,212

	SHARES			MARKET VALUE (000S)
Sibanye Gold Ltd.		497,422	$		893
					37,364
TELECOMMUNICATION SERVICES 1.5%
MTN Group Ltd.		1,784,340			16,342
Telkom S.A. SOC Ltd.		685,847			3,677
Vodacom Group Ltd.		168,588			1,868
					21,887
Total South Africa					111,293
SOUTH KOREA 13.6%
CONSUMER DISCRETIONARY 2.4%
CJ O Shopping Co. Ltd.		6,798			914
Hankook Tire Co. Ltd.		23,210			1,116
Hyundai Department Store Co. Ltd.		2,732			247
Hyundai Mobis Co. Ltd.		8,468			1,849
Hyundai Motor Co.		121,196			14,621
Kia Motors Corp.		109,733			3,561
Kumho Tire Co., Inc. (a)		278,110			1,948
LG Electronics, Inc.		194,015			8,283
Lotte Shopping Co. Ltd.		16,673			3,058
Shinsegae Ltd.		1,616			235
					35,832
CONSUMER STAPLES 0.2%
Amorepacific Corp.		335			89
E-MART Inc.		8,932			1,352
Hite Jinro Co. Ltd.		29,390			513
KT&G Corp.		10,050			841
LG Household & Health Care Ltd.		146			104
					2,899
ENERGY 0.1%
GS Holdings Corp.		8,640			386
SK Innovation Co. Ltd.		10,776			1,304
					1,690
FINANCIALS 3.2%
BNK Financial Group, Inc.		20,170			145
DGB Financial Group, Inc.		188,903			1,526
Dongbu Insurance Co. Ltd.		14,931			773
Hana Financial Group, Inc.		286,003			7,382
Hanwha Life Insurance Co. Ltd.		400,571			2,164
Hyundai Marine & Fire Insurance Co. Ltd.		63,832			1,661
Industrial Bank of Korea		300,163			3,150
KB Financial Group, Inc.		192,700			6,810
KB Insurance Co. Ltd.		50,240			1,087
Mirae Asset Life Insurance Co. Ltd.		275,343			1,173
Samsung Card Co. Ltd.		17,000			559
Samsung Fire & Marine Insurance Co. Ltd.		1,002			223
Samsung Life Insurance Co. Ltd.		52,206			4,859
Shinhan Financial Group Co. Ltd.		211,849			7,945
Tongyang Life Insurance Co. Ltd.		57,530			603
Woori Bank		693,129			7,305
					47,365

34 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INDUSTRIALS 1.4%
Asiana Airlines, Inc. (a)		251,400	$		876
CJ Corp.		10,817			1,673
Daewoo Shipbuilding & Marine Engineering Co. Ltd.		110,150			204
Doosan Corp.		13,056			1,132
Doosan Heavy Industries & Construction Co. Ltd.		100,631			2,261
Doosan Infracore Co. Ltd. (a)		391,760			2,847
Hanwha Corp.		45,665			1,323
Hyundai Engineering & Construction Co. Ltd.		13,414			475
Hyundai Heavy Industries Co. Ltd.		29,220			3,510
Korean Air Lines Co. Ltd. (a)		68,642			1,549
LG Corp.		5,285			262
LS Corp.		60,266			2,956
Samsung Heavy Industries Co. Ltd.		176,820			1,350
SK Networks Co. Ltd.		211,990			1,213
					21,631
INFORMATION TECHNOLOGY 3.3%
LG Display Co. Ltd.		110,827			2,875
Samsung Electro-Mechanics Co. Ltd.		4,161			175
Samsung Electronics Co. Ltd.		31,662			47,123
SK Hynix, Inc.		4,800			177
					50,350
MATERIALS 1.5%
Dongkuk Steel Mill Co. Ltd.		218,669			1,994
Hanwha Chemical Corp.		49,160			1,002
Hyosung Corp.		3,622			435
Hyundai Steel Co.		38,531			1,813
Kolon Industries, Inc.		10,391			636
LG Chem Ltd.		1,403			303
OCI Co. Ltd.		1,672			109
POSCO		75,886			16,112
					22,404
TELECOMMUNICATION SERVICES 1.1%
KT Corp. SP - ADR (a)		548,263			7,725
LG Uplus Corp.		569,492			5,398
SK Telecom Co. Ltd. SP - ADR		142,881			2,986
					16,109
UTILITIES 0.4%
Korea Electric Power Corp.		102,778			3,749
Korea Gas Corp.		43,487			1,745
					5,494
Total South Korea					203,774
TAIWAN 7.2%
CONSUMER DISCRETIONARY 0.3%
Cheng Shin Rubber Industry Co. Ltd.		134,000			252
Far Eastern Department Stores Ltd.		383,000			190
Formosa Taffeta Co. Ltd.		360,000			329
Pou Chen Corp.		945,000			1,174
Ruentex Industries Ltd.		929,000			1,536

	SHARES			MARKET VALUE (000S)
Yulon Motor Co. Ltd.		665,000	$		551
					4,032
CONSUMER STAPLES 0.1%
Uni-President Enterprises Corp.		1,277,640			2,107
FINANCIALS 0.9%
Cathay Financial Holding Co. Ltd.		345,000			513
China Development Financial Holding Corp.		2,507,000			624
China Life Insurance Co. Ltd.		4,426,632			4,377
Fubon Financial Holding Co. Ltd.		114,000			180
Hua Nan Financial Holdings Co. Ltd.		1,203,948			605
Mega Financial Holding Co. Ltd.		2,207,658			1,570
Mercuries Life Insurance Co. Ltd. (a)		877,000			461
Shanghai Commercial & Savings Bank Ltd.		556,446			466
Shin Kong Financial Holding Co. Ltd.		10,074,903			2,461
SinoPac Financial Holdings Co. Ltd.		2,928,601			823
Taishin Financial Holding Co. Ltd.		2,205,772			806
Taiwan Business Bank		2,834,750			715
Taiwan Cooperative Financial Holding Co. Ltd.		698,710			304
					13,905
INDUSTRIALS 0.2%
Far Eastern New Century Corp.		2,987,520			2,237
Taiwan High Speed Rail Corp.		263,000			150
Teco Electric and Machinery Co. Ltd.		689,000			594
					2,981
INFORMATION TECHNOLOGY 4.6%
Acer, Inc.		4,382,000			1,771
Advanced Semiconductor Engineering, Inc.		1,093,000			1,114
Asustek Computer, Inc.		354,000			2,898
AU Optronics Corp.		11,770,000			4,274
Compal Electronics, Inc.		5,171,000			2,954
Hon Hai Precision Industry Co. Ltd.		2,767,145			7,198
HTC Corp.		2,213,000			5,393
Innolux Corp.		13,807,000			4,943
Inventec Corp.		2,101,000			1,433
Lite-On Technology Corp.		2,780,035			4,181
MediaTek, Inc.		147,000			982
Novatek Microelectronics Corp.		125,000			411
Pegatron Corp.		182,000			433
Powertech Technology, Inc.		667,000			1,790
Quanta Computer, Inc.		901,000			1,679
Siliconware Precision Industries Co. Ltd.		284,000			421
Synnex Technology International Corp.		812,650			817
Taiwan Semiconductor Manufacturing Co. Ltd. SP - ADR		464,702			13,360
TPK Holding Co. Ltd.		1,159,000			2,124
Unimicron Technology Corp.		2,268,000			869

	SHARES			MARKET VALUE (000S)
United Microelectronics Corp.		12,413,000	$		4,371
Wistron Corp.		5,047,358			3,890
WPG Holdings Ltd.		987,000			1,160
Yageo Corp.		114,036			207
					68,673
MATERIALS 0.6%
Asia Cement Corp.		1,826,000			1,485
China Steel Corp.		3,546,000			2,696
Formosa Chemicals & Fibre Corp.		350,000			1,042
Formosa Plastics Corp.		118,000			325
Nan Ya Plastics Corp.		223,000			491
Taiwan Cement Corp.		2,705,000			2,940
					8,979
REAL ESTATE 0.1%
Farglory Land Development Co. Ltd.		297,000			340
Highwealth Construction Corp.		443,000			625
					965
TELECOMMUNICATION SERVICES 0.4%
Chunghwa Telecom Co. Ltd.		1,347,000			4,230
Far EasTone Telecommunications Co. Ltd.		519,000			1,167
Taiwan Mobile Co. Ltd.		112,000			360
					5,757
Total Taiwan					107,399
THAILAND 2.6%
CONSUMER STAPLES 0.1%
Charoen Pokphand Foods PCL		943,800			775
ENERGY 1.2%
Banpu Public Co. Ltd.		5,764,200			3,070
PTT Exploration & Production PCL		2,358,400			6,317
PTT PCL		767,500			7,946
					17,333
FINANCIALS 0.8%
Bangkok Bank PCL		750,100			3,330
Kasikornbank PCL		437,500			2,161
Krung Thai Bank PCL		4,893,375			2,411
Siam Commercial Bank PCL		662,800			2,811
Thanachart Capital PCL		1,439,600			1,767
					12,480
INDUSTRIALS 0.3%
Thai Airways International PCL (a)		7,325,400			4,634
MATERIALS 0.1%
PTT Global Chemical PCL		753,900			1,322
TELECOMMUNICATION SERVICES 0.1%
Advanced Info Service PCL		58,500			239

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 35

Schedule of Investments PIMCO RAE Fundamental Emerging Markets Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Total Access Communication PCL		1,670,400	$		1,757
					1,996
Total Thailand					38,540
TURKEY 1.1%
CONSUMER DISCRETIONARY 0.0%
Arcelik A/S		54,550			328
CONSUMER STAPLES 0.1%
Anadolu Efes Biracilik Ve Malt Sanayii A/S		70,130			350
Migros Ticaret A/S		138,778			691
					1,041
ENERGY 0.0%
Tupras Turkiye Petrol Rafinerileri A/S		8,010			160
FINANCIALS 0.8%
Akbank TAS		341,710			756
Haci Omer Sabanci Holding A/S		1,191,270			3,084
Turkiye Garanti Bankasi A/S		548,420			1,183
Turkiye Halk Bankasi A/S		887,350			2,345
Turkiye Is Bankasi ‘C’		1,818,390			2,667
Turkiye Vakiflar Bankasi TAO ‘D’		872,270			1,073
Yapi ve Kredi Bankasi A/S		864,370			839
					11,947
INDUSTRIALS 0.1%
KOC Holding A/S		121,880			476
Turk Hava Yollari AO (a)		410,210			582
Turkiye Sise ve Cam Fabrikalari A/S		449,610			488
					1,546

	SHARES			MARKET VALUE (000S)
MATERIALS 0.1%
Eregli Demir ve Celik Fabrikalari TAS		824,600	$		1,200
TELECOMMUNICATION SERVICES 0.0%
Turk Telekomunikasyon A/S		282,560			422
Turkcell Iletisim Hizmetleri A/S (a)		99,427			275
					697
Total Turkey					16,919
				��
Total Common Stocks (Cost $1,173,559)					1,380,770
PREFERRED STOCKS 7.5%
BRAZIL 7.1%
BANKING & FINANCE 0.2%
Banco do Estado do Rio Grande do Sul S.A.		875,800			2,774
Itausa - Investimentos Itau S.A.		116,700			296
					3,070
INDUSTRIALS 5.2%
Braskem S.A.		470,400			4,938
Cia Brasileira de Distribuicao		487,100			8,179
Metalurgica Gerdau S.A.		8,585,200			12,570
Usinas Siderurgicas de Minas Gerais S.A.		1,987,400			2,481
Vale S.A.		6,882,100			49,061
					77,229
UTILITIES 1.7%
Centrais Eletricas Brasileiras S.A.		1,881,600			14,943
Cia de Gas de Sao Paulo - COMGAS		11,900			168

	SHARES			MARKET VALUE (000S)
Cia de Saneamento do Parana		102,400	$		338
Cia de Transmissao de Energia Eletrica Paulista		37,800			752
Cia Energetica de Sao Paulo		782,700			3,240
Cia Paranaense de Energia		426,600			3,574
Eletropaulo Metropolitana Eletricidade de Sao Paulo S.A.		708,022			2,451
					25,466
Total Brazil					105,765
RUSSIA 0.4%
UTILITIES 0.4%
Bashneft PJSC		43,723			873
Transneft PJSC		1,609			5,190
					6,063
Total Russia					6,063
Total Preferred Stocks (Cost $58,056)					111,828
Total Investments in Securities (Cost $1,231,615)					1,492,598
Total Investments 99.5% (Cost $1,231,615)			$		1,492,598
Other Assets and Liabilities, net 0.5%					8,103
Net Assets 100.0%			$		1,500,701

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Security did not produce income within the last twelve months.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts			Interest Rate Contracts		Total
Net Realized Gain on Financial Derivative Instruments
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	521		$	0	$	521
Net Change in Unrealized (Depreciation) on Financial Derivative Instruments
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	(408	)	$	0	$	(408	)

36 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3			Fair Value at 12/31/2016
Investments in Securities, at Value
Common Stocks
Brazil
Consumer Discretionary	$	0	$	5,714	$	0		$	5,714
Consumer Staples		1,990		10,689		0			12,679
Energy		50,993		1,662		0			52,655
Financials		57,420		35,462		0			92,882
Health Care		0		538		0			538
Industrials		475		2,390		0			2,865
Materials		18,799		998		0			19,797
Real Estate		0		2,327		0			2,327
Telecommunication Services		8,080		0		0			8,080
Utilities		20,978		12,897		0			33,875
Chile
Consumer Staples		2,082		0		0			2,082
Energy		161		0		0			161
Financials		1,161		0		0			1,161
Industrials		1,006		0		0			1,006
Materials		1,548		1,841		0			3,389
Telecommunication Services		466		0		0			466
Utilities		1,443		0		0			1,443
China
Consumer Discretionary		0		4,570		0			4,570
Consumer Staples		0		950		0			950
Energy		0		51,158		0			51,158
Financials		0		129,977		0			129,977
Industrials		0		4,401		0			4,401
Information Technology		1,264		5,200		0			6,464
Materials		0		10,225		0			10,225
Real Estate		0		20,581		0			20,581
Telecommunication Services		0		7,048		0			7,048
Utilities		0		1,709		0			1,709
Greece
Consumer Discretionary		0		3,082		0			3,082
Financials		0		12,606		0			12,606
Telecommunication Services		0		2,181		0			2,181
Utilities		0		203		0			203
Hong Kong
Consumer Staples		0		6,159		0			6,159
Energy		0		1,268		0	��		1,268
Financials		0		4,269		0			4,269
Industrials		0		3,477		0			3,477
Materials		0		2,096		0			2,096
Real Estate		0		6,854		0			6,854
Telecommunication Services		0		15,118		0			15,118
Utilities		0		3,569		0			3,569
India
Consumer Discretionary		0		2,996		0			2,996
Consumer Staples		0		1,157		0			1,157
Energy		101		11,535		0			11,636
Financials		0		22,988		0			22,988
Health Care		0		705		0			705
Industrials		0		4,096		0			4,096
Information Technology		1,072		378		0			1,450
Materials		0		29,899		0			29,899
Real Estate		0		464		0			464
Telecommunication Services		0		1,561		0			1,561
Utilities		0		4,056		0			4,056
Indonesia
Consumer Discretionary		0		1,439		0			1,439
Consumer Staples		0		1,443		0			1,443
Energy		988		7,254		0			8,242
Financials		0		4,356		0			4,356
Materials		0		1,446		0			1,446
Telecommunication Services		0		3,191		0			3,191
Utilities		0		2,403		0			2,403

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Mexico
Consumer Staples	$	4,106	$	0	$	0	$	4,106
Financials		3,250		0		0		3,250
Industrials		1,984		0		0		1,984
Materials		6,177		346		0		6,523
Telecommunication Services		3,282		0		0		3,282
Poland
Energy		0		4,710		0		4,710
Financials		0		8,480		0		8,480
Industrials		321		0		0		321
Information Technology		0		1,069		0		1,069
Materials		2,471		9,382		0		11,853
Telecommunication Services		0		2,223		0		2,223
Utilities		0		9,375		0		9,375
Russia
Consumer Staples		7,190		0		0		7,190
Energy		0		119,509		0		119,509
Financials		0		8,873		0		8,873
Industrials		0		7,348		0		7,348
Information Technology		94		0		0		94
Materials		8,803		14,009		0		22,812
Telecommunication Services		7,061		14,054		0		21,115
Utilities		0		16,115		0		16,115
South Africa
Consumer Discretionary		394		3,338		0		3,732
Consumer Staples		620		1,304		0		1,924
Energy		0		1,494		0		1,494
Financials		0		36,981		0		36,981
Health Care		0		1,091		0		1,091
Industrials		0		6,820		0		6,820
Materials		14,125		23,239		0		37,364
Telecommunication Services		0		21,887		0		21,887
South Korea
Consumer Discretionary		0		35,832		0		35,832
Consumer Staples		0		2,899		0		2,899
Energy		0		1,690		0		1,690
Financials		0		47,365		0		47,365
Industrials		0		21,427		204		21,631
Information Technology		0		50,350		0		50,350
Materials		0		22,404		0		22,404
Telecommunication Services		10,711		5,398		0		16,109
Utilities		0		5,494		0		5,494
Taiwan
Consumer Discretionary		0		4,032		0		4,032
Consumer Staples		0		2,107		0		2,107
Financials		466		13,439		0		13,905
Industrials		0		2,981		0		2,981
Information Technology		13,567		55,106		0		68,673
Materials		0		8,979		0		8,979
Real Estate		0		965		0		965
Telecommunication Services		0		5,757		0		5,757
Thailand
Consumer Staples		0		775		0		775
Energy		0		17,333		0		17,333
Financials		0		12,480		0		12,480
Industrials		0		4,634		0		4,634
Materials		0		1,322		0		1,322
Telecommunication Services		0		1,996		0		1,996
Turkey
Consumer Discretionary		0		328		0		328
Consumer Staples		350		691		0		1,041
Energy		0		160		0		160
Financials		0		11,947		0		11,947
Industrials		0		1,546		0		1,546
Materials		0		1,200		0		1,200
Telecommunication Services		0		697		0		697

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 37

Schedule of Investments PIMCO RAE Fundamental Emerging Markets Fund (Cont.)

December 31, 2016 (Unaudited)

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Preferred Stocks
Brazil
Banking & Finance	$	0	$	3,070	$	0	$	3,070
Industrials		0		77,229		0		77,229
Utilities		168		25,298		0		25,466
Russia
Utilities		0		6,063		0		6,063
Total Investments	$	255,167	$	1,237,227	$	204	$	1,492,598

There were assets and liabilities valued at $177,930 transferred from Level 1 to Level 2 during the period ended December 31, 2016. There were assets and liabilities valued at $24,384 transferred from Level 2 to Level 1 during the period ended December 31, 2016. There were no significant transfers between Levels 2 and 3 during the period ended December 31, 2016.

38 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO RAE Fundamental Global Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN AFFILIATES 99.9%
MUTUAL FUNDS (a) 99.9%
UNITED STATES 99.9%
PIMCO RAE Fundamental Emerging Markets Fund		5,102,263	$		49,390
PIMCO RAE Fundamental International Fund		19,201,561			175,694
PIMCO RAE Fundamental U.S. Fund		15,568,922			158,025
Total Mutual Funds (Cost $368,446)					383,109
Total Investments in Affiliates (Cost $368,446)					383,109
Total Investments 99.9% (Cost $368,446)			$		383,109
Other Assets and Liabilities, net 0.1%					550
Net Assets 100.0%			$		383,659

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Affiliates, at Value
Mutual Funds
United States	$	383,109	$	0	$	0	$	383,109
Totals	$	383,109	$	0	$	0	$	383,109

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 39

Schedule of Investments PIMCO RAE Fundamental Global ex-US Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN AFFILIATES 98.7%
MUTUAL FUNDS (a) 98.7%
UNITED STATES 98.7%
PIMCO RAE Fundamental Emerging Markets Fund		1,531,918	$		14,829
PIMCO RAE Fundamental International Fund		5,758,835			52,693
Total Mutual Funds (Cost $71,272)					67,522
Total Investments in Affiliates (Cost $71,272)					67,522
Total Investments 98.7% (Cost $71,272)			$		67,522
Other Assets and Liabilities, net 1.3%					894
Net Assets 100.0%			$		68,416

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Affiliates, at Value
Mutual Funds
United States	$	67,522	$	0	$	0	$	67,522
Totals	$	67,522	$	0	$	0	$	67,522

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

40 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO RAE Fundamental International Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 99.7%
COMMON STOCKS 98.7%
AUSTRALIA 6.7%
CONSUMER DISCRETIONARY 0.1%
Myer Holdings Ltd.		157,408	$		157
Star Entertainment Grp Ltd.		15,758			59
Tatts Group Ltd.		21,537			69
					285
CONSUMER STAPLES 0.6%
Coca-Cola Amatil Ltd.		20,294			148
Metcash Ltd. (a)		151,799			249
Wesfarmers Ltd.		26,188			795
Woolworths Ltd.		44,645			775
					1,967
ENERGY 0.5%
Origin Energy Ltd.		20,511			97
Santos Ltd.		65,532			189
Whitehaven Coal Ltd.		30,759			57
Woodside Petroleum Ltd.		29,407			659
WorleyParsons Ltd.		74,818			521
					1,523
FINANCIALS 2.7%
AMP Ltd.		77,485			281
Australia & New Zealand Banking Group Ltd.		91,418			2,001
Bank of Queensland Ltd.		3,116			27
Bendigo & Adelaide Bank Ltd.		33,835			310
Commonwealth Bank of Australia		24,361			1,445
Genworth Mortgage Insurance Australia Ltd.		40,911			96
Insurance Australia Group Ltd.		25,784			111
Macquarie Group Ltd.		4,902			307
National Australia Bank Ltd.		76,518			1,690
QBE Insurance Group Ltd.		22,352			200
Suncorp Group Ltd.		85,507			833
Westpac Banking Corp.		79,765			1,872
					9,173
HEALTH CARE 0.1%
CSL Ltd.		2,619			190
Primary Health Care Ltd.		49,375			145
Sonic Healthcare Ltd.		2,486			38
					373
INDUSTRIALS 0.2%
Aurizon Holdings Ltd.		37,481			136
CIMIC Group Ltd.		8,498			214
Cleanaway Waste Management Ltd.		81,072			72
Downer EDI Ltd.		64,130			281
Qantas Airways Ltd.		26,082			62
					765
MATERIALS 2.3%
BHP Billiton Ltd.		306,122			5,250
BlueScope Steel Ltd.		16,710			111
Boral Ltd.		34,887			136
CSR Ltd.		94,891			315
Fortescue Metals Group Ltd.		243,066			1,016

	SHARES			MARKET VALUE (000S)
Iluka Resources Ltd.		12,800	$		67
Incitec Pivot Ltd.		45,389			117
Mineral Resources Ltd.		17,642			154
Orica Ltd.		28,916			367
OZ Minerals Ltd.		48,947			276
					7,809
REAL ESTATE 0.0%
Lend Lease Group		10,213			107
TELECOMMUNICATION SERVICES 0.1%
Telstra Corp. Ltd.		52,109			192
UTILITIES 0.1%
AGL Energy Ltd.		7,374			117
AusNet Services		75,497			86
DUET Group		21,277			42
					245
Total Australia					22,439
AUSTRIA 0.7%
ENERGY 0.2%
OMV AG		20,215			713
FINANCIALS 0.4%
Erste Group Bank AG		21,462			628
Raiffeisen Bank International AG		25,917			472
Vienna Insurance Group AG Wiener Versicherung Gruppe		4,484			100
					1,200
INDUSTRIALS 0.0%
Oesterreichische Post AG		2,010			67
MATERIALS 0.1%
voestalpine AG		9,841			385
REAL ESTATE 0.0%
IMMOFINANZ AG		29,881			58
Total Austria					2,423
BELGIUM 0.6%
CONSUMER STAPLES 0.2%
Anheuser-Busch InBev S.A.		5,756			609
FINANCIALS 0.3%
Ageas		16,690			659
KBC Group NV		4,156			257
					916
HEALTH CARE 0.0%
UCB S.A.		545			35
INDUSTRIALS 0.0%
bpost S.A.		2,870			68
MATERIALS 0.0%
Solvay S.A.		647			75
Umicore S.A.		1,084			62
					137

	SHARES			MARKET VALUE (000S)
TELECOMMUNICATION SERVICES 0.1%
Proximus S.A.		7,954	$		229
Total Belgium					1,994
CANADA 10.4%
CONSUMER DISCRETIONARY 0.3%
Canadian Tire Corp. Ltd. ‘A’		1,861			193
Hudson’s Bay Co.		6,307			62
Magna International, Inc.		13,637			592
Quebecor, Inc. ‘B’		6,356			177
Shaw Communications, Inc. ‘B’		2,784			56
					1,080
CONSUMER STAPLES 0.2%
Empire Co. Ltd. ‘A’		11,399			134
George Weston Ltd.		3,583			303
					437
ENERGY 3.3%
ARC Resources Ltd.		10,683			184
Baytex Energy Corp. (a)		109,904			537
Bonavista Energy Corp.		54,699			196
Cameco Corp.		3,558			37
Canadian Natural Resources Ltd.		24,466			780
Cenovus Energy, Inc.		79,022			1,195
Crescent Point Energy Corp.		35,997			489
Enbridge, Inc.		3,636			153
Encana Corp.		87,831			1,031
Enerplus Corp.		101,229			960
Gran Tierra Energy, Inc. (a)		22,590			68
Husky Energy, Inc. (a)		52,393			636
MEG Energy Corp. (a)		60,308			414
Pengrowth Energy Corp.		130,604			185
Penn West Petroleum Ltd. (a)		170,963			302
PrairieSky Royalty Ltd.		1,290			31
Precision Drilling Corp.		56,334			307
ShawCor Ltd.		3,629			97
Suncor Energy, Inc.		80,736			2,640
TransCanada Corp.		17,662			796
Vermilion Energy, Inc.		3,457			145
					11,183
FINANCIALS 3.3%
Bank of Montreal		20,748			1,492
Bank of Nova Scotia		33,224			1,850
Canadian Imperial Bank of Commerce		17,851			1,457
Genworth MI Canada, Inc.		4,464			112
Great-West Lifeco, Inc. (b)		6,232			163
IGM Financial, Inc.		6,056			172
Manulife Financial Corp.		21,009			374
National Bank of Canada		12,253			498
Onex Corp.		4,401			300
Power Corp. of Canada		21,353			478
Power Financial Corp.		10,058			251
Royal Bank of Canada		27,951			1,892
Sun Life Financial, Inc.		11,336			435
Toronto-Dominion Bank		33,177			1,636
					11,110
INDUSTRIALS 0.8%
Air Canada (a)		74,275			756

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 41

Schedule of Investments PIMCO RAE Fundamental International Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Bombardier, Inc. ‘B’ (a)		245,389	$		395
Canadian National Railway Co.		10,236			689
Canadian Pacific Railway Ltd.		301			43
Finning International, Inc.		16,410			321
Russel Metals, Inc.		3,857			74
SNC-Lavalin Group, Inc.		3,333			143
WestJet Airlines Ltd.		11,867			204
					2,625
INFORMATION TECHNOLOGY 0.1%
BlackBerry Ltd. (a)		50,319			347
MATERIALS 1.7%
Agrium, Inc.		3,576			359
Barrick Gold Corp.		29,976			479
First Quantum Minerals Ltd.		31,817			316
Goldcorp, Inc.		2,553			35
IAMGOLD Corp. (a)		80,254			309
Kinross Gold Corp. (a)		72,250			225
Potash Corp. of Saskatchewan, Inc.		49,348			893
Teck Resources Ltd. ‘B’		134,453			2,691
Yamana Gold, Inc.		137,184			385
					5,692
TELECOMMUNICATION SERVICES 0.4%
BCE, Inc.		6,680			289
Manitoba Telecom Services, Inc.		10,321			292
Rogers Communications, Inc. ‘B’		13,179			508
TELUS Corp.		10,391			331
					1,420
UTILITIES 0.3%
Atco Ltd. ‘I’		5,293			176
Canadian Utilities Ltd. ‘A’		2,452			66
Capital Power Corp.		10,631			184
Emera, Inc.		1,977			67
Just Energy Group, Inc.		4,994			27
Superior Plus Corp.		13,969			133
TransAlta Corp.		59,134			327
					980
Total Canada					34,874
DENMARK 0.9%
CONSUMER DISCRETIONARY 0.0%
Pandora A/S		562			73
CONSUMER STAPLES 0.1%
Carlsberg A/S ‘B’		3,931			339
FINANCIALS 0.1%
Danske Bank A/S		7,031			213
HEALTH CARE 0.1%
Novo Nordisk A/S ‘B’		11,054			396
INDUSTRIALS 0.5%
AP Moller - Maersk A/S		721			1,149
ISS A/S		12,460			420

	SHARES			MARKET VALUE (000S)
Vestas Wind Systems A/S		450	$		29
					1,598
TELECOMMUNICATION SERVICES 0.1%
TDC A/S		74,064			380
Total Denmark					2,999
FINLAND 0.7%
CONSUMER DISCRETIONARY 0.0%
Nokian Renkaat OYJ		828			31
CONSUMER STAPLES 0.1%
Kesko OYJ ‘B’		5,227			261
ENERGY 0.0%
Neste OYJ		2,117			81
FINANCIALS 0.0%
Sampo OYJ ‘A’		2,758			123
HEALTH CARE 0.0%
Orion OYJ ‘B’		2,703			120
INDUSTRIALS 0.1%
Kone OYJ ‘B’		595			27
Metso OYJ		4,303			122
					149
INFORMATION TECHNOLOGY 0.0%
Tieto OYJ		3,471			94
MATERIALS 0.3%
Stora Enso OYJ ‘R’		32,138			344
UPM-Kymmene OYJ		21,458			525
					869
TELECOMMUNICATION SERVICES 0.0%
Elisa OYJ		2,204			71
UTILITIES 0.2%
Fortum OYJ		35,367			541
Total Finland					2,340
FRANCE 11.6%
CONSUMER DISCRETIONARY 1.5%
Accor S.A.		2,993			112
Christian Dior SE		1,584			332
Cie Generale des Etablissements Michelin		7,868			875
Elior Group		5,098			117
Kering		1,160			260
Lagardere S.C.A.		15,551			432
LVMH Moet Hennessy Louis Vuitton SE		3,099			591
Peugeot S.A. (a)		15,865			258
Publicis Groupe S.A.		2,164			149
Renault S.A.		5,733			509
Television Francaise 1		10,115			100
Valeo S.A.		2,565			147

	SHARES			MARKET VALUE (000S)
Vivendi S.A.		66,663	$		1,264
					5,146
CONSUMER STAPLES 0.7%
Carrefour S.A.		36,008			867
Casino Guichard Perrachon S.A.		12,108			580
Danone S.A.		7,620			482
L’Oreal S.A.		1,180			215
Pernod-Ricard S.A.		2,053			222
					2,366
ENERGY 1.3%
CGG S.A. (a)		9,233			133
Technip S.A.		3,145			224
Total S.A.		71,431			3,664
Vallourec S.A.		65,768			452
					4,473
FINANCIALS 3.0%
AXA S.A.		66,402			1,674
BNP Paribas S.A.		55,473			3,530
CNP Assurances		13,742			254
Credit Agricole S.A.		63,615			788
Eurazeo S.A.		1,914			112
Natixis S.A.		13,919			78
SCOR SE		6,389			221
Societe Generale S.A.		68,822			3,385
Wendel S.A.		782			94
					10,136
HEALTH CARE 1.0%
Essilor International S.A.		1,195			135
Sanofi		40,481			3,273
					3,408
INDUSTRIALS 2.1%
Air France-KLM (a)		141,318			769
Airbus Group SE		4,878			322
Alstom S.A. (a)		4,873			134
Bouygues S.A.		22,275			798
Cie de Saint-Gobain		25,715			1,196
Eiffage S.A.		7,802			543
Legrand S.A.		525			30
Rexel S.A.		32,482			534
Safran S.A.		3,966			285
Schneider Electric SE		10,080			700
Teleperformance SE		1,325			133
Thales S.A.		1,332			129
Vinci S.A.		19,674			1,338
					6,911
INFORMATION TECHNOLOGY 0.2%
Atos SE		3,411			360
Capgemini S.A.		1,727			145
Neopost S.A.		4,708			147
					652
MATERIALS 0.2%
Air Liquide S.A.		3,225			359
Arkema S.A.		2,292			224
					583

42 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
REAL ESTATE 0.0%
Nexity S.A.		1,613	$		75
TELECOMMUNICATION SERVICES 0.6%
Orange S.A.		134,319			2,037
UTILITIES 1.0%
Electricite de France S.A.		70,362			716
Engie S.A.		145,184			1,848
Suez		18,973			280
Veolia Environnement S.A.		25,569			434
					3,278
Total France					39,065
GERMANY 9.0%
CONSUMER DISCRETIONARY 1.3%
adidas AG		5,554			876
Bayerische Motoren Werke AG		14,569			1,357
Continental AG		1,704			328
Daimler AG		22,631			1,680
Fielmann AG		1,069			71
ProSiebenSat.1 Media SE		3,881			149
					4,461
CONSUMER STAPLES 0.4%
METRO AG		29,500			981
Suedzucker AG		15,991			381
					1,362
FINANCIALS 2.0%
Commerzbank AG		213,994			1,629
Deutsche Bank AG		172,311			3,126
Deutsche Boerse AG		1,859			149
Hannover Rueck SE		2,080			225
Muenchener Rueckversicherungs-Gesellschaft AG in Muenchen		6,879			1,299
Talanx AG (a)		9,333			312
					6,740
HEALTH CARE 0.5%
Bayer AG		9,511			991
Fresenius Medical Care AG & Co. KGaA		1,471			124
Fresenius SE & Co. KGaA		4,428			346
Rhoen Klinikum AG		3,842			104
STADA Arzneimittel AG		2,600			134
					1,699
INDUSTRIALS 1.8%
Bilfinger SE		7,015			270
Brenntag AG		1,832			101
Deutsche Lufthansa AG		101,568			1,309
Deutsche Post AG		46,729			1,532
Fraport AG Frankfurt Airport Services Worldwide		1,874			111
GEA Group AG		1,600			64
HOCHTIEF AG		2,955			413
OSRAM Licht AG		2,427			127
Rheinmetall AG		3,811			256
Siemens AG		14,209			1,740
					5,923

	SHARES			MARKET VALUE (000S)
INFORMATION TECHNOLOGY 0.3%
Infineon Technologies AG		7,758	$		134
SAP SE		8,082			699
					833
MATERIALS 1.2%
Aurubis AG		2,430			140
BASF SE		20,670			1,916
Evonik Industries AG		5,754			171
HeidelbergCement AG		5,429			505
K+S AG		18,436			439
Lanxess AG		4,376			287
Linde AG		1,530			251
Salzgitter AG		10,783			378
ThyssenKrupp AG		2,804			67
					4,154
TELECOMMUNICATION SERVICES 0.5%
Deutsche Telekom AG		83,426			1,431
Freenet AG		5,302			149
					1,580
UTILITIES 1.0%
E.ON SE		249,781			1,757
RWE AG		132,046			1,639
					3,396
Total Germany					30,148
HONG KONG 1.1%
CONSUMER DISCRETIONARY 0.1%
Li & Fung Ltd.		152,000			66
SJM Holdings Ltd.		197,000			154
					220
FINANCIALS 0.2%
AIA Group Ltd.		49,600			278
Bank of East Asia Ltd.		17,600			67
First Pacific Co. Ltd.		58,000			40
Hang Seng Bank Ltd.		8,900			165
					550
INDUSTRIALS 0.1%
Cathay Pacific Airways Ltd.		55,000			72
MTR Corp. Ltd.		22,500			109
Noble Group Ltd.		1,884,800			220
					401
INFORMATION TECHNOLOGY 0.0%
Kingboard Chemical Holdings Ltd.		37,000			112
REAL ESTATE 0.6%
Hang Lung Group Ltd.		40,000			139
Hang Lung Properties Ltd.		22,000			46
Hongkong Land Holdings Ltd.		17,300			109
Hysan Development Co. Ltd.		14,000			58
Kerry Properties Ltd.		49,500			134
New World Development Co. Ltd.		291,000			307
Shimao Property Holdings Ltd.		105,500			137
Sino Land Co. Ltd.		18,000			27

	SHARES			MARKET VALUE (000S)
Sun Hung Kai Properties Ltd.		16,000	$		201
Swire Pacific Ltd. ‘A’		36,500			347
Wharf Holdings Ltd.		35,000			232
Wheelock & Co. Ltd.		28,000			157
					1,894
TELECOMMUNICATION SERVICES 0.0%
PCCW Ltd.		90,000			49
UTILITIES 0.1%
CLP Holdings Ltd.		30,500			280
Total Hong Kong					3,506
IRELAND 0.3%
CONSUMER STAPLES 0.0%
Kerry Group PLC ‘A’		347			25
HEALTH CARE 0.1%
Medtronic PLC		2,671			190
INDUSTRIALS 0.1%
Experian PLC		10,165			197
MATERIALS 0.1%
CRH PLC		14,414			497
Smurfit Kappa Group PLC		8,973			206
					703
Total Ireland					1,115
ISRAEL 0.7%
FINANCIALS 0.3%
Bank Hapoalim BM		57,946			344
Bank Leumi Le-Israel BM (a)		93,776			385
Israel Discount Bank Ltd.‘A’ (a)		68,376			142
					871
HEALTH CARE 0.2%
Teva Pharmaceutical Industries Ltd. SP - ADR		22,977			833
MATERIALS 0.1%
Israel Chemicals Ltd.		46,811			191
TELECOMMUNICATION SERVICES 0.1%
Bezeq The Israeli Telecommunication Corp. Ltd.		182,753			347
Total Israel					2,242
ITALY 3.2%
CONSUMER DISCRETIONARY 0.1%
Mediaset SpA		67,489			291
ENERGY 1.0%
Eni SpA		202,758			3,287
Saipem SpA (a)		55,219			31
Snam SpA		44,425			183
					3,501

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 43

Schedule of Investments PIMCO RAE Fundamental International Fund (Cont.)

	SHARES			MARKET VALUE (000S)
FINANCIALS 1.1%
Assicurazioni Generali SpA		34,509	$		512
Banca Popolare dell’Emilia Romagna SC		22,070			117
Intesa Sanpaolo SpA		172,870			438
Poste Italiane SpA		74,953			497
UniCredit SpA		522,285			1,500
Unione di Banche Italiane SpA		127,838			350
Unipol Gruppo Finanziario SpA		46,825			168
					3,582
INDUSTRIALS 0.1%
Atlantia SpA		5,767			135
Italmobiliare SpA		1,241			58
					193
TELECOMMUNICATION SERVICES 0.2%
Telecom Italia SpA (a)		779,679			688
UTILITIES 0.7%
A2A SpA		100,720			130
Enel SpA		504,064			2,216
Hera SpA		35,558			82
Terna Rete Elettrica Nazionale SpA		10,054			46
					2,474
Total Italy					10,729
JAPAN 18.1%
CONSUMER DISCRETIONARY 3.3%
Aisin Seiki Co. Ltd.		7,200			312
Aoyama Trading Co. Ltd.		2,100			73
Asatsu-DK, Inc.		1,800			44
Bandai Namco Holdings, Inc.		1,700			47
Benesse Holdings, Inc.		7,800			214
Bridgestone Corp.		12,600			453
DCM Holdings Co. Ltd.		14,400			128
Denso Corp.		3,300			143
EDION Corp.		11,600			109
Fuji Heavy Industries Ltd.		2,000			81
Fuji Media Holdings, Inc.		15,700			220
Geo Holdings Corp.		2,100			24
Honda Motor Co. Ltd.		39,800			1,162
Isetan Mitsukoshi Holdings Ltd. ‘L’		13,700			148
Isuzu Motors Ltd.		9,400			119
JVC Kenwood Corp.		41,600			113
KYB Corp.		14,000			68
Mazda Motor Corp.		11,300			184
Mitsubishi Motors Corp.		35,300			201
Nikon Corp.		22,000			342
Nissan Motor Co. Ltd.		100,000			1,003
Onward Holdings Co. Ltd.		14,000			98
Panasonic Corp.		90,500			918
Pioneer Corp. (a)		78,900			159
Sega Sammy Holdings, Inc.		8,900			132
Seiko Holdings Corp.		34,000			120
Sekisui Chemical Co. Ltd.		14,600			232
Sekisui House Ltd.		10,800			179
Sharp Corp. (a)		202,000			467
Skylark Co. Ltd.		7,500			99
Sony Corp.		16,300			455
Sumitomo Electric Industries Ltd.		21,600			311
Sumitomo Forestry Co. Ltd.		7,400			98

	SHARES			MARKET VALUE (000S)
Sumitomo Rubber Industries Ltd.		16,400	$		259
Suzuki Motor Corp.		2,000			70
Takashimaya Co. Ltd.		16,000			132
Takata Corp.		9,600			70
Toyo Tire & Rubber Co. Ltd.		5,600			70
Toyota Motor Corp.		24,600			1,442
Yamada Denki Co. Ltd.		52,000			280
Yokohama Rubber Co. Ltd.		8,100			145
Yoshinoya Holdings Co. Ltd.		7,600			104
Zensho Holdings Co. Ltd.		8,800			145
					11,173
CONSUMER STAPLES 1.1%
Aeon Co. Ltd.		54,447			769
Asahi Group Holdings Ltd.		2,300			72
Coca-Cola West Co. Ltd.		6,000			177
cocokara fine, Inc.		700			26
Ito En Ltd.		900			30
Japan Tobacco, Inc.		7,556			248
Kao Corp.		2,800			133
Kirin Holdings Co. Ltd.		44,700			726
Lion Corp.		4,000			66
Megmilk Snow Brand Co. Ltd.		1,300			36
MEIJI Holdings Co. Ltd.		1,500			117
Morinaga Milk Industry Co. Ltd.		18,000			129
NH Foods Ltd.		4,000			108
Nichirei Corp.		3,700			76
Nippon Suisan Kaisha Ltd.		24,400			117
Sapporo Holdings Ltd.		4,700			121
Seven & i Holdings Co. Ltd.		6,500			247
Shiseido Co. Ltd.		10,700			270
Yamazaki Baking Co. Ltd.		11,000			212
					3,680
ENERGY 0.4%
Idemitsu Kosan Co. Ltd.		12,300			326
Inpex Corp.		27,700			277
JX Holdings, Inc.		155,300			656
					1,259
FINANCIALS 3.0%
Aozora Bank Ltd.		24,000			85
Chiba Bank Ltd.		22,000			135
Credit Saison Co. Ltd.		1,800			32
Dai-ichi Life Insurance Co. Ltd.		36,600			609
Daiwa Securities Group, Inc.		31,000			191
Fukuoka Financial Group, Inc.		21,000			93
Hokuhoku Financial Group, Inc.		9,400			162
Japan Post Bank Co. Ltd.		21,800			261
Japan Post Holdings Co. Ltd.		12,300			153
Mebuki Financial Group, Inc.		12,800			47
Mitsubishi UFJ Financial Group, Inc.		357,800			2,207
Mizuho Financial Group, Inc.		687,100			1,233
MS&AD Insurance Group Holdings, Inc.		3,000			93
Nishi-Nippon Financial Holdings, Inc. (a)		7,200			75
Nomura Holdings, Inc.		113,000			668
North Pacific Bank Ltd.		30,600			126
ORIX Corp.		25,800			402
Resona Holdings, Inc.		113,700			583
SBI Holdings, Inc.		16,200			206
Senshu Ikeda Holdings, Inc.		14,100			65

	SHARES			MARKET VALUE (000S)
Sony Financial Holdings, Inc.		12,200	$		190
Sumitomo Mitsui Financial Group, Inc.		37,100			1,413
Sumitomo Mitsui Trust Holdings, Inc.		12,500			447
T&D Holdings, Inc.		27,200			359
Tokio Marine Holdings, Inc.		2,600			106
Yamaguchi Financial Group, Inc.		7,000			76
					10,017
HEALTH CARE 0.5%
Astellas Pharma, Inc.		16,300			226
Daiichi Sankyo Co. Ltd.		21,816			446
Hoya Corp.		3,100			130
Medipal Holdings Corp.		5,000			79
Mitsubishi Tanabe Pharma Corp.		1,600			31
Nipro Corp.		2,300			25
Otsuka Holdings Co. Ltd.		5,728			250
Sumitomo Dainippon Pharma Co. Ltd.		4,200			72
Suzuken Co. Ltd.		3,400			111
Takeda Pharmaceutical Co. Ltd.		10,100			419
Tsumura & Co.		1,100			30
					1,819
INDUSTRIALS 3.7%
ANA Holdings, Inc.		68,000			183
Asahi Glass Co. Ltd.		86,000			584
Central Japan Railway Co.		1,000			164
Dai Nippon Printing Co. Ltd.		27,000			266
East Japan Railway Co.		5,100			440
Ebara Corp.		2,300			65
Fujikura Ltd.		20,700			112
Furukawa Electric Co. Ltd.		7,200			210
GS Yuasa Corp.		8,000			33
Hankyu Hanshin Holdings, Inc.		800			26
Hitachi Construction Machinery Co. Ltd.		12,400			268
IHI Corp. (a)		46,000			119
ITOCHU Corp.		35,200			466
Iwatani Corp.		6,000			32
Japan Airlines Co. Ltd.		12,500			365
JTEKT Corp.		3,800			61
Kanematsu Corp.		37,000			62
Kawasaki Heavy Industries Ltd.		50,000			157
Kawasaki Kisen Kaisha Ltd.		45,000			102
Kokuyo Co. Ltd.		2,700			31
Komatsu Ltd.		31,400			711
LIXIL Group Corp.		8,000			181
Marubeni Corp.		120,100			679
Mitsubishi Corp.		35,500			754
Mitsubishi Electric Corp.		48,200			670
Mitsubishi Heavy Industries Ltd.		105,000			477
Mitsui & Co. Ltd.		68,000			932
Mitsui Engineering & Shipbuilding Co. Ltd.		94,000			145
Mitsui OSK Lines Ltd.		90,000			248
Nippon Express Co. Ltd.		20,000			107
Nippon Sheet Glass Co. Ltd. (a)		27,600			200
Nippon Yusen KK		158,000			293
NSK Ltd.		2,900			34
NTN Corp.		31,000			125
Obayashi Corp.		2,700			26
Sojitz Corp.		142,500			345

44 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
Sumitomo Corp.		69,000	$		810
Sumitomo Heavy Industries Ltd.		29,000			186
Tokyu Corp.		5,000			37
Toppan Printing Co. Ltd.		30,000			286
Toshiba Corp.		392,000			947
Toyota Tsusho Corp.		8,600			224
West Japan Railway Co.		3,800			233
					12,396
INFORMATION TECHNOLOGY 2.5%
Brother Industries Ltd.		15,800			284
Canon, Inc.		50,050			1,410
Citizen Holdings Co. Ltd.		16,000			95
DeNA Co. Ltd.		8,600			188
FUJIFILM Holdings Corp.		8,000			303
Fujitsu Ltd.		210,000			1,163
Gree, Inc.		17,000			89
Hitachi Ltd.		339,000			1,828
Ibiden Co. Ltd.		12,900			173
Japan Display, Inc. (a)		111,400			316
Konica Minolta, Inc.		39,500			392
Kyocera Corp.		3,300			164
NEC Corp.		296,000			783
Nippon Electric Glass Co. Ltd.		49,000			264
Omron Corp.		2,600			99
Ricoh Co. Ltd.		83,500			705
Seiko Epson Corp.		8,800			186
Tokyo Electron Ltd.		1,400			132
Toshiba TEC Corp. (a)		9,000			43
Yokogawa Electric Corp.		2,300			33
					8,650
MATERIALS 1.7%
Asahi Kasei Corp.		40,000			348
Denka Co. Ltd.		24,000			106
DIC Corp.		5,700			173
JFE Holdings, Inc.		24,500			370
JSR Corp.		2,100			33
Kaneka Corp.		12,000			98
Kobe Steel Ltd.		43,000			409
Kuraray Co. Ltd.		6,400			96
Mitsubishi Chemical Holdings Corp.		111,900			724
Mitsubishi Materials Corp.		4,200			128
Mitsui Chemicals, Inc.		39,000			175
Mitsui Mining & Smelting Co. Ltd.		69,000			173
Nippon Kayaku Co. Ltd.		4,000			49
Nippon Light Metal Holdings Co. Ltd.		51,400			108
Nippon Paper Industries Co. Ltd.		15,418			260
Nippon Steel & Sumitomo Metal Corp.		11,900			264
Nisshin Steel Co. Ltd.		7,200			88
Oji Holdings Corp.		35,000			142
Rengo Co. Ltd.		16,700			91
Shin-Etsu Chemical Co. Ltd.		2,100			163
Showa Denko KK		21,700			310
Sumitomo Chemical Co. Ltd.		91,000			431
Sumitomo Metal Mining Co. Ltd.		7,000			89
Taiheiyo Cement Corp.		26,000			82
Teijin Ltd.		10,600			214
Tokuyama Corp. (a)		58,000			220
Toyo Seikan Group Holdings Ltd. ‘L’		4,900			91

	SHARES			MARKET VALUE (000S)
Ube Industries Ltd.		96,000	$		201
					5,636
REAL ESTATE 0.1%
Daito Trust Construction Co. Ltd.		1,000			150
Daiwa House Industry Co. Ltd.		6,200			169
Nomura Real Estate Holdings, Inc.		3,600			61
					380
TELECOMMUNICATION SERVICES 0.9%
KDDI Corp.		14,100			356
Nippon Telegraph & Telephone Corp.		36,500			1,537
NTT DOCOMO, Inc.		30,900			703
SoftBank Group Corp.		7,000			463
					3,059
UTILITIES 0.9%
Chubu Electric Power Co., Inc.		53,800			749
Chugoku Electric Power Co., Inc.		16,200			189
Hokkaido Electric Power Co., Inc.		12,200			95
Hokuriku Electric Power Co.		17,988			201
Kansai Electric Power Co., Inc. (a)		47,400			517
Kyushu Electric Power Co., Inc.		3,200			35
Osaka Gas Co. Ltd.		20,000			77
Shikoku Electric Power Co., Inc. (a)		7,100			72
Tohoku Electric Power Co., Inc.		35,900			452
Tokyo Electric Power Co. Holdings, Inc. (a)		126,900			511
Tokyo Gas Co. Ltd.		10,000			45
					2,943
Total Japan					61,012
LUXEMBOURG 0.5%
CONSUMER DISCRETIONARY 0.1%
RTL Group S.A.		1,991			146
ENERGY 0.0%
Tenaris S.A.		6,538			117
MATERIALS 0.4%
ArcelorMittal		202,260			1,486
Total Luxembourg					1,749
MACAU 0.0%
CONSUMER DISCRETIONARY 0.0%
Sands China Ltd.		9,600			42
Wynn Macau Ltd.		59,600			94
					136
Total Macau					136
NETHERLANDS 4.4%
CONSUMER STAPLES 0.6%
Heineken Holding NV		5,294			368
Heineken NV		3,282			246
Koninklijke Ahold Delhaize NV		70,774			1,491
					2,105

	SHARES			MARKET VALUE (000S)
ENERGY 2.2%
Fugro NV		13,670	$		209
Royal Dutch Shell PLC ‘A’		264,063			7,202
					7,411
FINANCIALS 0.8%
ABN AMRO Group NV		18,250			404
Aegon NV		102,671			564
Delta Lloyd NV		56,954			318
ING Groep NV		67,098			945
NN Group NV		15,097			511
					2,742
INDUSTRIALS 0.5%
Boskalis Westminster		1,109			38
Koninklijke Philips NV		36,662			1,121
PostNL NV (a)		36,685			158
Randstad Holding NV		2,124			115
Wolters Kluwer NV		5,089			184
					1,616
INFORMATION TECHNOLOGY 0.0%
NXP Semiconductor NV (a)		785			77
MATERIALS 0.1%
Akzo Nobel NV		4,063			254
Koninklijke DSM NV		2,250			135
					389
TELECOMMUNICATION SERVICES 0.2%
Koninklijke KPN NV		102,161			302
VimpelCom Ltd. SP - ADR		66,134			255
					557
Total Netherlands					14,897
NEW ZEALAND 0.1%
MATERIALS 0.0%
Fletcher Building Ltd.		21,047			155
TELECOMMUNICATION SERVICES 0.1%
Spark New Zealand Ltd.		126,345			299
Total New Zealand					454
NORWAY 1.3%
CONSUMER STAPLES 0.1%
Marine Harvest ASA		18,944			342
Orkla ASA		26,042			236
					578
ENERGY 0.8%
Aker Solutions ASA		14,586			70
Statoil ASA		139,144			2,540
TGS Nopec Geophysical Co. ASA		3,523			78
					2,688
FINANCIALS 0.2%
DNB ASA		23,749			352
Gjensidige Forsikring ASA		15,061			239
					591

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 45

Schedule of Investments PIMCO RAE Fundamental International Fund (Cont.)

	SHARES			MARKET VALUE (000S)
MATERIALS 0.1%
Norsk Hydro ASA		27,466	$		131
Yara International ASA		5,571			219
					350
TELECOMMUNICATION SERVICES 0.1%
Telenor ASA		15,546			232
Total Norway					4,439
PORTUGAL 0.2%
CONSUMER STAPLES 0.1%
Jeronimo Martins SGPS S.A.		2,611			41
Sonae SGPS S.A.		94,053			86
					127
ENERGY 0.0%
Galp Energia SGPS S.A.		3,057			45
FINANCIALS 0.0%
Banco Espirito Santo S.A.		59,573			1
UTILITIES 0.1%
EDP - Energias de Portugal S.A.		146,918			447
Total Portugal					620
SINGAPORE 0.9%
CONSUMER DISCRETIONARY 0.1%
Jardine Cycle & Carriage Ltd.		3,300			94
Singapore Press Holdings Ltd.		22,900			55
					149
CONSUMER STAPLES 0.0%
Wilmar International Ltd.		47,900			118
FINANCIALS 0.3%
DBS Group Holdings Ltd.		33,310			397
Oversea-Chinese Banking Corp. Ltd.		52,100			320
United Overseas Bank Ltd.		27,200			382
					1,099
INDUSTRIALS 0.3%
Hutchison Port Holdings Trust		220,700			96
Keppel Corp. Ltd.		112,000			446
Sembcorp Industries Ltd.		46,000			90
Singapore Airlines Ltd.		50,467			336
					968
INFORMATION TECHNOLOGY 0.1%
Broadcom Ltd.		946			167
Venture Corp. Ltd.		9,800			67
					234
REAL ESTATE 0.0%
CapitaLand Ltd.		61,900			129

	SHARES			MARKET VALUE (000S)
TELECOMMUNICATION SERVICES 0.1%
Singapore Telecommunications Ltd.		105,900	$		266
Total Singapore					2,963
SOUTH AFRICA 0.1%
FINANCIALS 0.0%
Investec PLC		18,040			118
MATERIALS 0.1%
Mondi PLC		6,306			129
Total South Africa					247
SPAIN 3.8%
CONSUMER DISCRETIONARY 0.1%
Industria de Diseno Textil S.A.		8,386			286
CONSUMER STAPLES 0.1%
Distribuidora Internacional de Alimentacion S.A.		44,195			217
ENERGY 0.2%
Repsol S.A.		44,852			630
FINANCIALS 1.9%
Banco Bilbao Vizcaya Argentaria S.A.		94,395			636
Banco de Sabadell S.A.		52,690			73
Banco Santander S.A.		972,218			5,058
CaixaBank S.A.		60,747			200
Mapfre S.A.		101,293			309
					6,276
INDUSTRIALS 0.3%
Abengoa S.A. ‘B’ (a)		226,011			45
Abertis Infraestructuras S.A.		6,666			93
ACS Actividades de Construccion y Servicios S.A.		18,992			599
Ferrovial S.A.		8,028			143
Obrascon Huarte Lain S.A.		47,746			165
					1,045
INFORMATION TECHNOLOGY 0.0%
Amadeus IT Holding S.A.		1,359			62
Indra Sistemas S.A. (a)		8,686			95
					157
TELECOMMUNICATION SERVICES 0.5%
Telefonica S.A.		185,833			1,716
UTILITIES 0.7%
Acciona S.A.		2,989			219
Endesa S.A.		63,504			1,343
Gas Natural SDG S.A.		8,284			156
Iberdrola S.A.		83,703			548
					2,266
Total Spain					12,593

	SHARES			MARKET VALUE (000S)
SWEDEN 2.0%
CONSUMER DISCRETIONARY 0.1%
Bonava AB ‘B’ (a)		2,591	$		40
Electrolux AB ‘B’		3,746			93
Hennes & Mauritz AB ‘B’		4,947			137
					270
CONSUMER STAPLES 0.2%
Svenska Cellulosa AB S.C.A. ‘B’		12,024			338
Swedish Match AB		5,384			171
					509
FINANCIALS 0.6%
Nordea Bank AB		73,845			819
Ratos AB ‘B’		29,811			141
Skandinaviska Enskilda Banken AB ‘A’		38,680			404
Svenska Handelsbanken AB ‘A’		25,204			349
Swedbank AB ‘A’		18,847			454
					2,167
HEALTH CARE 0.0%
Getinge AB ‘B’		3,504			56
INDUSTRIALS 0.5%
Assa Abloy AB ‘B’		6,134			114
Atlas Copco AB ‘A’		7,740			235
Sandvik AB		31,227			385
Securitas AB ‘B’		9,344			147
Skanska AB ‘B’		7,347			173
SKF AB ‘B’		6,787			124
Volvo AB ‘B’		57,663			671
					1,849
INFORMATION TECHNOLOGY 0.2%
Telefonaktiebolaget LM Ericsson ‘B’		107,258			629
MATERIALS 0.1%
Boliden AB		9,275			241
SSAB AB ‘A’ (a)		25,450			96
					337
TELECOMMUNICATION SERVICES 0.3%
Tele2 AB ‘B’		69,896			559
Telia Co. AB		112,373			451
					1,010
Total Sweden					6,827
SWITZERLAND 5.5%
CONSUMER DISCRETIONARY 0.1%
Cie Financiere Richemont S.A.		4,745			314
Garmin Ltd.		2,628			127
Swatch Group AG		387			120
					561
CONSUMER STAPLES 0.5%
Coca-Cola HBC AG		3,772			82
Nestle S.A.		22,564			1,617
					1,699

46 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
ENERGY 0.3%
Transocean Ltd.		48,555	$		716
Weatherford International PLC (a)		48,195			240
					956
FINANCIALS 1.9%
Baloise Holding AG		1,416			178
Credit Suisse Group AG		77,469			1,107
Helvetia Holding AG		123			66
Swiss Life Holding AG		3,114			880
Swiss Re AG		16,349			1,547
UBS Group AG		36,806			576
Zurich Insurance Group AG		7,188			1,975
					6,329
HEALTH CARE 1.3%
Actelion Ltd.		246			53
Lonza Group AG		245			42
Novartis AG		32,892			2,392
Roche Holding AG		7,790			1,776
					4,263
INDUSTRIALS 0.4%
ABB Ltd.		30,701			646
Adecco Group AG		4,211			275
Schindler Holding AG		749			132
SGS S.A.		31			63
Wolseley PLC		3,808			232
					1,348
INFORMATION TECHNOLOGY 0.2%
STMicroelectronics NV		34,398			390
TE Connectivity Ltd.		3,762			261
					651
MATERIALS 0.8%
Clariant AG		5,018			86
Givaudan S.A.		49			90
Glencore PLC		590,963			1,997
LafargeHolcim Ltd.		1,212			64
Syngenta AG (a)		906			359
					2,596
TELECOMMUNICATION SERVICES 0.0%
Swisscom AG		143			64
Total Switzerland					18,467
UNITED KINGDOM 15.8%
CONSUMER DISCRETIONARY 1.5%
Berkeley Group Holdings PLC		2,066			71
Compass Group PLC		26,073			482
Fiat Chrysler Automobiles NV		181,581			1,656
GKN PLC		40,337			164
Inchcape PLC		4,252			37
Informa PLC		7,438			62
InterContinental Hotels Group PLC		1,812			81
ITV PLC		33,713			86
Kingfisher PLC		113,856			490
Marks & Spencer Group PLC		115,791			499
Mitchells & Butlers PLC		9,591			30
Next PLC		2,536			156

	SHARES			MARKET VALUE (000S)
Pearson PLC		33,514	$		336
Persimmon PLC		1,218			27
Sky PLC		11,575			141
Thomas Cook Group PLC (a)		184,550			198
William Hill PLC		22,682			81
WPP PLC		27,858			620
					5,217
CONSUMER STAPLES 2.2%
Associated British Foods PLC		1,939			66
British American Tobacco PLC		33,994			1,927
Diageo PLC		18,045			468
Imperial Brands PLC		20,039			873
J Sainsbury PLC		191,279			588
Reckitt Benckiser Group PLC		5,186			439
Tate & Lyle PLC		11,481			100
Tesco PLC (a)		296,636			756
Unilever NV - Dutch Certificate		18,624			765
Unilever PLC		11,847			479
WM Morrison Supermarkets PLC		273,074			776
					7,237
ENERGY 1.8%
BP PLC		882,040			5,525
John Wood Group PLC		6,771			73
Petrofac Ltd.		15,873			170
Subsea 7 S.A.		19,354			244
Tullow Oil PLC (a)		44,290			171
					6,183
FINANCIALS 5.5%
Aberdeen Asset Management PLC		7,721			24
Aviva PLC		100,206			597
Barclays PLC		1,312,365			3,602
Direct Line Insurance Group PLC		58,601			267
HSBC Holdings PLC		976,096			7,876
Lancashire Holdings Ltd.		12,283			105
Lloyds Banking Group PLC		1,814,280			1,393
Man Group PLC		90,067			131
NEX Group PLC		13,351			77
Old Mutual PLC		389,516			993
Prudential PLC		7,114			142
Royal Bank of Scotland Group PLC (a)		435,161			1,202
Standard Chartered PLC		223,448			1,822
Standard Life PLC		39,658			182
Tullett Prebon PLC		10,910			58
					18,471
HEALTH CARE 0.9%
AstraZeneca PLC		23,043			1,258
GlaxoSmithKline PLC		84,551			1,624
Smith & Nephew PLC		3,925			59
					2,941
INDUSTRIALS 1.1%
Aggreko PLC		8,973			101
BAE Systems PLC		108,285			788
Capita PLC		5,233			34
Carillion PLC		15,236			44
CNH Industrial NV		57,589			500
Firstgroup PLC (a)		83,131			106

	SHARES			MARKET VALUE (000S)
G4S PLC		42,020	$		121
IMI PLC		7,645			98
International Consolidated Airlines Group S.A.		38,556			209
National Express Group PLC		21,148			92
RELX NV		7,379			124
RELX PLC		4,366			78
Rentokil Initial PLC		44,234			121
Rolls-Royce Holdings PLC		47,738			392
Royal Mail PLC		110,931			631
Smiths Group PLC		9,143			159
Stagecoach Group PLC		45,158			120
Weir Group PLC		2,443			57
					3,775
INFORMATION TECHNOLOGY 0.0%
Sage Group PLC		16,703			135
MATERIALS 1.4%
Anglo American PLC (a)		109,926			1,553
Croda International PLC		689			27
DS Smith PLC		13,520			68
KAZ Minerals PLC (a)		43,258			191
Rio Tinto Ltd.		26,029			1,115
Rio Tinto PLC		43,733			1,670
					4,624
TELECOMMUNICATION SERVICES 0.7%
BT Group PLC		91,254			412
Vodafone Group PLC		741,854			1,825
					2,237
UTILITIES 0.7%
Centrica PLC		322,444			928
Drax Group PLC		49,259			229
National Grid PLC		58,623			685
Severn Trent PLC		4,489			123
SSE PLC		17,978			343
United Utilities Group PLC		6,207			69
					2,377
Total United Kingdom					53,197
UNITED STATES 0.1%
CONSUMER DISCRETIONARY 0.0%
Carnival PLC		3,211			163
FINANCIALS 0.1%
Thomson Reuters Corp.		6,475			283
Total United States					446
Total Common Stocks (Cost $297,207)					331,921
PREFERRED STOCKS 0.6%
GERMANY 0.6%
INDUSTRIALS 0.6%
Fuchs Petrolub SE		1,007			42
Henkel AG & Co. KGaA		1,888			225
Volkswagen AG		11,896			1,664
					1,931
Total Preferred Stocks (Cost $1,703)					1,931

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 47

Schedule of Investments PIMCO RAE Fundamental International Fund (Cont.)

	SHARES			MARKET VALUE (000S)
REAL ESTATE INVESTMENT TRUSTS 0.4%
AUSTRALIA 0.1%
REAL ESTATE 0.1%
Dexus Property Group		11,084	$		77
Mirvac Group		53,739			83
Scentre Group		40,307			135
Stockland		42,168			139
					434
Total Australia					434
CANADA 0.2%
REAL ESTATE 0.2%
Artis Real Estate Investment Trust		12,044			114
Cominar Real Estate Investment Trust		4,913			54
Dream Office Real Estate Investment Trust		12,283			179
H&R Real Estate Investment Trust		11,861			197

	SHARES			MARKET VALUE (000S)
RioCan Real Estate Investment Trust		4,382	$		87
Smart Real Estate Investment Trust		1,264			30
					661
Total Canada					661
FRANCE 0.1%
REAL ESTATE 0.1%
Unibail-Rodamco SE		1,138			271
Total France					271
UNITED KINGDOM 0.0%
REAL ESTATE 0.0%
Land Securities Group PLC		12,071			159
Total United Kingdom					159
Total Real Estate Investment Trusts (Cost $1,516)					1,525

	SHARES			MARKET VALUE (000S)
RIGHTS 0.0%
NORWAY 0.0%
ENERGY 0.0%
Petroleum Geo Services ASA Rights - Exp. 01/05/2017		3,496	$		3
Total Rights (Cost $0)					3
Total Investments in Securities (Cost $300,426)					335,380
Total Investments 99.7% (Cost $300,426)			$		335,380
Other Assets and Liabilities, net 0.3%					976
Net Assets 100.0%			$		336,356

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Security did not produce income within the last twelve months.

(b)  RESTRICTED SECURITIES:

Issuer Description	Acquisition Date		Cost		Market Value		Market Value as Percentage of Net Assets
Great-West Lifeco, Inc.		12/18/2008 - 08/04/2016	$	157	$	163		0.05%

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts			Interest Rate Contracts		Total
Net Realized (Loss) on Financial Derivative Instruments
Over the counter
Forward Foreign Currency Contracts	$	0	$	0	$	0	$	(7	)	$	0	$	(7	)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Common Stocks
Australia
Consumer Discretionary	$	0	$	285	$	0	$	285
Consumer Staples		0		1,967		0		1,967
Energy		0		1,523		0		1,523
Financials		0		9,173		0		9,173
Health Care		0		373		0		373
Industrials		0		765		0		765
Materials		0		7,809		0		7,809
Real Estate		0		107		0		107
Telecommunication Services		0		192		0		192
Utilities		0		245		0		245

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Austria
Energy	$	0	$	713	$	0	$	713
Financials		0		1,200		0		1,200
Industrials		0		67		0		67
Materials		0		385		0		385
Real Estate		0		58		0		58
Belgium
Consumer Staples		609		0		0		609
Financials		0		916		0		916
Health Care		0		35		0		35
Industrials		0		68		0		68
Materials		0		137		0		137
Telecommunication Services		0		229		0		229

48 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Canada
Consumer Discretionary	$	1,080	$	0	$	0	$	1,080
Consumer Staples		437		0		0		437
Energy		11,183		0		0		11,183
Financials		11,110		0		0		11,110
Industrials		2,625		0		0		2,625
Information Technology		347		0		0		347
Materials		5,692		0		0		5,692
Telecommunication Services		1,420		0		0		1,420
Utilities		980		0		0		980
Denmark
Consumer Discretionary		0		73		0		73
Consumer Staples		0		339		0		339
Financials		0		213		0		213
Health Care		0		396		0		396
Industrials		0		1,598		0		1,598
Telecommunication Services		0		380		0		380
Finland
Consumer Discretionary		0		31		0		31
Consumer Staples		0		261		0		261
Energy		0		81		0		81
Financials		0		123		0		123
Health Care		0		120		0		120
Industrials		0		149		0		149
Information Technology		0		94		0		94
Materials		0		869		0		869
Telecommunication Services		0		71		0		71
Utilities		0		541		0		541
France
Consumer Discretionary		0		5,146		0		5,146
Consumer Staples		0		2,366		0		2,366
Energy		0		4,473		0		4,473
Financials		0		10,136		0		10,136
Health Care		0		3,408		0		3,408
Industrials		0		6,911		0		6,911
Information Technology		0		652		0		652
Materials		0		583		0		583
Real Estate		0		75		0		75
Telecommunication Services		0		2,037		0		2,037
Utilities		0		3,278		0		3,278
Germany
Consumer Discretionary		0		4,461		0		4,461
Consumer Staples		0		1,362		0		1,362
Financials		0		6,740		0		6,740
Health Care		0		1,699		0		1,699
Industrials		0		5,923		0		5,923
Information Technology		0		833		0		833
Materials		0		4,154		0		4,154
Telecommunication Services		0		1,580		0		1,580
Utilities		0		3,396		0		3,396
Hong Kong
Consumer Discretionary		0		220		0		220
Financials		0		550		0		550
Industrials		0		401		0		401
Information Technology		0		112		0		112
Real Estate		0		1,894		0		1,894
Telecommunication Services		0		49		0		49
Utilities		0		280		0		280
Ireland
Consumer Staples		25		0		0		25
Health Care		190		0		0		190
Industrials		0		197		0		197
Materials		0		703		0		703
Israel
Financials		0		871		0		871
Health Care		833		0		0		833
Materials		0		191		0		191
Telecommunication Services		0		347		0		347
Italy
Consumer Discretionary		0		291		0		291
Energy		0		3,501		0		3,501

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financials	$	497	$	3,085	$	0	$	3,582
Industrials		58		135		0		193
Telecommunication Services		0		688		0		688
Utilities		0		2,474		0		2,474
Japan
Consumer Discretionary		0		11,173		0		11,173
Consumer Staples		0		3,680		0		3,680
Energy		0		1,259		0		1,259
Financials		75		9,942		0		10,017
Health Care		0		1,819		0		1,819
Industrials		0		12,396		0		12,396
Information Technology		0		8,650		0		8,650
Materials		0		5,636		0		5,636
Real Estate		0		380		0		380
Telecommunication Services		0		3,059		0		3,059
Utilities		0		2,943		0		2,943
Luxembourg
Consumer Discretionary		0		146		0		146
Energy		0		117		0		117
Materials		0		1,486		0		1,486
Macau
Consumer Discretionary		0		136		0		136
Netherlands
Consumer Staples		0		2,105		0		2,105
Energy		0		7,411		0		7,411
Financials		0		2,742		0		2,742
Industrials		0		1,616		0		1,616
Information Technology		77		0		0		77
Materials		0		389		0		389
Telecommunication Services		255		302		0		557
New Zealand
Materials		0		155		0		155
Telecommunication Services		0		299		0		299
Norway
Consumer Staples		0		578		0		578
Energy		0		2,688		0		2,688
Financials		0		591		0		591
Materials		0		350		0		350
Telecommunication Services		0		232		0		232
Portugal
Consumer Staples		0		127		0		127
Energy		0		45		0		45
Financials		0		0		1		1
Utilities		0		447		0		447
Singapore
Consumer Discretionary		0		149		0		149
Consumer Staples		0		118		0		118
Financials		0		1,099		0		1,099
Industrials		0		968		0		968
Information Technology		167		67		0		234
Real Estate		0		129		0		129
Telecommunication Services		0		266		0		266
South Africa
Financials		0		118		0		118
Materials		0		129		0		129
Spain
Consumer Discretionary		0		286		0		286
Consumer Staples		0		217		0		217
Energy		0		630		0		630
Financials		0		6,276		0		6,276
Industrials		45		1,000		0		1,045
Information Technology		0		157		0		157
Telecommunication Services		0		1,716		0		1,716
Utilities		0		2,266		0		2,266
Sweden
Consumer Discretionary		0		270		0		270
Consumer Staples		0		509		0		509
Financials		0		2,167		0		2,167
Health Care		0		56		0		56
Industrials		0		1,849		0		1,849
Information Technology		0		629		0		629

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 49

Schedule of Investments PIMCO RAE Fundamental International Fund (Cont.)

December 31, 2016 (Unaudited)

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Materials	$	0	$	337	$	0	$	337
Telecommunication Services		0		1,010		0		1,010
Switzerland
Consumer Discretionary		127		434		0		561
Consumer Staples		0		1,699		0		1,699
Energy		956		0		0		956
Financials		0		6,329		0		6,329
Health Care		0		4,263		0		4,263
Industrials		0		1,348		0		1,348
Information Technology		261		390		0		651
Materials		359		2,237		0		2,596
Telecommunication Services		0		64		0		64
United Kingdom
Consumer Discretionary		1,686		3,531		0		5,217
Consumer Staples		0		7,237		0		7,237
Energy		0		6,183		0		6,183
Financials		135		18,336		0		18,471
Health Care		0		2,941		0		2,941
Industrials		0		3,775		0		3,775
Information Technology		0		135		0		135
Materials		0		4,624		0		4,624
Telecommunication Services		0		2,237		0		2,237

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Utilities	$	0	$	2,377	$	0	$	2,377
United States
Consumer Discretionary		0		163		0		163
Financials		283		0		0		283
Preferred Stocks
Germany
Industrials		0		1,931		0		1,931
Real Estate Investment Trusts
Australia
Real Estate		0		434		0		434
Canada
Real Estate		661		0		0		661
France
Real Estate		0		271		0		271
United Kingdom
Real Estate		0		159		0		159
Rights
Norway
Energy		0		3		0		3
Total Investments	$	42,173	$	293,206	$	1	$	335,380

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

50 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO RAE Fundamental US Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 99.6%
COMMON STOCKS 98.8%
BERMUDA 0.0%
FINANCIALS 0.0%
XL Group Ltd.		4,259	$		159
Total Bermuda					159
IRELAND 0.2%
CONSUMER DISCRETIONARY 0.0%
Adient PLC (a)		405			24
INFORMATION TECHNOLOGY 0.2%
Accenture PLC ‘A’		10,966			1,284
Total Ireland					1,308
UNITED KINGDOM 0.1%
CONSUMER STAPLES 0.1%
Coca-Cola European Partners PLC		8,990			282
Total United Kingdom					282
UNITED STATES 98.5%
CONSUMER DISCRETIONARY 10.8%
Aaron’s, Inc.		4,595			147
Abercrombie & Fitch Co. ‘A’		42,864			514
Amazon.com, Inc. (a)		1,491			1,118
American Eagle Outfitters, Inc.		18,598			282
Apollo Education Group, Inc. (a)		30,769			305
AutoNation, Inc. (a)		4,781			233
AutoZone, Inc. (a)		279			220
Bed Bath & Beyond, Inc.		40,563			1,648
Best Buy Co., Inc.		30,086			1,284
Big Lots, Inc.		16,449			826
Brinker International, Inc.		4,477			222
Caesars Entertainment Corp. (a)		21,689			184
Carnival Corp.		9,488			494
Carter’s, Inc.		539			47
CBS Corp. ‘B’		25,909			1,648
Charter Communications, Inc. ‘A’ (a)		281			81
Chico’s FAS, Inc.		22,141			319
Cinemark Holdings, Inc.		2,659			102
Coach, Inc.		21,439			751
Comcast Corp. ‘A’		46,988			3,245
Dana, Inc.		9,003			171
DeVry Education Group, Inc.		3,229			101
Dick’s Sporting Goods, Inc.		2,125			113
Dillard’s, Inc. ‘A’		10,681			670
Discovery Communications, Inc. ‘A’ (a)		12,000			329
Dollar General Corp.		2,440			181
Dollar Tree, Inc. (a)		1,325			102
Expedia, Inc.		557			63
Foot Locker, Inc.		1,321			94
Ford Motor Co.		104,389			1,266
Fossil Group, Inc. (a)		27,544			712
GameStop Corp. ‘A’		32,184			813
Gannett Co., Inc.		6,562			64
Gap, Inc.		56,832			1,275
General Motors Co.		37,018			1,290
Genesco, Inc. (a)		2,165			134
Genuine Parts Co.		2,058			197
GNC Holdings, Inc. ‘A’		31,437			347

	SHARES			MARKET VALUE (000S)
Goodyear Tire & Rubber Co.		10,458	$		323
Graham Holdings Co. ‘B’		423			217
Guess?, Inc.		27,381			331
Harley-Davidson, Inc.		6,141			358
Hasbro, Inc.		3,396			264
Home Depot, Inc.		25,540			3,424
International Game Technology PLC		23,592			602
Interpublic Group of Cos., Inc.		22,767			533
JC Penney Co., Inc. (a)		58,751			488
Kohl’s Corp.		56,146			2,772
L Brands, Inc.		4,004			264
Las Vegas Sands Corp.		9,477			506
Liberty Interactive Corp. ‘A’ (a)		15,862			317
Lowe’s Cos., Inc.		33,411			2,376
Macy’s, Inc.		36,299			1,300
Mattel, Inc.		23,120			637
McDonald’s Corp.		29,503			3,591
MGM Resorts International (a)		9,350			270
News Corp. ‘A’		7,912			91
NIKE, Inc. ‘B’		11,169			568
Nordstrom, Inc.		11,453			549
O’Reilly Automotive, Inc. (a)		690			192
Office Depot, Inc.		76,476			346
Omnicom Group, Inc.		15,327			1,304
Panera Bread Co. ‘A’ (a)		371			76
Pier 1 Imports, Inc.		9,192			79
Ralph Lauren Corp.		5,654			511
Regal Entertainment Group ‘A’		16,476			339
Rent-A-Center, Inc.		26,866			302
Ross Stores, Inc.		1,189			78
Royal Caribbean Cruises Ltd.		1,174			96
Sally Beauty Holdings, Inc. (a)		5,416			143
Scripps Networks Interactive, Inc. ‘A’		3,264			233
Sears Holdings Corp. (a)		16,695			155
SeaWorld Entertainment, Inc.		5,323			101
Sotheby’s		2,039			81
Staples, Inc.		128,256			1,161
Starbucks Corp.		7,745			430
Target Corp.		28,494			2,058
Tenneco, Inc. (a)		2,303			144
Time Warner, Inc.		41,192			3,976
Time, Inc.		29,036			518
TJX Cos., Inc.		6,151			462
Tractor Supply Co.		756			57
Tribune Media Co. ‘A’		10,205			357
Tupperware Brands Corp.		9,203			484
Urban Outfitters, Inc. (a)		8,430			240
Viacom, Inc. ‘B’		73,078			2,565
Visteon Corp.		4,158			334
Walt Disney Co.		11,748			1,224
Weight Watchers International, Inc. (a)		43,479			498
Wendy’s Co.		7,188			97
Wyndham Worldwide Corp.		11,121			849
Wynn Resorts Ltd.		10,398			900
Yum! Brands, Inc.		2,656			168
					61,931
CONSUMER STAPLES 8.0%
Altria Group, Inc.		32,486			2,197
Archer-Daniels-Midland Co.		5,525			252
Avon Products, Inc.		203,072			1,023
Brown-Forman Corp. ‘B’		2,044			92

	SHARES			MARKET VALUE (000S)
Bunge Ltd.		9,160	$		662
Campbell Soup Co.		969			59
Casey’s General Stores, Inc.		513			61
Coca-Cola Co.		77,833			3,227
Colgate-Palmolive Co.		14,024			918
ConAgra Foods, Inc.		5,008			198
Costco Wholesale Corp.		1,950			312
CVS Health Corp.		22,037			1,739
Dr Pepper Snapple Group, Inc.		7,055			640
Energizer Holdings, Inc.		2,098			94
Estee Lauder Cos., Inc. ‘A’		2,521			193
General Mills, Inc.		14,945			923
Herbalife Ltd. (a)		18,695			900
HRG Group, Inc. (a)		14,237			221
Ingredion, Inc.		1,223			153
Kellogg Co.		5,422			400
Kimberly-Clark Corp.		3,252			371
Kraft Heinz Co.		3,685			322
Kroger Co.		50,871			1,755
Lamb Weston Holdings, Inc. (a)		1,920			73
McCormick & Co., Inc.		736			69
Molson Coors Brewing Co. ‘B’		877			85
Mondelez International, Inc. ‘A’		21,838			968
Nu Skin Enterprises, Inc. ‘A’		8,168			390
PepsiCo, Inc.		42,441			4,441
Philip Morris International, Inc.		61,171			5,596
Procter & Gamble Co.		84,756			7,126
Reynolds American, Inc.		5,316			298
Rite Aid Corp. (a)		89,326			736
Safeway Casa Ley CVR		38,866			5
Safeway PDC LLC CVR		38,866			1
SUPERVALU, Inc. (a)		86,872			406
Sysco Corp.		19,697			1,091
Universal Corp.		1,559			99
Wal-Mart Stores, Inc.		104,743			7,240
Walgreens Boots Alliance, Inc.		3,569			295
Whole Foods Market, Inc.		12,036			370
					46,001
ENERGY 13.2%
Anadarko Petroleum Corp.		18,110			1,263
Apache Corp.		30,407			1,930
Baker Hughes, Inc.		11,136			724
Bristow Group, Inc.		4,117			84
California Resources Corp. (a)		71,470			1,522
Chesapeake Energy Corp. (a)		494,298			3,470
Chevron Corp.		125,737			14,799
ConocoPhillips		131,989			6,618
CONSOL Energy, Inc.		28,875			526
Continental Resources, Inc. (a)		1,478			76
CVR Energy, Inc.		13,740			349
Denbury Resources, Inc. (a)		243,182			895
Devon Energy Corp.		1,325			61
Diamond Offshore Drilling, Inc.		25,265			447
Energen Corp.		3,515			203
EOG Resources, Inc.		2,287			231
EP Energy Corp. ‘A’ (a)		54,343			356
Exxon Mobil Corp.		192,352			17,362
Halliburton Co.		28,896			1,563
Helmerich & Payne, Inc.		1,487			115
Hess Corp.		42,154			2,626
HollyFrontier Corp.		26,115			856
Kinder Morgan, Inc.		26,819			555
Marathon Oil Corp.		164,422			2,846
Marathon Petroleum Corp.		31,882			1,605

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 51

Schedule of Investments PIMCO RAE Fundamental US Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Murphy Oil Corp.		57,927	$		1,803
Nabors Industries Ltd.		42,019			689
National Oilwell Varco, Inc.		48,535			1,817
Newfield Exploration Co. (a)		1,893			77
Noble Energy, Inc.		2,974			113
Oasis Petroleum, Inc. (a)		14,908			226
Occidental Petroleum Corp.		33,792			2,407
Oceaneering International, Inc.		3,082			87
ONEOK, Inc.		3,036			174
Patterson-UTI Energy, Inc.		12,083			325
PBF Energy, Inc. ‘A’		3,036			85
Phillips 66		11,513			995
Schlumberger Ltd.		19,780			1,661
SEACOR Holdings, Inc. (a)		804			57
Southwestern Energy Co. (a)		22,909			248
Spectra Energy Corp.		16,034			659
Superior Energy Services, Inc.		28,157			475
Targa Resources Corp.		3,964			222
Tesoro Corp.		1,477			129
Unit Corp. (a)		4,022			108
Valero Energy Corp.		24,268			1,658
Western Refining, Inc.		4,656			176
Whiting Petroleum Corp. (a)		19,834			238
WPX Energy, Inc. (a)		34,818			507
					76,018
FINANCIALS 13.7%
Aflac, Inc.		9,409			655
Allstate Corp.		18,827			1,395
Ally Financial, Inc.		96,993			1,845
Ambac Financial Group, Inc. (a)		2,539			57
American Equity Investment Life Holding Co.		2,572			58
American Express Co.		39,448			2,922
American Financial Group, Inc.		4,410			389
American International Group, Inc.		90,028			5,880
Ameriprise Financial, Inc.		6,813			756
Assurant, Inc.		9,966			925
Bank of America Corp.		198,214			4,381
Bank of New York Mellon Corp.		13,663			647
BB&T Corp.		13,967			657
Berkshire Hathaway, Inc. ‘B’ (a)		11,996			1,955
BlackRock, Inc.		591			225
Capital One Financial Corp.		26,818			2,340
Cincinnati Financial Corp.		1,474			112
CIT Group, Inc.		7,580			324
Citigroup, Inc.		107,897			6,412
Citizens Financial Group, Inc.		21,100			752
CME Group, Inc.		2,934			338
CNO Financial Group, Inc.		10,064			193
Comerica, Inc.		2,208			150
Discover Financial Services		17,335			1,250
Donnelley Financial Solutions, Inc. (a)		3,420			79
E*TRADE Financial Corp. (a)		6,063			210
Fifth Third Bancorp		27,968			754
First Horizon National Corp.		11,718			234
Franklin Resources, Inc.		11,803			467
Genworth Financial, Inc. ‘A’ (a)		215,866			822
Goldman Sachs Group, Inc.		14,104			3,377
Great Western Bancorp, Inc.		3,075			134
Hartford Financial Services Group, Inc.		15,897			758
JPMorgan Chase & Co.		123,867			10,688
Kemper Corp.		1,845			82

	SHARES			MARKET VALUE (000S)
KeyCorp		14,297	$		261
Legg Mason, Inc.		20,302			607
Leucadia National Corp.		11,446			266
Lincoln National Corp.		8,662			574
Loews Corp.		18,388			861
Marsh & McLennan Cos., Inc.		1,679			114
MetLife, Inc.		30,746			1,657
NASDAQ, Inc.		2,908			195
Navient Corp.		98,888			1,625
New York Community Bancorp, Inc.		10,947			174
OneMain Holdings, Inc. (a)		3,675			81
People’s United Financial, Inc.		27,991			542
PHH Corp. (a)		17,761			269
PNC Financial Services Group, Inc.		8,142			952
Primerica, Inc.		823			57
Progressive Corp.		11,718			416
Prudential Financial, Inc.		1,330			138
Regions Financial Corp.		51,296			737
Reinsurance Group of America, Inc.		4,165			524
Santander Consumer USA Holdings, Inc. (a)		47,987			648
SLM Corp. (a)		100,988			1,113
State Street Corp.		5,323			414
SunTrust Banks, Inc.		13,011			714
Synchrony Financial		38,565			1,399
Travelers Cos., Inc.		34,864			4,268
U.S. Bancorp		16,539			850
Voya Financial, Inc.		43,405			1,702
Wells Fargo & Co.		85,119			4,691
White Mountains Insurance Group Ltd.		316			264
WR Berkley Corp.		1,263			84
Zions Bancorporation		2,178			94
					78,514
HEALTH CARE 10.6%
Abbott Laboratories		20,427			785
AbbVie, Inc.		13,785			863
Aetna, Inc.		15,388			1,908
AmerisourceBergen Corp.		725			57
Amgen, Inc.		20,842			3,047
Anthem, Inc.		33,559			4,825
Baxter International, Inc.		15,817			701
Becton Dickinson and Co.		4,808			796
Bio-Rad Laboratories, Inc. ‘A’ (a)		552			101
Biogen, Inc. (a)		568			161
Boston Scientific Corp. (a)		6,113			132
Bristol-Myers Squibb Co.		15,299			894
Cardinal Health, Inc.		3,826			275
Celgene Corp. (a)		2,317			268
Cerner Corp. (a)		1,342			64
Community Health Systems, Inc. (a)		91,743			513
CR Bard, Inc.		1,950			438
Danaher Corp.		5,351			417
Edwards Lifesciences Corp. (a)		1,137			107
Eli Lilly & Co.		14,212			1,045
Envision Healthcare Corp. (a)		6,304			399
Express Scripts Holding Co. (a)		10,694			736
Gilead Sciences, Inc.		5,334			382
HCA Holdings, Inc. (a)		41,319			3,059
Henry Schein, Inc. (a)		865			131
Hologic, Inc. (a)		1,793			72

	SHARES			MARKET VALUE (000S)
Humana, Inc.		3,988	$		814
Illumina, Inc. (a)		384			49
Intuitive Surgical, Inc. (a)		163			103
Johnson & Johnson		61,109			7,040
Kindred Healthcare, Inc.		13,767			108
LifePoint Health, Inc. (a)		7,825			445
Magellan Health, Inc. (a)		1,310			99
McKesson Corp.		4,183			588
Merck & Co., Inc.		130,248			7,668
Mettler-Toledo International, Inc. (a)		235			98
Mylan NV (a)		1,444			55
Owens & Minor, Inc.		2,734			97
Patterson Cos., Inc.		4,792			197
Pfizer, Inc.		382,369			12,419
Quest Diagnostics, Inc.		13,776			1,266
Regeneron Pharmaceuticals, Inc. (a)		153			56
Select Medical Holdings Corp. (a)		7,502			99
St Jude Medical, Inc.		9,954			798
Stryker Corp.		1,283			154
Tenet Healthcare Corp. (a)		40,302			598
Thermo Fisher Scientific, Inc.		2,282			322
UnitedHealth Group, Inc.		27,727			4,437
Universal Health Services, Inc. ‘B’		696			74
Valeant Pharmaceuticals International, Inc. (a)		14,901			216
Varian Medical Systems, Inc. (a)		2,488			223
WellCare Health Plans, Inc. (a)		601			82
Zimmer Biomet Holdings, Inc.		2,483			256
Zoetis, Inc.		2,510			134
					60,671
INDUSTRIALS 9.2%
3M Co.		12,093			2,159
AGCO Corp.		8,617			499
Alaska Air Group, Inc.		1,000			89
American Airlines Group, Inc.		2,692			126
Armstrong Flooring, Inc. (a)		3,732			74
Armstrong World Industries, Inc. (a)		16,246			679
Avis Budget Group, Inc. (a)		35,459			1,301
Boeing Co.		5,492			855
Caterpillar, Inc.		36,485			3,384
Cintas Corp.		851			98
CSX Corp.		53,399			1,919
Cummins, Inc.		6,561			897
Deere & Co.		31,001			3,194
Delta Air Lines, Inc.		1,297			64
Dover Corp.		8,351			626
Dun & Bradstreet Corp.		3,191			387
Emerson Electric Co.		33,724			1,880
Equifax, Inc.		831			98
FedEx Corp.		988			184
Flowserve Corp.		7,628			367
Fluor Corp.		11,874			624
Fortive Corp.		3,727			200
FTI Consulting, Inc. (a)		1,605			72
GATX Corp.		1,630			100
General Dynamics Corp.		4,804			829
General Electric Co.		275,632			8,710
HD Supply Holdings, Inc. (a)		2,680			114
Herc Holdings, Inc. (a)		3,203			129
Hertz Global Holdings, Inc. (a)		5,706			123
Honeywell International, Inc.		8,693			1,007

52 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
Illinois Tool Works, Inc.		14,822	$		1,815
Ingersoll-Rand PLC		4,460			335
Johnson Controls International PLC		7,987			329
Joy Global, Inc.		26,753			749
KBR, Inc.		3,410			57
Kirby Corp. (a)		1,434			95
KLX, Inc. (a)		3,575			161
L3 Technologies, Inc.		7,090			1,079
Lockheed Martin Corp.		4,760			1,190
LSC Communications, Inc.		3,420			102
ManpowerGroup, Inc.		4,118			366
MRC Global, Inc. (a)		6,485			131
Norfolk Southern Corp.		14,663			1,585
Northrop Grumman Corp.		10,631			2,473
NOW, Inc. (a)		4,982			102
Oshkosh Corp.		2,080			134
Owens Corning		2,888			149
PACCAR, Inc.		3,132			200
Parker-Hannifin Corp.		2,737			383
Pitney Bowes, Inc.		29,248			444
Quanta Services, Inc. (a)		4,406			154
Raytheon Co.		9,727			1,381
Republic Services, Inc.		11,868			677
Rexnord Corp. (a)		3,930			77
Rockwell Collins, Inc.		1,497			139
RR Donnelley & Sons Co.		15,803			258
Ryder System, Inc.		3,092			230
Snap-on, Inc.		465			80
SPX FLOW, Inc. (a)		3,164			101
Stanley Black & Decker, Inc.		1,890			217
Textron, Inc.		2,596			126
Timken Co.		6,558			260
TransDigm Group, Inc.		295			73
Trinity Industries, Inc.		3,139			87
Triumph Group, Inc.		1,718			46
Union Pacific Corp.		26,557			2,753
United Continental Holdings, Inc. (a)		1,896			138
United Rentals, Inc. (a)		547			58
United Technologies Corp.		15,199			1,666
Waste Management, Inc.		17,812			1,263
WW Grainger, Inc.		1,285			298
					52,749
INFORMATION TECHNOLOGY 18.2%
Activision Blizzard, Inc.		30,588			1,105
Advanced Micro Devices, Inc. (a)		61,233			694
Alphabet, Inc. ‘C’ (a)		7,296			5,631
Amdocs Ltd.		4,910			286
Anixter International, Inc. (a)		3,994			324
Apple, Inc.		89,804			10,401
Applied Materials, Inc.		28,057			905
Arrow Electronics, Inc. (a)		12,909			920
Automatic Data Processing, Inc.		2,374			244
Avnet, Inc.		14,712			700
Booz Allen Hamilton Holding Corp.		23,263			839
Brocade Communications Systems, Inc.		17,745			222
CA, Inc.		34,077			1,083
CACI International, Inc. ‘A’ (a)		870			108
Cisco Systems, Inc.		149,342			4,513
Citrix Systems, Inc. (a)		3,056			273
Computer Sciences Corp.		3,816			227
Convergys Corp.		2,578			63
CoreLogic, Inc. (a)		1,936			71

	SHARES			MARKET VALUE (000S)
Corning, Inc.		84,145	$		2,042
Dell Technologies, Inc. ‘V’ (a)		7,562			416
eBay, Inc. (a)		3,958			118
EchoStar Corp. ‘A’ (a)		1,256			65
Electronic Arts, Inc. (a)		1,225			96
Facebook, Inc. ‘A’ (a)		1,791			206
Fidelity National Information Services, Inc.		3,680			278
Fiserv, Inc. (a)		2,499			266
Flex Ltd. (a)		10,327			148
FLIR Systems, Inc.		1,818			66
Global Payments, Inc.		1,758			122
Harris Corp.		1,194			122
Hewlett Packard Enterprise Co.		330,559			7,649
HP, Inc.		232,516			3,451
Intel Corp.		278,800			10,112
InterActiveCorp		8,477			549
International Business Machines Corp.		85,570			14,204
Intuit, Inc.		1,799			206
Jabil Circuit, Inc.		22,127			524
Juniper Networks, Inc.		22,705			642
Keysight Technologies, Inc. (a)		8,260			302
KLA-Tencor Corp.		5,548			437
Leidos Holdings, Inc.		6,962			356
Mastercard, Inc. ‘A’		4,203			434
Maxim Integrated Products, Inc.		3,615			139
Micron Technology, Inc. (a)		86,797			1,903
Microsoft Corp.		156,130			9,702
Motorola Solutions, Inc.		17,873			1,481
NCR Corp. (a)		11,876			482
NetApp, Inc.		32,863			1,159
NeuStar, Inc. ‘A’ (a)		4,276			143
Nuance Communications, Inc. (a)		5,222			78
NVIDIA Corp.		6,354			678
Oracle Corp.		72,213			2,777
Paychex, Inc.		1,409			86
Qorvo, Inc. (a)		1,760			93
QUALCOMM, Inc.		44,560			2,905
Seagate Technology PLC		76,025			2,902
Symantec Corp.		80,174			1,915
Tech Data Corp. (a)		7,561			640
Teradata Corp. (a)		22,240			604
Texas Instruments, Inc.		19,784			1,444
TiVo Corp. (a)		4,644			97
VeriSign, Inc. (a)		1,120			85
Versum Materials, Inc. (a)		899			25
Visa, Inc. ‘A’		9,551			745
Vishay Intertechnology, Inc.		9,670			157
Western Digital Corp.		3,066			208
Western Union Co.		52,437			1,139
Xerox Corp.		132,982			1,161
Xilinx, Inc.		3,770			228
Yahoo!, Inc. (a)		12,542			485
					104,881
MATERIALS 4.0%
AdvanSix, Inc. (a)		387			9
Air Products & Chemicals, Inc.		1,401			201
Alcoa Corp.		2,489			70
AptarGroup, Inc.		1,286			94
Ashland Global Holdings, Inc.		1,557			170
Avery Dennison Corp.		2,730			192
Ball Corp.		3,547			266
Bemis Co., Inc.		4,594			220

	SHARES			MARKET VALUE (000S)
Celanese Corp. ‘A’		1,531	$		121
CF Industries Holdings, Inc.		31,742			999
Chemours Co.		94,647			2,091
Chemtura Corp. (a)		3,567			118
Commercial Metals Co.		3,881			84
Domtar Corp.		19,099			745
Dow Chemical Co.		31,688			1,813
E.I. du Pont de Nemours & Co.		19,509			1,432
FMC Corp.		2,414			137
Freeport-McMoRan, Inc. (a)		307,553			4,057
Huntsman Corp.		15,466			295
International Paper Co.		15,077			800
LyondellBasell Industries NV ‘A’		22,674			1,945
Monsanto Co.		12,865			1,353
Mosaic Co.		59,924			1,758
Newmont Mining Corp.		50,415			1,718
Nucor Corp.		1,938			115
Owens-Illinois, Inc. (a)		20,205			352
PPG Industries, Inc.		2,058			195
Praxair, Inc.		4,323			507
Reliance Steel & Aluminum Co.		5,790			461
Sherwin-Williams Co.		540			145
U.S. Steel Corp.		18,484			610
Valspar Corp.		1,070			111
					23,184
TELECOMMUNICATION SERVICES 4.7%
AT&T, Inc.		380,547			16,185
CenturyLink, Inc.		100,467			2,389
Contra Leap Wireless		22,373			45
Frontier Communications Corp.		168,469			569
T-Mobile US, Inc. (a)		5,513			317
Telephone & Data Systems, Inc.		13,279			383
Verizon Communications, Inc.		133,116			7,106
Windstream Holdings, Inc.		11,155			82
					27,076
UTILITIES 6.1%
AES Corp.		119,788			1,392
Alliant Energy Corp.		2,768			105
Ameren Corp.		24,926			1,308
American Electric Power Co., Inc.		28,401			1,788
American Water Works Co., Inc.		1,484			107
Atmos Energy Corp.		2,288			170
Avista Corp.		3,481			139
Calpine Corp. (a)		93,611			1,070
CenterPoint Energy, Inc.		41,196			1,015
CMS Energy Corp.		8,043			335
Consolidated Edison, Inc.		24,010			1,769
Dominion Resources, Inc.		4,930			378
DTE Energy Co.		11,499			1,133
Duke Energy Corp.		33,412			2,593
Edison International		17,134			1,233
El Paso Electric Co.		2,946			137
Entergy Corp.		34,426			2,529
Exelon Corp.		71,666			2,543
FirstEnergy Corp.		48,417			1,499
Great Plains Energy, Inc.		14,194			388
Hawaiian Electric Industries, Inc.		3,702			122
MDU Resources Group, Inc.		35,386			1,018
National Fuel Gas Co.		3,902			221
NextEra Energy, Inc.		10,388			1,241
NiSource, Inc.		6,648			147
NRG Energy, Inc.		65,762			806

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 53

Schedule of Investments PIMCO RAE Fundamental US Fund (Cont.)

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
ONE Gas, Inc.		1,508	$		96
PG&E Corp.		21,753			1,322
Pinnacle West Capital Corp.		9,931			775
PNM Resources, Inc.		5,823			200
Portland General Electric Co.		3,450			150
PPL Corp.		37,024			1,261
Public Service Enterprise Group, Inc.		34,493			1,514
SCANA Corp.		4,758			349
Sempra Energy		2,456			247
Southern Co.		38,090			1,874
Southwest Gas Corp.		1,483			114
UGI Corp.		6,560			302
Vectren Corp.		7,049			368
Westar Energy, Inc.		5,088			287
WGL Holdings, Inc.		1,084			83
Xcel Energy, Inc.		26,275			1,069
					35,197
Total United States					566,222
Total Common Stocks (Cost $445,413)					567,971

	SHARES			MARKET VALUE (000S)
REAL ESTATE INVESTMENT TRUSTS 0.8%
UNITED STATES 0.8%
FINANCIALS 0.3%
AGNC Investment Corp.		18,139	$		329
Annaly Capital Management, Inc.		102,541			1,022
Chimera Investment Corp.		13,299			226
MFA Financial, Inc.		15,120			116
New Residential Investment Corp.		4,782			75
					1,768
REAL ESTATE 0.5%
Columbia Property Trust, Inc.		3,819			83
CoreCivic, Inc.		20,486			501
Digital Realty Trust, Inc.		1,472			145
Equinix, Inc.		218			78
Hospitality Properties Trust		7,856			249
Iron Mountain, Inc.		19,411			630
Mack-Cali Realty Corp.		4,960			144
Outfront Media, Inc.		2,301			57

	SHARES			MARKET VALUE (000S)
Piedmont Office Realty Trust, Inc. ‘A’		7,312	$		153
Public Storage		754			169
Simon Property Group, Inc.		1,032			183
Weyerhaeuser Co.		3,460			104
Xenia Hotels & Resorts, Inc.		6,250			121
					2,617
Total Real Estate Investment Trusts (Cost $4,340)					4,385
Total Investments in Securities (Cost $449,753)					572,356
Total Investments 99.6% (Cost $449,753)			$		572,356
Other Assets and Liabilities, net 0.4%					2,413
Net Assets 100.0%			$		574,769

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Security did not produce income within the last twelve months.

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Common Stocks
Bermuda
Financials	$	159	$	0	$	0	$	159
Ireland
Consumer Discretionary		24		0		0		24
Information Technology		1,284		0		0		1,284
United Kingdom
Consumer Staples		282		0		0		282
United States
Consumer Discretionary		61,931		0		0		61,931
Consumer Staples		45,995		0		6		46,001
Energy		76,018		0		0		76,018

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financials	$	78,514	$	0	$	0	$	78,514
Health Care		60,671		0		0		60,671
Industrials		52,749		0		0		52,749
Information Technology		104,881		0		0		104,881
Materials		23,184		0		0		23,184
Telecommunication Services		27,031		0		45		27,076
Utilities		35,197		0		0		35,197
Real Estate Investment Trusts
United States
Financials		1,768		0		0		1,768
Real Estate		2,617		0		0		2,617
Total Investments	$	572,305	$	0	$	51	$	572,356

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

54 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO RAE Fundamental US Small Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 98.4%
COMMON STOCKS 90.0%
BERMUDA 0.1%
INDUSTRIALS 0.1%
Triton International Ltd.		9,988	$		158
Total Bermuda					158
UNITED KINGDOM 0.1%
INFORMATION TECHNOLOGY 0.1%
Cardtronics PLC ‘A’ (a)		1,742			95
Total United Kingdom					95
UNITED STATES 89.8%
CONSUMER DISCRETIONARY 16.3%
1-800-Flowers.com, Inc. ‘A’ (a)		1,447			15
Aaron’s, Inc.		4,668			149
AMC Entertainment Holdings, Inc. ‘A’		5,147			173
America’s Car-Mart, Inc. (a)		1,703			74
American Axle & Manufacturing Holdings, Inc. (a)		7,805			151
American Outdoor Brands Corp. (a)		4,497			95
American Public Education, Inc. (a)		3,582			88
Arctic Cat, Inc.		3,456			52
Asbury Automotive Group, Inc. (a)		2,108			130
Ascena Retail Group, Inc. (a)		28,089			174
Ascent Capital Group, Inc. ‘A’ (a)		3,447			56
Barnes & Noble Education, Inc. (a)		7,942			91
Barnes & Noble, Inc.		20,102			224
Bassett Furniture Industries, Inc.		982			30
Big 5 Sporting Goods Corp.		3,343			58
Biglari Holdings, Inc. (a)		120			57
BJ’s Restaurants, Inc. (a)		1,903			75
Bloomin’ Brands, Inc.		6,102			110
Blue Nile, Inc.		689			28
Bob Evans Farms, Inc.		3,691			196
Boot Barn Holdings, Inc. (a)		1,257			16
Boyd Gaming Corp. (a)		12,676			256
Bridgepoint Education, Inc. (a)		3,120			32
Brinker International, Inc.		1,650			82
Buckle, Inc.		8,596			196
Buffalo Wild Wings, Inc. (a)		261			40
Build-A-Bear Workshop, Inc. (a)		735			10
Cable One, Inc.		182			113
Caesars Acquisition Co. ‘A’ (a)		1,669			23
Caleres, Inc.		6,517			214
Callaway Golf Co.		4,407			48
Capella Education Co.		2,321			204
Career Education Corp. (a)		15,095			152
Carrols Restaurant Group, Inc. (a)		7,471			114
Cato Corp. ‘A’		3,206			96
Cheesecake Factory, Inc.		1,670			100
Chegg, Inc. (a)		2,341			17
Chico’s FAS, Inc.		6,663			96
Children’s Place, Inc.		2,626			265
Choice Hotels International, Inc.		2,894			162
Churchill Downs, Inc.		260			39
Citi Trends, Inc.		2,371			45
Clear Channel Outdoor Holdings, Inc. ‘A’		6,698			34
ClubCorp Holdings, Inc.		2,766			40
Columbia Sportswear Co.		826			48
Conn’s, Inc. (a)		5,524			70

	SHARES			MARKET VALUE (000S)
Container Store Group, Inc. (a)		5,355	$		34
Cooper Tire & Rubber Co.		3,531			137
Cooper-Standard Holding, Inc. (a)		3,116			322
Core-Mark Holding Co., Inc.		2,428			105
Crocs, Inc. (a)		19,164			131
CSS Industries, Inc.		1,334			36
CST Brands, Inc.		550			26
Dana, Inc.		14,215			270
Dave & Buster’s Entertainment, Inc. (a)		3,105			175
Deckers Outdoor Corp. (a)		2,261			125
Del Frisco’s Restaurant Group, Inc. (a)		495			8
Denny’s Corp. (a)		3,503			45
Destination XL Group, Inc. (a)		4,606			20
DeVry Education Group, Inc.		10,991			343
DineEquity, Inc.		1,723			133
Dorman Products, Inc. (a)		458			33
DSW Inc.‘A’		6,496			147
Eldorado Resorts, Inc. (a)		2,390			40
Entercom Communications Corp. ‘A’		2,204			34
Entravision Communications Corp. ‘A’		1,933			14
Eros International PLC (a)		2,717			35
Ethan Allen Interiors, Inc.		3,023			111
Etsy, Inc. (a)		740			9
EW Scripps Co. ‘A’ (a)		1,838			35
Express, Inc. (a)		7,713			83
Extended Stay America, Inc.		3,763			61
Federal-Mogul Holdings Corp. (a)		2,897			30
Fiesta Restaurant Group, Inc. (a)		1,787			53
Finish Line, Inc. ‘A’		12,327			232
Five Below, Inc. (a)		1,493			60
Flexsteel Industries, Inc.		222			14
Francesca’s Holdings Corp. (a)		3,421			62
Fred’s, Inc. ‘A’		6,453			120
FTD Cos., Inc. (a)		3,273			78
G-III Apparel Group Ltd. (a)		805			24
Gannett Co., Inc.		23,060			224
Genesco, Inc. (a)		2,751			171
Gentherm, Inc. (a)		283			10
GoPro, Inc. ‘A’ (a)		773			7
Grand Canyon Education, Inc. (a)		1,138			66
Gray Television, Inc. (a)		1,196			13
Group 1 Automotive, Inc.		1,683			131
Groupon, Inc. (a)		55,966			186
Harte-Hanks, Inc.		10,286			16
Haverty Furniture Cos., Inc.		2,674			63
Helen of Troy Ltd. (a)		433			37
Hibbett Sports, Inc. (a)		3,791			141
Hooker Furniture Corp.		716			27
Horizon Global Corp. (a)		500			12
Houghton Mifflin Harcourt Co. (a)		2,960			32
HSN, Inc.		2,811			96
Hyatt Hotels Corp. ‘A’ (a)		2,112			117
Iconix Brand Group, Inc. (a)		22,151			207
ILG, Inc.		2,902			53
Installed Building Products, Inc. (a)		468			19
International Speedway Corp. ‘A’		3,393			125
iRobot Corp. (a)		849			50
Isle of Capri Casinos, Inc. (a)		4,034			100
Jack in the Box, Inc.		1,584			177
Jamba, Inc. (a)		1,776			18
Jindal Steel & Power Ltd. (a)		12,560			65
John Wiley & Sons, Inc. ‘A’		1,773			97
Johnson Outdoors, Inc. ‘A’		189			7
K12, Inc. (a)		5,948			102

	SHARES			MARKET VALUE (000S)
Kate Spade & Co. (a)		1,216	$		23
Kirkland’s, Inc. (a)		1,752			27
La Quinta Holdings, Inc. (a)		3,796			54
La-Z-Boy, Inc.		2,220			69
Lands’ End, Inc. (a)		7,351			111
LCI Industries		768			83
LGI Homes, Inc. (a)		645			19
Libbey, Inc.		3,868			75
Liberty TripAdvisor Holdings, Inc. ‘A’ (a)		6,323			95
LifeLock, Inc. (a)		2,629			63
Lifetime Brands, Inc.		380			7
Lions Gate Entertainment Corp. ‘A’		458			12
Lions Gate Entertainment Corp. ‘B’ (a)		3,031			74
Loral Space & Communications, Inc. (a)		1,474			60
Lumber Liquidators Holdings, Inc. (a)		7,023			111
M/I Homes, Inc. (a)		865			22
Marcus Corp.		1,271			40
Marriott Vacations Worldwide Corp.		2,118			180
MDC Holdings, Inc.		1,766			45
MDC Partners, Inc. ‘A’		804			5
Media General, Inc. (a)		2,855			54
Meredith Corp.		1,853			110
Meritage Homes Corp. (a)		2,526			88
Michaels Cos., Inc. (a)		3,077			63
Modine Manufacturing Co. (a)		6,440			96
Monarch Casino & Resort, Inc. (a)		718			18
Monro Muffler Brake, Inc.		1,370			78
Movado Group, Inc.		2,568			74
MSG Networks, Inc. ‘A’ (a)		956			21
Murphy USA, Inc. (a)		1,701			105
NACCO Industries, Inc. ‘A’		558			50
National CineMedia, Inc.		11,067			163
Nautilus, Inc. (a)		364			7
New York Times Co. ‘A’		3,613			48
Nexstar Broadcasting Group, Inc. ‘A’		894			57
Noodles & Co. (a)		2,362			10
Nutrisystem, Inc.		2,340			81
Ollie’s Bargain Outlet Holdings, Inc. (a)		365			10
Oxford Industries, Inc.		1,173			71
Papa John’s International, Inc.		944			81
Papa Murphy’s Holdings, Inc. (a)		1,654			7
Party City Holdco, Inc. (a)		2,131			30
Penn National Gaming, Inc. (a)		13,950			192
Perry Ellis International, Inc. (a)		3,276			82
PetMed Express, Inc.		2,449			56
Pier 1 Imports, Inc.		40,202			343
Pinnacle Entertainment, Inc. (a)		1,339			19
Potbelly Corp. (a)		5,591			72
Red Robin Gourmet Burgers, Inc. (a)		949			53
Regis Corp. (a)		10,950			159
Ruby Tuesday, Inc. (a)		12,447			40
Ruth’s Hospitality Group, Inc.		605			11
Scholastic Corp.		5,504			261
Scientific Games Corp. ‘A’ (a)		2,954			41
Sears Hometown and Outlet Stores, Inc. (a)		6,157			29
SeaWorld Entertainment, Inc.		11,605			220
Select Comfort Corp. (a)		4,774			108
Shoe Carnival, Inc.		1,323			36
Shutterfly, Inc. (a)		1,875			94
Sinclair Broadcast Group, Inc. ‘A’		1,566			52
Sonic Automotive, Inc. ‘A’		8,488			194

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 55

Schedule of Investments PIMCO RAE Fundamental US Small Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Sonic Corp.		1,796	$		48
Sotheby’s		4,380			175
Speedway Motorsports, Inc.		2,331			50
Sportsman’s Warehouse Holdings, Inc. (a)		1,068			10
Stage Stores, Inc.		12,256			54
Standard Motor Products, Inc.		1,518			81
Stein Mart, Inc.		3,966			22
Steven Madden Ltd. (a)		2,675			96
Stoneridge, Inc. (a)		3,052			54
Strayer Education, Inc. (a)		3,728			301
Sturm Ruger & Co., Inc.		1,474			78
Superior Industries International, Inc.		3,494			92
Texas Roadhouse, Inc.		3,229			156
Tile Shop Holdings, Inc. (a)		1,562			31
TopBuild Corp. (a)		717			25
Tower International, Inc.		2,649			75
Townsquare Media, Inc. ‘A’ (a)		506			5
TravelCenters of America LLC (a)		7,525			53
TRI Pointe Homes, Inc. (a)		2,605			30
tronc, Inc.		7,233			100
Tuesday Morning Corp. (a)		6,030			33
Vera Bradley, Inc. (a)		4,461			52
Vince Holding Corp. (a)		3,422			14
Vista Outdoor, Inc. (a)		1,038			38
Vitamin Shoppe, Inc. (a)		4,412			105
Wendy’s Co.		19,758			267
West Marine, Inc. (a)		3,105			32
Wolverine World Wide, Inc.		4,924			108
World Wrestling Entertainment, Inc. ‘A’		1,142			21
ZAGG, Inc. (a)		1,857			13
Zumiez, Inc. (a)		1,593			35
					16,905
CONSUMER STAPLES 3.1%
Alliance One International, Inc. (a)		2,085			40
Andersons, Inc.		1,598			71
B&G Foods, Inc.		2,568			112
Blue Buffalo Pet Products, Inc. (a)		580			14
Boston Beer Co., Inc. ‘A’ (a)		367			62
Cal-Maine Foods, Inc.		1,892			84
Central Garden & Pet Co. ‘A’ (a)		11,675			361
Coca-Cola Bottling Co. Consolidated		472			84
Coty, Inc. ‘A’		1,642			30
Darling Ingredients, Inc. (a)		7,490			97
Dean Foods Co.		6,093			133
Energizer Holdings, Inc.		3,240			145
Fresh Del Monte Produce, Inc.		3,892			236
Ingles Markets, Inc. ‘A’		4,422			213
Inter Parfums, Inc.		1,744			57
J&J Snack Foods Corp.		476			63
John B Sanfilippo & Son, Inc.		202			14
Lancaster Colony Corp.		362			51
Medifast, Inc.		1,660			69
National Beverage Corp.		678			35
Nutraceutical International Corp.		481			17
Omega Protein Corp. (a)		2,127			53
Performance Food Group Co. (a)		1,386			33
PriceSmart, Inc.		854			71
Revlon, Inc. ‘A’ (a)		397			12
Sanderson Farms, Inc.		900			85
Seaboard Corp. (a)		11			43
Seneca Foods Corp. ‘A’ (a)		589			24

	SHARES			MARKET VALUE (000S)
Smart & Final Stores, Inc. (a)		3,607	$		51
Snyder’s-Lance, Inc.		2,065			79
SpartanNash Co.		3,312			131
United Natural Foods, Inc. (a)		1,812			86
Universal Corp.		2,036			130
USANA Health Sciences, Inc. (a)		854			52
Vector Group Ltd.		8,290			189
Village Super Market, Inc. ‘A’		646			20
WD-40 Co.		802			94
Weis Markets, Inc.		1,403			94
					3,235
ENERGY 6.4%
Alon USA Energy, Inc.		5,077			58
Archrock, Inc.		17,641			233
Atwood Oceanics, Inc.		19,715			259
Bill Barrett Corp. (a)		31,058			217
Bonanza Creek Energy, Inc. (a)		16,663			17
Bristow Group, Inc.		9,939			204
Callon Petroleum Co. (a)		770			12
CARBO Ceramics, Inc. (a)		8,531			89
Carrizo Oil & Gas, Inc. (a)		3,121			117
Clayton Williams Energy, Inc. (a)		1,401			167
Clean Energy Fuels Corp. (a)		5,924			17
Cloud Peak Energy, Inc. (a)		24,323			136
Cobalt International Energy, Inc. (a)		6,000			7
Contango Oil & Gas Co. (a)		2,327			22
CVR Energy, Inc.		2,748			70
Delek U.S. Holdings, Inc.		8,757			211
Dril-Quip, Inc. (a)		815			49
Eclipse Resources Corp. (a)		9,756			26
Enbridge Energy Management LLC (a)		2,306			60
Enbridge Energy Management LLC		58,437			0
EP Energy Corp. ‘A’ (a)		24,952			163
Era Group, Inc. (a)		6,139			104
EXCO Resources, Inc. (a)		22,654			20
Fairmount Santrol Holdings, Inc. (a)		13,406			158
Forum Energy Technologies, Inc. (a)		11,531			254
Geospace Technologies Corp. (a)		3,280			67
Green Plains, Inc.		3,745			104
Gulfmark Offshore, Inc. ‘A’ (a)		7,553			13
Gulfport Energy Corp. (a)		1,652			36
Helix Energy Solutions Group, Inc. (a)		27,823			245
Hornbeck Offshore Services, Inc. (a)		5,349			39
Kosmos Energy Ltd. (a)		7,579			53
Laredo Petroleum, Inc. (a)		10,511			149
Matador Resources Co. (a)		1,788			46
Matrix Service Co. (a)		531			12
McDermott International, Inc. (a)		18,660			138
Natural Gas Services Group, Inc. (a)		886			29
Newpark Resources, Inc. (a)		20,699			155
Northern Oil and Gas, Inc. (a)		20,268			56
Oasis Petroleum, Inc. (a)		11,322			171
Oil States International, Inc. (a)		3,282			128
Parker Drilling Co. (a)		34,043			89
Parsley Energy, Inc. ‘A’ (a)		1,125			40
PBF Energy, Inc. ‘A’		4,383			122
PDC Energy, Inc. (a)		682			50
PHI, Inc. (a)		1,325			24
Pioneer Energy Services Corp. (a)		12,286			84
Renewable Energy Group, Inc. (a)		4,471			43
Resolute Energy Corp. (a)		343			14
REX American Resources Corp. (a)		541			53
Rice Energy, Inc. (a)		1,589			34

	SHARES			MARKET VALUE (000S)
RigNet, Inc. (a)		928	$		22
Rowan Cos. PLC ‘A’		11,484			217
RPC, Inc.		5,374			106
RSP Permian, Inc. (a)		1,258			56
Sanchez Energy Corp. (a)		7,519			68
SEACOR Holdings, Inc. (a)		2,600			185
SemGroup Corp. ‘A’		2,248			94
SM Energy Co.		5,163			178
Synergy Resources Corp. (a)		1,593			14
Tesco Corp.		8,840			73
TETRA Technologies, Inc. (a)		7,452			37
Tidewater, Inc.		29,383			100
U.S. Silica Holdings, Inc.		2,912			165
Unit Corp. (a)		18,539			498
W&T Offshore, Inc. (a)		34,491			96
Westmoreland Coal Co. (a)		932			16
World Fuel Services Corp.		228			10
					6,599
FINANCIALS 14.9%
1st Source Corp.		1,575			70
Ambac Financial Group, Inc. (a)		7,310			164
American Equity Investment Life Holding Co.		16,100			363
AMERISAFE, Inc.		468			29
Arrow Financial Corp.		790			32
Artisan Partners Asset Management, Inc. ‘A’		460			14
Associated Banc-Corp		7,004			173
Astoria Financial Corp.		9,834			183
Baldwin & Lyons, Inc. ‘B’		926			23
Banc of California, Inc.		652			11
BancFirst Corp.		489			45
Bancorp, Inc. (a)		2,611			21
BancorpSouth, Inc.		2,764			86
Bank of Hawaii Corp.		595			53
BankUnited, Inc.		3,619			136
Beneficial Bancorp, Inc.		2,592			48
Berkshire Hills Bancorp, Inc.		2,089			77
BGC Partners, Inc. ‘A’		5,853			60
BNC Bancorp		710			23
BOK Financial Corp.		2,611			217
Boston Private Financial Holdings, Inc.		678			11
Brookline Bancorp, Inc.		8,677			142
Bryn Mawr Bank Corp.		668			28
Calamos Asset Management, Inc. ‘A’		3,240			28
Camden National Corp.		1,833			81
Capital Bank Financial Corp. ‘A’		2,672			105
Capitol Federal Financial, Inc.		10,355			170
Cathay General Bancorp		616			23
Charter Financial Corp.		1,765			29
Chemical Financial Corp.		3,748			203
Citizens & Northern Corp.		745			20
City Holding Co.		1,537			104
CNA Financial Corp.		3,247			135
Columbia Banking System, Inc.		584			26
Community Bank System, Inc.		1,548			96
Community Trust Bancorp, Inc.		2,291			114
Cowen Group, Inc. ‘A’ (a)		2,023			31
Crawford & Co. ‘B’		1,601			20
Credit Acceptance Corp. (a)		283			62
Customers Bancorp, Inc. (a)		972			35
Dime Community Bancshares, Inc.		4,373			88
Drive Shack, Inc.		2,273			9

56 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
Eagle Bancorp, Inc. (a)		560	$		34
eHealth, Inc. (a)		3,823			41
EMC Insurance Group, Inc.		792			24
Employers Holdings, Inc.		3,812			151
Encore Capital Group, Inc. (a)		1,807			52
Enova International, Inc. (a)		10,985			138
Enterprise Financial Services Corp.		1,357			58
EverBank Financial Corp.		2,448			48
Evercore Partners, Inc. ‘A’		1,206			83
Ezcorp, Inc. ‘A’ (a)		14,431			154
FBL Financial Group, Inc. ‘A’		1,793			140
FCB Financial Holdings, Inc. ‘A’ (a)		1,364			65
Federal Agricultural Mortgage Corp. ‘C’		515			29
Federated Investors, Inc. ‘B’		1,799			51
Fidelity & Guaranty Life		3,305			78
Fidelity Southern Corp.		578			14
Financial Institutions, Inc.		1,679			57
First Bancorp		1,664			45
First Busey Corp.		2,773			85
First Business Financial Services, Inc.		706			17
First Commonwealth Financial Corp.		6,128			87
First Community Bancshares, Inc.		1,399			42
First Connecticut Bancorp, Inc.		1,446			33
First Defiance Financial Corp.		648			33
First Financial Bancorp		8,181			233
First Financial Bankshares, Inc.		580			26
First Financial Corp.		1,856			98
First Interstate BancSystem, Inc. ‘A’		1,662			71
First Midwest Bancorp, Inc.		1,397			35
First NBC Bank Holding Co. (a)		820			6
First of Long Island Corp.		761			22
FirstCash, Inc.		6,009			282
Flagstar Bancorp, Inc. (a)		2,135			58
Flushing Financial Corp.		3,880			114
FNB Corp.		8,311			133
Fulton Financial Corp.		12,731			239
GAIN Capital Holdings, Inc.		2,094			14
German American Bancorp, Inc.		593			31
Great Southern Bancorp, Inc.		986			54
Great Western Bancorp, Inc.		3,713			162
Green Dot Corp. ‘A’ (a)		1,548			36
Greenhill & Co., Inc.		5,501			152
Hancock Holding Co.		4,999			215
Heartland Financial USA, Inc.		1,265			61
Heritage Financial Corp.		1,285			33
Heritage Insurance Holdings, Inc.		705			11
Hilltop Holdings, Inc.		5,053			151
HomeStreet, Inc. (a)		1,568			50
HomeTrust Bancshares, Inc. (a)		1,522			39
Hope Bancorp, Inc.		863			19
Horace Mann Educators Corp.		694			30
Horizon Bancorp		568			16
Houlihan Lokey, Inc.		968			30
IBERIABANK Corp.		843			71
Independent Bank Corp.		657			46
Independent Bank Group, Inc.		266			17
Infinity Property & Casualty Corp.		1,252			110
International Bancshares Corp.		2,698			110
INTL. FCStone, Inc. (a)		752			30
Investment Technology Group, Inc.		1,984			39
Janus Capital Group, Inc.		8,320			110
KCG Holdings, Inc. ‘A’ (a)		17,736			235
Kemper Corp.		2,997			133
Lakeland Bancorp, Inc.		2,678			52

	SHARES			MARKET VALUE (000S)
Lakeland Financial Corp.		495	$		23
LendingTree, Inc. (a)		166			17
LPL Financial Holdings, Inc.		6,482			228
MainSource Financial Group, Inc.		1,478			51
Marlin Business Services Corp.		2,080			43
MB Financial, Inc.		324			15
MBIA, Inc. (a)		30,888			331
Mercury General Corp.		2,343			141
Meridian Bancorp, Inc.		1,763			33
Meta Financial Group, Inc.		451			46
Morningstar, Inc.		1,303			96
National Bank Holdings Corp. ‘A’		5,986			191
National Bankshares, Inc.		59			3
National General Holdings Corp.		919			23
National Western Life Group, Inc. ‘A’		212			66
Nationstar Mortgage Holdings, Inc. (a)		4,001			72
Navigators Group, Inc.		932			110
NBT Bancorp, Inc.		5,287			221
Nelnet, Inc. ‘A’		4,383			222
NMI Holdings, Inc. ‘A’ (a)		2,718			29
Northfield Bancorp, Inc.		6,447			129
Northrim BanCorp, Inc.		1,035			33
Northwest Bancshares, Inc.		13,939			251
OceanFirst Financial Corp.		971			29
Ocwen Financial Corp. (a)		32,688			176
Old National Bancorp		5,737			104
OneBeacon Insurance Group Ltd. ‘A’		4,942			79
Oritani Financial Corp.		3,506			66
Pacific Premier Bancorp, Inc. (a)		1,307			46
Park National Corp.		1,260			151
Pinnacle Financial Partners, Inc.		1,056			73
Piper Jaffray Cos. (a)		2,061			149
PRA Group, Inc. (a)		1,345			53
Preferred Bank		307			16
Primerica, Inc.		3,727			258
ProAssurance Corp.		2,098			118
Provident Financial Services, Inc.		5,649			160
Regional Management Corp. (a)		3,477			91
Renasant Corp.		1,078			46
Republic Bancorp, Inc. ‘A’		725			29
RLI Corp.		1,168			74
S&T Bancorp, Inc.		888			35
Safety Insurance Group, Inc.		1,190			88
Sandy Spring Bancorp, Inc.		1,335			53
Selective Insurance Group, Inc.		1,535			66
ServisFirst Bancshares, Inc.		2,050			77
Simmons First National Corp. ‘A’		426			26
South State Corp.		309			27
State Bank Financial Corp.		1,842			49
Stewart Information Services Corp.		465			21
Stock Yards Bancorp, Inc.		1,059			50
Stonegate Bank		528			22
Suffolk Bancorp		447			19
TCF Financial Corp.		11,437			224
Territorial Bancorp, Inc.		1,546			51
Tompkins Financial Corp.		1,045			99
Towne Bank		1,895			63
TriCo Bancshares		605			21
TriState Capital Holdings, Inc. (a)		1,350			30
TrustCo Bank Corp.		13,385			117
Trustmark Corp.		3,061			109
UMB Financial Corp.		994			77
Union Bankshares Corp.		896			32
United Bankshares, Inc.		904			42

	SHARES			MARKET VALUE (000S)
United Fire Group, Inc.		1,227	$		60
Universal Insurance Holdings, Inc.		1,288			37
Univest Corp. of Pennsylvania		1,904			59
Valley National Bancorp		17,948			209
Waddell & Reed Financial, Inc. ‘A’		16,487			322
Walker & Dunlop, Inc. (a)		985			31
Walter Investment Management Corp. (a)		1,801			9
Washington Federal, Inc.		4,341			149
Washington Trust Bancorp, Inc.		696			39
Waterstone Financial, Inc.		1,055			19
Westamerica Bancorporation		2,371			149
Westwood Holdings Group, Inc.		173			10
Wintrust Financial Corp.		1,140			83
World Acceptance Corp. (a)		6,391			411
WSFS Financial Corp.		847			39
					15,437
HEALTH CARE 5.6%
Abaxis, Inc.		691			37
Acorda Therapeutics, Inc. (a)		2,083			39
Addus HomeCare Corp. (a)		594			21
Adeptus Health, Inc. (a)		219			2
Air Methods Corp. (a)		2,598			83
Allscripts Healthcare Solutions, Inc. (a)		6,398			65
Almost Family, Inc. (a)		1,076			48
Amedisys, Inc. (a)		3,308			141
AMN Healthcare Services, Inc. (a)		1,985			76
Amphastar Pharmaceuticals, Inc. (a)		470			9
Analogic Corp.		1,153			96
AngioDynamics, Inc. (a)		4,329			73
Anika Therapeutics, Inc. (a)		291			14
BioScrip, Inc. (a)		12,765			13
BioTelemetry, Inc. (a)		478			11
Cambrex Corp. (a)		1,100			59
Cantel Medical Corp.		1,210			95
Capital Senior Living Corp. (a)		847			14
Catalent, Inc. (a)		488			13
Chemed Corp.		956			153
Civitas Solutions, Inc. (a)		547			11
Computer Programs & Systems, Inc.		587			14
CONMED Corp.		3,471			153
CorVel Corp. (a)		358			13
Cynosure, Inc. ‘A’ (a)		1,341			61
Depomed, Inc. (a)		3,059			55
Emergent BioSolutions, Inc. (a)		3,221			106
Ensign Group, Inc.		1,471			33
Exactech, Inc. (a)		1,393			38
Genomic Health, Inc. (a)		608			18
Globus Medical, Inc. ‘A’ (a)		4,222			105
Haemonetics Corp. (a)		3,213			129
Halyard Health, Inc. (a)		6,250			231
Healthways, Inc. (a)		3,384			77
HMS Holdings Corp. (a)		4,319			78
ICU Medical, Inc. (a)		582			86
Impax Laboratories, Inc. (a)		1,552			21
INC Research Holdings, Inc. ‘A’ (a)		875			46
Inogen, Inc. (a)		299			20
Inovalon Holdings, Inc. ‘A’ (a)		1,498			15
Insulet Corp. (a)		973			37
Integer Holdings Corp. (a)		2,069			61
Integra LifeSciences Holdings Corp. (a)		2,133			183
Intrexon Corp. (a)		396			10

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 57

Schedule of Investments PIMCO RAE Fundamental US Small Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Invacare Corp.		8,630	$		113
K2M Group Holdings, Inc. (a)		508			10
Landauer, Inc.		195			9
Lannett Co., Inc. (a)		620			14
LeMaitre Vascular, Inc.		503			13
LHC Group, Inc. (a)		1,272			58
Ligand Pharmaceuticals, Inc. (a)		395			40
Luminex Corp. (a)		1,595			32
Magellan Health, Inc. (a)		3,406			256
Masimo Corp. (a)		3,798			256
Medicines Co. (a)		2,866			97
Meridian Bioscience, Inc.		3,468			61
Merit Medical Systems, Inc. (a)		3,116			83
Molina Healthcare, Inc. (a)		1,016			55
Myriad Genetics, Inc. (a)		5,865			98
National HealthCare Corp.		755			57
Natus Medical, Inc. (a)		1,398			49
Nektar Therapeutics (a)		3,204			39
Neogen Corp. (a)		1,414			93
NuVasive, Inc. (a)		1,650			111
NxStage Medical, Inc. (a)		1,195			31
Omnicell, Inc. (a)		1,662			56
OraSure Technologies, Inc. (a)		2,054			18
Orthofix International NV (a)		762			28
Owens & Minor, Inc.		4,505			159
PDL BioPharma, Inc.		72,713			154
PharMerica Corp. (a)		3,139			79
Phibro Animal Health Corp. ‘A’		459			13
PRA Health Sciences, Inc. (a)		963			53
Premier, Inc. ‘A’ (a)		1,319			40
Prestige Brands Holdings, Inc. (a)		215			11
Providence Service Corp. (a)		554			21
Quality Systems, Inc.		8,089			106
Quidel Corp. (a)		522			11
RadNet, Inc. (a)		11,419			74
Repligen Corp. (a)		380			12
RTI Surgical, Inc. (a)		6,556			21
SciClone Pharmaceuticals, Inc. (a)		2,936			32
Select Medical Holdings Corp. (a)		18,141			240
Spectrum Pharmaceuticals, Inc. (a)		7,136			32
Surgery Partners, Inc. (a)		1,386			22
Surgical Care Affiliates, Inc. (a)		3,127			145
SurModics, Inc. (a)		390			10
Team Health Holdings, Inc. (a)		238			10
U.S. Physical Therapy, Inc.		394			28
Universal American Corp. (a)		6,632			66
Vascular Solutions, Inc. (a)		286			16
Veeva Systems, Inc. ‘A’ (a)		853			35
VWR Corp. (a)		1,074			27
Zeltiq Aesthetics, Inc. (a)		247			11
					5,768
INDUSTRIALS 18.7%
AAON, Inc.		1,042			34
AAR Corp.		5,513			182
ABM Industries, Inc.		6,117			250
ACCO Brands Corp. (a)		15,504			202
Actuant Corp. ‘A’		10,721			278
Advanced Drainage Systems, Inc.		1,458			30
Advisory Board Co. (a)		526			17
Aegion Corp. (a)		2,204			52
Aerovironment, Inc. (a)		1,798			48
Air Lease Corp.		1,493			51
Air Transport Services Group, Inc. (a)		7,629			122

	SHARES			MARKET VALUE (000S)
Aircastle Ltd.		8,410	$		175
Alamo Group, Inc.		153			12
Albany International Corp. ‘A’		2,660			123
Allegiant Travel Co.		295			49
Altra Industrial Motion Corp.		1,985			73
Ameresco, Inc. ‘A’ (a)		2,000			11
American Woodmark Corp. (a)		195			15
Apogee Enterprises, Inc.		1,154			62
Applied Industrial Technologies, Inc.		4,455			265
ARC Document Solutions, Inc. (a)		6,138			31
ArcBest Corp.		516			14
Astec Industries, Inc.		1,536			104
Astronics Corp. (a)		281			10
Astronics Corp. ‘B’ (a)		42			1
Atlas Air Worldwide Holdings, Inc. (a)		3,224			168
AZZ, Inc.		640			41
Babcock & Wilcox Enterprises, Inc. (a)		3,984			66
Barnes Group, Inc.		3,487			165
Beacon Roofing Supply, Inc. (a)		2,685			124
BMC Stock Holdings, Inc. (a)		820			16
Brady Corp. ‘A’		7,184			270
Briggs & Stratton Corp.		8,488			189
Brink’s Co.		4,185			173
CAI International, Inc. (a)		5,023			44
Casella Waste Systems, Inc. ‘A’ (a)		4,097			51
CBIZ, Inc. (a)		7,552			103
CEB, Inc.		353			21
Chart Industries, Inc. (a)		8,060			290
CIRCOR International, Inc.		570			37
Civeo Corp. (a)		4,393			10
CLARCOR, Inc.		349			29
Clean Harbors, Inc. (a)		1,914			107
Columbus McKinnon Corp.		1,630			44
Comfort Systems USA, Inc.		1,734			58
Continental Building Products, Inc. (a)		906			21
Covanta Holding Corp.		6,237			97
Covenant Transportation Group, Inc. ‘A’ (a)		448			9
CRA International, Inc.		997			37
Cubic Corp.		2,043			98
Deluxe Corp.		443			32
DigitalGlobe, Inc. (a)		5,786			166
Douglas Dynamics, Inc.		1,153			39
Ducommun, Inc. (a)		1,056			27
DXP Enterprises, Inc. (a)		2,066			72
Dycom Industries, Inc. (a)		1,127			90
Echo Global Logistics, Inc. (a)		1,012			25
EMCOR Group, Inc.		166			12
Encore Wire Corp.		1,218			53
EnerSys		2,246			175
Ennis, Inc.		3,747			65
EnPro Industries, Inc.		2,534			171
ESCO Technologies, Inc.		1,998			113
Essendant, Inc.		4,616			96
Esterline Technologies Corp. (a)		2,544			227
Exponent, Inc.		1,273			77
Forward Air Corp.		510			24
Franklin Covey Co. (a)		758			15
Franklin Electric Co., Inc.		902			35
FTI Consulting, Inc. (a)		2,515			113
G&K Services, Inc. ‘A’		1,398			135
GATX Corp.		4,612			284
Generac Holdings, Inc. (a)		4,451			181
General Cable Corp.		9,836			187
Gibraltar Industries, Inc. (a)		1,468			61

	SHARES			MARKET VALUE (000S)
Global Brass & Copper Holdings, Inc.		5,439	$		187
Granite Construction, Inc.		1,757			97
Great Lakes Dredge & Dock Corp. (a)		6,646			28
Greenbrier Cos., Inc.		2,459			102
Griffon Corp.		6,134			161
H&E Equipment Services, Inc.		7,297			170
Harsco Corp.		23,192			315
Hawaiian Holdings, Inc. (a)		4,361			249
Healthcare Services Group, Inc.		544			21
Heartland Express, Inc.		3,417			70
Heidrick & Struggles International, Inc.		3,147			76
Herc Holdings, Inc. (a)		7,342			295
Herman Miller, Inc.		1,065			36
Hill International, Inc. (a)		10,367			45
Hillenbrand, Inc.		3,689			141
HNI Corp.		2,311			129
Hub Group, Inc. ‘A’ (a)		677			30
Hurco Cos., Inc.		651			22
Huron Consulting Group, Inc. (a)		1,429			72
Hyster-Yale Materials Handling, Inc.		833			53
ICF International, Inc. (a)		1,380			76
InnerWorkings, Inc. (a)		3,729			37
Insperity, Inc.		1,297			92
Interface, Inc.		2,335			43
John Bean Technologies Corp.		1,253			108
Kadant, Inc.		1,201			74
Kaman Corp.		4,489			220
KBR, Inc.		7,020			117
Kelly Services, Inc. ‘A’		5,991			137
Kennametal, Inc.		6,285			196
KEYW Holding Corp. (a)		1,949			23
Kforce, Inc.		4,766			110
Kimball International, Inc. ‘B’		2,373			42
Kirby Corp. (a)		1,081			72
KLX, Inc. (a)		4,191			189
Knight Transportation, Inc.		3,172			105
Knoll, Inc.		3,649			102
Korn/Ferry International		5,006			147
Kratos Defense & Security Solutions, Inc. (a)		11,951			88
Landstar System, Inc.		1,204			103
Layne Christensen Co. (a)		1,823			20
Lindsay Corp.		687			51
LSI Industries, Inc.		2,743			27
Lydall, Inc. (a)		310			19
Manitowoc Co., Inc.		3,126			19
Manitowoc Foodservice, Inc. (a)		1,162			22
Marten Transport Ltd.		1,757			41
Masonite International Corp. (a)		199			13
MasTec, Inc. (a)		3,914			150
Matson, Inc.		1,858			66
Matthews International Corp. ‘A’		1,218			94
McGrath RentCorp		4,131			162
Mercury Systems, Inc. (a)		318			10
Meritor, Inc. (a)		6,782			84
Milacron Holdings Corp. (a)		1,112			21
Miller Industries, Inc.		869			23
Mistras Group, Inc. (a)		800			21
Mobile Mini, Inc.		2,682			81
Moog, Inc. ‘A’ (a)		2,482			163
MRC Global, Inc. (a)		11,424			231
MSA Safety, Inc.		815			57
Mueller Industries, Inc.		4,840			193
Mueller Water Products, Inc. ‘A’		2,107			28

58 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
Multi-Color Corp.		249	$		19
MYR Group, Inc. (a)		852			32
National Presto Industries, Inc.		901			96
Navigant Consulting, Inc. (a)		4,034			106
Navistar International Corp. (a)		8,764			275
NOW, Inc. (a)		5,847			120
On Assignment, Inc. (a)		893			39
PAM Transportation Services, Inc. (a)		410			11
Ply Gem Holdings, Inc. (a)		1,061			17
Powell Industries, Inc.		545			21
Primoris Services Corp.		2,506			57
Quad/Graphics, Inc.		10,907			293
Quanex Building Products Corp.		2,216			45
Raven Industries, Inc.		1,844			46
RBC Bearings, Inc. (a)		1,100			102
Regal Beloit Corp.		2,112			146
Resources Connection, Inc.		5,496			106
Rexnord Corp. (a)		5,005			98
Roadrunner Transportation Systems, Inc. (a)		2,687			28
RPX Corp. (a)		6,117			66
Rush Enterprises, Inc. ‘A’ (a)		5,824			186
Saia, Inc. (a)		3,347			148
Scorpio Bulkers, Inc. (a)		10,740			54
Simpson Manufacturing Co., Inc.		3,002			131
SkyWest, Inc.		12,851			468
Spirit Airlines, Inc. (a)		769			45
SPX Corp. (a)		10,839			257
SPX FLOW, Inc. (a)		7,818			251
Standex International Corp.		255			22
Steelcase, Inc. ‘A’		10,223			183
Sun Hydraulics Corp.		725			29
Swift Transportation Co. (a)		6,671			163
TASER International, Inc. (a)		995			24
Team, Inc. (a)		757			30
Tennant Co.		559			40
Terex Corp.		7,943			250
Tetra Tech, Inc.		2,677			116
Textainer Group Holdings Ltd.		4,763			35
Thermon Group Holdings, Inc. (a)		2,151			41
Titan International, Inc.		10,306			116
Titan Machinery, Inc. (a)		3,663			53
TransUnion (a)		473			15
Trex Co., Inc. (a)		170			11
TriMas Corp. (a)		2,991			70
TriNet Group, Inc. (a)		1,112			28
Triumph Group, Inc.		9,019			239
TrueBlue, Inc. (a)		925			23
Tutor Perini Corp. (a)		4,338			121
UniFirst Corp.		677			97
Univar, Inc. (a)		6,159			175
Universal Forest Products, Inc.		1,339			137
USA Truck, Inc. (a)		2,081			18
Valmont Industries, Inc.		770			109
Vectrus, Inc. (a)		456			11
Veritiv Corp. (a)		1,342			72
Viad Corp.		581			26
Wabash National Corp. (a)		1,329			21
Watts Water Technologies, Inc. ‘A”		2,510			164
Werner Enterprises, Inc.		7,149			193
Wesco Aircraft Holdings, Inc. (a)		5,362			80
WESCO International, Inc. (a)		3,214			214
West Corp.		7,079			175
YRC Worldwide, Inc. (a)		3,341			44
					19,338

	SHARES			MARKET VALUE (000S)
INFORMATION TECHNOLOGY 13.3%
2U, Inc. (a)		357	$		11
3D Systems Corp. (a)		3,635			48
A10 Networks, Inc. (a)		1,471			12
ACI Worldwide, Inc. (a)		1,540			28
Actua Corp. (a)		1,746			24
Acxiom Corp. (a)		4,972			133
ADTRAN, Inc.		10,594			237
Advanced Energy Industries, Inc. (a)		1,888			103
Alpha & Omega Semiconductor Ltd. (a)		2,628			56
American Software, Inc. ‘A’		1,649			17
Amkor Technology, Inc. (a)		18,603			196
Applied Micro Circuits Corp. (a)		1,380			11
Avid Technology, Inc. (a)		12,678			56
AVX Corp.		4,322			68
Bankrate, Inc. (a)		4,732			52
Bel Fuse, Inc. ‘B’		562			17
Belden, Inc.		1,422			106
Benchmark Electronics, Inc. (a)		6,938			212
Black Box Corp.		3,082			47
Blackbaud, Inc.		441			28
Blackhawk Network Holdings, Inc. (a)		1,352			51
Blucora, Inc. (a)		6,551			97
Bottomline Technologies de, Inc. (a)		353			9
Brooks Automation, Inc.		5,851			100
Cabot Microelectronics Corp.		3,583			226
CACI International, Inc. ‘A’ (a)		2,224			276
CalAmp Corp. (a)		909			13
Calix, Inc. (a)		2,113			16
Cass Information Systems, Inc.		204			15
CEVA, Inc. (a)		444			15
Ciber, Inc. (a)		11,446			7
Ciena Corp. (a)		2,752			67
Cirrus Logic, Inc. (a)		1,502			85
Coherent, Inc. (a)		1,582			217
Cohu, Inc.		1,543			21
CommVault Systems, Inc. (a)		1,860			96
comScore, Inc. (a)		415			13
Comtech Telecommunications Corp.		7,435			88
Control4 Corp. (a)		810			8
Convergys Corp.		3,795			93
Cray, Inc. (a)		1,118			23
Cree, Inc. (a)		9,089			240
CSG Systems International, Inc.		3,777			183
CTS Corp.		538			12
Cypress Semiconductor Corp.		4,221			48
Daktronics, Inc.		4,828			52
Datalink Corp. (a)		1,821			21
DHI Group, Inc. (a)		10,102			63
Diebold Nixdorf Inc		7,429			187
Digi International, Inc. (a)		695			10
Diodes, Inc. (a)		6,124			157
Dolby Laboratories, Inc. ‘A’		2,230			101
EarthLink Holdings Corp.		27,764			157
Eastman Kodak Co. (a)		3,742			58
Ebix, Inc.		3,202			183
Electro Scientific Industries, Inc. (a)		1,240			7
Electronics For Imaging, Inc. (a)		3,182			140
Ellie Mae, Inc. (a)		115			10
EnerNOC, Inc. (a)		7,586			46
Entegris, Inc. (a)		5,392			97
ePlus, Inc. (a)		630			73
ExlService Holdings, Inc. (a)		1,821			92
Extreme Networks, Inc. (a)		20,891			105

		SHARES			MARKET VALUE (000S)
FARO Technologies, Inc. (a)			1,741	$		63
Finisar Corp. (a)			6,348			192
FireEye, Inc. (a)			1,702			20
Fitbit, Inc. ‘A’ (a)			670			5
FormFactor, Inc. (a)			1,563			18
Forrester Research, Inc.			220			9
GrubHub, Inc. (a)			234			9
Hackett Group, Inc.			1,071			19
Harmonic, Inc. (a)			17,590			88
II-VI, Inc. (a)			2,622			78
Insight Enterprises, Inc. (a)			6,587			266
Integrated Device Technology, Inc. (a)			3,368			79
InterDigital, Inc.			3,402			311
Internap Corp. (a)			6,582			10
Intersil Corp. ‘A’			13,566			303
Intralinks Holdings, Inc. (a)			6,165			83
Itron, Inc. (a)			3,537			222
Ixia (a)			7,239			117
IXYS Corp.			1,015			12
Knowles Corp. (a)			7,374			123
Lattice Semiconductor Corp. (a)			9,132			67
Lionbridge Technologies, Inc. (a)			2,821			16
Liquidity Services, Inc. (a)			9,531			93
Littelfuse, Inc.			603			92
LivePerson, Inc. (a)			1,138			9
LogMeIn, Inc.			148			14
Lumentum Holdings, Inc. (a)			2,186			85
ManTech International Corp. ‘A’			4,581			194
Maxwell Technologies, Inc. (a)			2,821			14
Mentor Graphics Corp.			3,100			114
Methode Electronics, Inc.			935			39
MicroStrategy, Inc. ‘A’ (a)			482			95
MKS Instruments, Inc.			4,224			251
MoneyGram International, Inc. (a)			7,372			87
Monolithic Power Systems, Inc.			309			25
Monotype Imaging Holdings, Inc.			1,079			21
MTS Systems Corp.			1,679			95
Nanometrics, Inc. (a)			461			12
NETGEAR, Inc. (a)			3,557			193
NetScout Systems, Inc. (a)			1,766			56
NeuStar, Inc. ‘A’ (a)			5,842			195
NIC, Inc.			2,397			57
Novanta, Inc. (a)			634			13
OSI Systems, Inc. (a)			1,648			125
Park Electrochemical Corp.			2,074			39
PC Connection, Inc.			650			18
Pegasystems, Inc.			1,276			46
Perficient, Inc. (a)			1,053			18
Photronics, Inc. (a)			8,769			99
Plantronics, Inc.			3,108			170
Plexus Corp. (a)			3,899			211
Power Integrations, Inc.			913			62
Progress Software Corp.			9,620			307
QuinStreet, Inc. (a)			4,935			19
Rambus, Inc. (a)			2,346			32
RealPage, Inc. (a)			1,557			47
RetailMeNot, Inc. (a)			8,286			77
RingCentral, Inc. ‘A’ (a)			985			20
Rogers Corp. (a)			1,160			89
Sanmina Corp. (a)			6,022			221
ScanSource, Inc. (a)			3,730			151
Science Applications International Corp.			2,889			245
Seachange International, Inc. (a)	��		7,810			18

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 59

Schedule of Investments PIMCO RAE Fundamental US Small Fund (Cont.)

	SHARES			MARKET VALUE (000S)
Semtech Corp. (a)		4,435	$		140
ShoreTel, Inc. (a)		3,168			23
Sigma Designs, Inc. (a)		1,702			10
Silicon Laboratories, Inc. (a)		2,221			144
Sonus Networks, Inc. (a)		9,672			61
Stamps.com, Inc. (a)		187			21
Stratasys Ltd. (a)		4,989			83
Super Micro Computer, Inc. (a)		891			25
Sykes Enterprises, Inc. (a)		6,241			180
Synaptics, Inc. (a)		606			33
Synchronoss Technologies, Inc. (a)		1,558			60
Syntel, Inc.		658			13
Take-Two Interactive Software, Inc. (a)		1,200			59
Tangoe, Inc. (a)		2,310			18
TeleTech Holdings, Inc.		1,104			34
Tessera Holding Corp.		1,298			57
TiVo Corp. (a)		12,475			261
TTM Technologies, Inc. (a)		13,356			182
Ultra Clean Holdings, Inc. (a)		1,314			13
Unisys Corp. (a)		23,243			348
VASCO Data Security International, Inc. (a)		534			7
Veeco Instruments, Inc. (a)		4,565			133
VeriFone Systems, Inc. (a)		2,454			44
Verint Systems, Inc. (a)		1,684			59
Viavi Solutions, Inc. (a)		14,481			118
Virtusa Corp. (a)		398			10
Vishay Intertechnology, Inc.		20,196			327
Vishay Precision Group, Inc. (a)		1,678			32
Web.com Group, Inc. (a)		1,660			35
WebMD Health Corp. (a)		3,574			177
XO Group, Inc. (a)		1,020			20
Yelp, Inc. (a)		520			20
Zedge, Inc. ‘B’ (a)		668			2
Zix Corp. (a)		3,937			19
Zynga, Inc. ‘A’ (a)		23,816			61
					13,747
MATERIALS 6.8%
A Schulman, Inc.		3,966			133
AEP Industries, Inc.		438			51
AK Steel Holding Corp. (a)		14,450			148
Allegheny Technologies, Inc.		13,850			221
Ampco-Pittsburgh Corp.		1,614			27
Boise Cascade Co. (a)		2,854			64
Cabot Corp.		1,547			78
Calgon Carbon Corp.		2,913			50
Carpenter Technology Corp.		4,602			166
Century Aluminum Co. (a)		6,374			55
Chemtura Corp. (a)		7,341			244
Clearwater Paper Corp. (a)		2,291			150
Cliffs Natural Resources, Inc. (a)		53,031			446
Coeur Mining, Inc. (a)		6,900			63
Commercial Metals Co.		9,063			197
Compass Minerals International, Inc.		1,302			102
Ferro Corp. (a)		1,418			20
Flotek Industries, Inc. (a)		5,827			55
FutureFuel Corp.		2,947			41
Gold Resource Corp.		5,765			25
Greif, Inc. ‘A’		6,426			330
Hawkins, Inc.		347			19
Haynes International, Inc.		473			20
HB Fuller Co.		2,991			144

	SHARES			MARKET VALUE (000S)
Headwaters, Inc. (a)		1,830	$		43
Hecla Mining Co.		21,509			113
Innophos Holdings, Inc.		4,481			234
Innospec, Inc.		1,537			105
Intrepid Potash, Inc. (a)		5,885			12
Kaiser Aluminum Corp.		2,183			170
KapStone Paper and Packaging Corp.		4,139			91
Koppers Holdings, Inc. (a)		2,619			106
Kraton Corp. (a)		3,846			110
Kronos Worldwide, Inc.		3,393			40
Louisiana-Pacific Corp. (a)		2,344			44
LSB Industries, Inc. (a)		1,949			16
Materion Corp.		2,406			95
Minerals Technologies, Inc.		1,643			127
Myers Industries, Inc.		4,065			58
Neenah Paper, Inc.		1,164			99
Olympic Steel, Inc.		1,184			29
OMNOVA Solutions, Inc. (a)		5,868			59
PH Glatfelter Co.		5,205			124
Platform Specialty Products Corp. (a)		21,153			207
PolyOne Corp.		1,855			59
Quaker Chemical Corp.		446			57
Rayonier Advanced Materials, Inc.		4,460			69
Royal Gold, Inc.		599			38
Ryerson Holding Corp. (a)		6,203			83
Schnitzer Steel Industries, Inc. ‘A’		5,741			148
Schweitzer-Mauduit International, Inc.		2,989			136
Silgan Holdings, Inc.		1,412			72
Stepan Co.		2,071			169
Stillwater Mining Co. (a)		4,970			80
Summit Materials, Inc. ‘A’ (a)		1,834			44
SunCoke Energy, Inc.		23,754			269
TimkenSteel Corp. (a)		13,833			214
Tredegar Corp.		2,047			49
Trinseo S.A.		2,168			129
Tronox Ltd. ‘A’		41,670			430
U.S. Concrete, Inc. (a)		417			27
Westlake Chemical Corp.		641			36
Worthington Industries, Inc.		5,244			249
					7,089
REAL ESTATE 0.2%
Alexander & Baldwin, Inc.		579			26
Forestar Group, Inc. (a)		3,040			41
HFF, Inc. ‘A’		1,518			46
RE/MAX Holdings, Inc. ‘A’		1,203			67
RMR Group, Inc. ‘A’		355			14
St Joe Co. (a)		526			10
					204
TELECOMMUNICATION SERVICES 1.6%
ATN International, Inc.		703			56
Boingo Wireless, Inc. (a)		1,156			14
Cincinnati Bell, Inc. (a)		2,747			62
Cogent Communications Holdings, Inc.		1,653			69
Consolidated Communications Holdings, Inc.		7,077			190
FairPoint Communications, Inc. (a)		4,561			85
General Communication, Inc. ‘A’ (a)		7,466			145
Hawaiian Telcom Holdco, Inc. (a)		1,323			33
IDT Corp. ‘B’		1,027			19
Inteliquent, Inc.		2,659			61
Iridium Communications, Inc. (a)		24,364			234

	SHARES			MARKET VALUE (000S)
Lumos Networks Corp. (a)		2,001	$		31
Shenandoah Telecommunications Co.		2,760			75
Spok Holdings, Inc.		3,081			64
U.S. Cellular Corp. (a)		1,511			66
Vonage Holdings Corp. (a)		23,207			159
Windstream Holdings, Inc.		46,533			341
					1,704
UTILITIES 2.9%
ALLETE, Inc.		1,568			101
American States Water Co.		4,156			189
Artesian Resources Corp. ‘A’		475			15
Atlantic Power Corp.		8,032			20
Avista Corp.		3,659			146
California Water Service Group		6,876			233
Chesapeake Utilities Corp.		971			65
Connecticut Water Service, Inc.		686			38
Dynegy, Inc. (a)		12,064			102
El Paso Electric Co.		2,950			137
Empire District Electric Co.		9,112			311
MGE Energy, Inc.		3,052			199
Middlesex Water Co.		1,391			60
Northwest Natural Gas Co.		5,573			333
NorthWestern Corp.		549			31
NRG Yield, Inc. ‘C’		1,695			27
Ormat Technologies, Inc.		251			13
Otter Tail Corp.		4,546			186
Pattern Energy Group, Inc.		906			17
PNM Resources, Inc.		10,624			364
SJW Corp.		1,879			105
South Jersey Industries, Inc.		1,297			44
Spire, Inc.		817			53
TerraForm Global, Inc. ‘A’		4,451			18
TerraForm Power, Inc. ‘A’		1,408			18
Unitil Corp.		2,548			116
York Water Co.		261			10
					2,951
Total United States					92,977
Total Common Stocks (Cost $70,369)					93,230
REAL ESTATE INVESTMENT TRUSTS 8.4%
UNITED STATES 8.4%
FINANCIALS 2.4%
AG Mortgage Investment Trust, Inc.		5,356			92
Anworth Mortgage Asset Corp.		35,066			181
Apollo Commercial Real Estate Finance, Inc.		5,513			92
Ares Commercial Real Estate Corp.		1,261			17
ARMOUR Residential REIT, Inc.		5,796			126
Blackstone Mortgage Trust, Inc. ‘A’		1,652			50
Capstead Mortgage Corp.		20,016			204
Colony Capital, Inc. ‘A’		2,511			51
CYS Investments, Inc.		22,348			173
Dynex Capital, Inc.		14,487			99
Invesco Mortgage Capital, Inc.		12,744			186
Ladder Capital Corp.		1,648			22
MFA Financial, Inc.		32,069			245
MTGE Investment Corp.		10,906			171
New Residential Investment Corp.		8,301			130
New York Mortgage Trust, Inc.		4,947			33
PennyMac Mortgage Investment Trust		9,005			147

60 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
Redwood Trust, Inc.		12,843	$		195
Resource Capital Corp.		3,686			31
Two Harbors Investment Corp.		15,263			133
Western Asset Mortgage Capital Corp.		6,237			63
					2,441
REAL ESTATE 6.0%
Agree Realty Corp.		1,006			46
American Assets Trust, Inc.		1,120			48
Armada Hoffler Properties, Inc.		1,887			28
Ashford Hospitality Prime, Inc.		898			12
Ashford Hospitality Trust, Inc.		16,203			126
Brandywine Realty Trust		13,995			231
Care Capital Properties, Inc.		4,132			103
CBL & Associates Properties, Inc.		27,264			314
Cedar Realty Trust, Inc.		4,441			29
Chesapeake Lodging Trust		1,429			37
Colony Starwood Homes		1,175			34
Columbia Property Trust, Inc.		11,159			241
CoreSite Realty Corp.		1,350			107
Corporate Office Properties Trust		4,718			147
Cousins Properties, Inc.		8,532			73
DiamondRock Hospitality Co.		11,956			138
DuPont Fabros Technology, Inc.		2,762			121
EastGroup Properties, Inc.		784			58
Education Realty Trust, Inc.		247			10
Empire State Realty Trust, Inc. ‘A’		2,306			47
First Potomac Realty Trust		5,743			63
Franklin Street Properties Corp.		9,991			130
GEO Group, Inc.		4,684			168
Getty Realty Corp.		1,851			47

	SHARES			MARKET VALUE (000S)
Gladstone Commercial Corp.		1,856	$		37
Global Net Lease, Inc.		3,118			24
Government Properties Income Trust		7,139			136
Hersha Hospitality Trust		3,348			72
Hudson Pacific Properties, Inc.		598			21
Investors Real Estate Trust		13,669			98
iStar Financial, Inc. (a)		2,670			33
Kite Realty Group Trust		1,673			39
LaSalle Hotel Properties		5,954			181
Lexington Realty Trust		19,265			208
LTC Properties, Inc.		478			23
Mack-Cali Realty Corp.		9,938			288
Monmouth Real Estate Investment Corp.		2,055			31
Monogram Residential Trust, Inc.		3,420			37
National Health Investors, Inc.		522			39
National Storage Affiliates Trust		915			20
New Senior Investment Group, Inc.		5,917			58
New York REIT, Inc.		1,027			10
NorthStar Realty Finance Corp.		5,683			86
Outfront Media, Inc.		6,270			156
Parkway, Inc. (a)		734			16
Pebblebrook Hotel Trust		1,094			33
Pennsylvania Real Estate Investment Trust		3,990			76
Piedmont Office Realty Trust, Inc. ‘A’		9,599			201
Potlatch Corp.		1,636			68
Preferred Apartment Communities, Inc. ‘A’		941			14
PS Business Parks, Inc.		950			111
QTS Realty Trust, Inc. ‘A’		1,695			84
RAIT Financial Trust		11,440			38

	SHARES			MARKET VALUE (000S)
Ramco-Gershenson Properties Trust		838	$		14
Retail Opportunity Investments Corp.		1,439			30
Rexford Industrial Realty, Inc.		1,373			32
RLJ Lodging Trust		6,297			154
Ryman Hospitality Properties, Inc.		4,093			258
Sabra Health Care REIT, Inc.		3,622			89
Select Income REIT		3,415			86
Seritage Growth Properties ‘A’		629			27
Silver Bay Realty Trust Corp.		1,946			33
STAG Industrial, Inc.		423			10
STORE Capital Corp.		1,884			47
Summit Hotel Properties, Inc.		4,835			78
Sunstone Hotel Investors, Inc.		9,208			140
Tier REIT, Inc.		5,626			98
Urban Edge Properties		688			19
Urstadt Biddle Properties, Inc. ‘A’		1,199			29
Washington Prime Group, Inc.		15,008			156
Washington Real Estate Investment Trust		4,263			139
Xenia Hotels & Resorts, Inc.		10,940			213
					6,248
Total Real Estate Investment Trusts (Cost $7,892)					8,689
Total Investments in Securities (Cost $78,261)					101,919
Total Investments 98.4% (Cost $78,261)			$		101,919
Other Assets and Liabilities, net 1.6%					1,612
Net Assets 100.0%			$		103,531

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Security did not produce income within the last twelve months.

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Common Stocks
Bermuda
Industrials	$	158	$	0	$	0	$	158
United Kingdom
Information Technology		95		0		0		95
United States
Consumer Discretionary		16,905		0		0		16,905
Consumer Staples		3,235		0		0		3,235
Energy		6,599		0		0		6,599
Financials		15,437		0		0		15,437
Health Care		5,768		0		0		5,768

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Industrials	$	19,338	$	0	$	0	$	19,338
Information Technology		13,747		0		0		13,747
Materials		7,089		0		0		7,089
Real Estate		204		0		0		204
Telecommunication Services		1,704		0		0		1,704
Utilities		2,951		0		0		2,951
Real Estate Investment Trusts
United States
Financials		2,441		0		0		2,441
Real Estate		6,248		0		0		6,248
Total Investments	$	101,919	$	0	$	0	$	101,919

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 61

Notes to Financial Statements

1. ORGANIZATION

PIMCO Equity Series (the “Trust”) was established as a Delaware statutory trust on December 28, 2009. The Trust is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. Information presented in these financial statements pertains to the Institutional Class, Class P, Class A, and Class C shares of the funds (each a “Fund” and collectively the “Funds”) indicated on the cover of this report. Pacific Investment Management Company LLC (“PIMCO”) serves as the investment adviser (the “Adviser”) for the Funds. Research Affiliates, LLC (“Research Affiliates”) serves as the sub-adviser for the Funds. PIMCO and Research Affiliates have also engaged Parametric Portfolio Associates, LLC (“Parametric”) to implement all or a portion of each Fund’s investment strategies. The PIMCO RAE Fundamental Global Fund may invest substantially all of its assets in Institutional Class shares of the PIMCO RAE Fundamental US Fund, PIMCO RAE Fundamental International Fund (“International Fund”) and PIMCO RAE Fundamental Emerging Markets Fund (“Emerging Markets Fund”) (collectively, “Underlying Funds”), and equity securities that are eligible investments for the Underlying Funds. The PIMCO RAE Fundamental Global ex-US Fund may invest substantially all of its assets in Institutional Class shares of the International Fund and Emerging Markets Fund, equity securities of small companies economically tied to non-U.S. countries, and securities that are eligible investments for the International Fund and Emerging Markets Fund. The PIMCO RAE Fundamental Global Fund and PIMCO RAE Fundamental Global ex-US Fund may invest in other affiliated funds and unaffiliated funds, which may or may not be registered under the Investment Company Act of 1940 (together with the Underlying Funds, “Acquired Funds”).

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Trust in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Each Fund is treated as an investment company under the reporting requirements of U.S. GAAP. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

(a) Securities Transactions and Investment Income  Securities transactions are recorded as of the trade date for financial reporting purposes. Realized gains (losses) from securities sold are recorded on the identified cost basis. Dividend income is recorded on the ex-dividend

date, except certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as a Fund is informed of the ex-dividend date. Interest income, adjusted for the accretion of discounts and amortization of premiums, is recorded on the accrual basis from settlement date. Estimated tax liabilities on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized appreciation (depreciation) on investments on the Statements of Operations, as appropriate. Tax liabilities realized as a result of such security sales are reflected as a component of net realized gain (loss) on investments on the Statements of Operations.

(b) Cash and Foreign Currency  The functional and reporting currency for the Funds is the U.S. dollar. The market values of foreign securities, currency holdings and other assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the current exchange rates each business day. Purchases and sales of securities and income and expense items denominated in foreign currencies, if any, are translated into U.S. dollars at the exchange rate in effect on the transaction date. The Funds do not separately report the effects of changes in foreign exchange rates from changes in market prices on securities held. Such changes are included in net realized gain (loss) and net change in unrealized appreciation (depreciation) from investments on the Statements of Operations. The Funds may invest in foreign currency-denominated securities and may engage in foreign currency transactions either on a spot (cash) basis at the rate prevailing in the currency exchange market at the time or through a forward foreign currency contract. Realized foreign exchange gains (losses) arising from sales of spot foreign currencies, currency gains (losses) realized between the trade and settlement dates on securities transactions and the difference between the recorded amounts of dividends, interest, and foreign withholding taxes and the U.S. dollar equivalent of the amounts actually received or paid are included in net realized gain (loss) on foreign currency transactions on the Statements of Operations. Net unrealized foreign exchange gains (losses) arising from changes in foreign exchange rates on foreign denominated assets and liabilities other than investments in securities held at the end of the reporting period are included in net change in unrealized appreciation (depreciation) on foreign currency assets and liabilities on the Statements of Operations.

(c) Multiclass Operations  Each class offered by the Trust has equal rights as to assets and voting privileges (except that shareholders of a class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets. Realized and unrealized capital gains (losses) are allocated daily based on the relative net assets of each class of the respective Fund. Class specific expenses, where applicable, currently include supervisory and

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administrative and distribution and servicing fees. Under certain circumstances, the per share net asset value (“NAV”) of a class of the respective Fund’s shares may be different from the per share NAV of another class of shares as a result of the different daily expense accruals applicable to each class of shares.

(d) Distributions to Shareholders  The following table shows the anticipated frequency of distributions from net investment income, if any, for each Fund.

	Distribution Frequency
Fund Name	Declared		Distributed
PIMCO RAE Fundamental Emerging Markets Fund		Annually		Annually
PIMCO RAE Fundamental Global Fund		Annually		Annually
PIMCO RAE Fundamental Global ex-US Fund		Annually		Annually
PIMCO RAE Fundamental International Fund		Annually		Annually
PIMCO RAE Fundamental US Fund		Annually		Annually
PIMCO RAE Fundamental US Small Fund		Annually		Annually

Net realized capital gains earned by each Fund, if any, will be distributed no less frequently than once each year.

Income distributions and capital gain distributions are determined in accordance with income tax regulations which may differ from U.S. GAAP. Differences between tax regulations and U.S. GAAP may cause timing differences between income and capital gain recognition. Further, the character of investment income and capital gains may be different for certain transactions under the two methods of accounting. As a result, income distributions and capital gain distributions declared during a fiscal period may differ significantly from the net investment income (loss) and realized gains (losses) reported on the Fund’s annual financial statements presented under U.S. GAAP.

If a Fund estimates that a portion of one of its dividend distributions may be comprised of amounts from sources other than net investment income, the Fund will notify shareholders of record of the estimated composition of such distribution through a Section 19 Notice. To determine the sources of a Fund’s distributions during the reporting period, the Fund references its internal accounting records at the time the distribution is paid and generally bases its projections of the final tax character of those distributions on the tax characteristics of the distribution reflected in its internal accounting records at the time of such payment. If, based on such records, a particular distribution does not include capital gains or paid-in surplus or other capital sources, a Section 19 Notice generally would not be issued. It is important to note that differences exist between a Fund’s daily internal accounting records, the Fund’s financial statements presented in accordance with U.S. GAAP, and recordkeeping practices under income tax regulations. Examples of such differences may include, among others, the treatment of paydowns on mortgage-backed securities purchased at a discount and periodic payments under interest rate swap contracts.

Notwithstanding a Fund’s estimates and projections, it is possible that a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP or the final tax character of those distributions might later report that the sources of those distributions included capital gains and/or a return of capital. Additionally, given differences in tax and U.S. GAAP treatment of certain distributions, a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP might report that the sources of these distributions included capital gains and/or a return of capital. Please visit www.pimco.com for the most recent Section 19 Notice, if applicable, for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be reported on Form 1099 DIV sent to shareholders each January.

Distributions classified as a tax basis return of capital, if any, are reflected on the Statements of Changes in Net Assets and have been recorded to paid in capital. In addition, other amounts have been reclassified between undistributed (overdistributed) net investment income (loss), accumulated undistributed (overdistributed) net realized gain (loss) and/or paid in capital to more appropriately conform U.S. GAAP to tax characterizations of distributions.

(e) New Accounting Pronouncements  In August 2014, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”), ASU 2014-15 requiring management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern. The ASU is effective prospectively for annual periods ending after December 15, 2016, and interim periods thereafter. The Funds have adopted the ASU. The implementation of the ASU did not have an impact on the Funds’ financial statements.

In May 2015, the FASB issued ASU 2015-07 which removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the NAV per share practical expedient. The ASU also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using the NAV per share practical expedient. The ASU is effective for annual periods beginning after December 15, 2015 and interim periods within those annual periods. The ASU did not have an impact on the Funds’ financial statements.

In August 2016, the FASB issued ASU 2016-15 which amends ASC 230 to clarify guidance on the classification of certain cash receipts and cash payments in the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

SEMIANNUAL REPORT DECEMBER 31, 2016 63

Notes to Financial Statements (Cont.)

In October 2016, the U.S. Securities and Exchange Commission (“SEC”) adopted new rules and forms, and amendments to certain current rules and forms, to modernize reporting and disclosure of information by registered investment companies. The amendments to Regulation S-X will require standardized, enhanced disclosure about derivatives in investment company financial statements, and will also change the rules governing the form and content of such financial statements. The amendments to Regulation S-X take effect on August 1, 2017. At this time, management is assessing the anticipated impact of these regulatory developments.

In November 2016, the FASB issued ASU 2016-18 which amends ASC 230 to provide guidance on the classification and presentation of changes in restricted cash and restricted cash equivalents on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

3. INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

(a) Investment Valuation Policies  The price of a Fund’s shares is based on the Fund’s NAV. The NAV of a Fund, or each of its share classes, as applicable, is determined by dividing the total value of portfolio investments and other assets, less any liabilities attributable to that Fund or class, by the total number of shares outstanding of that Fund or class.

On each day that the New York Stock Exchange (“NYSE”) is open, Fund shares are ordinarily valued as of the close of regular trading (“NYSE Close”). Information that becomes known to the Funds or their agents after the time as of which NAV has been calculated on a particular day will not generally be used to retroactively adjust the price of a security or the NAV determined earlier that day. Each Fund reserves the right to change the time its respective NAV is calculated if the Fund closes earlier, or as permitted by the SEC.

For purposes of calculating NAV, portfolio securities and other assets for which market quotes are readily available are valued at market value. Market value is generally determined on the basis of official closing prices or the last reported sales prices, or if no sales are reported, based on quotes obtained from established market makers or prices (including evaluated prices) supplied by the Funds’ approved pricing services, quotation reporting systems and other third-party sources (together, “Pricing Services”). The Funds will normally use pricing data for domestic equity securities received shortly after the NYSE Close and do not normally take into account trading, clearances or settlements that take place after the NYSE Close. A foreign (non-U.S.) equity security traded on a foreign exchange or on more

than one exchange is typically valued using pricing information from the exchange considered by the Adviser to be the primary exchange. A foreign (non-U.S.) equity security will be valued as of the close of trading on the foreign exchange, or the NYSE Close, if the NYSE Close occurs before the end of trading on the foreign exchange. Domestic and foreign (non-U.S.) fixed income securities, non-exchange traded derivatives, and equity options are normally valued on the basis of quotes obtained from brokers and dealers or Pricing Services using data reflecting the earlier closing of the principal markets for those securities. Prices obtained from Pricing Services may be based on, among other things, information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Certain fixed income securities purchased on a delayed-delivery basis are marked to market daily until settlement at the forward settlement date. Exchange-traded options, except equity options, futures and options on futures are valued at the settlement price determined by the relevant exchange. Swap agreements are valued on the basis of bid quotes obtained from brokers and dealers or market-based prices supplied by Pricing Services or other pricing sources. The Funds’ investments in open-end management investment companies, other than exchange-traded funds (“ETFs”), are valued at the NAVs of such investments.

If a foreign (non-U.S.) equity security’s value has materially changed after the close of the security’s primary exchange or principal market but before the NYSE Close, the security may be valued at fair value based on procedures established and approved by the Board of Trustees of the Trust (the “Board”). Foreign (non-U.S.) equity securities that do not trade when the NYSE is open are also valued at fair value. With respect to foreign (non-U.S.) equity securities, the Fund may determine the fair value of investments based on information provided by Pricing Services and other third-party vendors, which may recommend fair value or adjustments with reference to other securities, indices or assets. In considering whether fair valuation is required and in determining fair values, the Fund may, among other things, consider significant events (which may be considered to include changes in the value of U.S. securities or securities indices) that occur after the close of the relevant market and before the NYSE Close. A Fund may utilize modeling tools provided by third-party vendors to determine fair values of non-U.S. securities. Foreign exchanges may permit trading in foreign (non-U.S.) equity securities on days when the Trust is not open for business, which may result in a Fund’s portfolio investments being affected when shareholders are unable to buy or sell shares.

Senior secured floating rate loans for which an active secondary market exists to a reliable degree will be valued at the mean of the last available bid/ask prices in the market for such loans, as provided by a Pricing Service. Senior secured floating rate loans for which an active secondary market does not exist to a reliable degree will be valued at

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fair value, which is intended to approximate market value. In valuing a senior secured floating rate loan at fair value, the factors considered may include, but are not limited to, the following: (a) the creditworthiness of the borrower and any intermediate participants, (b) the terms of the loan, (c) recent prices in the market for similar loans, if any, and (d) recent prices in the market for instruments of similar quality, rate, period until next interest rate reset and maturity.

Investments valued in currencies other than the U.S. dollar are converted to the U.S. dollar using exchange rates obtained from Pricing Services. As a result, the value of such investments and, in turn, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of investments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Trust is not open for business. As a result, to the extent that a Fund holds foreign (non-U.S.) investments, the value of those investments may change at times when shareholders are unable to buy or sell shares and the value of such investments will be reflected in the Fund’s next calculated NAV.

Investments for which market quotes or market based valuations are not readily available are valued at fair value as determined in good faith by the Board or persons acting at their direction. The Board has adopted methods for valuing securities and other assets in circumstances where market quotes are not readily available, and has delegated to the Adviser the responsibility for applying the fair valuation methods. In the event that market quotes or market based valuations are not readily available, and the security or asset cannot be valued pursuant to a Board approved valuation method, the value of the security or asset will be determined in good faith by the Valuation Oversight Committee of the Board (“Valuation Oversight Committee”), generally based on recommendations provided by the Adviser. The Adviser may consult with the Sub-Adviser or Parametric in providing such recommendations or otherwise with respect to valuation of the PIMCO Dividend and Income Fund’s portfolio securities or other assets. Market quotes are considered not readily available in circumstances where there is an absence of current or reliable market-based data (e.g., trade information, bid/ask information, indicative market quotations (“Broker Quotes”), Pricing Services’ prices), including where events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s securities or assets. In addition, market quotes are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities trade do not open for trading for the entire day and no other market prices are available. The Board has delegated to the Adviser the responsibility for monitoring significant events that may materially affect the values of the Fund’s securities or assets and for

determining whether the value of the applicable securities or assets should be reevaluated in light of such significant events.

When a Fund uses fair valuation to determine the value of a portfolio security or other asset for purposes of calculating its NAV, such investments will not be priced on the basis of quotes from the primary market in which they are traded, but rather may be priced by another method that the Board or persons acting at their direction believe reflects fair value. Fair valuation may require subjective determinations about the value of a security. While the Trust’s policy is intended to result in a calculation of the Fund’s NAV that fairly reflects security values as of the time of pricing, the Trust cannot ensure that fair values determined by the Board or persons acting at their direction would accurately reflect the price that a Fund could obtain for a security if it were to dispose of that security as of the time of pricing (for instance, in a forced or distressed sale). The prices used by a Fund may differ from the value that would be realized if the securities were sold. The Funds’ use of fair valuation may also help to deter “stale price arbitrage” as discussed under the “Abusive Trading Practices” section in each Fund’s prospectus.

(b) Fair Value Hierarchy  U.S. GAAP describes fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. It establishes a fair value hierarchy that prioritizes inputs to valuation methods and requires disclosure of the fair value hierarchy, separately for each major category of assets and liabilities, that segregates fair value measurements into levels (Level 1, 2, or 3). The inputs or methodology used for valuing securities are not necessarily an indication of the risks associated with investing in those securities. Levels 1, 2, and 3 of the fair value hierarchy are defined as follows:

^∎  Level 1 — Quoted prices in active markets or exchanges for identical assets and liabilities.

^∎  Level 2 — Significant other observable inputs, which may include, but are not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs.

^∎  Level 3 — Significant unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, which may include assumptions made by the Board or persons acting at their direction that are used in determining the fair value of investments.

In accordance with the requirements of U.S. GAAP, the amounts of transfers between Levels 1 and 2 and transfers into and out of Level 3,

SEMIANNUAL REPORT DECEMBER 31, 2016 65

Notes to Financial Statements (Cont.)

if material, are disclosed in the Notes to Schedule of Investments for each respective Fund.

For fair valuations using significant unobservable inputs, U.S. GAAP requires a reconciliation of the beginning to ending balances for reported fair values that presents changes attributable to realized gain (loss), unrealized appreciation (depreciation), purchases and sales, accrued discounts (premiums), and transfers into and out of the Level 3 category during the period. The end of period value is used for the transfers between Levels of a Fund’s assets and liabilities. Additionally, U.S. GAAP requires quantitative information regarding the significant unobservable inputs used in the determination of fair value of assets or liabilities categorized as Level 3 in the fair value hierarchy. In accordance with the requirements of U.S. GAAP, a fair value hierarchy, and if material, a Level 3 reconciliation and details of significant unobservable inputs, have been included in the Notes to Schedule of Investments for each respective Fund.

(c) Valuation Techniques and the Fair Value Hierarchy Level 1 and Level 2 trading assets and trading liabilities, at fair value  The valuation methods (or “techniques”) and significant inputs used in determining the fair values of portfolio securities or other assets and liabilities categorized as Level 1 and Level 2 of the fair value hierarchy are as follows:

Common stocks, ETFs, exchange-traded notes and financial derivative instruments, such as futures contracts, rights and warrants, or options on futures that are traded on a national securities exchange, are stated at the last reported sale or settlement price on the day of valuation. To the extent these securities are actively traded and valuation adjustments are not applied, they are categorized as Level 1 of the fair value hierarchy.

Valuation adjustments may be applied to certain securities that are solely traded on a foreign exchange to account for the market movement between the close of the foreign market and the NYSE Close. These securities are valued using Pricing Services that consider the correlation of the trading patterns of the foreign security to the intraday trading in the U.S. markets for investments. Securities using these valuation adjustments are categorized as Level 2 of the fair value hierarchy. Preferred securities and other equities traded on inactive markets or valued by reference to similar instruments are also categorized as Level 2 of the fair value hierarchy.

Equity-linked securities are valued by referencing the last reported sale or settlement price of the linked referenced equity on the day of valuation. Foreign exchange adjustments are applied to the last reported price to convert the linked equity’s trading currency to the

contract’s settling currency. These investments are categorized as Level 2 of the fair value hierarchy.

Investments in registered open-end investment companies (other than ETFs) will be valued based upon the NAVs of such investments and are categorized as Level 1 of the fair value hierarchy. Investments in unregistered open-end investment companies will be calculated based upon the NAVs of such investments and are considered Level 1 provided that the NAVs are observable, calculated daily and are the value at which both purchases and sales will be conducted. Investments in privately held investment funds with significant restrictions on redemption where the inputs to the NAVs are observable will be valued based upon the NAVs of such investments and are categorized as Level 2 of the fair value hierarchy.

Level 3 trading assets and trading liabilities, at fair value  When a fair valuation method is applied by the Adviser that uses significant unobservable inputs, investments will be priced by a method that the Board or persons acting at their direction believe reflects fair value and are categorized as Level 3 of the fair value hierarchy.

The validity of the fair value is reviewed by the Adviser on a periodic basis and may be amended in accordance with the Trust’s valuation procedures.

4. SECURITIES AND OTHER INVESTMENTS

(a) Investments in Affiliates

The PIMCO RAE Fundamental Global Fund may invest substantially all of its assets in Acquired Funds and equity securities that are eligible investments for the Underlying Funds. The PIMCO RAE Fundamental Global ex-US Fund may invest substantially all of its assets in Acquired Funds (except the PIMCO RAE Fundamental US Fund), equity securities of small companies economically tied to non-U.S. countries, and securities that are eligible investments for the International Fund and Emerging Markets Fund. The Underlying Funds are considered to be affiliated with the PIMCO RAE Fundamental Global Fund and PIMCO RAE Fundamental Global ex-US Fund.

Each Fund may invest in the PIMCO Short-Term Floating NAV Portfolio III (“Central Fund”) to the extent permitted by the Act and rules thereunder. The Central Fund is a registered investment company created for use solely by the series of the Trust and other series of registered investment companies advised by the Adviser, in connection with their cash management activities. The main investments of the Central Fund are money market and short maturity fixed income instruments. The Central Fund may incur expenses related to its investment activities, but does not pay Investment Advisory Fees or

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Supervisory and Administrative Fees to the Adviser. The Central Fund is considered to be affiliated with the Funds. The table below shows the Funds’ transactions in and earnings from investments in the affiliated Fund for the period ended December 31, 2016 (amounts in thousands^†):

PIMCO RAE Fundamental Global Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO RAE Fundamental Emerging Markets Fund	$	30,974	$	15,590	$	(583	)	$	(21	)	$	3,430	$	49,390	$	1,345	$	0
PIMCO RAE Fundamental International Fund		106,007		61,538		(744	)		(69	)		8,962		175,694		3,977		0
PIMCO RAE Fundamental U.S. Fund		145,903		46,525		(40,185	)		745			5,037		158,025		3,787		4,600
Totals	$	282,884	$	123,653	$	(41,512	)	$	655		$	17,429	$	383,109	$	9,109	$	4,600

PIMCO RAE Fundamental Global ex-US Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)		Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO RAE Fundamental Emerging Markets Fund	$	14,274	$	733	$	(1,699	)	$	(88	)	$	1,609	$	14,829	$	400	$	0
PIMCO RAE Fundamental International Fund		48,849		2,689		(2,149	)		(304	)		3,608		52,693		1,184		0
Totals	$	63,123	$	3,422	$	(3,848	)	$	(392	)	$	5,217	$	67,522	$	1,584	$	0

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions paid are determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

(b) Investments in Securities

Real Estate Investment Trusts (“REITs”)  Certain Funds may invest in REITs, which are pooled investment vehicles that own, and typically operate, income-producing real estate. If a REIT meets certain requirements, including distributing to shareholders substantially all of its taxable income (other than net capital gains), then it is not taxed on the income distributed to shareholders. Distributions received from REITs may be characterized as income, capital gain or a return of capital. A return of capital is recorded by a Fund as a reduction to the cost basis of its investment in the REIT. REITs are subject to management fees and other expenses, and so the Funds that invest in REITs will bear their proportionate share of the costs of the REITs’ operations.

Restricted Securities  Certain Funds may invest in securities that are subject to legal or contractual restrictions on resale. These securities may generally be sold privately, but are required to be registered or exempted from such registration before being sold to the public. Private placement securities are generally considered to be restricted except for those securities traded between qualified institutional investors under the provisions of Rule 144A of the Securities Act of 1933. Disposal of restricted securities may involve time-consuming negotiations and expenses, and prompt sale at an acceptable price may be difficult to achieve. Restricted securities held by the Funds at December 31, 2016 are disclosed in the Notes to Schedules of Investments.

Warrants  Certain Funds may receive warrants. Warrants are securities that are usually issued together with a debt security or preferred stock

and that give the holder the right to buy a proportionate amount of common stock at a specified price. Warrants are freely transferable and are often traded on major exchanges. Warrants normally have a life that is measured in years and entitle the holder to buy common stock of a company at a price that is usually higher than the market price at the time the warrant is issued. Warrants may entail greater risks than certain other types of investments. Generally, warrants do not carry the right to receive dividends or exercise voting rights with respect to the underlying securities, and they do not represent any rights in the assets of the issuer. In addition, their value does not necessarily change with the value of the underlying securities, and they cease to have value if they are not exercised on or before their expiration date. If the market price of the underlying stock does not exceed the exercise price during the life of the warrant, the warrant will expire worthless. Warrants may increase the potential profit or loss to be realized from the investment as compared with investing the same amount in the underlying securities. Similarly, the percentage increase or decrease in the value of an equity security warrant may be greater than the percentage increase or decrease in the value of the underlying common stock. Warrants may relate to the purchase of equity or debt securities. Debt obligations with warrants attached to purchase equity securities have many characteristics of convertible securities and their prices may, to some degree, reflect the performance of the underlying stock. Debt obligations also may be issued with warrants attached to purchase additional debt securities at the same coupon rate. A decline in interest rates would permit a Fund to sell such warrants at a profit. If interest rates rise, these warrants would generally expire with no value.

SEMIANNUAL REPORT DECEMBER 31, 2016 67

Notes to Financial Statements (Cont.)

5. FINANCIAL DERIVATIVE INSTRUMENTS

The following disclosures contain information on how and why the Funds use financial derivative instruments, and how financial derivative instruments affect the Funds’ financial position, results of operations and cash flows. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the net realized gain (loss) and net change in unrealized appreciation (depreciation) on the Statements of Operations, each categorized by type of financial derivative contract and related risk exposure, are included in a table in the Notes to Schedules of Investments. The financial derivative instruments outstanding as of period end and the amounts of net realized gain (loss) and net change in unrealized appreciation (depreciation) on financial derivative instruments during the period, as disclosed in the Notes to Schedules of Investments, serve as indicators of the volume of financial derivative activity for the Funds.

(a) Forward Foreign Currency Contracts  Certain Funds may enter into forward foreign currency contracts in connection with settling planned purchases or sales of securities, to hedge the currency exposure associated with some or all of a Fund’s securities or as a part of an investment strategy. A forward foreign currency contract is an agreement between two parties to buy and sell a currency at a set price on a future date. The market value of a forward foreign currency contract fluctuates with changes in foreign currency exchange rates. Forward foreign currency contracts are marked to market daily, and the change in value is recorded by a Fund as an unrealized gain (loss). Realized gains (losses) are equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed and are recorded upon delivery or receipt of the currency. These contracts may involve market risk in excess of the unrealized gain (loss) reflected on the Statements of Assets and Liabilities. In addition, a Fund could be exposed to risk if the counterparties are unable to meet the terms of the contracts or if the value of the currency changes unfavorably to the U.S. dollar. To mitigate such risk, cash or securities may be exchanged as collateral pursuant to the terms of the underlying contracts.

6. PRINCIPAL RISKS

In the normal course of business, the Funds (or Acquired Funds) trade financial instruments and enter into financial transactions where risk of potential loss exists due to such things as changes in the market (market risk) or failure or inability of the other party to a transaction to perform (credit and counterparty risk). See below for a detailed description of select principal risks. For a more comprehensive list of potential risks the Funds may be subject to, please see the Important Information About the Funds.

Investments in Mutual Funds  To the extent that certain Funds invest substantially all of their respective assets in Acquired Funds, the risks associated with investing in these Funds will be closely related to the risks associated with the securities and other investments held by the Acquired Funds. The ability of the Funds to achieve their respective investment objectives may depend upon the ability of the Acquired Funds to achieve their respective investment objectives. There can be no assurance that the investment objective of any Acquired Fund will be achieved. The NAV of each Fund will fluctuate in response to changes in the respective NAV of the Acquired Funds in which it invests. The extent to which the investment performance and risks associated with the Funds correlate to those of a particular Acquired Fund will depend upon the extent to which the assets of the Funds are allocated from time to time for investment in the Acquired Funds, which will vary. Investing in Acquired Funds involves certain additional expenses and tax results that would not be present when investing in a mutual fund that invests directly in individual stocks and bonds.

Certain Funds’ investment performance depends upon how each Fund’s assets are allocated and reallocated according to each Fund’s asset allocation targets and ranges. A principal risk of investing in each Fund is that the Funds’ investment adviser will make less than optimal or poor asset allocation decisions. The investment adviser attempts to identify investment allocations for the Acquired Funds that will provide consistent, quality performance for the Funds, but there is no guarantee that such allocation techniques will produce the desired results.

Market Risks  A Fund’s (or Acquired Funds’) investments in financial derivative instruments and other financial instruments expose the Fund to various risks such as, but not limited to, interest rate, foreign (non-U.S.) currency, equity and commodity risks.

The market values of equities, such as common stocks and preferred securities or equity related investments such as futures and options, have historically risen and fallen in periodic cycles and may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. They may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Different types of equity securities may react differently to these developments. Equity securities and equity related investments generally have greater market price volatility than fixed income securities.

Issuers that have paid regular dividends or distributions to shareholders may not continue to do so in the future. An issuer may reduce or

68 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

eliminate future dividends or distributions at any time and for any reason. Moreover, a Fund may use a dividend capture strategy (i.e., purchasing an equity security shortly before the issuer pays a dividend and selling it shortly thereafter), which may expose the Fund to higher portfolio turnover, increased trading costs and the potential for capital loss or gain, particularly in the event of significant short-term price movements of stocks subject to dividend capture trading. Also, securities purchased to capture a dividend often decline in value at the time of sale (i.e., shortly following the dividend) and the resulting realized loss to the Fund may exceed the amount of the dividend received, thereby negatively impacting the Fund’s net asset value.

Interest rate risk is the risk that fixed income securities and other instruments held by a Fund (or Acquired Funds) will decline in value because of an increase in interest rates. As nominal interest rates rise, the value of certain fixed income securities held by a Fund (or Acquired Funds) is likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Interest rate changes can be sudden and unpredictable, and a Fund (or Acquired Funds) may lose money if these changes are not anticipated by the Fund’s (or Acquired Funds’) management. A Fund (or Acquired Funds) may not be able to hedge against changes in interest rates or may choose not to do so for cost or other reasons. In addition, any hedges may not work as intended.

Duration is a measure used to determine the sensitivity of a security’s price to changes in interest rates that incorporates a security’s yield, coupon, final maturity and call features, among other characteristics. Convexity is an additional measure of interest rate sensitivity that measures the rate of change of duration in response to changes in interest rates. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. A wide variety of factors can cause interest rates to rise (e.g., central bank monetary policies, inflation rates, general economic conditions, etc.). At present, the U.S. and many parts of the world, including certain European countries, are at or near historically low interest rates. The Funds (or Acquired Funds) may be subject to heightened interest rate risk because the Fed has ended its quantitative easing program and has begun, and may continue, to raise interest rates. To the extent that the Fed continues to raise interest rates, there is a risk that rates across the financial system may rise. Further, while bond markets have steadily grown over the past three decades, dealer “market making” ability has not kept pace and in some cases has decreased. Given the importance of intermediary “market making” in creating a robust and active market, fixed income securities are currently facing increased volatility and liquidity risks. All of these factors, collectively and/or individually, could cause a Fund (or Acquired Funds) to lose value. If a Fund (or Acquired Funds) lost

enough value, the Fund (or Acquired Funds) could face increased shareholder redemptions, which could force the Fund (or Acquired Funds) to liquidate investments at disadvantageous times or prices, thereby adversely affecting the Fund (or Acquired Funds). Also, the Fund (or Acquired Funds) may be adversely affected when a large shareholder purchases or redeems large amounts of shares, which can occur at any time and may impact the Fund (or Acquired Funds) in the same manner as a high volume of redemption requests. Large shareholder transactions may impact the Fund’s (or Acquired Funds’) liquidity and net asset value. Such transactions may also increase the Fund’s (or Acquired Funds’) transaction costs or otherwise cause the Fund (or Acquired Funds) to perform differently than intended. Moreover, the Fund (or Acquired Funds) is subject to the risk that other shareholders may make investment decisions based on the choices of a large shareholder.

To the extent that a Fund (or Acquired Funds) may invest in securities and instruments that are economically tied to Russia, the Fund (or Acquired Funds) is subject to various risks such as, but not limited to political, economic, legal, market and currency risks. The risks include uncertain political and economic policies, short-term market volatility, poor accounting standards, corruption and crime, an inadequate regulatory system, and unpredictable taxation. Investments in Russia are particularly subject to the risk that further economic sanctions may be imposed by the United States and/or other countries. Such sanctions — which may impact companies in many sectors, including energy, financial services and defense, among others — may negatively impact a Fund’s (or Acquired Funds’) performance and/or ability to achieve its investment objective. The Russian securities market, as compared to U.S. markets, has significant price volatility, less liquidity, a smaller market capitalization and a smaller number of traded securities. Adverse currency exchange rates are a risk and there may be a lack of available currency hedging instruments. Investments in Russia may be subject to the risk of nationalization or expropriation of assets. Oil, natural gas, metals, and timber account for a significant portion of Russia’s exports, leaving the country vulnerable to swings in world prices.

If a Fund (or Acquired Funds) invests directly in foreign (non-U.S.) currencies or in securities that trade in, and receive revenues in, foreign (non-U.S.) currencies, or in financial derivative instruments that provide exposure to foreign (non-U.S.) currencies, it will be subject to the risk that those currencies will decline in value relative to the base currency of the Fund (or Acquired Funds), or, in the case of hedging positions, that the Fund’s (or Acquired Funds’) base currency will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates, intervention (or

SEMIANNUAL REPORT DECEMBER 31, 2016 69

Notes to Financial Statements (Cont.)

the failure to intervene) by U.S. or foreign governments, central banks or supranational entities such as the International Monetary Fund, or by the imposition of currency controls or other political developments in the United States or abroad. As a result, a Fund’s (or Acquired Funds’) investments in foreign currency-denominated securities may reduce the Fund’s (or Acquired Funds’) returns.

Credit and Counterparty Risks  A Fund (or Acquired Funds) will be exposed to credit risk to parties with whom it trades and will also bear the risk of settlement default. A Fund (or Acquired Funds) minimizes concentrations of credit risk by undertaking transactions with a large number of customers and counterparties on recognized and reputable exchanges, where applicable. Over the counter (“OTC”) derivative transactions are subject to the risk that a counterparty to the transaction will not fulfill its contractual obligations to the other party, as many of the protections afforded to centrally cleared derivative transactions might not be available for OTC derivative transactions. For derivatives traded on an exchange or through a central counterparty, credit risk resides with the Fund’s (or Acquired Funds’) clearing broker, or the clearinghouse itself, rather than with a counterparty in an OTC derivative transaction. A Fund (or Acquired Funds) could lose money if the issuer or guarantor of a fixed income security, or the counterparty to a financial derivative instruments contract, repurchase agreement or a loan of portfolio securities, is unable or unwilling to make timely principal and/or interest payments, or to otherwise honor its obligations. Securities and financial derivative instruments are subject to varying degrees of credit risk, which may be reflected in credit ratings.

Similar to credit risk, a Fund (or Acquired Funds) may be exposed to counterparty risk, or the risk that an institution or other entity with which the Fund (or Acquired Funds) has unsettled or open transactions will default. PIMCO, as the Adviser, minimizes counterparty risks to the Funds (or Acquired Funds) through a number of ways. Prior to entering into transactions with a new counterparty, the PIMCO Counterparty Risk Committee conducts an extensive credit review of such counterparty and must approve the use of such counterparty. Furthermore, pursuant to the terms of the underlying contract, to the extent that unpaid amounts owed to a Fund (or Acquired Funds) exceed a predetermined threshold, such counterparty shall advance collateral to the Fund (or Acquired Funds) in the form of cash or securities equal in value to the unpaid amount owed to the Fund (or Acquired Funds). A Fund (or Acquired Funds) may invest such collateral in securities or other instruments and will typically pay interest to the counterparty on the collateral received. If the unpaid amount owed to a Fund (or Acquired Funds) subsequently decreases, the Fund (or Acquired Funds) would be required to return to the counterparty all or a portion of the collateral previously advanced. PIMCO’s attempts to minimize counterparty risk may, however, be unsuccessful.

All transactions in listed securities are settled/paid for upon delivery using approved counterparties. The risk of default is considered minimal, as delivery of securities sold is only made once a Fund (or Acquired Funds) has received payment. Payment is made on a purchase once the securities have been delivered by the counterparty. The trade will fail if either party fails to meet its obligation.

Model Risk  In making investment allocation decisions, Research Affiliates LLC (the “Sub-Adviser”) may utilize quantitative models that may be proprietary or developed by third-parties. These models are used by the Sub-Adviser to help determine a Fund’s investment allocation decisions. Investment models used in making investment allocation decisions may not adequately take into account certain factors and may result in a decline in the value of your investment. Models rely on accurate financial and market data inputs. If inaccurate data is entered into a model, the resulting information will be incorrect. In addition, the models used may be predictive in nature and such models may result in an incorrect assessment of future events. The models evaluate securities or securities markets based on certain assumptions concerning the interplay of market factors. The markets or the prices of individual securities may be affected by factors not foreseen in developing the models.

Master Netting Arrangements  A Fund may be subject to various netting arrangements (“Master Agreements”) with select counterparties. Master Agreements govern the terms of certain transactions, and reduce the counterparty risk associated with relevant transactions by specifying credit protection mechanisms and providing standardization that improves legal certainty. Each type of Master Agreement governs certain types of transactions. Different types of transactions may be traded out of different legal entities or affiliates of a particular organization, resulting in the need for multiple agreements with a single counterparty. As the Master Agreements are specific to unique operations of different asset types, they allow a Fund to close out and net its total exposure to a counterparty in the event of a default with respect to all the transactions governed under a single Master Agreement with a counterparty. For financial reporting purposes the Statements of Assets and Liabilities generally present derivative assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting.

Master Agreements can also help limit counterparty risk by specifying collateral posting arrangements at pre-arranged exposure levels. Under most Master Agreements, collateral is routinely transferred if the total net exposure to certain transactions (net of existing collateral already in place) governed under the relevant Master Agreement with a counterparty in a given account exceeds a specified threshold, which typically ranges from zero to $250,000 depending on the counterparty and the type of Master Agreement. United States Treasury Bills and

70 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

U.S. dollar cash are generally the preferred forms of collateral, although other forms of AAA rated paper or sovereign securities may be used depending on the terms outlined in the applicable Master Agreement. Securities and cash pledged as collateral are reflected as assets on the Statements of Assets and Liabilities as either a component of Investments at value (securities) or Deposits with counterparty. Cash collateral received is not typically held in a segregated account and as such is reflected as a liability on the Statements of Assets and Liabilities as Deposits from counterparty. The market value of any securities received as collateral is not reflected as a component of NAV. A Fund’s overall exposure to counterparty risk can change substantially within a short period, as it is affected by each transaction subject to the relevant Master Agreement.

Master Repurchase Agreements and Global Master Repurchase Agreements (individually and collectively “Master Repo Agreements”) govern repurchase, reverse repurchase, and sale-buyback transactions between a Fund and select counterparties. Master Repo Agreements maintain provisions for, among other things, initiation, income payments, events of default, and maintenance of collateral. The market value of transactions under the Master Repo Agreement, collateral pledged or received, and the net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

Master Securities Forward Transaction Agreements (“Master Forward Agreements”) govern certain forward settling transactions, such as TBA securities, delayed-delivery or sale-buyback transactions by and between a Fund and select counterparties. The Master Forward Agreements maintain provisions for, among other things, transaction initiation and confirmation, payment and transfer, events of default, termination, and maintenance of collateral. The market value of forward settling transactions, collateral pledged or received, and the net exposure by counterparty as of period end is disclosed in the Notes to Schedules of Investments.

Customer Account Agreements and related addenda govern cleared derivatives transactions such as futures, options on futures, and cleared OTC derivatives. Such transactions require posting of initial margin as determined by each relevant clearing agency which is segregated in an account at a futures commission merchant (“FCM”) registered with the Commodity Futures Trading Commission (“CFTC”). In the United States, counterparty risk may be reduced as creditors of an FCM cannot have a claim to Fund assets in the segregated account. Portability of exposure reduces risk to the Funds. Variation margin, or changes in market value, are exchanged daily, but may not be netted between futures and cleared OTC derivatives unless the parties have agreed to a separate arrangement in respect of portfolio margining. The market value or accumulated unrealized appreciation (depreciation), initial

margin posted, and any unsettled variation margin as of period end is disclosed in the Notes to Schedules of Investments.

International Swaps and Derivatives Association, Inc. Master Agreements and Credit Support Annexes (“ISDA Master Agreements”) govern bilateral OTC derivative transactions entered into by a Fund with select counterparties. ISDA Master Agreements maintain provisions for general obligations, representations, agreements, collateral posting and events of default or termination. Events of termination include conditions that may entitle counterparties to elect to terminate early and cause settlement of all outstanding transactions under the applicable ISDA Master Agreement. Any election to terminate early could be material to the financial statements. In limited circumstances, the ISDA Master Agreement may contain additional provisions that add counterparty protection beyond coverage of existing daily exposure if the counterparty has a decline in credit quality below a predefined level. These amounts, if any, may be segregated with a third-party custodian. The market value of OTC financial derivative instruments, collateral received or pledged, and net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

7. FEES AND EXPENSES

(a) Investment Advisory Fee  PIMCO is a majority-owned subsidiary of Allianz Asset Management of America L.P. (“Allianz Asset Management”) and serves as the Adviser to the Trust, pursuant to an investment advisory contract. The Adviser receives a monthly fee from each Fund at an annual rate based on average daily net assets (the “Investment Advisory Fee”). The Investment Advisory Fee for all classes is charged at an annual rate as noted in the table in note (b) below.

(b) Supervisory and Administrative Fee  PIMCO serves as administrator (the “Administrator”) and provides supervisory and administrative services to the Trust for which it receives a monthly supervisory and administrative fee based on each share class’s average daily net assets (the “Supervisory and Administrative Fee”). As the Administrator, PIMCO bears the costs of various third-party services, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs.

SEMIANNUAL REPORT DECEMBER 31, 2016 71

Notes to Financial Statements (Cont.)

Investment Advisory Fees and Supervisory and Administrative Fees for all classes, as applicable, are charged at an annual rate as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

	Investment Advisory Fee		Supervisory and Administrative Fee
Fund Name	All Classes		Institutional Class		Class P		Administrative Class		Class A		Class C		Class R
PIMCO RAE Fundamental Emerging Markets Fund		0.50%		0.45%		0.55%		N/A		0.55%		0.55%		N/A
PIMCO RAE Fundamental Global Fund		0.40%		0.30%		0.40%		N/A		0.40%		0.40%		N/A
PIMCO RAE Fundamental Global ex-US Fund		0.40%		0.35%		0.45%		N/A		0.45%		0.45%		N/A
PIMCO RAE Fundamental International Fund		0.30%		0.30%		0.40%		N/A		0.40%		0.40%		N/A
PIMCO RAE Fundamental US Fund		0.25%		0.25%		0.35%		N/A		0.40%		0.40%		N/A
PIMCO RAE Fundamental US Small Fund		0.35%		0.25%		0.35%		N/A		0.40%		0.40%		N/A

(c) Distribution and Servicing Fees  PIMCO Investments LLC (“PI”), a wholly-owned subsidiary of PIMCO, serves as the distributor (“Distributor”) of the Trust’s shares.

The Trust has adopted separate Distribution and Servicing Plans with respect to the Class A, Class C and Class R shares of the Trust pursuant to Rule 12b-1 under the Act. In connection with the distribution of Class C and Class R shares of the Trust, the Distributor receives distribution fees from the Trust of up to 0.75% for Class C shares and 0.25% for Class R shares, and in connection with personal services rendered to Class A, Class C and Class R shareholders and the maintenance of such shareholder accounts, the Distributor receives servicing fees from the Trust of up to 0.25% for each of Class A, Class C and Class R shares (percentages reflect annual rates of the average daily net assets attributable to the applicable class).

The Trust has adopted a Distribution and Servicing Plan with respect to the Class D shares of each Fund pursuant to Rule 12b-1 under the Act (the “Class D Plan”). Under the terms of the Class D Plan, a Fund is permitted to compensate the Distributor out of the assets attributable to the Class D shares of the Fund, in an amount up to 0.25% on an annual basis of the average daily net assets of the Fund’s Class D shares for providing, or procuring through financial intermediaries, distribution, shareholder services, and/or maintenance of shareholder accounts with respect to Class D shareholders of the Fund, some of which may be deemed to be primarily intended to result in the sale of Class D shares.

The Trust has adopted a Distribution and Servicing Plan with respect to the Administrative Class shares of each Fund pursuant to Rule 12b-1 under the Act (the “Administrative Class Plan”). Under the terms of the Administrative Class Plan, a Fund may compensate the Distributor for providing, or procuring through financial intermediaries, distribution, administrative, recordkeeping, shareholder and/or related services with respect to Administrative Class shares. The Administrative Class Plan permits a Fund to make total payments at an annual rate of up to 0.25% of the average daily net assets attributable to the Administrative Class shares.

The Trust paid distribution and servicing fees at effective rates as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

	Distribution Fee		Servicing Fee
Administrative Class		—		0.25%
Class D		—		0.25%
Class A		—		0.25%
Class C		0.75%		0.25%
Class R		0.25%		0.25%

The Distributor also received the proceeds of the initial sales charges paid by the shareholders upon the purchase of Class A shares and the contingent deferred sales charges paid by the shareholders upon certain redemptions of Class A and Class C shares. For the period ended December 31, 2016, the Distributor retained $44,078 representing commissions (sales charges) and contingent deferred sales charges from the Trust.

(d) Fund Expenses  PIMCO provides or procures supervisory and administrative services for shareholders and also bears the costs of various third-party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs. The Trust is responsible for the following expenses: (i) taxes and governmental fees; (ii) brokerage fees and commissions and other portfolio transaction expenses; (iii) the costs of borrowing money, including interest expense; (iv) fees and expenses of the Trustees who are not “interested persons” of PIMCO or the Trust, and any counsel retained exclusively for their benefit; (v) extraordinary expense, including costs of litigation and indemnification expenses; (vi) organizational expenses; and (vii) any expenses allocated or allocable to a specific class of shares, which include service fees payable with respect to the Administrative Class Shares, and may include certain other expenses as permitted by the Trust’s Multi-Class Plan adopted pursuant to Rule 18f-3 under the Act and subject to review and approval by the Trustees. The ratio of expenses to average net assets per share class, as disclosed on the Financial Highlights, may differ from the annual funds operating expenses per share class.

72 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

Each Trustee, other than those affiliated with PIMCO or its affiliates, receives an annual retainer of $62,000, plus $6,250 for each Board meeting attended in person, $375 ($750 in the case of the audit committee chair with respect to audit committee meetings) for each committee meeting attended and $750 for each Board meeting attended telephonically, plus reimbursement of related expenses. In addition, the audit committee chair receives an additional annual retainer of $9,000, the valuation oversight committee lead receives an additional annual retainer of $2,000 (to the extent there are co-leads of the valuation oversight committee, the annual retainer will be split evenly between the co-leads, so that each co-lead individually receives an additional retainer of $1,000) and the governance committee chair receives an additional annual retainer of $750.

These expenses are allocated on a pro rata basis to each Fund of the Trust according to its respective net assets. The Trust pays no compensation directly to any Trustee or any other officer who is affiliated with the Administrator, all of whom receive remuneration for their services to the Trust from the Administrator or its affiliates.

(e) Expense Limitation  Pursuant to the Expense Limitation Agreement, PIMCO has agreed to waive a portion of the Funds’ Supervisory and Administrative Fee, or reimburse the Funds, to the extent that the payment of each Fund’s organizational expenses and pro rata share of

Trustee Fees exceed 0.0049%, the “Expense Limit” (calculated as a percentage of each Fund’s average daily net assets attributable to each class). The Expense Limitation Agreement will automatically renew for one-year terms unless PIMCO provides written notice to the Trust at least 30 days prior to the end of the then current term.

Pursuant to the Fee Wavier Agreement, PIMCO contractually agreed to waive a portion of the Advisory Fee as set forth in the following table (calculated as a percentage of each Fund’s average daily net assets). The Fee Waiver Agreement will automatically renew for one-year terms unless PIMCO provides written notice to the Trust at least 30 days prior to the end of the then current term. PIMCO may be reimbursed for these waived amounts in future periods, not to exceed thirty-six months after the waiver. The waiver is reflected in the Statements of Operations as a component of Waiver and/or Reimbursement by PIMCO.

Fund Name	Fee Waiver		Expiration Date
PIMCO RAE Fundamental Emerging Markets Fund		0.20%		10/31/2017
PIMCO RAE Fundamental Global Fund		0.20%		10/31/2017
PIMCO RAE Fundamental Global ex-US Fund		0.20%		10/31/2017
PIMCO RAE Fundamental International Fund		0.10%		10/31/2017
PIMCO RAE Fundamental US Fund		0.10%		10/31/2017
PIMCO RAE Fundamental US Small Fund		0.10%		10/31/2017

Amounts waived (under the Expense Limitation Agreement and Fee Waiver Agreement) may be reimbursed to PIMCO, provided that (1) the Fund’s annualized organizational expenses and pro rata share of Trustee Fees plus the amount reimbursed does not exceed the Expense Limit; (2) such amount paid to PIMCO will not exceed the total Reimbursement Amount, which is the portion of the Supervisory and Administrative Fee or Advisory Fee that was waived, reduced or reimbursed by PIMCO; and (3) such amount will not include any amounts previously reimbursed to PIMCO. The recoverable amounts to PIMCO at December 31, 2016, were as follows (amounts in thousands^†):

	Expiring within
Fund Name	12 months		13-24 months		25-36 months		Total
PIMCO RAE Fundamental Emerging Markets Fund	$	0	$	215	$	2,343	$	2,558
PIMCO RAE Fundamental Global Fund		0		115		611		726
PIMCO RAE Fundamental Global ex-US Fund		0		134		134		268
PIMCO RAE Fundamental International Fund		0		140		278		418
PIMCO RAE Fundamental US Fund		0		299		586		885
PIMCO RAE Fundamental US Small Fund		0		104		100		204

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

(f) Acquired Fund Fees and Expenses  The Acquired Fund expenses for the Funds are based upon an allocation of a Fund’s assets among the Acquired Funds and upon the total annual operating expenses of the Institutional Class shares of the Underlying PIMCO Funds. Acquired Fund expenses will vary with changes in the expenses of the Acquired Funds, as well as the allocation of the Funds’ assets.

PIMCO has contractually agreed, through October 31, 2017, to waive, first, the Investment Advisory Fee and, second, the Supervisory and Administrative Fees it receives from the PIMCO RAE Fundamental Global Fund in an amount equal to the expenses attributable to the Investment

Advisory Fees and the Supervisory and Administrative Fees of the PIMCO RAE Fundamental US Fund, PIMCO RAE Fundamental International Fund and PIMCO RAE Fundamental Emerging Markets Fund indirectly incurred by the PIMCO RAE Fundamental Global Fund in connection with its investments in such Funds, to the extent the PIMCO RAE Fundamental Global Fund’s Investment Advisory Fee and Supervisory and Administrative Fees are greater than or equal to the Investment Advisory Fee and Supervisory and Administrative Fees of such Funds. This waiver renews annually for a full year unless terminated by PIMCO upon at least 30 days’ notice prior to the end of the contract term.

SEMIANNUAL REPORT DECEMBER 31, 2016 73

Notes to Financial Statements (Cont.)

PIMCO has contractually agreed, through October 31, 2017, to waive, first, the Investment Advisory Fee and, second, the Supervisory and Administrative Fees it receives from the PIMCO RAE Fundamental Global ex-US Fund in an amount equal to the expenses attributable to the Investment Advisory Fees and the Supervisory and Administrative Fees of the PIMCO RAE Fundamental International Fund and PIMCO RAE Fundamental Emerging Markets Fund indirectly incurred by the PIMCO RAE Fundamental Global ex-US Fund in connection with its investments in such Funds, to the extent the PIMCO RAE Fundamental Global ex-US Fund’s Investment Advisory Fee and Supervisory and Administrative Fees are greater than or equal to the Investment Advisory Fee and Supervisory and Administrative Fees of such Funds. This waiver renews annually for a full year unless terminated by PIMCO upon at least 30 days’ notice prior to the end of the contract term.

The waivers are reflected on the Statements of Operations as a component of Waiver and/or Reimbursement by PIMCO. During the period ended December 31, 2016, the Funds below waived the following fees (amounts in thousands):

Fund Name	Waived Fees
PIMCO RAE Fundamental Global Fund	$	874
PIMCO RAE Fundamental Global ex-US Fund		183

8. RELATED PARTY TRANSACTIONS

The Adviser, Administrator, and Distributor are related parties. Fees payable to these parties are disclosed in Note 7, Fees and Expenses, and the accrued related party fee amounts are disclosed on the Statements of Assets and Liabilities.

9. GUARANTEES AND INDEMNIFICATIONS

Under the Trust’s organizational documents, each Trustee or officer of the Trust is indemnified and each employee or other agent of the Trust (including the Trust’s investment manager) may be indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts.

10. PURCHASES AND SALES OF SECURITIES

The length of time a Fund has held a particular security is not generally a consideration in investment decisions. A change in the securities held by a Fund is known as “portfolio turnover.” Each Fund may engage in frequent and active trading of portfolio securities to achieve its investment objective, particularly during periods of volatile market movements. High portfolio turnover may involve correspondingly greater transaction costs to a Fund, including brokerage commissions or dealer mark-ups and other transaction costs on the sale of securities and reinvestments in other securities. Such sales may also result in realization of taxable capital gains, including short-term capital gains (which are generally taxed at ordinary income tax rates). The transaction costs and tax effects associated with portfolio turnover may adversely affect a Fund’s performance. The portfolio turnover rates are reported in the Financial Highlights.

Purchases and sales of securities (excluding short-term investments) for the period ended December 31, 2016, were as follows (amounts in thousands^†):

	U.S. Government/Agency				All Other
Fund Name	Purchases		Sales		Purchases		Sales
PIMCO RAE Fundamental Emerging Markets Fund	$	0	$	0	$	280,986	$	338,561
PIMCO RAE Fundamental Global Fund		0		0		123,653		41,512
PIMCO RAE Fundamental Global ex-US Fund		0		0		3,422		3,848
PIMCO RAE Fundamental International Fund		0		0		122,048		24,060
PIMCO RAE Fundamental US Fund		0		0		108,698		91,724
PIMCO RAE Fundamental US Small Fund		0		0		24,424		23,487

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

74 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

11. SHARES OF BENEFICIAL INTEREST

The Funds may issue an unlimited number of shares of beneficial interest with a $0.001 par value. Changes in shares of beneficial interest were as follows (shares and amounts in thousands^†):

	PIMCO RAE Fundamental Emerging Markets Fund												PIMCO RAE Fundamental Global Fund												PIMCO RAE Fundamental Global ex-US  Fund
	Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Receipts for shares sold
Institutional Class		8,459		$	78,821			145,199		$	1,158,870			7,820		$	75,411			26,449		$	244,485			109		$	1,026			91		$	769
Class P		461			4,493			544			4,321			9			98			5			49			3			29			0			0
Class A		368			3,564			76			655			24			243			32			295			19			176			9			82
Class C		37			360			12			100			42			407			75			678			25			218			41			350
Issued as reinvestment of distributions
Institutional Class		4,256			40,860			422			3,228			1,225			12,217			234			2,108			180			1,683			84			720
Class P		10			91			8			60			1			5			0			0			0			1			0			0
Class A		4			40			0			1			2			17			0			2			0			4			0			0
Class C		1			9			0			0			3			31			0			3			1			12			0			0
Cost of shares redeemed
Institutional Class		(16,321	)		(160,646	)		(7,631	)		(57,799	)		(677	)		(6,707	)		(265	)		(2,360	)		(286	)		(2,566	)		(43	)		(340	)
Class P		(341	)		(3,272	)		(343	)		(2,532	)		0			(5	)		0			0			0			0			0			0
Class A		(232	)		(2,285	)		(61	)		(504	)		(6	)		(64	)		(2	)		(22	)		0			0			(9	)		(81	)
Class C		(11	)		(108	)		(2	)		(13	)		(8	)		(82	)		(5	)		(40	)		(6	)		(52	)		(1	)		(4	)
Net increase (decrease) resulting from Fund share transactions		(3,309	)	$	(38,073	)		138,224		$	1,106,387			8,435		$	81,571			26,523		$	245,198			45		$	531			172		$	1,496

	PIMCO RAE Fundamental International Fund												PIMCO RAE Fundamental US Fund												PIMCO RAE Fundamental US Small Fund
	Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Receipts for shares sold
Institutional Class		7,672		$	68,452			17,278		$	152,235			6,148		$	62,109			19,612		$	190,056			221		$	2,273			10,568		$	96,202
Class P		644			6,039			189			1,661			320			3,326			403			3,819			40			424			171			1,524
Class A		16			140			4			40			221			2,289			445			4,174			231			2,530			216			1,945
Class C		17			159			41			339			307			3,132			199			1,851			17			179			29			255
Issued as reinvestment of distributions
Institutional Class		815			7,429			595			5,154			2,784			28,874			1,786			16,713			106			1,184			200			1,786
Class P		17			152			3			25			29			305			7			64			2			22			0			3
Class A		0			1			0			0			23			236			5			46			4			39			1			5
Class C		1			9			0			2			22			226			1			9			0			3			0			0
Cost of shares redeemed
Institutional Class		(1,382	)		(12,393	)		(4,401	)		(37,347	)		(6,008	)		(61,663	)		(14,734	)		(138,985	)		(379	)		(3,849	)		(6,719	)		(57,926	)
Class P		(76	)		(677	)		(71	)		(585	)		(72	)		(735	)		(67	)		(636	)		(26	)		(266	)		(15	)		(136	)
Class A		0			0			0			(4	)		(40	)		(408	)		(146	)		(1,397	)		(10	)		(106	)		(35	)		(310	)
Class C		(3	)		(29	)		(6	)		(45	)		(26	)		(261	)		(19	)		(167	)		(3	)		(27	)		(3	)		(28	)
Net increase (decrease) resulting from Fund share transactions		7,721		$	69,282			13,632		$	121,475			3,708		$	37,430			7,492		$	75,547			203		$	2,406			4,413		$	43,320

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

SEMIANNUAL REPORT DECEMBER 31, 2016 75

Notes to Financial Statements (Cont.)

The following table discloses the number of shareholders that own 10% or more of the outstanding shares of a Fund along with their respective percent ownership, if any. Some of these shareholders may be considered related parties, which may include, but are not limited to, the investment manager and its affiliates, affiliated broker dealers, fund of funds and directors or employees of the Trust or Adviser.

	Non Related Parties		Related Parties		Non Related Parties			Related Parties
PIMCO RAE Fundamental Emerging Markets Fund		0		2		0	%		84	%
PIMCO RAE Fundamental Global ex-US Fund		2		0		98			0
RAE Fundamental Global Fund		1		0		18			0
PIMCO RAE Fundamental International Fund		0		3		0			79
PIMCO RAE Fundamental US Fund		0		1		0			27
PIMCO RAE Fundamental US Small Fund		2		0		63			0

12. REGULATORY AND LITIGATION MATTERS

The Funds are not named as defendants in any material litigation or arbitration proceedings and are not aware of any material litigation or claim pending or threatened against them.

PIMCO, the investment manager of the PIMCO Total Return Active Exchange-Traded Fund (“BOND”), has entered into a settlement agreement with the SEC that relates to BOND.

The settlement relates to disclosures regarding BOND’s performance attribution during the first four months of its existence in 2012 and the valuation of 43 smaller-sized positions of non-agency mortgage-backed securities using third-party vendor prices, as well as PIMCO’s policies and procedures related to these matters.

The settlement resolves the SEC’s investigation of BOND.

The foregoing speaks only as of the date of this report.

13. FEDERAL INCOME TAX MATTERS

Each Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code (the “Code”) and distribute all of its taxable income and net realized gains, if applicable, to shareholders. Accordingly, no provision for Federal income taxes has been made.

A Fund may be subject to local withholding taxes, including those imposed on realized capital gains. Any applicable foreign capital gains tax is accrued daily based upon net unrealized gains, and may be payable following the sale of any applicable investments.

In accordance with U.S. GAAP, the Adviser has reviewed the Funds’ tax positions for all open tax years. As of December 31, 2016, the Funds have recorded no liability for net unrecognized tax benefits relating to uncertain income tax positions they have taken or expect to take in future tax returns.

The Funds file U.S. tax returns. While the statute of limitations remains open to examine the Funds’ U.S. tax returns filed for the fiscal years ending in 2013-2015, no examinations are in progress or anticipated at this time. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

Under the Regulated Investment Company Modernization Act of 2010, a fund is permitted to carry forward any new capital losses for an unlimited period. Additionally, such capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term under previous law.

As of their last fiscal year ended June 30, 2016, the Funds had the following post-effective capital losses with no expiration (amounts in thousands^†)⁽¹⁾:

	Short-Term		Long-Term
PIMCO RAE Fundamental Emerging Markets Fund*	$	3,517	$	9,617
PIMCO RAE Fundamental Global Fund		0		0
PIMCO RAE Fundamental Global ex-US Fund		225		0
PIMCO RAE Fundamental International Fund		0		0
PIMCO RAE Fundamental US Fund		0		0
PIMCO RAE Fundamental US Small Fund		0		0

^† A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  *Portion of amount represents realized loss and recognized built-in loss under IRC 382-383, which is carried forward to future years to offset future realized gain subject to certain limitations

76 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

As of December 31, 2016, the aggregate cost and the net unrealized appreciation (depreciation) of investments for Federal income tax purposes are as follows (amounts in thousands^†):

	Federal Tax Cost		Aggregate Gross Unrealized Appreciation		Aggregate Gross Unrealized (Depreciation)			Net Unrealized Appreciation/ (Depreciation)(2)
PIMCO RAE Fundamental Emerging Markets Fund	$	1,252,611	$	265,232	$	(25,245	)	$	239,987
PIMCO RAE Fundamental Global Fund		370,029		13,080		0			13,080
PIMCO RAE Fundamental Global ex-US Fund		71,491		44		(4,013	)		(3,969	)
PIMCO RAE Fundamental International Fund		310,268		31,780		(6,668	)		25,112
PIMCO RAE Fundamental US Fund		455,135		127,218		(9,997	)		117,221
PIMCO RAE Fundamental US Small Fund		81,111		23,294		(2,486	)		20,808

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽²⁾  Primary differences, if any, between book and tax net unrealized appreciation (depreciation) are attributable to wash sale loss deferrals for Federal income tax purposes.

14. SUBSEQUENT EVENTS

On January 24, 2017, the Board approved the automatic conversion of Class C to Class A shares of the same fund after a ten year holding period for all Funds of the PIMCO Equity Series Trust that offer Class C shares. The conversion feature will be effective on April 1, 2017.

There were no other subsequent events identified that require recognition or disclosure.

SEMIANNUAL REPORT DECEMBER 31, 2016 77

Glossary: (abbreviations that may be used in the preceding statements)

(Unaudited)

Currency Abbreviations:
USD (or $)	United States Dollar
Municipal Bond or Agency Abbreviations:
GDR	Global Depositary Receipt
Other Abbreviations:
ADR	American Depositary Receipt	SP - ADR	Sponsored American Depositary Receipt	TBA	To-Be-Announced
REIT	Real Estate Investment Trust	SP - GDR	Sponsored Global Depositary Receipt

78 PIMCO EQUITY SERIES

Approval of Investment Advisory Contract and Other Agreements

(Unaudited)

Approval of Renewal of the Investment Advisory Contract, Sub-Advisory Agreement, Portfolio Implementation Agreement and Second Amended and Restated Supervision and Administration Agreement

At a meeting held on August 17, 2016, the Board of Trustees (the “Board”) of PIMCO Equity Series (the “Trust”), including the Trustees who are not “interested persons” of the Trust under the Investment Company Act of 1940, as amended (the “Independent Trustees”), considered and unanimously approved the renewal of the Investment Advisory Contract (the “Investment Advisory Contract”) between the Trust, on behalf of each of the Trust’s series (the “Funds”), and Pacific Investment Management Company LLC (“PIMCO”) for an additional one-year term through August 31, 2017. The Board also considered and unanimously approved the renewal of the Second Amended and Restated Supervision and Administration Agreement (the “Supervision and Administration Agreement” and together with the Investment Advisory Contract, the “Agreements”) between the Trust, on behalf of the Funds, and PIMCO for an additional one-year term through August 31, 2017. In addition, the Board considered and unanimously approved the renewal of the: (i) Sub-Advisory Agreement (the “Sub-Advisory Agreement”) between PIMCO, on behalf of PIMCO RAE Fundamental Emerging Markets Fund, PIMCO RAE Fundamental Global ex-US Fund, PIMCO RAE Fundamental Global Fund, PIMCO RAE Fundamental International Fund, PIMCO RAE Fundamental US Fund and PIMCO RAE Fundamental US Small Fund (the “RAE Fundamental Funds”), each a series of the Trust, and Research Affiliates, LLC (“Research Affiliates”); and (ii) Portfolio Implementation Agreement (the “Portfolio Implementation Agreement”) between PIMCO, on behalf of the RAE Fundamental Funds, each a series of the Trust, Research Affiliates and Parametric Portfolio Associates LLC (“Parametric”), each for an additional one-year term through August 31, 2017.

The information, material factors and conclusions that formed the basis for the Board’s approvals are summarized below.

1. INFORMATION RECEIVED

(a) Materials Reviewed:  During the course of the past year, the Trustees received a wide variety of materials relating to the services provided by PIMCO, Research Affiliates and Parametric to the Trust. At each of its quarterly meetings, the Board reviewed the Funds’ investment performance and a significant amount of information relating to Fund operations, including shareholder services, valuation and custody, the Funds’ compliance program and other information relating to the nature, extent and quality of services provided by PIMCO, Research Affiliates and Parametric to the Trust and each of the Funds, as applicable. In considering whether to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio

Implementation Agreement, the Board reviewed additional information, including, but not limited to, comparative industry data with regard to investment performance, advisory and supervisory and administrative fees and expenses, financial information for PIMCO and, where relevant, Research Affiliates and Parametric, information regarding the profitability to PIMCO of its relationship with the Funds, information about the personnel providing investment management services, other advisory services and supervisory and administrative services to the Funds, and information about the fees charged and services provided to other clients with similar investment mandates as the Funds, where applicable. In addition, the Board reviewed materials provided by counsel to the Trust and the Independent Trustees, which included, among other things, memoranda outlining legal duties of the Board in considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement.

(b) Review Process:  In connection with considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board reviewed written materials prepared by PIMCO and, where applicable, Research Affiliates and Parametric in response to requests from counsel to the Trust and the Independent Trustees encompassing a wide variety of topics. The Board requested and received assistance and advice regarding, among other things, applicable legal standards from counsel to the Trust and the Independent Trustees, and reviewed comparative fee and performance data prepared at the Board’s request by Lipper, Inc. (“Lipper”), an independent provider of investment company performance information and fee and expense data. The Board received presentations on matters related to the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement and met both as a full Board and in a separate session of the Independent Trustees, without management present, at the August 17, 2016 meeting.

The approval determinations were made on the basis of each Trustee’s business judgment after consideration and evaluation of all the information presented. Individual Trustees may have given different weights to certain factors and assigned various degrees of materiality to information received in connection with the approval process. In deciding to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board did not identify any single factor or particular information that, in isolation, was controlling. The discussion below is intended to summarize the broad factors and information that figured prominently in the Board’s consideration of the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, but is not intended to summarize all of the factors considered by the Board.

SEMIANNUAL REPORT DECEMBER 31, 2016 79

Approval of Investment Advisory Contract and Other Agreements (Cont.)

2. NATURE, EXTENT AND QUALITY OF SERVICES

(a) PIMCO, Research Affiliates, Parametric, their Personnel, and Resources:  The Board considered the depth and quality of PIMCO’s investment management process, including: the experience, capability and integrity of its senior management and other personnel; the overall financial strength and stability of its organization; and the ability of its organizational structure to address changes in the Funds’ asset levels. The Board also considered the various services in addition to portfolio management that PIMCO provides under the Investment Advisory Contract. The Board noted that PIMCO makes available to its investment professionals a variety of resources and systems relating to investment management, compliance, trading, performance and portfolio accounting. The Board also noted PIMCO’s commitment to investing in information technology and infrastructure supporting investment management and compliance, as well as PIMCO’s continuing efforts to attract, retain and promote qualified personnel, including personnel with relevant equities experience, and to maintain and enhance its resources and systems. The Board considered PIMCO’s policies, procedures and systems reasonably designed to assure compliance with applicable laws and regulations and its commitment to further developing and strengthening these programs, its oversight of matters that may involve conflicts of interest between the Funds’ investments and those of other accounts managed by PIMCO, and its efforts to keep the Trustees informed about matters relevant to the Funds and their shareholders. The Board also considered PIMCO’s continuous investment in new disciplines and talented personnel, which has enhanced PIMCO’s services to the Funds and has allowed PIMCO to introduce innovative new funds over time.

The Trustees considered information they had received about the steps that PIMCO has taken with respect to active management of counterparty risk, such as implementing procedures requiring daily collateral adjustments and frequent communication between credit analysts and the Counterparty Risk Committee, which oversees counterparty risk on a firm-wide basis, continually evaluating requests to add or remove approved counterparties as market needs and conditions warrant. The Trustees also considered that PIMCO has continued to strengthen the process it uses to assess the financial stability of counterparties with which the Funds do business, to manage collateral and to protect the Funds from an unforeseen deterioration in the creditworthiness of trading counterparties. The Trustees noted that, consistent with its fiduciary duty, PIMCO executes transactions through a competitive best execution process and uses only those counterparties that meet its stringent and monitored criteria. The Trustees considered that PIMCO’s collateral management team utilizes a counterparty risk system to analyze portfolio level exposure and collateral being exchanged with counterparties.

In addition, the Trustees considered new services and service enhancements that PIMCO has implemented since the Board renewed the Agreements in 2015, including, but not limited to: continuing enhancement of analytics and technology systems; enhancing data processing and security and development tools and applications; continuing investment in its enterprise risk management function, including PIMCO’s cybersecurity program; building specialized talent in the PIMCO Global Advisory Board and continuing to hire new portfolio managers; continuing to expand the Funds Business Group global operating model; developing a website monitoring application to ensure accurate data content; engaging a third-party to perform an independent assessment of the application utilized for income servicing and enhancing the application to provide portfolio managers with more timely and high quality quarterly reporting; establishing a Fund Treasurer’s Office to provide, among other things, guidance with respect to industry and regulatory initiatives; advancing technology developers in global tax management application; conducting an end-to-end review of State Street IMS, custodian and pricing vendor connectivity in connection with the pricing function; continuing development of Pricing Portal to improve identification and feedback to vendors regarding valuations; continuing extensive pricing vendor due diligence; and partnering with Boston Financial Data Services, Inc. to establish secondary call center and other call center enhancements.

Similarly, the Board considered the sub-advisory services provided by Research Affiliates to the RAE Fundamental Funds. The Board also considered Research Affiliates’ supervisory responsibilities with respect to Parametric’s provision of portfolio implementation services to the RAE Fundamental Funds. The Board further considered the depth and quality of Research Affiliates’ investment management and research capabilities, the experience and capabilities of its portfolio management personnel and, in particular, the experience and capabilities of Robert Arnott, Research Affiliates’ principal, and the overall financial strength of the organization.

In addition, the Board considered the portfolio implementation and other operational services provided by Parametric to the RAE Fundamental Funds by, among other things, effecting portfolio transactions on behalf of the RAE Fundamental Funds. The Board also considered information about Parametric’s personnel responsible for providing services under the Portfolio Implementation Agreement. The Board also considered the nature and quality of Parametric’s trading, risk management, and compliance capabilities and resources, including Parametric’s policies and procedures regarding trade aggregation and allocation, which are integral parts of its role as portfolio implementer.

Ultimately, the Board concluded that the nature, extent and quality of services provided by PIMCO under the Agreements, by Research Affiliates under the Sub-Advisory Agreement, and by Parametric under

80 PIMCO EQUITY SERIES

(Unaudited)

the Portfolio Implementation Agreement are likely to continue to benefit the Funds and their shareholders, as applicable.

(b) Other Services:  The Board also considered the nature, extent and quality of supervisory and administrative services provided by PIMCO to the Funds under the Supervision and Administration Agreement. The Board considered the terms of the Supervision and Administration Agreement, under which the Trust pays for the supervisory and administrative services provided pursuant to that agreement under what is essentially an all-in fee structure (the “unified fee”). In return, PIMCO provides or procures certain supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board noted that the scope and complexity, as well as the costs, of the supervisory and administrative services provided by PIMCO under the Supervision and Administration Agreement continue to increase. The Board considered PIMCO’s provision of supervisory and administrative services and its supervision of the Trust’s third party service providers to assure that these service providers continue to provide a high level of service relative to alternatives available in the market.

Ultimately, the Board concluded that the nature, extent and quality of the services provided by PIMCO has benefited, and will likely continue to benefit, the Funds and their shareholders.

3. INVESTMENT PERFORMANCE

The Board reviewed information from PIMCO concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 and other performance data, as available, over short- and long-term periods ended June 30, 2016 (the “PIMCO Report”) and from Lipper concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 (the “Lipper Report”). The Board considered information regarding both the short- and long-term investment performance of each Fund relative to its peer group and relevant benchmark index as provided to the Board in advance of each of its quarterly meetings throughout the year, including the PIMCO Report and Lipper Report, which were provided in advance of the August 17, 2016 meeting.

The Board noted that, according to Lipper, certain Funds had underperformed in comparison to their respective peer groups or benchmark indexes, or both, over short- and long-term periods. The Board discussed with PIMCO the reasons for the underperformance of certain Funds over short- and long-term periods. The Board also discussed actions that have been taken by PIMCO to attempt to improve performance and took note of PIMCO’s plans to monitor performance going forward.

The Board ultimately concluded, within the context of all of its considerations in connection with the Agreements, that PIMCO’s performance record and process in managing the Funds indicates that its continued management is likely to benefit the Funds and their shareholders, and merits the approval of the renewal of the Agreements.

4. ADVISORY FEES, SUPERVISORY AND ADMINISTRATIVE FEES AND TOTAL EXPENSES

The Board considered that PIMCO seeks to price funds to scale at the outset with reference to the total expense ratios of the respective Lipper median, if available, while providing a premium for innovative investment offerings. PIMCO reported to the Board that, in proposing fees for any Fund or class of shares, it considers a number of factors, including, but not limited to, the type and complexity of the services provided, the cost of providing services, the risk assumed by PIMCO in the development of products and the provision of services, the impact on potential returns from different levels of fees, the competitive marketplace for financial products, and the attractiveness of potential Fund returns to current and potential investors. Fees charged to or proposed for different Funds for advisory services and supervisory and administrative services may vary in light of these various factors. The Board also considered that PIMCO reviews the Funds’ fee levels and carefully considers reductions where appropriate.

The Board reviewed the advisory fees, supervisory and administrative fees and total expenses of the Funds (each as a percentage of average net assets) and compared such amounts with the average and median fee and expense levels of other similar funds. The Board also reviewed information relating to the sub-advisory fees paid to Research Affiliates with respect to applicable Funds, taking into account that PIMCO compensates Research Affiliates from the advisory fees paid by such Funds to PIMCO. With respect to advisory fees, the Board reviewed data from Lipper that compared the average and median advisory fees of other funds in a “Peer Group” of comparable funds, as well as the universe of other similar funds. The Board noted that PIMCO had contractually agreed, through October 31, 2016, to reduce its advisory fee by amounts shown in the table below:

PIMCO Dividend and Income Fund	0.16%
PIMCO RAE Fundamental Emerging Markets Fund	0.20%
PIMCO RAE Fundamental Global Fund	0.20%
PIMCO RAE Fundamental Global ex-US Fund	0.20%
PIMCO RAE Fundamental International Fund	0.10%
PIMCO RAE Fundamental US Fund	0.10%
PIMCO RAE Fundamental US Small Fund	0.10%

The Board further noted that the PIMCO Global Dividend Fund, PIMCO Balanced Income Fund, PIMCO U.S. Dividend Fund and PIMCO International Dividend Fund are expected to liquidate on August 26, 2016.

SEMIANNUAL REPORT DECEMBER 31, 2016 81

Approval of Investment Advisory Contract and Other Agreements (Cont.)

The Board also reviewed data comparing the Funds’ advisory fees to the standard and negotiated fee rates PIMCO charges to separate accounts and to other sub-advised clients with similar investment strategies, including differences in advisory services provided. The Board discussed comparisons of fees for Funds with fees for separate accounts and/or PIMCO private/alternative funds with similar investment strategies, noting that for certain Funds, there were no appropriate comparisons because PIMCO did not manage comparable separate accounts at the time that the Board considered the Agreements. The Board noted that the advisory fees (or management fees, where applicable) for most Funds were similar to the fee rates charged to other investment companies with the same investment strategies as the Funds.

Regarding advisory fees charged by PIMCO in its capacity as sub-adviser to third-party/unaffiliated funds, the Trustees took into account that such fees may be lower than the fees charged by PIMCO to serve as adviser to the Funds. The Trustees also took into account that there are various reasons for any such differences in fees, including, but not limited to, the fact that PIMCO may be subject to varying levels of entrepreneurial risk and regulatory requirements, differing legal liabilities on a contract-by-contract basis and different servicing requirements when PIMCO does not serve as the sponsor of a fund and is not principally responsible for all aspects of a fund’s investment program and operations as compared to when PIMCO serves as investment adviser and sponsor. In considering the fees paid by the Funds, the Board noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds.

The Board considered the Funds’ supervisory and administrative fees, comparing them to similar funds in the report supplied by Lipper. The Board also considered that as the Funds’ business has become increasingly complex and the number of Funds has grown over time, PIMCO has provided an increasingly broad array of fund supervisory and administrative functions. In addition, the Board considered the Trust’s unified fee structure, under which the Trust pays for the supervisory and administrative services it requires for one set fee. In return for this unified fee, PIMCO provides or procures supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board further considered that many other funds pay for comparable services separately, and thus it is difficult to directly compare the Trust’s unified supervisory and administrative fees with the fees paid by other funds for administrative services alone. The Board also considered that the unified supervisory and administrative fee leads to Fund fees that are fixed, rather than variable. The Board noted that, although the unified fee structure does not have

breakpoints, it implicitly reflects economies of scale by fixing the absolute level of Fund fees at competitive levels even if the Funds’ operating costs rise when assets remain flat or decrease. The Board considered that the Funds’ unified fee structure meant that fees were not impacted by recent outflows in certain Funds, unlike funds without a unified fee structure, which may see increased expense ratios when fixed costs are passed through to a smaller asset base. The Board concluded that the Funds’ supervisory and administrative fees were reasonable in relation to the value of the services provided, including the services provided to different classes of shareholders, and that the expenses assumed contractually by PIMCO under the Supervision and Administration Agreement represent, in effect, a cap on overall Fund fees, which is beneficial to the Funds and their shareholders.

The Board noted that the Funds’ total expenses continued to be generally in line with those of competitor funds. The Board discussed with PIMCO those Funds and/or classes of Funds that had above median total expenses. Upon comparing the Funds’ total expenses to other funds in the “Peer Groups” provided by Lipper, the Board found total expenses of each Fund to be reasonable.

The Trustees also considered the advisory fees charged to the Funds that operate as funds of funds (the “Funds of Funds”) and the advisory services provided in exchange for such fees. The Trustees determined that such services were in addition to the advisory services provided to the underlying funds in which the Funds of Funds may invest and, therefore, such services were not duplicative of the advisory services provided to the underlying funds. The Board also considered the various fee waiver agreements in place for the Funds of Funds.

Based on the information presented by PIMCO, Research Affiliates, Parametric and Lipper, members of the Board determined, in the exercise of their business judgment, that the level of the advisory fees and supervisory and administrative fees charged by PIMCO under the Agreements, as well as the total expenses of each Fund, are reasonable.

5. ADVISER COSTS, LEVEL OF PROFITS AND ECONOMIES OF SCALE

The Board reviewed information regarding PIMCO’s costs of providing services to the Funds as a whole and considered that PIMCO did not derive any profit from the Funds during the calendar year ended December 31, 2015, and does not expect to derive any profit from the Funds during the calendar year ended December 31, 2016. The Board noted that it had received information regarding the structure and manner in which PIMCO’s investment professionals were compensated, and PIMCO’s view of the relationship of such compensation to the attraction and retention of quality personnel. The Board considered PIMCO’s need to invest in technology, cyber security, information security, shareholder privacy, business continuity planning, infrastructure and staff to reinforce and offer new services and to accommodate changing regulatory requirements.

82 PIMCO EQUITY SERIES

(Unaudited)

With respect to potential economies of scale, the Board noted that PIMCO shares the benefits of economies of scale with the Funds and their shareholders in a number of ways, including through the pricing of Funds to scale from inception and the enhancement of services provided to the Funds in return for fees paid. In considering the advisory fees paid by the Funds, the Board also noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds. The Board considered that the Funds’ unified fee rates had been set competitively and/or priced to scale from inception and continued to be competitive compared with peers. The Board also considered that the unified fee is a transparent means of informing a Fund’s shareholders of the fees associated with the Fund, and that the Fund bears certain expenses that are not covered by the advisory fee or the unified fee. The Board further considered the challenges that arise when managing large funds, which can result in certain “diseconomies” of scale.

The Trustees considered that the unified fee has provided inherent economies of scale because a Fund maintains competitive fixed unified fees even if the particular Fund’s assets decline and/or operating costs rise. The Trustees further considered that, in contrast, breakpoints may be a proxy for charging higher fees on lower asset levels and that when a fund’s assets decline, breakpoints may reverse, which causes expense ratios to increase. The Trustees also considered that, unlike the Funds’ unified fee structure, funds with “pass through” administrative fee structures may experience increased expense ratios when fixed dollar fees are charged against declining fund assets. The Trustees also considered that the unified fee protects shareholders from a rise in operating costs that may result from, among other things, PIMCO’s investments in various business enhancements and infrastructure, including those referenced above. The Trustees noted that PIMCO’s investments in these areas are extensive.

The Board concluded that the Funds’ cost structures were reasonable and that the unified fee structure inherently involves the sharing of economies of scale between PIMCO and each of the Funds, to the benefit of their respective shareholders.

6. ANCILLARY BENEFITS

The Board considered other benefits realized by PIMCO and its affiliates as a result of PIMCO’s relationship with the Trust, including possible ancillary benefits to PIMCO’s institutional investment management business due to the reputation and market penetration of the Trust. The Board also considered that affiliates of PIMCO provide distribution and shareholder services to the Funds and their shareholders, for which they may be compensated through distribution and servicing fees paid pursuant to the Funds’ Rule 12b-1 plans or otherwise. The Board reviewed PIMCO’s soft dollar policies and procedures, noting that while PIMCO has the authority to receive the benefit of research provided by

broker-dealers executing portfolio transactions on behalf of the Funds, it has adopted a policy not to enter into contractual soft dollar arrangements.

7. CONCLUSIONS

Based on their review, including their comprehensive consideration and evaluation of each of the broad factors and information summarized above, the Independent Trustees and the Board as a whole concluded that the nature, extent and quality of the services rendered to the Funds by PIMCO, Research Affiliates and Parametric supported the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement. The Independent Trustees and the Board as a whole concluded that the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement continued to be fair and reasonable to the Funds and their shareholders, that the Funds’ shareholders received reasonable value in return for the fees paid to PIMCO by the Funds under the Agreements, the fees paid to Research Affiliates by PIMCO under the Sub-Advisory Agreement, and the fees paid to Parametric by PIMCO under the Portfolio Implementation Agreement, and that the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement was in the best interests of the Funds and their shareholders.

SEMIANNUAL REPORT DECEMBER 31, 2016 83

Results of Proxy Voting

(Unaudited)

At a special meeting of shareholders held on August 26, 2016, PIMCO sought approval from shareholders of the PIMCO Dividend and Income Fund to enter into a sub-advisory agreement with Research Affiliates, LLC and a portfolio implementation agreement with Research Affiliates, LLC and Parametric Portfolio Associations, LLC.

The results of the proxy solicitation on the preceding matters were as follows:

PIMCO Equity Series

Proposal 1: To approve a sub-advisory agreement for the Fund

For*	Against*	Abstain*
15,360,763	855,024	944,023

Proposal 2: To approve a portfolio implementation agreement for the Fund

For*	Against*	Abstain*
15,324,472	909,160	956,177

* Certain series of the Trust’s shares were held by PIMCO-advised funds or accounts for which PIMCO had discretionary authority to vote proxies. Accordingly, PIMCO voted such shares in proportion to the votes of all other Trust shareholders voting on the proposal.

84 PIMCO EQUITY SERIES

General Information

Investment Adviser and Administrator

Pacific Investment Management Company LLC

650 Newport Center Drive

Newport Beach, CA 92660

Investment Sub-Adviser

Research Affiliates, LLC

620 Newport Center Drive, Suite 900

Newport Beach, CA 92660

Distributor

PIMCO Investments LLC

1633 Broadway

New York, NY 10019

Custodian

State Street Bank and Trust Company

801 Pennsylvania Avenue

Kansas City, MO 64105

Transfer Agent

Boston Financial Data Services

Institutional Class, Class P, Administrative Class, Class D

330 W. 9th Street, 5th Floor

Kansas City, MO 64105

Boston Financial Data Services

Class A, Class C, Class R

P.O. Box 55060

Boston, MA 02205-5060

Legal Counsel

Dechert LLP

1900 K Street, N.W.

Washington, D.C. 20006

Independent Registered Public Accounting Firm

PricewaterhouseCoopers LLP

1100 Walnut Street, Suite 1300

Kansas City, MO 64106

This report is submitted for the general information of the shareholders of the PIMCO Equity Series.

PES4003SAR_123116

PIMCO Equity Series^®

Semiannual Report

December 31, 2016

PIMCO REALPATH^® Blend 2020 Fund

PIMCO REALPATH^® Blend 2025 Fund

PIMCO REALPATH^® Blend 2030 Fund

PIMCO REALPATH^® Blend 2035 Fund

PIMCO REALPATH^® Blend 2040 Fund

PIMCO REALPATH^® Blend 2045 Fund

PIMCO REALPATH^® Blend 2050 Fund

PIMCO REALPATH^® Blend 2055 Fund

PIMCO REALPATH^® Blend Income Fund

Share Classes

∎ Institutional

∎ Administrative

∎ A

Table of Contents

			Page
Chairman’s Letter				2
Important Information About the Funds				4
Expense Examples				26
Financial Highlights				28
Statements of Assets and Liabilities				34
Statements of Operations				38
Statements of Changes in Net Assets				40
Notes to Financial Statements				69
Glossary				90
Approval of Investment Advisory Contract and Other Agreements				91
Results of Proxy Voting				96
Fund	Fund Summary		Schedule of Investments
PIMCO REALPATH® Blend 2020 Fund		8		42
PIMCO REALPATH® Blend 2025 Fund		10		45
PIMCO REALPATH® Blend 2030 Fund		12		48
PIMCO REALPATH® Blend 2035 Fund		14		51
PIMCO REALPATH® Blend 2040 Fund		16		54
PIMCO REALPATH® Blend 2045 Fund		18		57
PIMCO REALPATH® Blend 2050 Fund		20		60
PIMCO REALPATH® Blend 2055 Fund		22		63
PIMCO REALPATH® Blend Income Fund		24		66

This material is authorized for use only when preceded or accompanied by the current PIMCO Equity Series prospectus. The Shareholder Reports for the other series of PIMCO Equity Series are printed separately.

Chairman’s Letter

Dear Shareholder,

Please find enclosed the Semiannual Report for the PIMCO Equity Series covering the six-month reporting period ended December 31, 2016. The following pages contain specific details about the investment performance of each fund and a discussion of the factors that most affected performance during the reporting period.

In June 2016, the unexpected outcome of the U.K. “Brexit” referendum dominated headlines and market movements. Volatility rose as a result and sovereign yields rallied significantly, while risk assets generally underperformed. Steadier commodity prices and fiscal stimulus in China helped bolster market sentiment, even as central banks remained on hold ahead of the Brexit referendum. Softer-than-expected employment data in the U.S. pushed market expectations for the next Federal Reserve (“Fed”) interest rate hike further out into the future, with the Fed continuing to hold rates steady through the end of November.

Leading up to the November 8^th U.S. presidential election, investors generally shook off the surprising result of the Brexit referendum, along with a host of political developments including new leadership in the U.K. and Brazil, and a coup attempt in Turkey. In this environment, volatility generally remained low and risk assets rallied. Central banks featured prominently in the headlines as monetary policy concerns (in particular, the longevity of central bank support) lingered beneath the seemingly benign market environment. The Bank of Japan’s “comprehensive review,” inaction by the European Central Bank (“ECB”), and the Fed’s solidifying path towards a potential interest rate increase in December 2016 all contributed to sovereign yields generally rising during this period. Still, equities moved higher (U.S. stock indices set record highs), credit spreads tightened, and emerging market assets continued to gain.

In the wake of the not expected result of the U.S. election, volatility fell, equities rallied, credit spreads tightened and the U.S. dollar strengthened. In contrast, interest rates rose dramatically as most markets focused on the pro-growth and inflationary potential of fiscal expansion, tax cuts, and deregulation. Part of the rise in interest rates was also due to a sharp increase in inflation expectations. Despite the generally positive risk sentiment towards the end of the reporting period, emerging markets weakened as protectionist rhetoric from the incoming administration weighed on the asset class.

Finally, the ECB at its December 8^th meeting opted to leave its main policy rate unchanged, and announced an expansion of its Quantitative Easing program to exceed $2.4 trillion by the end of 2017. And on December 14^th, the Fed raised its key lending rate, the Federal Funds Rate, by 0.25% to a range of 0.50%-0.75%, representing their second rate increase in ten years.

Highlights of the financial markets during the six-month reporting period include:

^∎  Global developed market equities experienced strong performance amid a period marked by unconventional central bank policy, the continued recovery in commodity prices and higher sovereign yields. U.S. equities, as represented by the S&P 500 Index, returned 7.82% over the reporting period. International equity markets (developed ex-U.S.), as represented by the MSCI EAFE Index returned 5.67%, and 14.06% on a USD-hedged basis over the reporting period. Japanese equities, as represented by the Nikkei 225 Index in JPY, returned 23.83% over the reporting period, and European equities, as represented by the MSCI Europe Index in EUR, returned 10.58% over the reporting period. Following the surprise outcome of the U.K.’s referendum to leave the European Union and accompanying market volatility in June, developed market equities posted strong gains. Global central banks continued down the path of unconventional monetary policy, as the Bank of Japan adopted a yield-curve targeting framework and the ECB extended its asset purchase program. The rally in developed market equities was further supported by the result of the U.S. presidential election, and the possibility of a new paradigm of stronger growth, higher inflation and higher natural interest rates.

^∎  Emerging market equities, as represented by the MSCI Emerging Markets Index, returned 4.49% over the reporting period. Benefits from improving internal and external conditions for many emerging markets economies and the continued recovery in commodity prices offset negative implications of the potential for fiscal stimulus in the U.S., a more hawkish Fed and protectionist trade policies.

2 PIMCO EQUITY SERIES

^∎  U.S. Treasuries, as represented by the Bloomberg Barclays U.S. Treasury Index, declined 4.11% for the reporting period. Yields rose across the U.S. Treasury yield curve in reaction to the Fed’s interest rate increase, rising concern over inflation and strong investor risk appetite. The benchmark ten-year U.S. Treasury note yielded 2.45% at the end of the reporting period, up from 1.49% on June 30, 2016. The Bloomberg Barclays U.S. Aggregate Index, a widely used index of U.S. investment-grade bonds, declined 2.53% for the reporting period.

If you have any questions regarding the PIMCO Equity Series, please contact your account manager or financial adviser, or call one of our shareholder associates at 888.87.PIMCO (888.877.4626). We also invite you to visit our website at www.pimco.com to learn more about our views and global thought leadership.

Thank you again for the trust you have placed in us. We value your commitment and will continue to work diligently to meet your broad investment and investment solution needs.

Sincerely,     Brent R. Harris Chairman of the Board, PIMCO Equity Series   February 21, 2017  

Past performance is no guarantee of future results. Unless otherwise noted, index returns reflect the reinvestment of income dividends and capital gains, if any, but do not reflect fees, brokerage commissions or other expenses of investing. It is not possible to invest directly in an unmanaged index.

SEMIANNUAL REPORT DECEMBER 31, 2016 3

Important Information About the Funds

We believe that equity funds have an important role to play in a well-diversified investment portfolio. It is important to note, however, that equity funds are subject to notable risks. Among other things, equity and equity-related securities may decline in value due to both real and perceived general market, economic, and industry conditions.

The Funds are each “fund of funds,” which is a term used to describe mutual funds that pursue their investment objective by investing in other mutual funds instead of investing directly in stocks or bonds of other issuers. Under normal circumstances, the Funds invest in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended, equity securities, fixed income instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Funds may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (collectively, “Underlying PIMCO Funds”), and unaffiliated funds that are registered under the Investment Company Act of 1940 (collectively, “Acquired Funds”). The risks and strategies associated with an investment in the Fund may result from direct investments and/or indirect exposure through investment in Acquired Funds.

In an environment where interest rates may trend upward, rising rates would negatively impact the performance of certain funds, and fixed-income securities held by a Fund are likely to decrease in value. A number of factors can cause interest rates to rise (e.g., central bank monetary policies, inflation rates, general economic conditions, etc.). In addition, changes in interest rates can be sudden and significant, and there is no guarantee that Fund management will anticipate such movement accurately.

The values of equity securities, such as common stocks and preferred stocks, have historically risen and fallen in periodic cycles and may decline due to general market conditions, which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. Equity securities may also decline due to factors that affect a particular industry or industries, such as labor shortages, increased production costs and competitive conditions within an industry. In addition, the value of an equity security may decline for a number of reasons that directly relate to the issuer, such as management performance, financial leverage and reduced demand for the issuer’s goods or services, as well as the historical and prospective earnings of the issuer and the value of its assets. Different types of equity securities may react differently to these developments and a change in the financial condition of a single issuer may affect securities markets as a whole.

During a general downturn in the securities markets, multiple asset classes, including equity securities, may decline in value simultaneously. The market price of equity securities owned by a Fund may go up or down, sometimes rapidly or unpredictably. Equity securities generally have greater price volatility than fixed income securities and common stocks generally have the greatest appreciation and depreciation potential of all equity securities.

Interest rates in the U.S. are near historically low levels. As such, funds that invest in fixed income securities may currently face an increased exposure to the risks associated with a rising interest rate environment. This is especially true as the Fed ended its quantitative easing program in October 2014 and has begun, and may continue, to raise interest rates. To the extent the Fed continues to raise interest rates, there is a risk that rates across the financial system may rise. Further, while the U.S. bond market has steadily grown over the past three decades, dealer inventories of corporate bonds have remained relatively stagnant. As a result, there has been a significant reduction in the ability of dealers to “make markets.”

Bond funds and individual bonds with a longer duration (a measure used to determine the sensitivity of a security’s price to changes in interest rates) tend to be more sensitive to changes in interest rates, usually making them more volatile than securities or funds with shorter durations. All of the factors mentioned above, individually or collectively, could lead to increased volatility and/or lower liquidity in the fixed income markets or negatively impact a Fund’s performance or cause the Fund to incur losses. As a result, a Fund may experience increased shareholder redemptions, which, among other things, could further reduce the net assets of the Fund.

The Funds may be subject to various risks as described in the Funds’ prospectus. Some of these risks may include, but are not limited to, the following: allocation risk, acquired fund risk, new / small fund risk, equity risk, value investing risk, interest rate risk, call risk, credit risk, high yield and distressed company risk, market risk, issuer risk, liquidity risk, derivatives risk, commodity risk, mortgage-related and other asset-backed securities risk, foreign (non-U.S.) investment risk, real estate risk, emerging market risk, sovereign debt risk, currency risk, leveraging risk, small-cap and mid-cap company risk, management risk, short sale risk, tax risk, subsidiary risk, arbitrage risk, and convertible securities risk. A complete description of these risks is contained in the Funds’ prospectus.

The Funds may use derivative instruments for hedging purposes or as part of an investment strategy. Use of these instruments may involve certain costs and risks such as liquidity risk, interest rate risk, market risk, credit risk, leverage risk, management risk and the risk that a Fund may not be able to close out a position when it would be most advantageous to do so. Changes in regulation relating to a mutual

4 PIMCO EQUITY SERIES

fund’s use of derivatives and related instruments could potentially limit or impact a Fund’s ability to invest in derivatives, limit the Fund’s ability to employ certain strategies that use derivatives and/or adversely affect the value or performance of derivatives and the Fund. Certain derivative transactions may have a leveraging effect on a Fund. For example, a small investment in a derivative instrument may have a significant impact on a Fund’s exposure to interest rates, currency exchange rates or other investments. As a result, a relatively small price movement in an asset, instrument or component of the index underlying a derivative instrument may cause an immediate and substantial loss or gain, which translates into heightened volatility of the Fund. A Fund may engage in such transactions regardless of whether the Fund owns the asset, instrument or components of the index underlying the derivative instrument. A Fund may invest a significant portion of its assets in these types of instruments. If it does, the Fund’s investment exposure could far exceed the value of its portfolio securities and its investment performance could be primarily dependent upon securities it does not own. Investing in foreign (non-U.S.) securities may entail risk due to foreign (non-U.S.) economic and political developments; this risk may be increased when investing in emerging markets.

For example, if a Fund invests in emerging market debt, it may face increased exposure to interest rate, liquidity, volatility, and redemption risk due to the specific economic, political, geographical, or legal background of the foreign (non-U.S.) issuer.

The value of an equity security of an issuer that has paid dividends in the past may decrease if the issuer reduces or eliminates future payments to its shareholders. If the dividends or distributions received by a Fund decrease, the Fund may have less income to distribute to the Fund’s shareholders. In addition, during certain market conditions, the equity securities of issuers that have paid regular dividends or distributions may not be widely available or may be highly concentrated in particular sectors of the market. A Fund may invest a significant portion of its assets in value stocks. Value stocks may perform differently from other types of stocks and the market as a whole. A value stock may decrease in price or may not increase in price as anticipated by PIMCO if it continues to be undervalued by the market or the factors that the portfolio manager believes will cause the stock price to increase do not occur.

The geographical classification of foreign (non-U.S.) securities in this report are classified by the country of incorporation of a holding. In certain instances, a security’s country of incorporation may be different from its country of economic exposure.

The PIMCO REALPATH^® Blend Funds are intended for investors who prefer to have their asset allocation decisions made by professional money managers and are designed to offer individual investors comprehensive asset allocation strategies tailored to the time when they

expect to retire or to begin withdrawing assets. Each PIMCO REALPATH^® Blend Fund is designed for investors expecting to retire or to begin withdrawing portions of their investments around the year indicated in the Fund’s name. The retirement year included in the REALPATH^® Blend Fund’s name does not necessarily represent the specific year you expect to begin withdrawing your assets. It is intended only as a general guide.

The PIMCO REALPATH^® Blend Funds are designed to provide investors with a comprehensive retirement solution tailored to the time when they expect to retire or plan to start withdrawing money (the “target date”). Each PIMCO REALPATH^® Blend Fund follows a target asset allocation schedule that changes over time to help reduce portfolio risk, increasing its exposure to conservative investments as the target date approaches. The principal value of a Fund is not guaranteed at any time, including the target date. A Fund’s shareholders may experience losses, including losses near, at, or after the target year indicated in the PIMCO REALPATH^® Blend Fund’s name.

On each individual Fund Summary page in this Shareholder Report, the Average Annual Total Return table and Cumulative Returns chart measure performance assuming that any dividend and capital gain distributions were reinvested. Returns do not reflect the deduction of taxes that a shareholder would pay on (i) Fund distributions or (ii) the redemption of Fund shares. The Cumulative Returns chart and Average Annual Total Return table reflect any sales load that would have applied at the time of purchase or any Contingent Deferred Sales Charge (“CDSC”) that would have applied if a full redemption occurred on the last business day of the period shown in the Cumulative Returns chart. Class A shares are subject to an initial sales charge. A CDSC may be imposed in certain circumstances on Class A shares that are purchased without an initial sales charge and then redeemed during the first (i) 18 months after purchase for purchases made prior to August 10, 2015 and (ii) 12 months after purchase for purchases made on or after August 10, 2015. The Cumulative Returns chart reflects only Institutional Class performance. Performance for Class P, Administrative Class, Class D, Class A, Class C and Class R shares, if applicable, are typically lower than Institutional Class performance due to the lower expenses paid by Institutional Class shares. Performance shown is net of fees and expenses. The minimum initial investment amount for Institutional Class, Class P and Administrative Class shares is $1,000,000. The minimum initial investment amount for Class A, Class C and Class D shares is $1,000. There is no minimum initial investment for Class R shares. Each Fund measures its performance against at least one broad-based securities market index (“benchmark index”). The benchmark index does not take into account fees, expenses, or taxes. A Fund’s past performance, before and after taxes, is not necessarily an indication of how the Fund will perform in the future.

SEMIANNUAL REPORT DECEMBER 31, 2016 5

Important Information About the Funds (Cont.)

The following table discloses the inception dates of each Fund and its respective share classes along with each Fund’s diversification status as of period end:

Fund Name

Fund Inception

Institutional Class

Class P

Administrative Class

Class D

Class A

Class C

Class R

Diversification Status

PIMCO REALPATH® Blend 2020 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2025 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2030 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2035 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2040 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2045 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2050 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend 2055 Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

PIMCO REALPATH® Blend Income Fund

12/31/14

12/31/14

—

12/31/14

—

12/31/14

—

—

Diversified

An investment in a Fund is not a bank deposit and is not guaranteed or insured by the Federal Deposit Insurance Corporation (“FDIC”) or any other government agency. It is possible to lose money on investments in a Fund.

The Trustees are responsible generally for overseeing the management of the Trust. The Trustees authorize the Trust to enter into service agreements with the Adviser, the Distributor, the Administrator and other service providers in order to provide, and in some cases authorize service providers to procure through other parties, necessary or desirable services on behalf of the Trust and the Funds. Shareholders are not parties to or third-party beneficiaries of such service agreements. Neither a Fund’s prospectus nor a Fund’s summary prospectus, the Trust’s Statement of Additional Information (“SAI”), any contracts filed as exhibits to the Trust’s registration statement, nor any other communications, disclosure documents or regulatory filings (including this report) from or on behalf of the Trust or a Fund creates a contract between or among any shareholder of a Fund, on the one hand, and the Trust, a Fund, a service provider to the Trust or a Fund, and/or the Trustees or officers of the Trust, on the other hand. The Trustees (or the Trust and its officers, service providers or other delegates acting under authority of the Trustees) may amend the most recent prospectus or use a new prospectus, summary prospectus or SAI with respect to a Fund or the Trust, and/or amend, file and/or issue any other communications, disclosure documents or regulatory filings, and may amend or enter into any contracts to which the Trust or a Fund is a party, and interpret the investment objective(s), policies, restrictions and contractual provisions applicable to any Fund, without shareholder

input or approval, except in circumstances in which shareholder approval is specifically required by law (such as changes to fundamental investment policies) or where a shareholder approval requirement is specifically disclosed in the Trust’s then-current prospectus or SAI.

PIMCO has adopted written proxy voting policies and procedures (“Proxy Policy”) as required by Rule 206(4)-6 under the Investment Advisers Act of 1940, as amended. The Proxy Policy has been adopted by the Trust as the policies and procedures that PIMCO will use when voting on behalf of a Fund. A description of the policies and procedures that PIMCO uses to vote proxies relating to portfolio securities of a Fund, and information about how the Fund voted proxies relating to portfolio securities held during the most recent twelve-month period ended June 30th, are available without charge, upon request, by calling the Trust at (888) 87-PIMCO, on the Fund’s website at www.pimco.com, and on the Securities and Exchange Commission’s (“SEC”) website at www.sec.gov.

PIMCO Equity Series files a complete schedule of each Fund’s portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. A copy of a Fund’s Form N-Q is available on the SEC’s website at www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, D.C. A Fund’s Form N-Q will also be available without charge, upon request, by calling the Trust at (888) 87-PIMCO and on the Fund’s website at www.pimco.com. Information on the operation of the Public Reference Room may be obtained by calling 1-800-SEC-0330.

6 PIMCO EQUITY SERIES

(THIS PAGE INTENTIONALLY LEFT BLANK)

SEMIANNUAL REPORT DECEMBER 31, 2016 7

PIMCO REALPATH^® Blend 2020 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2020 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2020 Fund Institutional Class		2.62%		9.22%		2.79%
	PIMCO REALPATH® Blend 2020 Fund Administrative Class		2.48%		8.95%		2.51%
	PIMCO REALPATH® Blend 2020 Fund Class A		2.36%		8.70%		2.31%
	PIMCO REALPATH® Blend 2020 Fund Class A (adjusted)		(3.30)%		2.72%		(0.54)%
	S&P Target Date 2020 Indexª±		3.31%		7.22%		3.44%
	Real Return Target 2020 Index±±		5.95%		2.68%		2.10%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2020 Index to the S&P Target Date 2020 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2020 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2020 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.39% for the Institutional Class shares, 0.64% for the Administrative Class shares and 0.89% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

8 PIMCO EQUITY SERIES

Institutional Class - PBZNX Administrative Class - PBZDX Class A - PBZAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	20.6%
PIMCO Income Fund	13.6%
PIMCO Real Return Fund	10.3%
Vanguard Developed Markets Index Fund ‘Admiral’	9.4%
PIMCO Real Return Asset Fund	9.1%
PIMCO High Yield Fund	7.7%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	6.8%
PIMCO Total Return Fund	5.9%
PIMCO Long Duration Total Return Fund	4.5%
PIMCO Long-Term Credit Fund	4.5%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to U.S. long-term Treasury Inflation-Protected Securities (TIPS) detracted from absolute performance, as U.S. long-term TIPS posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 9

PIMCO REALPATH^® Blend 2025 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2025 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2025 Fund Institutional Class		2.83%		9.26%		2.66%
	PIMCO REALPATH® Blend 2025 Fund Administrative Class		2.70%		9.00%		2.40%
	PIMCO REALPATH® Blend 2025 Fund Class A		2.69%		8.76%		2.18%
	PIMCO REALPATH® Blend 2025 Fund Class A (adjusted)		(2.93)%		2.76%		(0.66)%
	S&P Target Date 2025 Indexª±		4.00%		7.82%		3.70%
	Real Return Target 2025 Index±±		5.85%		2.35%		1.92%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2025 Index to the S&P Target Date 2025 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2025 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2025 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.35% for the Institutional Class shares, 0.60% for the Administrative Class shares and 0.85% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

10 PIMCO EQUITY SERIES

Institutional Class - PPZRX Administrative Class - PPZDX Class A - PPZAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	24.1%
Vanguard Developed Markets Index Fund ‘Admiral’	11.6%
PIMCO Real Return Asset Fund	10.4%
PIMCO Income Fund	10.2%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	8.5%
PIMCO High Yield Fund	7.7%
PIMCO Real Return Fund	7.2%
PIMCO Long-Term Credit Fund	5.2%
PIMCO Long Duration Total Return Fund	5.1%
Vanguard Small-Cap Index Fund ‘Admiral’	3.7%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to U.S. long-term Treasury Inflation-Protected Securities (TIPS) detracted from absolute performance, as U.S. long-term TIPS posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 11

PIMCO REALPATH^® Blend 2030 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2030 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2030 Fund Institutional Class		3.89%		10.79%		3.03%
	PIMCO REALPATH® Blend 2030 Fund Administrative Class		3.68%		10.58%		2.79%
	PIMCO REALPATH® Blend 2030 Fund Class A		3.56%		10.19%		2.48%
	PIMCO REALPATH® Blend 2030 Fund Class A (adjusted)		(2.09)%		4.16%		(0.37)%
	S&P Target Date 2030 Indexª±		4.61%		8.35%		3.93%
	Real Return Target 2030 Index±±		5.71%		1.80%		1.63%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2030 Index to the S&P Target Date 2030 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2030 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2030 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.32% for the Institutional Class shares, 0.57% for the Administrative Class shares and 0.82% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

12 PIMCO EQUITY SERIES

Institutional Class - PBPNX Administrative Class - PBPRX Class A - PBPAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	28.0%
Vanguard Developed Markets Index Fund ‘Admiral’	13.3%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	9.6%
PIMCO Income Fund	8.8%
PIMCO Real Return Asset Fund	8.3%
PIMCO High Yield Fund	7.5%
PIMCO Long-Term Credit Fund	4.1%
PIMCO Long Duration Total Return Fund	4.1%
Vanguard Small-Cap Index Fund ‘Admiral’	4.0%
PIMCO Real Return Fund	3.2%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to U.S. long-term Treasury Inflation-Protected Securities (TIPS) detracted from absolute performance, as U.S. long-term TIPS posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 13

PIMCO REALPATH^® Blend 2035 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2035 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2035 Fund Institutional Class		4.44%		11.05%		2.98%
	PIMCO REALPATH® Blend 2035 Fund Administrative Class		4.22%		10.68%		2.65%
	PIMCO REALPATH® Blend 2035 Fund Class A		4.12%		10.46%		2.48%
	PIMCO REALPATH® Blend 2035 Fund Class A (adjusted)		(1.65)%		4.44%		(0.37)%
	S&P Target Date 2035 Indexª±		5.23%		8.85%		4.15%
	Real Return Target 2035 Index±±		5.54%		1.03%		1.23%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2035 Index to the S&P Target Date 2035 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2035 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-deter mined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2035 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.28% for the Institutional Class shares, 0.53% for the Administrative Class shares and 0.78% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

14 PIMCO EQUITY SERIES

Institutional Class - PDGZX Administrative Class - PDGDX Class A - PDGAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	32.2%
Vanguard Developed Markets Index Fund ‘Admiral’	15.5%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	10.8%
PIMCO Income Fund	8.1%
PIMCO High Yield Fund	7.1%
Vanguard Small-Cap Index Fund ‘Admiral’	4.7%
PIMCO Real Return Asset Fund	4.1%
PIMCO Long Duration Total Return Fund	2.7%
PIMCO Long-Term Credit Fund	2.7%
PIMCO Real Return Fund	2.0%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to real estate investment trusts (REITs) detracted from absolute performance, as REITs posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 15

PIMCO REALPATH^® Blend 2040 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2040 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2040 Fund Institutional Class		4.44%		10.65%		3.05%
	PIMCO REALPATH® Blend 2040 Fund Administrative Class		4.42%		10.39%		2.81%
	PIMCO REALPATH® Blend 2040 Fund Class A		4.29%		10.13%		2.57%
	PIMCO REALPATH® Blend 2040 Fund Class A (adjusted)		(1.43)%		4.04%		(0.28)%
	S&P Target Date 2040 Indexª±		5.68%		9.23%		4.29%
	Real Return Target 2040 Index±±		5.33%		0.20%		0.80%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2040 Index to the S&P Target Date 2040 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2040 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2040 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.25% for the Institutional Class shares, 0.50% for the Administrative Class shares and 0.75% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

16 PIMCO EQUITY SERIES

Institutional Class - PVPNX Administrative Class - PVPRX Class A - PVPAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	35.0%
Vanguard Developed Markets Index Fund ‘Admiral’	17.1%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	11.9%
PIMCO Income Fund	6.5%
PIMCO High Yield Fund	5.5%
Vanguard Small-Cap Index Fund ‘Admiral’	5.1%
PIMCO Real Return Fund	2.1%
PIMCO Real Return Asset Fund	2.0%
PIMCO Long Duration Total Return Fund	1.8%
PIMCO Long-Term Credit Fund	1.8%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to real estate investment trusts (REITs) detracted from absolute performance, as REITs posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 17

PIMCO REALPATH^® Blend 2045 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2045 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2045 Fund Institutional Class		4.56%		10.38%		2.78%
	PIMCO REALPATH® Blend 2045 Fund Administrative Class		4.35%		10.04%		2.50%
	PIMCO REALPATH® Blend 2045 Fund Class A		4.21%		9.76%		2.26%
	PIMCO REALPATH® Blend 2045 Fund Class A (adjusted)		(1.52)%		3.68%		(0.59)%
	S&P Target Date 2045 Indexª±		6.06%		9.54%		4.41%
	Real Return Target 2045 Index±±		5.12%		(0.47)%		0.47%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2045 Index to the S&P Target Date 2045 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2045 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2045 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.23% for the Institutional Class shares, 0.48% for the Administrative Class shares and 0.73% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

18 PIMCO EQUITY SERIES

Institutional Class - PVQNX Administrative Class - PVQDX Class A - PVQAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	37.0%
Vanguard Developed Markets Index Fund ‘Admiral’	18.1%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	13.0%
Vanguard Small-Cap Index Fund ‘Admiral’	5.1%
PIMCO Income Fund	4.4%
PIMCO High Yield Fund	3.4%
PIMCO Real Return Asset Fund	2.1%
PIMCO Emerging Local Bond Fund	2.0%
PIMCO Real Return Fund	2.0%
PIMCO Long-Term Credit Fund	1.5%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to emerging market equities benefited absolute performance, as emerging market equities posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to real estate investment trusts (REITs) detracted from absolute performance, as REITs posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 19

PIMCO REALPATH^® Blend 2050 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2050 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2050 Fund Institutional Class		4.68%		10.31%		2.91%
	PIMCO REALPATH® Blend 2050 Fund Administrative Class		4.55%		10.04%		2.65%
	PIMCO REALPATH® Blend 2050 Fund Class A		4.43%		9.83%		2.40%
	PIMCO REALPATH® Blend 2050 Fund Class A (adjusted)		(1.31)%		3.74%		(0.45)%
	S&P Target Date 2050 Indexª±		6.40%		9.74%		4.51%
	Real Return Target 2050 Index±±		4.87%		(0.98)%		0.26%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 2050 Index to the S&P Target Date 2050 Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 2050 Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 2050 Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.21% for the Institutional Class shares, 0.46% for the Administrative Class shares and 0.71% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

20 PIMCO EQUITY SERIES

Institutional Class - PPQZX Administrative Class - PPQDX Class A - PPQAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	38.9%
Vanguard Developed Markets Index Fund ‘Admiral’	18.8%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	13.5%
Vanguard Small-Cap Index Fund ‘Admiral’	5.1%
PIMCO Income Fund	3.6%
PIMCO High Yield Fund	2.6%
PIMCO Real Return Fund	2.1%
PIMCO Emerging Local Bond Fund	2.1%
PIMCO Long-Term Credit Fund	1.5%
PIMCO Long Duration Total Return Fund	1.5%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to emerging market equities benefited absolute performance, as emerging market equities posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to real estate investment trusts (REITs) detracted from absolute performance, as REITs posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 21

PIMCO REALPATH^® Blend 2055 Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend 2055 Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. The primary difference between the PIMCO REALPATH^® Blend Funds is their asset allocation, which varies depending on the number of years left until the “self-elected” year of retirement indicated in the PIMCO REALPATH^® Blend Fund’s name.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches the target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend 2055 Fund Institutional Class		4.69%		10.30%		2.88%
	PIMCO REALPATH® Blend 2055 Fund Administrative Class		4.59%		10.07%		2.62%
	PIMCO REALPATH® Blend 2055 Fund Class A		4.31%		9.77%		2.30%
	PIMCO REALPATH® Blend 2055 Fund Class A (adjusted)		(1.43)%		3.69%		(0.54)%
	S&P Target Date 2055+ Indexª±		6.67%		9.94%		4.56%
	Real Return Target 40+ Index±±		4.69%		(1.30)%		0.11%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target 40+ Index to the S&P Target Date 2055+ Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target 40+ Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to e.ach asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target 40+ Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

t is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.21% for the Institutional Class shares, 0.46% for the Administrative Class and 0.71% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

22 PIMCO EQUITY SERIES

Institutional Class - PRQZX Administrative Class - PRQDX Class A - PRQAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	39.9%
Vanguard Developed Markets Index Fund ‘Admiral’	19.1%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	13.7%
Vanguard Small-Cap Index Fund ‘Admiral’	5.2%
PIMCO Income Fund	3.6%
PIMCO High Yield Fund	2.6%
PIMCO Emerging Local Bond Fund	2.1%
PIMCO Real Return Fund	2.0%
PIMCO Long-Term Credit Fund	1.6%
PIMCO Long Duration Total Return Fund	1.5%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to emerging market equities benefited absolute performance, as emerging market equities posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to real estate investment trusts (REITs) detracted from absolute performance, as REITs posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 23

PIMCO REALPATH^® Blend Income Fund

Cumulative Returns Through December 31, 2016

$1,000,000 invested at the end of the month when the Fund’s Institutional Class commenced operations.

Investment Objective and Strategy Overview

PIMCO REALPATH^® Blend Income Fund seeks to maximize total return, consistent with prudent investment management, by investing under normal circumstances in a combination of affiliated and unaffiliated funds that are registered under the Investment Company Act of 1940, as amended (the “1940 Act”), equity securities, Fixed Income Instruments of varying maturities, or related derivatives on any of the preceding securities mentioned. The Fund may invest in Institutional Class or Class M shares of any funds of the PIMCO Equity Series (the “Trust”) and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the 1940 Act (collectively, “Acquired Funds”). Under normal circumstances, the Fund seeks to invest substantially all of its equity exposure in index tracking securities, including investments in affiliated or unaffiliated investment companies, which will be registered under the 1940 Act, or related derivatives on such securities or indexes. “Fixed Income Instruments” include bonds, debt securities and other similar instruments issued by various U.S. and non-U.S. public- or private-sector entities. Unlike the other PIMCO REALPATH^® Blend Funds, the Fund does not include a “self-elected” year of retirement in its name because the Fund is managed for shareholders who are retired or about to retire soon and are more focused on preservation of capital and withdrawing portions of their investments.

The Fund’s long-term asset allocations are based on a “glide path” developed by PIMCO and are based on quantitative and qualitative data relating to various risk metrics, long-term market trends, correlation of asset types and actuarial assumptions of life expectancy and retirement. The glide path changes over time, generally becoming more conservative as the Fund approaches its target date, and the Fund’s asset allocation is based on the glide path at its target date. Fund strategies may change from time to time. Please refer to the Fund’s current prospectus for more information regarding the Fund’s strategy.

Average Annual Total Return for the period ended December 31, 2016
		6 Months*		1 Year		Fund Inception (12/31/14)
	PIMCO REALPATH® Blend Income Fund Institutional Class		2.58%		8.90%		2.95%
	PIMCO REALPATH® Blend Income Fund Administrative Class		2.56%		8.74%		2.71%
	PIMCO REALPATH® Blend Income Fund Class A		2.44%		8.40%		2.48%
	PIMCO REALPATH® Blend Income Fund Class A (adjusted)		(3.22)%		2.47%		(0.37)%
	S&P Target Date Retirement Income Indexª±		0.89%		5.01%		2.38%
	Real Return Target Today Index±±		6.02%		2.82%		2.17%

All Fund returns are net of fees and expenses.

* Cumulative return.

^ª As of June 30, 2016, the Fund’s benchmark was changed from the Real Return Target Today Index to the S&P Target Date Retirement Income Index, which more closely aligns with the Fund’s principal investment strategies. The Real Return Target Today Index was discontinued as of this date.

^± The S&P Target Date Index Series is comprised of eleven multi-asset class indices, each corresponding to a particular target retirement date. Each index provides varying levels of exposure to each asset class. Each target date allocation is created and retired according to a pre-determined schedule related to the respective target date, as indicated in the index name, and is based on market observations through an annual survey of target date fund managers.

^±± Real Return Target Today Index is a composite of other indices. The sub-indices represent stocks, bonds, TIPs, commodities and real estate securities. The component asset classes are weighted within each index to reflect a targeted level of risk at the beginning and end of the investment horizon. Over time, the weights are adjusted based on predetermined formulas to systematically reduce the level of potential risk as the index’s maturity date approaches.

It is not possible to invest directly in an unmanaged index.

Performance quoted represents past performance. Past performance is not a guarantee or a reliable indicator of future results. Current performance may be lower or higher than performance shown. Investment return and the principal value of an investment will fluctuate. Shares may be worth more or less than original cost when redeemed. Returns shown do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. Differences in the Fund’s performance versus the index and related attribution information with respect to particular categories of securities or individual positions may be attributable, in part, to differences in the pricing methodologies used by the Fund and the index. The adjusted returns take into account the maximum sales charge of 5.50% on Class A shares. For performance current to the most recent month-end, visit www.pimco.com or call (888) 87-PIMCO.

The Fund’s total annual operating expense ratio as stated in the Fund’s current prospectus, which includes the Acquired Fund Fees and Expenses (Underlying PIMCO Fund Expenses), as supplemented, is 0.39% for the Institutional Class shares, 0.64% for the Administrative Class shares and 0.89% for the Class A shares. Details regarding any Fund’s operating expenses can be found in the Fund’s prospectus.

24 PIMCO EQUITY SERIES

Institutional Class - PBRNX Administrative Class - PBRDX Class A - PBRAX

Top 10 Holdings as of 12/31/2016^1§

Vanguard 500 Index Fund ‘Admiral’	19.1%
PIMCO Income Fund	16.7%
PIMCO Real Return Fund	10.1%
PIMCO Total Return Fund	9.1%
Vanguard Developed Markets Index Fund ‘Admiral’	8.2%
PIMCO High Yield Fund	7.7%
PIMCO Real Return Asset Fund	7.1%
Vanguard Emerging Markets Stock Index Fund ‘Admiral’	6.0%
PIMCO Long-Term Credit Fund	3.5%
PIMCO Long Duration Total Return Fund	3.5%

¹ % of Investments, at value.

^§ Top 10 Holdings and % of Investments exclude securities sold short, financial derivative instruments and short-term instruments, if any.

Fund Insights

The following impacted performance during the reporting period:

» Exposure to U.S. large market capitalization equities benefited absolute performance, as U.S. large market capitalization equities posted positive returns.

» Exposure to U.S. high yield credit benefited absolute performance, as U.S. high yield credit posted positive returns.

» Exposure to developed ex-U.S. equities benefited absolute performance, as developed ex-U.S. equities posted positive returns.

» Exposure to U.S. small market capitalization equities benefited absolute performance, as U.S. small market capitalization equities posted positive returns.

» Exposure to U.S. long-term Treasuries detracted from absolute performance, as U.S. long-term Treasuries posted negative returns.

» Exposure to U.S. core fixed income detracted from absolute performance, as U.S. core fixed income posted negative returns.

SEMIANNUAL REPORT DECEMBER 31, 2016 25

Expense Examples

Example

As a shareholder of a Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and exchange fees and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees, and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in a Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for all Funds and share classes is from July 1, 2016 to December 31, 2016 unless noted otherwise in the table and footnotes below.

Actual Expenses

The information in the table under the heading “Actual” provides information about actual account values and actual expenses. You may use the information in these columns, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.60), then multiply the result by the number in the appropriate row for your share class, in the column entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads) on purchase payments and exchange fees. Therefore, the information under the heading “Hypothetical (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Expense ratios may vary from period to period because of various factors such as an increase in expenses that are not covered by the management fees, such as fees and expenses of the independent trustees and their counsel, extraordinary expenses and interest expense.

	Actual						Hypothetical (5% return before expenses)
	Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Net Annualized Expense Ratio**
PIMCO REALPATH® Blend 2020 Fund
Institutional Class	$	1,000.00	$	1,026.20	$	0.21	$	1,000.00	$	1,025.28	$	0.21		0.04	%
Administrative Class		1,000.00		1,024.80		1.50		1,000.00		1,024.00		1.50		0.29
Class A		1,000.00		1,023.60		2.78		1,000.00		1,022.73		2.78		0.54
PIMCO REALPATH® Blend 2025 Fund
Institutional Class	$	1,000.00	$	1,028.30	$	0.21	$	1,000.00	$	1,025.28	$	0.21		0.04	%
Administrative Class		1,000.00		1,027.00		1.50		1,000.00		1,024.00		1.50		0.29
Class A		1,000.00		1,026.90		2.79		1,000.00		1,022.73		2.78		0.54
PIMCO REALPATH® Blend 2030 Fund
Institutional Class	$	1,000.00	$	1,038.90	$	0.26	$	1,000.00	$	1,025.22	$	0.26		0.05	%
Administrative Class		1,000.00		1,036.80		1.56		1,000.00		1,023.95		1.55		0.30
Class A		1,000.00		1,035.60		2.85		1,000.00		1,022.68		2.83		0.55
PIMCO REALPATH® Blend 2035 Fund
Institutional Class	$	1,000.00	$	1,044.40	$	0.31	$	1,000.00	$	1,025.17	$	0.31		0.06	%
Administrative Class		1,000.00		1,042.20		1.61		1,000.00		1,023.90		1.60		0.31
Class A		1,000.00		1,041.20		2.91		1,000.00		1,022.63		2.89		0.56

26 PIMCO EQUITY SERIES

	Actual						Hypothetical (5% return before expenses)
	Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Beginning Account Value (07/01/16)		Ending Account Value (12/31/16)		Expenses Paid During Period*		Net Annualized Expense Ratio**
PIMCO REALPATH® Blend 2040 Fund
Institutional Class	$	1,000.00	$	1,044.40	$	0.31	$	1,000.00	$	1,025.17	$	0.31		0.06	%
Administrative Class		1,000.00		1,044.20		1.61		1,000.00		1,023.90		1.60		0.31
Class A		1,000.00		1,042.90		2.91		1,000.00		1,022.63		2.89		0.56
PIMCO REALPATH® Blend 2045 Fund
Institutional Class	$	1,000.00	$	1,045.60	$	0.31	$	1,000.00	$	1,025.17	$	0.31		0.06	%
Administrative Class		1,000.00		1,043.50		1.61		1,000.00		1,023.90		1.60		0.31
Class A		1,000.00		1,042.10		2.91		1,000.00		1,022.63		2.89		0.56
PIMCO REALPATH® Blend 2050 Fund
Institutional Class	$	1,000.00	$	1,046.80	$	0.31	$	1,000.00	$	1,025.17	$	0.31		0.06	%
Administrative Class		1,000.00		1,045.50		1.62		1,000.00		1,023.90		1.60		0.31
Class A		1,000.00		1,044.30		2.92		1,000.00		1,022.63		2.89		0.56
PIMCO REALPATH® Blend 2055 Fund
Institutional Class	$	1,000.00	$	1,046.90	$	0.31	$	1,000.00	$	1,025.17	$	0.31		0.06	%
Administrative Class		1,000.00		1,045.90		1.62		1,000.00		1,023.90		1.60		0.31
Class A		1,000.00		1,043.10		2.92		1,000.00		1,022.63		2.89		0.56
PIMCO REALPATH® Blend Income Fund
Institutional Class	$	1,000.00	$	1,025.80	$	0.21	$	1,000.00	$	1,025.28	$	0.21		0.04	%
Administrative Class		1,000.00		1,025.60		1.50		1,000.00		1,024.00		1.50		0.29
Class A		1,000.00		1,024.40		2.79		1,000.00		1,022.73		2.78		0.54

* Expenses Paid During Period are equal to the net annualized expense ratio for the class, multiplied by the average account value over the period, multiplied by 186/365 (to reflect the one-half year period).

** Net Annualized Expense Ratio is reflective of any applicable contractual fee waivers and/or expense reimbursements or voluntary fee waivers. Details regarding fee waivers can be found in Note 7 in the Notes to Financial Statements.

SEMIANNUAL REPORT DECEMBER 31, 2016 27

Financial Highlights

			Investment Operations							Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net  Investment Income(a)		Net Realized/ Unrealized Gain (Loss)			Total		From Net Investment Income			From Net Realized Capital Gains			Tax Basis Return of Capital		Total
PIMCO REALPATH® Blend 2020 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.90	$	0.16	$	0.10		$	0.26	$	(0.16	)	$	0.00		$	0.00	$	(0.16	)
06/30/2016		9.97		0.32		(0.06	)		0.26		(0.31	)		(0.02	)		0.00		(0.33	)
12/31/2014 - 06/30/2015		10.00		0.11		(0.09	)		0.02		(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.90		0.15		0.10			0.25		(0.15	)		0.00			0.00		(0.15	)
06/30/2016		9.97		0.29		(0.06	)		0.23		(0.28	)		(0.02	)		0.00		(0.30	)
12/31/2014 - 06/30/2015		10.00		0.10		(0.09	)		0.01		(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.91		0.14		0.09			0.23		(0.13	)		0.00			0.00		(0.13	)
06/30/2016		9.97		0.27		(0.06	)		0.21		(0.25	)		(0.02	)		0.00		(0.27	)
12/31/2014 - 06/30/2015		10.00		0.09		(0.09	)		0.00		(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2025 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.85	$	0.16	$	0.12		$	0.28	$	(0.16	)	$	0.00		$	0.00	$	(0.16	)
06/30/2016		9.99		0.32		(0.12	)		0.20		(0.32	)		(0.02	)		0.00		(0.34	)
12/31/2014 - 06/30/2015		10.00		0.12		(0.08	)		0.04		(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.85		0.15		0.12			0.27		(0.15	)		0.00			0.00		(0.15	)
06/30/2016		9.99		0.28		(0.11	)		0.17		(0.29	)		(0.02	)		0.00		(0.31	)
12/31/2014 - 06/30/2015		10.00		0.11		(0.08	)		0.03		(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.85		0.13		0.13			0.26		(0.13	)		0.00			0.00		(0.13	)
06/30/2016		9.99		0.24		(0.10	)		0.14		(0.26	)		(0.02	)		0.00		(0.28	)
12/31/2014 - 06/30/2015		10.00		0.10		(0.08	)		0.02		(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2030 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.87	$	0.16	$	0.22		$	0.38	$	(0.22	)	$	0.00		$	0.00	$	(0.22	)
06/30/2016		10.00		0.31		(0.16	)		0.15		(0.25	)		(0.03	)		0.00		(0.28	)
12/31/2014 - 06/30/2015		10.00		0.13		(0.08	)		0.05		(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.88		0.16		0.20			0.36		(0.21	)		0.00			0.00		(0.21	)
06/30/2016		10.00		0.29		(0.15	)		0.14		(0.23	)		(0.03	)		0.00		(0.26	)
12/31/2014 - 06/30/2015		10.00		0.12		(0.08	)		0.04		(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.87		0.15		0.20			0.35		(0.21	)		0.00			0.00		(0.21	)
06/30/2016		10.00		0.26		(0.16	)		0.10		(0.20	)		(0.03	)		0.00		(0.23	)
12/31/2014 - 06/30/2015		10.00		0.10		(0.07	)		0.03		(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2035 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.83	$	0.15	$	0.29		$	0.44	$	(0.19	)	$	0.00		$	0.00	$	(0.19	)
06/30/2016		10.04		0.29		(0.24	)		0.05		(0.23	)		(0.03	)		0.00		(0.26	)
12/31/2014 - 06/30/2015		10.00		0.13		(0.04	)		0.09		(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.83		0.13		0.28			0.41		(0.17	)		0.00			0.00		(0.17	)
06/30/2016		10.04		0.26		(0.24	)		0.02		(0.20	)		(0.03	)		0.00		(0.23	)
12/31/2014 - 06/30/2015		10.00		0.11		(0.03	)		0.08		(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.88		0.14		0.27			0.41		(0.17	)		0.00			0.00		(0.17	)
06/30/2016		10.03		0.20		(0.19	)		0.01		(0.13	)		(0.03	)		0.00		(0.16	)
12/31/2014 - 06/30/2015		10.00		0.12		(0.05	)		0.07		(0.04	)		0.00			0.00		(0.04	)

28 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Net Investment Income			Portfolio Turnover Rate
$	10.00		2.62	%	$	5,099		0.04	%*		0.05	%*		3.18	%*		6	%
	9.90		2.77			4,152		0.03			0.03			3.28			45
	9.97		0.19			3,007		0.03	*		0.57	*		2.20	*		5
	10.00		2.48			11		0.29	*		0.30	*		2.87	*		6
	9.90		2.45			10		0.28			0.28			3.01			45
	9.97		0.08			10		0.28	*		0.82	*		1.92	*		5
	10.01		2.36			10		0.54	*		0.55	*		2.65	*		6
	9.91		2.29			10		0.53			0.53			2.81			45
	9.97		(0.03	)		10		0.53	*		1.07	*		1.70	*		5
$	9.97		2.83	%	$	4,102		0.04	%*		0.05	%*		3.13	%*		5	%
	9.85		2.10			3,395		0.03			0.03			3.32			59
	9.99		0.39			3,026		0.03	*		0.57	*		2.38	*		5
	9.97		2.70			16		0.29	*		0.30	*		2.84	*		5
	9.85		1.81			16		0.28			0.28			2.96			59
	9.99		0.30			15		0.28	*		0.82	*		2.20	*		5
	9.98		2.69			39		0.54	*		0.55	*		2.63	*		5
	9.85		1.50			27		0.53			0.53			2.49			59
	9.99		0.17			11		0.53	*		1.07	*		1.92	*		5
$	10.03		3.89	%	$	7,278		0.05	%*		0.06	%*		3.02	%*		5	%
	9.87		1.67			6,409		0.04			0.04			3.22			65
	10.00		0.49			3,015		0.04	*		0.58	*		2.55	*		6
	10.03		3.68			34		0.30	*		0.31	*		3.03	*		5
	9.88		1.52			23		0.29			0.29			3.05			65
	10.00		0.37			10		0.29	*		0.83	*		2.30	*		6
	10.01		3.56			56		0.55	*		0.56	*		2.84	*		5
	9.87		1.15			13		0.54			0.54			2.74			65
	10.00		0.27			10		0.54	*		1.08	*		2.04	*		6
$	10.08		4.44	%	$	6,472		0.06	%*		0.07	%*		2.83	%*		5	%
	9.83		0.64			5,958		0.05			0.05			3.05			56
	10.04		0.89			3,027		0.05	*		0.58	*		2.48	*		6
	10.07		4.22			21		0.31	*		0.32	*		2.61	*		5
	9.83		0.34			10		0.30			0.30			2.69			56
	10.04		0.77			10		0.30	*		0.83	*		2.22	*		6
	10.12		4.12			147		0.56	*		0.57	*		2.61	*		5
	9.88		0.21			10		0.55			0.55			2.10			56
	10.03		0.65			22		0.55	*		1.08	*		2.33	*		6

SEMIANNUAL REPORT DECEMBER 31, 2016 29

Financial Highlights (Cont.)

			Investment Operations								Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net  Investment Income(a)		Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Tax Basis Return of Capital		Total
PIMCO REALPATH® Blend 2040 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.84	$	0.14	$	0.30		$	0.44		$	(0.16	)	$	0.00		$	0.00	$	(0.16	)
06/30/2016		10.07		0.28		(0.24	)		0.04			(0.24	)		(0.03	)		0.00		(0.27	)
12/31/2014 - 06/30/2015		10.00		0.12		0.00			0.12			(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.83		0.13		0.30			0.43			(0.14	)		0.00			0.00		(0.14	)
06/30/2016		10.07		0.27		(0.27	)		0.00			(0.21	)		(0.03	)		0.00		(0.24	)
12/31/2014 - 06/30/2015		10.00		0.11		0.00			0.11			(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.83		0.11		0.31			0.42			(0.13	)		0.00			0.00		(0.13	)
06/30/2016		10.07		0.25		(0.27	)		(0.02	)		(0.19	)		(0.03	)		0.00		(0.22	)
12/31/2014 - 06/30/2015		10.00		0.10		0.00			0.10			(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2045 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.79	$	0.13	$	0.32		$	0.45		$	(0.15	)	$	0.00		$	0.00	$	(0.15	)
06/30/2016		10.10		0.27		(0.32	)		(0.05	)		(0.23	)		(0.03	)		0.00		(0.26	)
12/31/2014 - 06/30/2015		10.00		0.12		0.03			0.15			(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.79		0.14		0.29			0.43			(0.14	)		0.00			0.00		(0.14	)
06/30/2016		10.09		0.24		(0.31	)		(0.07	)		(0.20	)		(0.03	)		0.00		(0.23	)
12/31/2014 - 06/30/2015		10.00		0.14		(0.01	)		0.13			(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.80		0.11		0.30			0.41			(0.12	)		0.00			0.00		(0.12	)
06/30/2016		10.09		0.22		(0.31	)		(0.09	)		(0.17	)		(0.03	)		0.00		(0.20	)
12/31/2014 - 06/30/2015		10.00		0.09		0.03			0.12			(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2050 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.82	$	0.13	$	0.33		$	0.46		$	(0.16	)	$	0.00		$	0.00	$	(0.16	)
06/30/2016		10.11		0.27		(0.32	)		(0.05	)		(0.21	)		(0.03	)		0.00		(0.24	)
12/31/2014 - 06/30/2015		10.00		0.12		0.04			0.16			(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.82		0.12		0.33			0.45			(0.15	)		0.00			0.00		(0.15	)
06/30/2016		10.10		0.24		(0.30	)		(0.06	)		(0.19	)		(0.03	)		0.00		(0.22	)
12/31/2014 - 06/30/2015		10.00		0.12		0.02			0.14			(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.80		0.10		0.33			0.43			(0.13	)		0.00			0.00		(0.13	)
06/30/2016		10.10		0.23		(0.32	)		(0.09	)		(0.18	)		(0.03	)		0.00		(0.21	)
12/31/2014 - 06/30/2015		10.00		0.10		0.03			0.13			(0.03	)		0.00			0.00		(0.03	)
PIMCO REALPATH® Blend 2055 Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.80	$	0.13	$	0.33		$	0.46		$	(0.15	)	$	0.00		$	0.00	$	(0.15	)
06/30/2016		10.11		0.27		(0.33	)		(0.06	)		(0.22	)		(0.03	)		0.00		(0.25	)
12/31/2014 - 06/30/2015		10.00		0.12		0.04			0.16			(0.05	)		0.00			0.00		(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.80		0.15		0.30			0.45			(0.14	)		0.00			0.00		(0.14	)
06/30/2016		10.11		0.24		(0.33	)		(0.09	)		(0.19	)		(0.03	)		0.00		(0.22	)
12/31/2014 - 06/30/2015		10.00		0.11		0.04			0.15			(0.04	)		0.00			0.00		(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.79		0.08		0.34			0.42			(0.12	)		0.00			0.00		(0.12	)
06/30/2016		10.09		0.22		(0.32	)		(0.10	)		(0.17	)		(0.03	)		0.00		(0.20	)
12/31/2014 - 06/30/2015		10.00		0.13		0.00			0.13			(0.04	)		0.00			0.00		(0.04	)

30 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Net Investment Income			Portfolio Turnover Rate
$	10.12		4.44	%	$	3,963		0.06	%*		0.07	%*		2.69	%*		4	%
	9.84		0.48			3,509		0.05			0.05			2.90			43
	10.07		1.19			3,036		0.05	*		0.58	*		2.39	*		6
	10.12		4.42			48		0.31	*		0.32	*		2.44	*		4
	9.83		0.14			36		0.30			0.30			2.89			43
	10.07		1.08			12		0.30	*		0.83	*		2.20	*		6
	10.12		4.29			31		0.56	*		0.57	*		2.17	*		4
	9.83		(0.10	)		30		0.55			0.55			2.63			43
	10.07		0.98			11		0.55	*		1.08	*		1.93	*		6
$	10.09		4.56	%	$	3,784		0.06	%*		0.07	%*		2.56	%*		4	%
	9.79		(0.45	)		3,415		0.05			0.05			2.84			41
	10.10		1.48			3,044		0.05	*		0.58	*		2.37	*		6
	10.08		4.35			80		0.31	*		0.32	*		2.80	*		4
	9.79		(0.63	)		39		0.30			0.30			2.55			41
	10.09		1.33			39		0.30	*		0.83	*		2.69	*		6
	10.09		4.21			16		0.56	*		0.57	*		2.14	*		4
	9.80		(0.81	)		10		0.55			0.55			2.31			41
	10.09		1.16			10		0.55	*		1.08	*		1.86	*		6
$	10.12		4.68	%	$	4,438		0.06	%*		0.07	%*		2.55	%*		4	%
	9.82		(0.40	)		3,934		0.05			0.05			2.86			38
	10.11		1.59			3,046		0.05	*		0.58	*		2.39	*		6
	10.12		4.55			14		0.31	*		0.32	*		2.26	*		4
	9.82		(0.60	)		13		0.30			0.30			2.53			38
	10.10		1.39			14		0.30	*		0.83	*		2.33	*		6
	10.10		4.43			114		0.56	*		0.57	*		2.01	*		4
	9.80		(0.89	)		110		0.55			0.55			2.47			38
	10.10		1.31			15		0.55	*		1.08	*		2.05	*		6
$	10.11		4.69	%	$	3,654		0.06	%*		0.07	%*		2.53	%*		3	%
	9.80		(0.47	)		3,388		0.05			0.05			2.83			38
	10.11		1.58			3,048		0.05	*		0.58	*		2.39	*		5
	10.11		4.59			63		0.31	*		0.32	*		2.82	*		3
	9.80		(0.77	)		11		0.30			0.30			2.54			38
	10.11		1.47			11		0.30	*		0.83	*		2.18	*		5
	10.09		4.31			22		0.56	*		0.57	*		1.56	*		3
	9.79		(0.94	)		60		0.55			0.55			2.29			38
	10.09		1.28			66		0.55	*		1.08	*		2.53	*		5

SEMIANNUAL REPORT DECEMBER 31, 2016 31

Financial Highlights (Cont.)

			Investment Operations								Less Distributions(b)
Selected Per Share Data for the Year or Period Ended:	Net Asset Value Beginning of Year or Period		Net  Investment Income(a)		Net Realized/ Unrealized Gain (Loss)			Total			From Net Investment Income			From Net Realized Capital Gains			Tax Basis Return of Capital			Total
PIMCO REALPATH® Blend Income Fund
Institutional Class
07/01/2016 - 12/31/2016+	$	9.92	$	0.17	$	0.09		$	0.26		$	(0.17	)	$	0.00		$	0.00		$	(0.17	)
06/30/2016		9.95		0.32		0.00			0.32			(0.32	)		(0.02	)		(0.01	)		(0.35	)
12/31/2014 - 06/30/2015		10.00		0.10		(0.10	)		0.00			(0.05	)		0.00			0.00			(0.05	)
Administrative Class
07/01/2016 - 12/31/2016+		9.92		0.15		0.10			0.25			(0.15	)		0.00			0.00			(0.15	)
06/30/2016		9.94		0.29		0.01			0.30			(0.29	)		(0.02	)		(0.01	)		(0.32	)
12/31/2014 - 06/30/2015		10.00		0.09		(0.11	)		(0.02	)		(0.04	)		0.00			0.00			(0.04	)
Class A
07/01/2016 - 12/31/2016+		9.91		0.14		0.10			0.24			(0.14	)		0.00			0.00			(0.14	)
06/30/2016		9.94		0.28		(0.01	)		0.27			(0.27	)		(0.02	)		(0.01	)		(0.30	)
12/31/2014 - 06/30/2015		10.00		0.13		(0.15	)		(0.02	)		(0.04	)		0.00			0.00			(0.04	)

⁺  Unaudited

* Annualized

^(a)  Per share amounts based on average number of shares outstanding during the year or period.

^(b)  The tax characterization of distributions is determined in accordance with federal income tax regulations. The actual tax characterization of distributions paid is determined at the end of the fiscal year. See Note 2 in the Notes to Financial Statements for more information.

32 PIMCO EQUITY SERIES See Accompanying Notes

					Ratios/Supplemental Data
							Ratios to Average Net Assets
Net Asset Value End of Year or Period		Total Return			Net Assets End of Year or Period (000s)		Expenses			Expenses Excluding Waivers			Net Investment Income			Portfolio Turnover Rate
$	10.01		2.58	%	$	3,596		0.04	%*		0.05	%*		3.22	%*		3	%
	9.92		3.33			3,317		0.03			0.03			3.34			41
	9.95		(0.02	)		3,035		0.03	*		0.56	*		2.03	*		4
	10.02		2.56			51		0.29	*		0.30	*		2.96	*		3
	9.92		3.08			50		0.28			0.28			2.95			41
	9.94		(0.21	)		14		0.28	*		0.81	*		1.84	*		4
	10.01		2.44			76		0.54	*		0.55	*		2.73	*		3
	9.91		2.75			70		0.53			0.53			2.84			41
	9.94		(0.22	)		73		0.53	*		1.06	*		2.61	*		4

SEMIANNUAL REPORT DECEMBER 31, 2016 33

Statements of Assets and Liabilities

(Amounts in thousands†, except per share amounts)	PIMCO REALPATH® Blend 2020 Fund			PIMCO REALPATH® Blend 2025 Fund			PIMCO REALPATH® Blend 2030 Fund			PIMCO REALPATH® Blend 2035 Fund
Assets:
Investments, at value
Investments in securities	$	1,988		$	1,920		$	4,017		$	4,117
Investments in Affiliates		2,996			2,095			3,312			2,402
Financial Derivative Instruments
Exchange-traded or centrally cleared		1			1			0			0
Over the counter		7			7			18			22
Cash		148			154			85			186
Receivable for investments sold		72			88			143			96
Receivable for investments in Affiliates sold		44			0			0			10
Receivable for Fund shares sold		1			0			1			0
Interest and/or dividends receivable		0			0			0			0
Dividends receivable from Affiliates		9			7			10			7
Reimbursement receivable from PIMCO		1			0			0			0
Total Assets		5,267			4,272			7,586			6,840
Liabilities:
Payable for investments purchased	$	0		$	0		$	0		$	8
Payable for investments in Affiliates purchased		147			115			217			191
Other liabilities		0			0			1			1
Total Liabilities		147			115			218			200
Net Assets	$	5,120		$	4,157		$	7,368		$	6,640
Net Assets Consist of:
Paid in capital	$	5,056		$	4,179		$	7,018		$	6,334
Undistributed (overdistributed) net investment income		(2	)		(8	)		(21	)		(3	)
Accumulated undistributed net realized (loss)		(32	)		(68	)		(28	)		(47	)
Net unrealized appreciation		98			54			399			356
Net Assets	$	5,120		$	4,157		$	7,368		$	6,640
Cost of investments in securities	$	1,886		$	1,839		$	3,668		$	3,812
Cost of investments in Affiliates	$	3,004		$	2,126		$	3,280		$	2,374
Cost or premiums of financial derivative instruments, net	$	4		$	4		$	0		$	0

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

34 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

PIMCO REALPATH® Blend 2040 Fund			PIMCO REALPATH® Blend 2045 Fund			PIMCO REALPATH® Blend 2050 Fund			PIMCO REALPATH® Blend 2055 Fund			PIMCO REALPATH® Blend Income Fund
$	2,714		$	2,763		$	3,347		$	2,763		$	1,336
	1,211			1,010			1,039			782			2,339
	0			0			0			0			1
	15			14			16			13			4
	122			103			170			191			40
	33			36			24			8			13
	8			0			0			0			0
	1			0			2			0			0
	0			0			1			0			1
	4			3			3			2			7
	0			0			0			1			0
	4,108			3,929			4,602			3,760			3,741
$	6		$	6		$	15		$	14		$	0
	59			43			21			7			18
	1			0			0			0			0
	66			49			36			21			18
$	4,042		$	3,880		$	4,566		$	3,739		$	3,723
$	3,962		$	3,831		$	4,460		$	3,686		$	3,706
	1			4			4			4			(6	)
	(35	)		(45	)		(42	)		(41	)		(14	)
	114			90			144			90			37
$	4,042		$	3,880		$	4,566		$	3,739		$	3,723
$	2,610		$	2,675		$	3,208		$	2,672		$	1,282
$	1,216		$	1,022		$	1,049		$	796		$	2,357
$	0		$	0		$	0		$	0		$	4

SEMIANNUAL REPORT DECEMBER 31, 2016 35

Statements of Assets and Liabilities (Cont.)

	PIMCO REALPATH® Blend 2020 Fund		PIMCO REALPATH® Blend 2025 Fund		PIMCO REALPATH® Blend 2030 Fund		PIMCO REALPATH® Blend 2035 Fund
Net Assets:
Institutional Class	$	5,099	$	4,102	$	7,278	$	6,472
Administrative Class		11		16		34		21
Class A		10		39		56		147
Shares Issued and Outstanding:
Institutional Class		510		411		726		642
Administrative Class		1		2		3		2
Class A		1		4		6		15
Net Asset Value Per Share Outstanding:
Institutional Class	$	10.00	$	9.97	$	10.03	$	10.08
Administrative Class		10.00		9.97		10.03		10.07
Class A		10.01		9.98		10.01		10.12

36 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

PIMCO REALPATH® Blend 2040 Fund		PIMCO REALPATH® Blend 2045 Fund		PIMCO REALPATH® Blend 2050 Fund		PIMCO REALPATH® Blend 2055 Fund		PIMCO REALPATH® Blend Income Fund
$	3,963	$	3,784	$	4,438	$	3,654	$	3,596
	48		80		14		63		51
	31		16		114		22		76
	391		375		439		362		359
	5		8		1		6		5
	3		2		11		2		8
$	10.12	$	10.09	$	10.12	$	10.11	$	10.01
	10.12		10.08		10.12		10.11		10.02
	10.12		10.09		10.10		10.09		10.01

SEMIANNUAL REPORT DECEMBER 31, 2016 37

Statements of Operations

Six Months Ended December 31, 2016
(Amounts in thousands†)	PIMCO REALPATH® Blend 2020 Fund			PIMCO REALPATH® Blend 2025 Fund			PIMCO REALPATH® Blend 2030 Fund			PIMCO REALPATH® Blend 2035 Fund
Investment Income:
Dividends	$	23		$	24		$	49		$	50
Dividends from Investments in Affiliates		53			41			59			44
Total Income		76			65			108			94
Expenses:
Investment advisory fees		0			0			1			1
Supervisory and administrative fees		1			1			1			1
Trustee fees		0			0			0			1
Total Expenses		1			1			2			3
Waiver and/or Reimbursement by PIMCO		0			0			(1	)		0
Net Expenses		1			1			1			3
Net Investment Income		75			64			107			91
Net Realized Gain (Loss):
Investments in securities		2			1			8			4
Investments in Affiliates		(4	)		0			0			0
Net capital gain distributions received from Affiliate investments		8			7			9			5
Exchange-traded or centrally cleared financial derivative instruments		(8	)		(9	)		(4	)		(5	)
Over the counter financial derivative instruments		(5	)		(7	)		(13	)		(14	)
Net Realized Gain (Loss)		(7	)		(8	)		0			(10	)
Net Change in Unrealized Appreciation (Depreciation):
Investments in securities		94			94			194			206
Investments in Affiliates		(56	)		(47	)		(55	)		(20	)
Exchange-traded or centrally cleared financial derivative instruments		1			2			4			5
Over the counter financial derivative instruments		0			(1	)		(4	)		(6	)
Net Change in Unrealized Appreciation		39			48			139			185
Net Increase in Net Assets Resulting from Operations	$	107		$	104		$	246		$	266

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

38 PIMCO EQUITY SERIES See Accompanying Notes

(Unaudited)

PIMCO REALPATH® Blend 2040 Fund			PIMCO REALPATH® Blend 2045 Fund			PIMCO REALPATH® Blend 2050 Fund			PIMCO REALPATH® Blend 2055 Fund			PIMCO REALPATH® Blend Income Fund
$	32		$	33		$	40		$	34		$	16
	21			16			18			14			44
	53			49			58			48			60
	1			1			1			1			0
	0			0			1			1			1
	0			0			0			0			0
	1			1			2			2			1
	0			0			0			0			0
	1			1			2			2			1
	52			48			56			46			59
	1			0			(1	)		0			1
	0			0			0			0			0
	2			2			3			2			5
	(4	)		(4	)		(4	)		(4	)		(8	)
	(10	)		(10	)		(11	)		(9	)		(3	)
	(11	)		(12	)		(13	)		(11	)		(5	)
	134			138			165			139			67
	(11	)		(13	)		(14	)		(12	)		(32	)
	3			3			3			3			1
	(2	)		(3	)		(4	)		(4	)		0
	124			125			150			126			36
$	165		$	161		$	193		$	161		$	90

SEMIANNUAL REPORT DECEMBER 31, 2016 39

Statements of Changes in Net Assets

	PIMCO REALPATH® Blend 2020 Fund						PIMCO REALPATH® Blend 2025 Fund						PIMCO REALPATH® Blend 2030 Fund						PIMCO REALPATH® Blend 2035 Fund
(Amounts in thousands†)	For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016
Increase in Net Assets from:
Operations:
Net investment income	$	75		$	111		$	64		$	112		$	107		$	134		$	91		$	127
Net realized gain (loss)		(7	)		(39	)		(8	)		(82	)		0			(41	)		(10	)		(55	)
Net change in unrealized appreciation (depreciation)		39			89			48			34			139			289			185			189
Net Increase (Decrease) in Net Assets Resulting from Operations		107			161			104			64			246			382			266			261
Distributions to Shareholders:
From net investment income
Institutional Class		(77	)		(110	)		(64	)		(115	)		(158	)		(109	)		(117	)		(104	)
Administrative Class		0			0			0			0			(1	)		0			0			0
Class A		0			0			(1	)		0			(1	)		0			(2	)		0
From net realized capital gains
Institutional Class		0			(7	)		0			(7	)		0			(9	)		0			(10	)
Institutional Class		0			0			0			0			0			0			0			0
Administrative Class		0			0			0			0			0			0			0			0
Class A		0			0			0			0			0			0			0			0
Total Distributions(a)		(77	)		(117	)		(65	)		(122	)		(160	)		(118	)		(119	)		(114	)
Portfolio Share Transactions:
Net increase resulting from Fund share transactions**		918			1,101			680			444			837			3,146			515			2,772
Total Increase in Net Assets		948			1,145			719			386			923			3,410			662			2,919
Net Assets:
Beginning of year or period		4,172			3,027			3,438			3,052			6,445			3,035			5,978			3,059
End of year or period*	$	5,120		$	4,172		$	4,157		$	3,438		$	7,368		$	6,445		$	6,640		$	5,978
* Including undistributed (overdistributed) net investment income of:	$	(2	)	$	0		$	(8	)	$	(7	)	$	(21	)	$	32		$	(3	)	$	25

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

** See Note 11 in the Notes to Financial Statements.

^(a)  The tax characterization of distributions is determined in accordance with federal income tax regulations. See Note 2 in the Notes to Financial Statements for more information.

40 PIMCO EQUITY SERIES See Accompanying Notes

PIMCO REALPATH® Blend 2040 Fund						PIMCO REALPATH® Blend 2045 Fund						PIMCO REALPATH® Blend 2050 Fund						PIMCO REALPATH® Blend 2055 Fund						PIMCO REALPATH® Blend Income Fund
For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016			For the Period July 1, 2016 - December 31, 2016 (Unaudited)			Year Ended June 30, 2016
$	52		$	90		$	48		$	87		$	56		$	91		$	46		$	85		$	59		$	105
	(11	)		(43	)		(12	)		(53	)		(13	)		(48	)		(11	)		(50	)		(5	)		(26	)
	124			(4	)		125			(36	)		150			(9	)		126			(39	)		36			36
	165			43			161			(2	)		193			34			161			(4	)		90			115
	(60	)		(77	)		(54	)		(73	)		(68	)		(72	)		(53	)		(71	)		(58	)		(103	)
	(1	)		(1	)		(1	)		(1	)		0			0			(1	)		0			(1	)		0
	0			(1	)		0			0			(1	)		(2	)		0			(1	)		(1	)		(2	)
	0			(9	)		0			(9	)		0			(8	)		0			(9	)		0			(5	)
	0			0			0			0			0			0			0			0			0			(3	)
	0			0			0			0			0			0			0			0			0			0
	0			0			0			0			0			0			0			0			0			0
	(61	)		(88	)		(55	)		(83	)		(69	)		(82	)		(54	)		(81	)		(60	)		(113	)
	363			561			310			456			385			1,030			173			419			256			313
	467			516			416			371			509			982			280			334			286			315
	3,575			3,059			3,464			3,093			4,057			3,075			3,459			3,125			3,437			3,122
$	4,042		$	3,575		$	3,880		$	3,464		$	4,566		$	4,057		$	3,739		$	3,459		$	3,723		$	3,437
$	1		$	10		$	4		$	11		$	4		$	17		$	4		$	12		$	(6	)	$	(5	)

SEMIANNUAL REPORT DECEMBER 31, 2016 41

Schedule of Investments PIMCO REALPATH^® Blend 2020 Fund

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 38.9%
MUTUAL FUNDS 38.9%
Vanguard 500 Index Fund ‘Admiral’		4,968	$		1,026
Vanguard Developed Markets Index Fund ‘Admiral’		40,108			471
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		11,328			337
Vanguard Small-Cap Index Fund ‘Admiral’		2,496			154
Total Mutual Funds (Cost $1,886)					1,988
Total Investments in Securities (Cost $1,886)					1,988
INVESTMENTS IN AFFILIATES 58.5%
MUTUAL FUNDS (a) 56.5%
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		11,722			123
PIMCO High Yield Fund		43,759			386
PIMCO Income Fund		56,147			677
PIMCO Long Duration Total Return Fund		21,705			226
PIMCO Long-Term Credit Fund		19,806			226
PIMCO Real Return Asset Fund		55,641			453

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Fund		46,952	$		513
PIMCO Total Return Fund		29,114			292
Total Mutual Funds (Cost $2,904)					2,896
SHORT-TERM INSTRUMENTS 2.0%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 2.0%
PIMCO Short-Term Floating NAV Portfolio III		10,160			100
Total Short-Term Instruments (Cost $100)					100
Total Investments in Affiliates (Cost $3,004)					2,996
Total Investments 97.4% (Cost $4,890)			$		4,984
Financial Derivative Instruments (b)(c) 0.1% (Cost or Premiums, net $4)					8
Other Assets and Liabilities, net 2.5%					128
Net Assets 100.0%			$		5,120

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF CONTRACTS AND UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED

PURCHASED OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Cost		Market Value
Put - CBOE S&P 500 Index		1,775.000		03/17/2017		1	$	2	$	0
Put - CBOE S&P 500 Index		1,875.000		03/17/2017		1		3		1
							$	5	$	1
Total Purchased Options							$	5	$	1

WRITTEN OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Premiums (Received)			Market Value
Put - CBOE S&P 500 Index		1,600.000		03/17/2017		1	$	(1	)	$	0
Total Written Options							$	(1	)	$	0

FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED SUMMARY

The following is a summary of the market value and variation margin of Exchange-Traded or Centrally Cleared Financial Derivative Instruments as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
	Market Value		Variation Margin Asset						Market Value		Variation Margin Liability
	Purchased Options		Futures		Swap Agreements		Total		Written Options		Futures		Swap Agreements		Total
Total Exchange-Traded or Centrally Cleared	$	1	$	0	$	0	$	1	$	0	$	0	$	0	$	0

42 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

(c)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales			Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			1			0		(2	)		0		1
Premiums	$	(4	)	$	(1	)	$	0	$	4		$	0	$	(1	)

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount		Premiums Paid/(Received)		Unrealized Appreciation/ (Depreciation)		Swap Agreements, at Value
														Asset		Liability
BOA	Receive	DWRTFT Index		14	1-Month USD-LIBOR plus a specified spread		04/06/2017	$	126	$	0	$	6	$	6	$	0
CBK	Receive	BCOMTR Index		368	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017		64		0		1		1		0
JPM	Receive	BCOMTR Index		200	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017		35		0		0		0		0
										$	0	$	7	$	7	$	0
Total Swap Agreements										$	0	$	7	$	7	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	6	$	6	$	0	$	0	$	0	$	0	$	6	$	0	$	6
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	7	$	7	$	0	$	0	$	0	$	0

⁽²⁾  Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared
Purchased Options	$	0	$	0	$	1	$	0	$	0	$	1
Over the counter
Swap Agreements	$	1	$	0	$	6	$	0	$	0	$	7
	$	1	$	0	$	7	$	0	$	0	$	8

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 43

Schedule of Investments PIMCO REALPATH^® Blend 2020 Fund(Cont.)

December 31, 2016 (Unaudited)

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(12	)	$	0	$	0	$	(12	)
Written Options		0			0		4			0		0		4
	$	0		$	0	$	(8	)	$	0	$	0	$	(8	)
Over the counter
Swap Agreements	$	(2	)	$	0	$	(3	)	$	0	$	0	$	(5	)
	$	(2	)	$	0	$	(11	)	$	0	$	0	$	(13	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	3		$	0	$	0	$	3
Written Options		0			0		(2	)		0		0		(2	)
	$	0		$	0	$	1		$	0	$	0	$	1
Over the counter
Swap Agreements	$	1		$	0	$	(1	)	$	0	$	0	$	0
	$	1		$	0	$	0		$	0	$	0	$	1

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	1,988	$	0	$	0	$	1,988
	$	1,988	$	0	$	0	$	1,988
Investments in Affiliates, at Value
Mutual Funds		2,896		0		0		2,896
Short-Term Instruments
Central Funds Used for Cash Management Purposes		100		0		0		100
	$	2,996	$	0	$	0	$	2,996
Total Investments	$	4,984	$	0	$	0	$	4,984

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared	$	0	$	1	$	0	$	1
Over the counter		0		7		0		7
	$	0	$	8	$	0	$	8
Total Financial Derivative Instruments	$	0	$	8	$	0	$	8
Totals	$	4,984	$	8	$	0	$	4,992

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

44 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO REALPATH^® Blend 2025 Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 46.2%
MUTUAL FUNDS 46.2%
Vanguard 500 Index Fund ‘Admiral’		4,675	$		966
Vanguard Developed Markets Index Fund ‘Admiral’		39,663			465
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		11,433			340
Vanguard Small-Cap Index Fund ‘Admiral’		2,407			149
Total Mutual Funds (Cost $1,839)					1,920
Total Investments in Securities (Cost $1,839)					1,920
INVESTMENTS IN AFFILIATES 50.4%
MUTUAL FUNDS (a) 48.0%
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		5,555			58
PIMCO High Yield Fund		35,281			311
PIMCO Income Fund		33,868			409
PIMCO Long Duration Total Return Fund		19,661			205
PIMCO Long-Term Credit Fund		18,107			207
PIMCO Real Return Asset Fund		51,335			418

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Fund		26,681	$		291
PIMCO Total Return Fund		9,542			96
Total Mutual Funds (Cost $2,026)					1,995
SHORT-TERM INSTRUMENTS 2.4%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 2.4%
PIMCO Short-Term Floating NAV Portfolio III		10,160			100
Total Short-Term Instruments (Cost $100)					100
Total Investments in Affiliates (Cost $2,126)					2,095
Total Investments 96.6% (Cost $3,965)			$		4,015
Financial Derivative Instruments (b)(c) 0.2% (Cost or Premiums, net $4)					8
Other Assets and Liabilities, net 3.2%					134
Net Assets 100.0%			$		4,157

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF CONTRACTS AND UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED

PURCHASED OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Cost		Market Value
Put - CBOE S&P 500 Index		1,775.000		03/17/2017		1	$	2	$	0
Put - CBOE S&P 500 Index		1,875.000		03/17/2017		1		3		1
							$	5	$	1
Total Purchased Options							$	5	$	1

WRITTEN OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Premiums (Received)			Market Value
Put - CBOE S&P 500 Index		1,600.000		03/17/2017		1	$	(1	)	$	0
Total Written Options							$	(1	)	$	0

FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED SUMMARY

The following is a summary of the market value and variation margin of Exchange-Traded or Centrally Cleared Financial Derivative Instruments as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
	Market Value		Variation Margin Asset				Total		Market Value		Variation Margin Liability				Total
	Purchased Options		Futures		Swap Agreements				Written Options		Futures		Swap Agreements
Total Exchange-Traded or Centrally Cleared	$	1	$	0	$	0	$	1	$	0	$	0	$	0	$	0

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 45

Schedule of Investments PIMCO REALPATH^® Blend 2025 Fund(Cont.)

(c)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales			Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		4			1			0		(4	)		0		1
Premiums	$	(10	)	$	(1	)	$	0	$	10		$	0	$	(1	)

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount		Premiums Paid/(Received)		Unrealized Appreciation/ (Depreciation)		Swap Agreements, at Value
														Asset		Liability
BOA	Receive	DWRTFT Index		16	1-Month USD-LIBOR plus a specified spread		04/06/2017	$	144	$	0	$	6	$	6	$	0
CBK	Receive	BCOMTR Index		439	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017		77		0		1		1		0
JPM	Receive	BCOMTR Index		41	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017		7		0		0		0		0
										$	0	$	7	$	7	$	0
Total Swap Agreements										$	0	$	7	$	7	$	0

⁽¹⁾  Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	6	$	6	$	0	$	0	$	0	$	0	$	6	$	0	$	6
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	7	$	7	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared
Purchased Options	$	0	$	0	$	1	$	0	$	0	$	1
Over the counter
Swap Agreements	$	1	$	0	$	6	$	0	$	0	$	7
	$	1	$	0	$	7	$	0	$	0	$	8

46 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(19	)	$	0	$	0	$	(19	)
Written Options		0			0		10			0		0		10
	$	0		$	0	$	(9	)	$	0	$	0	$	(9	)
Over the counter
Swap Agreements	$	(1	)	$	0	$	(6	)	$	0	$	0	$	(7	)
	$	(1	)	$	0	$	(15	)	$	0	$	0	$	(16	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	10		$	0	$	0	$	10
Written Options		0			0		(8	)		0		0		(8	)
	$	0		$	0	$	2		$	0	$	0	$	2
Over the counter
Swap Agreements	$	0		$	0	$	(1	)	$	0	$	0	$	(1	)
	$	0		$	0	$	1		$	0	$	0	$	1

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	1,920	$	0	$	0	$	1,920
	$	1,920	$	0	$	0	$	1,920
Investments in Affiliates, at Value
Mutual Funds		1,995		0		0		1,995
Short-Term Instruments
Central Funds Used for Cash Management Purposes		100		0		0		100
	$	2,095	$	0	$	0	$	2,095
Total Investments	$	4,015	$	0	$	0	$	4,015

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared	$	0	$	1	$	0	$	1
Over The Counter		0		7		0		7
	$	0	$	8	$	0	$	8
Total Financial Derivative Instruments	$	0	$	8	$	0	$	8
Totals	$	4,015	$	8	$	0	$	4,023

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 47

Schedule of Investments PIMCO REALPATH^® Blend 2030 Fund

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 54.5%
MUTUAL FUNDS 54.5%
Vanguard 500 Index Fund ‘Admiral’		9,920	$		2,049
Vanguard Developed Markets Index Fund ‘Admiral’		82,905			973
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		23,587			703
Vanguard Small-Cap Index Fund ‘Admiral’		4,721			292
Total Mutual Funds (Cost $3,668)					4,017
Total Investments in Securities (Cost $3,668)					4,017
INVESTMENTS IN AFFILIATES 45.0%
MUTUAL FUNDS (a) 38.1%
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		6,907			72
PIMCO High Yield Fund		62,407			550
PIMCO Income Fund		53,331			643
PIMCO Long Duration Total Return Fund		29,108			303
PIMCO Long-Term Credit Fund		26,558			304
PIMCO Real Return Asset Fund		74,607			607

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Fund		21,625	$		236
PIMCO Total Return Fund		8,833			89
Total Mutual Funds (Cost $2,772)					2,804
SHORT-TERM INSTRUMENTS 6.9%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 6.9%
PIMCO Short-Term Floating NAV Portfolio III		51,407			508
Total Short-Term Instruments (Cost $508)					508
Total Investments in Affiliates (Cost $3,280)					3,312
Total Investments 99.5% (Cost $6,948)			$		7,329
Financial Derivative Instruments (b) 0.2% (Cost or Premiums, net $0)					18
Other Assets and Liabilities, net 0.3%					21
Net Assets 100.0%			$		7,368

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			0		0		(2	)		0		0
Premiums	$	(4	)	$	0	$	0	$	4		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation/ (Depreciation)		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		41	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    368	$	0	$	17	$	17	$	0
CBK	Receive	BCOMTR Index		254	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	44		0		0		0		0
JPM	Receive	BCOMTR Index		574	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	101		0		1		1		0
									$	0	$	18	$	18	$	0
Total Swap Agreements									$	0	$	18	$	18	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

48 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	17	$	17	$	0	$	0	$	0	$	0	$	17	$	0	$	17
JPM		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	18	$	18	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	17	$	0	$	0	$	18

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(8	)	$	0	$	0	$	(8	)
Written Options		0			0		4			0		0		4
	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
Over the counter
Swap Agreements	$	(2	)	$	0	$	(11	)	$	0	$	0	$	(13	)
	$	(2	)	$	0	$	(15	)	$	0	$	0	$	(17	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	8		$	0	$	0	$	8
Written Options		0			0		(4	)		0		0		(4	)
	$	0		$	0	$	4		$	0	$	0	$	4
Over the counter
Swap Agreements	$	1		$	0	$	(5	)	$	0	$	0	$	(4	)
	$	1		$	0	$	(1	)	$	0	$	0	$	0

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 49

Schedule of Investments PIMCO REALPATH^® Blend 2030 Fund(Cont.)

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory		Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds		$	4,017	$	0	$	0	$	4,017
		$	4,017	$	0	$	0	$	4,017
Investments in Affiliates, at Value
Mutual Funds	��		2,804		0		0		2,804
Short-Term Instruments
Central Funds Used for Cash Management Purposes			508		0		0		508
		$	3,312	$	0	$	0	$	3,312
Total Investments		$	7,329	$	0	$	0	$	7,329

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over the counter	$	0	$	18	$	0	$	18
Totals	$	7,329	$	18	$	0	$	7,347

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

50 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO REALPATH^® Blend 2035 Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 62.0%
MUTUAL FUNDS 62.0%
Vanguard 500 Index Fund ‘Admiral’		10,160	$		2,099
Vanguard Developed Markets Index Fund ‘Admiral’		86,078			1,010
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		23,634			704
Vanguard Small-Cap Index Fund ‘Admiral’		4,919			304
Total Mutual Funds (Cost $3,812)					4,117
Total Investments in Securities (Cost $3,812)					4,117
INVESTMENTS IN AFFILIATES 36.2%
MUTUAL FUNDS (a) 28.6%
PIMCO Emerging Local Bond Fund		5,761			40
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		5,788			60
PIMCO High Yield Fund		52,170			460
PIMCO Income Fund		43,661			527
PIMCO Long Duration Total Return Fund		16,639			173
PIMCO Long-Term Credit Fund		15,181			173

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Asset Fund		32,767	$		267
PIMCO Real Return Fund		12,196			133
PIMCO Total Return Fund		6,499			65
Total Mutual Funds (Cost $1,870)					1,898
SHORT-TERM INSTRUMENTS 7.6%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 7.6%
PIMCO Short-Term Floating NAV Portfolio III		50,955			504
Total Short-Term Instruments (Cost $504)					504
Total Investments in Affiliates (Cost $2,374)					2,402
Total Investments 98.2% (Cost $6,186)			$		6,519
Financial Derivative Instruments (b) 0.3% (Cost or Premiums, net $0)					22
Other Assets and Liabilities, net 1.5%					99
Net Assets 100.0%			$		6,640

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		3			0		0		(3	)		0		0
Premiums	$	(12	)	$	0	$	0	$	12		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation/ (Depreciation)		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		51	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    458	$	0	$	21	$	21	$	0
CBK	Receive	BCOMTR Index		402	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	71		0		1		1		0
JPM	Receive	BCOMTR Index		334	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	59		0		0		0		0
									$	0	$	22	$	22	$	0
Total Swap Agreements									$	0	$	22	$	22	$	0

⁽¹⁾  Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 51

Schedule of Investments PIMCO REALPATH^® Blend 2035 Fund(Cont.)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	21	$	21	$	0	$	0	$	0	$	0	$	21	$	0	$	21
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	22	$	22	$	0	$	0	$	0	$	0

⁽²⁾  Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	21	$	0	$	0	$	22

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(17	)	$	0	$	0	$	(17	)
Written Options		0			0		12			0		0		12
	$	0		$	0	$	(5	)	$	0	$	0	$	(5	)
Over the counter
Swap Agreements	$	(2	)	$	0	$	(12	)	$	0	$	0	$	(14	)
	$	(2	)	$	0	$	(17	)	$	0	$	0	$	(19	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	16		$	0	$	0	$	16
Written Options		0			0		(11	)		0		0		(11	)
	$	0		$	0	$	5		$	0	$	0	$	5
Over the counter
Swap Agreements	$	1		$	0	$	(7	)	$	0	$	0	$	(6	)
	$	1		$	0	$	(2	)	$	0	$	0	$	(1	)

52 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	4,117	$	0	$	0	$	4,117
	$	4,117	$	0	$	0	$	4,117
Investments in Affiliates, at Value
Mutual Funds		1,898		0		0		1,898
Short-Term Instruments
Central Funds Used for Cash Management Purposes		504		0		0		504
	$	2,402	$	0	$	0	$	2,402
Total Investments	$	6,519	$	0	$	0	$	6,519

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over The Counter	$	0	$	22	$	0	$	22
Totals	$	6,519	$	22	$	0	$	6,541

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 53

Schedule of Investments PIMCO REALPATH^® Blend 2040 Fund

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 67.1%
MUTUAL FUNDS 67.1%
Vanguard 500 Index Fund ‘Admiral’		6,652	$		1,374
Vanguard Developed Markets Index Fund ‘Admiral’		57,222			672
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		15,744			469
Vanguard Small-Cap Index Fund ‘Admiral’		3,228			199
Total Mutual Funds (Cost $2,610)					2,714
Total Investments in Securities (Cost $2,610)					2,714
INVESTMENTS IN AFFILIATES 30.0%
MUTUAL FUNDS (a) 22.5%
PIMCO Emerging Local Bond Fund		9,346			65
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		3,698			39
PIMCO High Yield Fund		24,389			215
PIMCO Income Fund		21,191			255
PIMCO Long Duration Total Return Fund		6,625			69
PIMCO Long-Term Credit Fund		6,045			69

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Asset Fund		9,561	$		78
PIMCO Real Return Fund		7,424			81
PIMCO Total Return Fund		3,800			38
Total Mutual Funds (Cost $914)					909
SHORT-TERM INSTRUMENTS 7.5%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 7.5%
PIMCO Short-Term Floating NAV Portfolio III		30,532			302	��
Total Short-Term Instruments (Cost $302)					302
Total Investments in Affiliates (Cost $1,216)					1,211
Total Investments 97.1% (Cost $3,826)			$		3,925
Financial Derivative Instruments (b) 0.4% (Cost or Premiums, net $0)					15
Other Assets and Liabilities, net 2.5%					102
Net Assets 100.0%			$		4,042

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			0		0		(2	)		0		0
Premiums	$	(6	)	$	0	$	0	$	6		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation/ (Depreciation)		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		35	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    314	$	0	$	14	$	14	$	0
CBK	Receive	BCOMTR Index		393	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	69		0		1		1		0
JPM	Receive	BCOMTR Index		48	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	8		0		0		0		0
									$	0	$	15	$	15	$	0
Total Swap Agreements									$	0	$	15	$	15	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

54 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	14	$	14	$	0	$	0	$	0	$	0	$	14	$	0	$	14
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	15	$	15	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	14	$	0	$	0	$	15

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(10	)	$	0	$	0	$	(10	)
Written Options		0			0		6			0		0		6
	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
Over the counter
Swap Agreements	$	(1	)	$	0	$	(9	)	$	0	$	0	$	(10	)
	$	(1	)	$	0	$	(13	)	$	0	$	0	$	(14	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	9		$	0	$	0	$	9
Written Options		0			0		(6	)		0		0		(6	)
	$	0		$	0	$	3		$	0	$	0	$	3
Over the counter
Swap Agreements	$	1		$	0	$	(3	)	$	0	$	0	$	(2	)
	$	1		$	0	$	0		$	0	$	0	$	1

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 55

Schedule of Investments PIMCO REALPATH^® Blend 2040 Fund(Cont.)

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	2,714	$	0	$	0	$	2,714
	$	2,714	$	0	$	0	$	2,714
Investments in Affiliates, at Value
Mutual Funds		909		0		0		909
Short-Term Instruments
Central Funds Used for Cash Management Purposes		302		0		0		302
	$	1,211	$	0	$	0	$	1,211
Total Investments	$	3,925	$	0	$	0	$	3,925

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over the counter	$	0	$	15	$	0	$	15
Totals	$	3,925	$	15	$	0	$	3,940

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

56 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO REALPATH^® Blend 2045 Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 71.2%
MUTUAL FUNDS 71.2%
Vanguard 500 Index Fund ‘Admiral’		6,761	$		1,396
Vanguard Developed Markets Index Fund ‘Admiral’		58,256			684
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		16,421			489
Vanguard Small-Cap Index Fund ‘Admiral’		3,136			194
Total Mutual Funds (Cost $2,675)					2,763
Total Investments in Securities (Cost $2,675)					2,763
INVESTMENTS IN AFFILIATES 26.0%
MUTUAL FUNDS (a) 18.2%
PIMCO Emerging Local Bond Fund		10,935			76
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		3,447			36
PIMCO High Yield Fund		14,578			128
PIMCO Income Fund		13,885			168
PIMCO Long Duration Total Return Fund		5,334			56
PIMCO Long-Term Credit Fund		5,000			57

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Asset Fund		9,594	$		78
PIMCO Real Return Fund		6,785			74
PIMCO Total Return Fund		3,501			35
Total Mutual Funds (Cost $720)					708
SHORT-TERM INSTRUMENTS 7.8%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 7.8%
PIMCO Short-Term Floating NAV Portfolio III		30,528			302
Total Short-Term Instruments (Cost $302)					302
Total Investments in Affiliates (Cost $1,022)					1,010
Total Investments 97.2% (Cost $3,697)			$		3,773
Financial Derivative Instruments (b) 0.4% (Cost or Premiums, net $0)					14
Other Assets and Liabilities, net 2.4%					93
Net Assets 100.0%			$		3,880

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			0		0		(2	)		0		0
Premiums	$	(6	)	$	0	$	0	$	6		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		33	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    297	$	0	$	13	$	13	$	0
CBK	Receive	BCOMTR Index		424	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	74		0		1		1		0
									$	0	$	14	$	14	$	0
Total Swap Agreements									$	0	$	14	$	14	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 57

Schedule of Investments PIMCO REALPATH^® Blend 2045 Fund(Cont.)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	13	$	13	$	0	$	0	$	0	$	0	$	13	$	0	$	13
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	14	$	14	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	13	$	0	$	0	$	14

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(10	)	$	0	$	0	$	(10	)
Written Options		0			0		6			0		0		6
	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
Over the counter
Swap Agreements	$	(1	)	$	0	$	(9	)	$	0	$	0	$	(10	)
	$	(1	)	$	0	$	(13	)	$	0	$	0	$	(14	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	9		$	0	$	0	$	9
Written Options		0			0		(6	)		0		0		(6	)
	$	0		$	0	$	3		$	0	$	0	$	3
Over the counter
Swap Agreements	$	0		$	0	$	(3	)	$	0	$	0	$	(3	)
	$	0		$	0	$	0		$	0	$	0	$	0

58 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	2,763	$	0	$	0	$	2,763
	$	2,763	$	0	$	0	$	2,763
Investments in Affiliates, at Value
Mutual Funds		708		0		0		708
Short-Term Instruments
Central Funds Used for Cash Management Purposes		302		0		0		302
	$	1,010	$	0	$	0	$	1,010
Total Investments	$	3,773	$	0	$	0	$	3,773

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over The Counter	$	0	$	14	$	0	$	14
Totals	$	3,773	$	14	$	0	$	3,787

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 59

Schedule of Investments PIMCO REALPATH^® Blend 2050 Fund

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 73.3%
MUTUAL FUNDS 73.3%
Vanguard 500 Index Fund ‘Admiral’		8,263	$		1,707
Vanguard Developed Markets Index Fund ‘Admiral’		70,108			823
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		19,936			593
Vanguard Small-Cap Index Fund ‘Admiral’		3,628			224
Total Mutual Funds (Cost $3,208)					3,347
Total Investments in Securities (Cost $3,208)					3,347
INVESTMENTS IN AFFILIATES 22.8%
MUTUAL FUNDS (a) 16.2%
PIMCO Emerging Local Bond Fund		13,032			91
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		3,963			41
PIMCO High Yield Fund		12,788			113
PIMCO Income Fund		13,097			158
PIMCO Long Duration Total Return Fund		6,356			66
PIMCO Long-Term Credit Fund		5,852			67

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Asset Fund		7,895	$		64
PIMCO Real Return Fund		8,388			92
PIMCO Total Return Fund		4,478			45
Total Mutual Funds (Cost $747)					737
SHORT-TERM INSTRUMENTS 6.6%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 6.6%
PIMCO Short-Term Floating NAV Portfolio III		30,567			302
Total Short-Term Instruments (Cost $302)					302
Total Investments in Affiliates (Cost $1,049)					1,039
Total Investments 96.1% (Cost $4,257)			$		4,386
Financial Derivative Instruments (b) 0.4% (Cost or Premiums, net $0)					16
Other Assets and Liabilities, net 3.5%					164
Net Assets 100.0%			$		4,566

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			0		0		(2	)		0		0
Premiums	$	(6	)	$	0	$	0	$	6		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		39	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    350	$	0	$	15	$	15	$	0
CBK	Receive	BCOMTR Index		497	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	87		0		1		1		0
									$	0	$	16	$	16	$	0
Total Swap Agreements									$	0	$	16	$	16	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

60 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	15	$	15	$	0	$	0	$	0	$	0	$	15	$	0	$	15
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	16	$	16	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	15	$	0	$	0	$	16

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(10	)	$	0	$	0	$	(10	)
Written Options		0			0		6			0		0		6
	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
Over the counter
Swap Agreements	$	(2	)	$	0	$	(9	)	$	0	$	0	$	(11	)
	$	(2	)	$	0	$	(13	)	$	0	$	0	$	(15	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	9		$	0	$	0	$	9
Written Options		0			0		(6	)		0		0		(6	)
	$	0		$	0	$	3		$	0	$	0	$	3
Over the counter
Swap Agreements	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
	$	0		$	0	$	(1	)	$	0	$	0	$	(1	)

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 61

Schedule of Investments PIMCO REALPATH^® Blend 2050 Fund(Cont.)

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	3,347	$	0	$	0	$	3,347
	$	3,347	$	0	$	0	$	3,347
Investments in Affiliates, at Value
Mutual Funds		737		0		0		737
Short-Term Instruments
Central Funds Used for Cash Management Purposes		302		0		0		302
	$	1,039	$	0	$	0	$	1,039
Total Investments	$	4,386	$	0	$	0	$	4,386

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over The Counter	$	0	$	16	$	0	$	16
Totals	$	4,386	$	16	$	0	$	4,402

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

62 PIMCO EQUITY SERIES See Accompanying Notes

Schedule of Investments PIMCO REALPATH^® Blend 2055 Fund

December 31, 2016 (Unaudited)

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 73.9%
MUTUAL FUNDS 73.9%
Vanguard 500 Index Fund ‘Admiral’		6,842	$		1,414
Vanguard Developed Markets Index Fund ‘Admiral’		57,744			678
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		16,334			486
Vanguard Small-Cap Index Fund ‘Admiral’		2,991			185
Total Mutual Funds (Cost $2,672)					2,763
Total Investments in Securities (Cost $2,672)					2,763
INVESTMENTS IN AFFILIATES 20.9%
MUTUAL FUNDS (a) 15.5%
PIMCO Emerging Local Bond Fund		10,747			75
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		3,357			35
PIMCO High Yield Fund		10,296			91
PIMCO Income Fund		10,715			129
PIMCO Long Duration Total Return Fund		5,241			55
PIMCO Long-Term Credit Fund		4,938			56

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Asset Fund		4,202	$		34
PIMCO Real Return Fund		6,567			72
PIMCO Total Return Fund		3,394			34
Total Mutual Funds (Cost $595)					581
SHORT-TERM INSTRUMENTS 5.4%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 5.4%
PIMCO Short-Term Floating NAV Portfolio III		20,389			201
Total Short-Term Instruments (Cost $201)					201
Total Investments in Affiliates (Cost $796)					782
Total Investments 94.8% (Cost $3,468)			$		3,545
Financial Derivative Instruments (b) 0.3% (Cost or Premiums, net $0)					13
Other Assets and Liabilities, net 4.9%					181
Net Assets 100.0%			$		3,739

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales		Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			0		0		(2	)		0		0
Premiums	$	(6	)	$	0	$	0	$	6		$	0	$	0

As of December 31, 2016 there were no open written options.

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount		Premiums Paid/(Received)		Unrealized Appreciation		Swap Agreements, at Value
														Asset		Liability
BOA	Receive	DWRTFT Index		32	1-Month USD-LIBOR plus a specified spread		04/06/2017	$	287	$	0	$	12	$	12	$	0
CBK	Receive	BCOMTR Index		419	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017		74		0		1		1		0
										$	0	$	13	$	13	$	0
Total Swap Agreements										$	0	$	13	$	13	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 63

Schedule of Investments PIMCO REALPATH^® Blend 2055 Fund(Cont.)

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	12	$	12	$	0	$	0	$	0	$	0	$	12	$	0	$	12
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	13	$	13	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Over the counter
Swap Agreements	$	1	$	0	$	12	$	0	$	0	$	13

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(10	)	$	0	$	0	$	(10	)
Written Options		0			0		6			0		0		6
	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
Over the counter
Swap Agreements	$	(1	)	$	0	$	(8	)	$	0	$	0	$	(9	)
	$	(1	)	$	0	$	(12	)	$	0	$	0	$	(13	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	9		$	0	$	0	$	9
Written Options		0			0		(6	)		0		0		(6	)
	$	0		$	0	$	3		$	0	$	0	$	3
Over the counter
Swap Agreements	$	0		$	0	$	(4	)	$	0	$	0	$	(4	)
	$	0		$	0	$	(1	)	$	0	$	0	$	(1	)

64 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	2,763	$	0	$	0	$	2,763
	$	2,763	$	0	$	0	$	2,763
Investments in Affiliates, at Value
Mutual Funds		581		0		0		581
Short-Term Instruments
Central Funds Used for Cash Management Purposes		201		0		0		201
	$	782	$	0	$	0	$	782
Total Investments	$	3,545	$	0	$	0	$	3,545

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Over The Counter	$	0	$	13	$	0	$	13
Totals	$	3,545	$	13	$	0	$	3,558

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 65

Schedule of Investments PIMCO REALPATH^® Blend Income Fund

	SHARES			MARKET VALUE (000S)
INVESTMENTS IN SECURITIES 35.9%
MUTUAL FUNDS 35.9%
Vanguard 500 Index Fund ‘Admiral’		3,398	$		702
Vanguard Developed Markets Index Fund ‘Admiral’		25,649			301
Vanguard Emerging Markets Stock Index Fund ‘Admiral’		7,411			221
Vanguard Small-Cap Index Fund ‘Admiral’		1,817			112
Total Mutual Funds (Cost $1,282)					1,336
Total Investments in Securities (Cost $1,282)					1,336
INVESTMENTS IN AFFILIATES 62.8%
MUTUAL FUNDS (a) 59.9%
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		10,478			110
PIMCO High Yield Fund		31,957			281
PIMCO Income Fund		50,878			614
PIMCO Long Duration Total Return Fund		12,373			129
PIMCO Long-Term Credit Fund		11,397			130
PIMCO Real Return Asset Fund		32,166			262

	SHARES			MARKET VALUE (000S)
PIMCO Real Return Fund		34,140	$		373
PIMCO Total Return Fund		33,158			332
Total Mutual Funds (Cost $2,249)					2,231
SHORT-TERM INSTRUMENTS 2.9%
CENTRAL FUNDS USED FOR CASH MANAGEMENT PURPOSES 2.9%
PIMCO Short-Term Floating NAV Portfolio III		10,897			108
Total Short-Term Instruments (Cost $108)					108
Total Investments in Affiliates (Cost $2,357)					2,339
Total Investments 98.7% (Cost $3,639)			$		3,675
Financial Derivative Instruments (b)(c) 0.1% (Cost or Premiums, net $4)					5
Other Assets and Liabilities, net 1.2%					43
Net Assets 100.0%			$		3,723

NOTES TO SCHEDULE OF INVESTMENTS (AMOUNTS IN THOUSANDS*, EXCEPT NUMBER OF CONTRACTS AND UNITS):

* A zero balance may reflect actual amounts rounding to less than one thousand.

(a) Institutional Class Shares of each Fund.

(b)  FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED

PURCHASED OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Cost		Market Value
Put - CBOE S&P 500 Index		1,775.000		03/17/2017		1	$	2	$	0
Put - CBOE S&P 500 Index		1,875.000		03/17/2017		1		3		1
							$	5	$	1
Total Purchased Options							$	5	$	1

WRITTEN OPTIONS:

OPTIONS ON INDICES

Description	Strike Value		Expiration Date		# of Contracts		Premiums (Received)			Market Value
Put - CBOE S&P 500 Index		1,600.000		03/17/2017		1	$	(1	)	$	0
Total Written Options							$	(1	)	$	0

FINANCIAL DERIVATIVE INSTRUMENTS: EXCHANGE-TRADED OR CENTRALLY CLEARED SUMMARY

The following is a summary of the market value and variation margin of Exchange-Traded or Centrally Cleared Financial Derivative Instruments as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
	Market Value		Variation Margin Asset				Total		Market Value		Variation Margin Liability				Total
	Purchased Options		Futures		Swap Agreements				Written Options		Futures		Swap Agreements
Total Exchange-Traded or Centrally Cleared	$	1	$	0	$	0	$	1	$	0	$	0	$	0	$	0

66 PIMCO EQUITY SERIES See Accompanying Notes

December 31, 2016 (Unaudited)

(c)  FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER

WRITTEN OPTIONS:

TRANSACTIONS IN WRITTEN CALL AND PUT OPTIONS FOR THE PERIOD ENDED DECEMBER 31, 2016:

	Balance at Beginning of Period			Sales			Closing Buys		Expirations			Exercised		Balance at End of Period
# of Contracts		2			1			0		(2	)		0		1
Premiums	$	(4	)	$	(1	)	$	0	$	4		$	0	$	(1	)

SWAP AGREEMENTS:

TOTAL RETURN SWAPS ON COMMODITY AND EQUITY INDICES

Counterparty	Pay/Receive(1)	Underlying Reference	# of Units		Financing Rate	Maturity Date		Notional Amount	Premiums Paid/(Received)		Unrealized Appreciation		Swap Agreements, at Value
													Asset		Liability
BOA	Receive	DWRTFT Index		8	1-Month USD-LIBOR plus a specified spread		04/06/2017	$    72	$	0	$	3	$	3	$	0
CBK	Receive	BCOMTR Index		413	3-Month U.S. Treasury Bill rate plus a specified spread		02/15/2017	72		0		1		1		0
									$	0	$	4	$	4	$	0
Total Swap Agreements									$	0	$	4	$	4	$	0

⁽¹⁾ Receive represents that the Fund receives payments for any positive return on the underlying reference. The Fund makes payments for any negative return on such underlying reference. Pay represents that the Fund receives payments for any negative return on the underlying reference. The Fund makes payments for any positive return on such underlying reference.

FINANCIAL DERIVATIVE INSTRUMENTS: OVER THE COUNTER SUMMARY

The following is a summary by counterparty of the market value of OTC financial derivative instruments and collateral pledged/(received) as of December 31, 2016:

	Financial Derivative Assets								Financial Derivative Liabilities
Counterparty	Forward Foreign Currency Contracts		Purchased Options		Swap Agreements		Total Over the Counter		Forward Foreign Currency Contracts		Written Options		Swap Agreements		Total Over the Counter		Net Market Value of OTC Derivatives		Collateral Pledged/ (Received)		Net Exposure(2)
BOA	$	0	$	0	$	3	$	3	$	0	$	0	$	0	$	0	$	3	$	0	$	3
CBK		0		0		1		1		0		0		0		0		1		0		1
Total Over the Counter	$	0	$	0	$	4	$	4	$	0	$	0	$	0	$	0

⁽²⁾ Net Exposure represents the net receivable/(payable) that would be due from/to the counterparty in the event of default. Exposure from OTC financial derivative instruments can only be netted across transactions governed under the same master agreement with the same legal entity. See Note 6, Principal Risks, in the Notes to Financial Statements for more information regarding master netting arrangements.

FAIR VALUE OF FINANCIAL DERIVATIVE INSTRUMENTS

The following is a summary of the fair valuation of the Fund’s derivative instruments categorized by risk exposure. See Note 6, Principal Risks, in the Notes to Financial Statements on risks of the Fund.

Fair Values of Financial Derivative Instruments on the Statements of Assets and Liabilities as of December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts		Credit Contracts		Equity Contracts		Foreign Exchange Contracts		Interest Rate Contracts		Total
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared
Purchased Options	$	0	$	0	$	1	$	0	$	0	$	1
Over the counter
Swap Agreements	$	1	$	0	$	3	$	0	$	0	$	4
	$	1	$	0	$	4	$	0	$	0	$	5

See Accompanying Notes SEMIANNUAL REPORT DECEMBER 31, 2016 67

Schedule of Investments PIMCO REALPATH^® Blend Income Fund(Cont.)

December 31, 2016 (Unaudited)

The effect of Financial Derivative Instruments on the Statements of Operations for the period ended December 31, 2016:

	Derivatives not accounted for as hedging instruments
	Commodity Contracts			Credit Contracts		Equity Contracts			Foreign Exchange Contracts		Interest Rate Contracts		Total
Net Realized Gain (Loss) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	(12	)	$	0	$	0	$	(12	)
Written Options		0			0		4			0		0		4
	$	0		$	0	$	(8	)	$	0	$	0	$	(8	)
Over the counter
Swap Agreements	$	(1	)	$	0	$	(2	)	$	0	$	0	$	(3	)
	$	(1	)	$	0	$	(10	)	$	0	$	0	$	(11	)
Net Change in Unrealized Appreciation (Depreciation) on Financial Derivative Instruments
Exchange-traded or centrally cleared
Purchased Options	$	0		$	0	$	3		$	0	$	0	$	3
Written Options		0			0		(2	)		0		0		(2	)
	$	0		$	0	$	1		$	0	$	0	$	1
Over the counter
Swap Agreements	$	1		$	0	$	(1	)	$	0	$	0	$	0
	$	1		$	0	$	0		$	0	$	0	$	1

FAIR VALUE MEASUREMENTS

The following is a summary of the fair valuations according to the inputs used as of December 31, 2016 in valuing the Fund’s assets and liabilities:

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Investments in Securities, at Value
Mutual Funds	$	1,336	$	0	$	0	$	1,336
	$	1,336	$	0	$	0	$	1,336
Investments in Affiliates, at Value
Mutual Funds		2,231		0		0		2,231
Short-Term Instruments
Central Funds Used for Cash Management Purposes		108		0		0		108
	$	2,339	$	0	$	0	$	2,339
Total Investments	$	3,675	$	0	$	0	$	3,675

Category and Subcategory	Level 1		Level 2		Level 3		Fair Value at 12/31/2016
Financial Derivative Instruments - Assets
Exchange-traded or centrally cleared	$	0	$	1	$	0	$	1
Over The Counter		0		4		0		4
	$	0	$	5	$	0	$	5
Total Financial Derivative Instruments	$	0	$	5	$	0	$	5
Totals	$	3,675	$	5	$	0	$	3,680

There were no significant transfers between Levels 1, 2, or 3 during the period ended December 31, 2016.

68 PIMCO EQUITY SERIES See Accompanying Notes

Notes to Financial Statements

December 31, 2016 (Unaudited)

1. ORGANIZATION

PIMCO Equity Series (the “Trust”) was established as a Delaware statutory trust on December 28, 2009. The Trust is registered under the Investment Company Act of 1940, as amended (the “Act”), as an open-end management investment company. Information presented in these financial statements pertains to the Institutional Class, Administrative Class, and Class A shares of the funds (each a “Fund” and collectively the “Funds”) indicated on the cover of this report. Pacific Investment Management Company LLC (“PIMCO”) serves as the investment adviser (the “Adviser”) for the Funds. Each Fund may invest substantially all of its assets in Institutional Class or Class M shares of any funds of the Trust and PIMCO Funds, and in other affiliated funds, including funds of PIMCO ETF Trust, except funds of funds (“Underlying PIMCO Funds”), and unaffiliated funds that are registered under the Act (collectively, “Acquired Funds”).

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Trust in the preparation of its financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Each Fund is treated as an investment company under the reporting requirements of U.S. GAAP. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

(a) Securities Transactions and Investment Income  Securities transactions are recorded as of the trade date for financial reporting purposes. Realized gains (losses) from securities sold are recorded on the identified cost basis. Dividend income is recorded on the ex-dividend date, except certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as a Fund is informed of the ex-dividend date. Interest income, adjusted for the accretion of discounts and amortization of premiums, is recorded on the accrual basis from settlement date. Estimated tax liabilities on certain foreign securities are recorded on an accrual basis and are reflected as components of interest income or net change in unrealized appreciation (depreciation) on investments on the Statements of Operations, as appropriate. Tax liabilities realized as a result of such security sales are reflected as a component of net realized gain (loss) on investments on the Statements of Operations.

(b) Multiclass Operations  Each class offered by the Trust has equal rights as to assets and voting privileges (except that shareholders of a

class have exclusive voting rights regarding any matter relating solely to that class of shares). Income and non-class specific expenses are allocated daily to each class on the basis of the relative net assets. Realized and unrealized capital gains (losses) are allocated daily based on the relative net assets of each class of the respective Fund. Class specific expenses, where applicable, currently include supervisory and administrative and distribution and servicing fees. Under certain circumstances, the per share net asset value (“NAV”) of a class of the respective Fund’s shares may be different from the per share NAV of another class of shares as a result of the different daily expense accruals applicable to each class of shares.

(c) Distributions to Shareholders  The following table shows the anticipated frequency of distributions from net investment income, if any, for each Fund.

	Distribution Frequency
Fund Name	Declared		Distributed
PIMCO REALPATH® Blend 2020 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2025 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2030 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2035 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2040 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2045 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2050 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend 2055 Fund		Quarterly		Quarterly
PIMCO REALPATH® Blend Income Fund		Quarterly		Quarterly

Net realized capital gains earned by each Fund, if any, will be distributed no less frequently than once each year.

Income distributions and capital gain distributions are determined in accordance with income tax regulations which may differ from U.S. GAAP. Differences between tax regulations and U.S. GAAP may cause timing differences between income and capital gain recognition. Further, the character of investment income and capital gains may be different for certain transactions under the two methods of accounting. As a result, income distributions and capital gain distributions declared during a fiscal period may differ significantly from the net investment income (loss) and realized gains (losses) reported on the Fund’s annual financial statements presented under U.S. GAAP.

If a Fund estimates that a portion of one of its dividend distributions may be comprised of amounts from sources other than net investment income, the Fund will notify shareholders of record of the estimated composition of such distribution through a Section 19 Notice. To determine the sources of a Fund’s distributions during the reporting period, the Fund references its internal accounting records at the time the distribution is paid and generally bases its projections of the final tax character of those distributions on the tax characteristics of the distribution reflected in its internal accounting records at the time of

SEMIANNUAL REPORT DECEMBER 31, 2016 69

Notes to Financial Statements (Cont.)

such payment. If, based on such records, a particular distribution does not include capital gains or paid-in surplus or other capital sources, a Section 19 Notice generally would not be issued. It is important to note that differences exist between a Fund’s daily internal accounting records, the Fund’s financial statements presented in accordance with U.S. GAAP, and recordkeeping practices under income tax regulations. Examples of such differences may include, among others, the treatment of paydowns on mortgage-backed securities purchased at a discount and periodic payments under interest rate swap contracts. Notwithstanding a Fund’s estimates and projections, it is possible that a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP or the final tax character of those distributions might later report that the sources of those distributions included capital gains and/or a return of capital. Additionally, given differences in tax and U.S. GAAP treatment of certain distributions, a Fund may not issue a Section 19 Notice in situations where the Fund’s financial statements prepared later and in accordance with U.S. GAAP might report that the sources of these distributions included capital gains and/or a return of capital. Please visit www.pimco.com for the most recent Section 19 Notice, if applicable, for additional information regarding the composition of distributions. Final determination of a distribution’s tax character will be reported on Form 1099 DIV sent to shareholders each January.

Distributions classified as a tax basis return of capital, if any, are reflected on the Statements of Changes in Net Assets and have been recorded to paid in capital. In addition, other amounts have been reclassified between undistributed (overdistributed) net investment income (loss), accumulated undistributed (overdistributed) net realized gain (loss) and/or paid in capital to more appropriately conform U.S. GAAP to tax characterizations of distributions.

(d) New Accounting Pronouncements  In August 2014, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”), ASU 2014-15 requiring management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern. The ASU is effective prospectively for annual periods ending after December 15, 2016, and interim periods thereafter. The Funds have adopted the ASU. The implementation of the ASU did not have an impact on the Funds’ financial statements.

In May 2015, the FASB issued ASU 2015-07 which removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the NAV per share practical expedient. The ASU also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using the NAV per share practical expedient. The ASU is effective for annual periods beginning after December 15, 2015 and interim

periods within those annual periods. The ASU did not have an impact on the Funds’ financial statements.

In August 2016, the FASB issued ASU 2016-15 which amends ASC 230 to clarify guidance on the classification of certain cash receipts and cash payments in the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

In October 2016, the U.S. Securities and Exchange Commission (“SEC”) adopted new rules and forms, and amendments to certain current rules and forms, to modernize reporting and disclosure of information by registered investment companies. The amendments to Regulation S-X will require standardized, enhanced disclosure about derivatives in investment company financial statements, and will also change the rules governing the form and content of such financial statements. The amendments to Regulation S-X take effect on August 1, 2017. At this time, management is assessing the anticipated impact of these regulatory developments.

In November 2016, the FASB issued ASU 2016-18 which amends ASC 230 to provide guidance on the classification and presentation of changes in restricted cash and restricted cash equivalents on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2017, and interim periods within those annual periods. At this time, management is evaluating the implications of these changes on the financial statements.

3. INVESTMENT VALUATION AND FAIR VALUE MEASUREMENTS

(a) Investment Valuation Policies  The price of a Fund’s shares is based on the Fund’s NAV. The NAV of a Fund, or each of its share classes, as applicable, is determined by dividing the total value of portfolio investments and other assets, less any liabilities attributable to that Fund or class, by the total number of shares outstanding of that Fund or class.

On each day that the New York Stock Exchange (“NYSE”) is open, Fund shares are ordinarily valued as of the close of regular trading (“NYSE Close”). Information that becomes known to the Funds or their agents after the time as of which NAV has been calculated on a particular day will not generally be used to retroactively adjust the price of a security or the NAV determined earlier that day. Each Fund reserves the right to change the time its respective NAV is calculated if the Fund closes earlier, or as permitted by the SEC.

For purposes of calculating NAV, portfolio securities and other assets for which market quotes are readily available are valued at market value. Market value is generally determined on the basis of official

70 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

closing prices or the last reported sales prices, or if no sales are reported, based on quotes obtained from established market makers or prices (including evaluated prices) supplied by the Funds’ approved pricing services, quotation reporting systems and other third-party sources (together, “Pricing Services”). The Funds will normally use pricing data for domestic equity securities received shortly after the NYSE Close and do not normally take into account trading, clearances or settlements that take place after the NYSE Close. A foreign (non-U.S.) equity security traded on a foreign exchange or on more than one exchange is typically valued using pricing information from the exchange considered by the Adviser to be the primary exchange. A foreign (non-U.S.) equity security will be valued as of the close of trading on the foreign exchange, or the NYSE Close, if the NYSE Close occurs before the end of trading on the foreign exchange. Domestic and foreign (non-U.S.) fixed income securities, non-exchange traded derivatives, and equity options are normally valued on the basis of quotes obtained from brokers and dealers or Pricing Services using data reflecting the earlier closing of the principal markets for those securities. Prices obtained from Pricing Services may be based on, among other things, information provided by market makers or estimates of market values obtained from yield data relating to investments or securities with similar characteristics. Certain fixed income securities purchased on a delayed-delivery basis are marked to market daily until settlement at the forward settlement date. Exchange-traded options, except equity options, futures and options on futures are valued at the settlement price determined by the relevant exchange. Swap agreements are valued on the basis of bid quotes obtained from brokers and dealers or market-based prices supplied by Pricing Services or other pricing sources. The Funds’ investments in open-end management investment companies, other than exchange-traded funds (“ETFs”), are valued at the NAVs of such investments.

If a foreign (non-U.S.) equity security’s value has materially changed after the close of the security’s primary exchange or principal market but before the NYSE Close, the security may be valued at fair value based on procedures established and approved by the Board of Trustees of the Trust (the “Board”). Foreign (non-U.S.) equity securities that do not trade when the NYSE is open are also valued at fair value. With respect to foreign (non-U.S.) equity securities, the Fund may determine the fair value of investments based on information provided by Pricing Services and other third-party vendors, which may recommend fair value or adjustments with reference to other securities, indices or assets. In considering whether fair valuation is required and in determining fair values, the Fund may, among other things, consider significant events (which may be considered to include changes in the value of U.S. securities or securities indices) that occur after the close of the relevant market and before the NYSE Close. A Fund may utilize modeling tools provided by third-party vendors to determine fair values

of non-U.S. securities. Foreign exchanges may permit trading in foreign (non-U.S.) equity securities on days when the Trust is not open for business, which may result in a Fund’s portfolio investments being affected when shareholders are unable to buy or sell shares.

Senior secured floating rate loans for which an active secondary market exists to a reliable degree will be valued at the mean of the last available bid/ask prices in the market for such loans, as provided by a Pricing Service. Senior secured floating rate loans for which an active secondary market does not exist to a reliable degree will be valued at fair value, which is intended to approximate market value. In valuing a senior secured floating rate loan at fair value, the factors considered may include, but are not limited to, the following: (a) the creditworthiness of the borrower and any intermediate participants, (b) the terms of the loan, (c) recent prices in the market for similar loans, if any, and (d) recent prices in the market for instruments of similar quality, rate, period until next interest rate reset and maturity.

Investments valued in currencies other than the U.S. dollar are converted to the U.S. dollar using exchange rates obtained from Pricing Services. As a result, the value of such investments and, in turn, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar. The value of investments traded in markets outside the United States or denominated in currencies other than the U.S. dollar may be affected significantly on a day that the Trust is not open for business. As a result, to the extent that a Fund holds foreign (non-U.S.) investments, the value of those investments may change at times when shareholders are unable to buy or sell shares and the value of such investments will be reflected in the Fund’s next calculated NAV.

Investments for which market quotes or market based valuations are not readily available are valued at fair value as determined in good faith by the Board or persons acting at their direction. The Board has adopted methods for valuing securities and other assets in circumstances where market quotes are not readily available, and has delegated to the Adviser the responsibility for applying the fair valuation methods. In the event that market quotes or market based valuations are not readily available, and the security or asset cannot be valued pursuant to a Board approved valuation method, the value of the security or asset will be determined in good faith by the Valuation Oversight Committee of the Board (“Valuation Oversight Committee”), generally based on recommendations provided by the Adviser. The Adviser may consult with the Sub-Adviser or Parametric in providing such recommendations or otherwise with respect to valuation of the PIMCO Dividend and Income Fund’s portfolio securities or other assets. Market quotes are considered not readily available in circumstances where there is an absence of current or reliable market-based data (e.g., trade information, bid/ask information, indicative market quotations (“Broker Quotes”), Pricing Services’ prices), including where

SEMIANNUAL REPORT DECEMBER 31, 2016 71

Notes to Financial Statements (Cont.)

events occur after the close of the relevant market, but prior to the NYSE Close, that materially affect the values of a Fund’s securities or assets. In addition, market quotes are considered not readily available when, due to extraordinary circumstances, the exchanges or markets on which the securities trade do not open for trading for the entire day and no other market prices are available. The Board has delegated to the Adviser the responsibility for monitoring significant events that may materially affect the values of the Fund’s securities or assets and for determining whether the value of the applicable securities or assets should be reevaluated in light of such significant events.

When a Fund uses fair valuation to determine the value of a portfolio security or other asset for purposes of calculating its NAV, such investments will not be priced on the basis of quotes from the primary market in which they are traded, but rather may be priced by another method that the Board or persons acting at their direction believe reflects fair value. Fair valuation may require subjective determinations about the value of a security. While the Trust’s policy is intended to result in a calculation of the Fund’s NAV that fairly reflects security values as of the time of pricing, the Trust cannot ensure that fair values determined by the Board or persons acting at their direction would accurately reflect the price that a Fund could obtain for a security if it were to dispose of that security as of the time of pricing (for instance, in a forced or distressed sale). The prices used by a Fund may differ from the value that would be realized if the securities were sold. The Funds’ use of fair valuation may also help to deter “stale price arbitrage” as discussed under the “Abusive Trading Practices” section in each Fund’s prospectus.

(b) Fair Value Hierarchy  U.S. GAAP describes fair value as the price that a Fund would receive to sell an asset or pay to transfer a liability in an orderly transaction between market participants at the measurement date. It establishes a fair value hierarchy that prioritizes inputs to valuation methods and requires disclosure of the fair value hierarchy, separately for each major category of assets and liabilities, that segregates fair value measurements into levels (Level 1, 2, or 3). The inputs or methodology used for valuing securities are not necessarily an indication of the risks associated with investing in those securities. Levels 1, 2, and 3 of the fair value hierarchy are defined as follows:

^∎  Level 1 — Quoted prices in active markets or exchanges for identical assets and liabilities.

^∎  Level 2 — Significant other observable inputs, which may include, but are not limited to, quoted prices for similar assets or liabilities in markets that are active, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the assets or liabilities (such as interest rates, yield curves, volatilities, prepayment speeds, loss severities, credit risks and default rates) or other market corroborated inputs.

^∎  Level 3 — Significant unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available, which may include assumptions made by the Board or persons acting at their direction that are used in determining the fair value of investments.

In accordance with the requirements of U.S. GAAP, the amounts of transfers between Levels 1 and 2 and transfers into and out of Level 3, if material, are disclosed in the Notes to Schedule of Investments for each respective Fund.

For fair valuations using significant unobservable inputs, U.S. GAAP requires a reconciliation of the beginning to ending balances for reported fair values that presents changes attributable to realized gain (loss), unrealized appreciation (depreciation), purchases and sales, accrued discounts (premiums), and transfers into and out of the Level 3 category during the period. The end of period value is used for the transfers between Levels of a Fund’s assets and liabilities. Additionally, U.S. GAAP requires quantitative information regarding the significant unobservable inputs used in the determination of fair value of assets or liabilities categorized as Level 3 in the fair value hierarchy. In accordance with the requirements of U.S. GAAP, a fair value hierarchy, and if material, a Level 3 reconciliation and details of significant unobservable inputs, have been included in the Notes to Schedule of Investments for each respective Fund.

(c) Valuation Techniques and the Fair Value Hierarchy

Level 1 and Level 2 trading assets and trading liabilities, at fair value  The valuation methods (or “techniques”) and significant inputs used in determining the fair values of portfolio securities or other assets and liabilities categorized as Level 1 and Level 2 of the fair value hierarchy are as follows:

Common stocks, ETFs, exchange-traded notes and financial derivative instruments, such as futures contracts, rights and warrants, or options on futures that are traded on a national securities exchange, are stated at the last reported sale or settlement price on the day of valuation. To the extent these securities are actively traded and valuation adjustments are not applied, they are categorized as Level 1 of the fair value hierarchy.

Investments in registered open-end investment companies (other than ETFs) will be valued based upon the NAVs of such investments and are categorized as Level 1 of the fair value hierarchy. Investments in unregistered open-end investment companies will be calculated based upon the NAVs of such investments and are considered Level 1 provided that the NAVs are observable, calculated daily and are the value at which both purchases and sales will be conducted.

Equity exchange-traded options and over the counter financial derivative instruments, such as forward foreign currency contracts and options

72 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

contracts derive their value from underlying asset prices, indices, reference rates, and other inputs or a combination of these factors. These contracts are normally valued on the basis of quotes obtained from a quotation reporting system, established market makers or Pricing Services (normally determined as of the NYSE Close). Depending on the product and the terms of the transaction, financial derivative instruments can be valued by Pricing Services using a series of techniques, including simulation pricing models. The pricing models use inputs that are observed from actively quoted markets such as quoted prices, issuer details, indices, bid/ask spreads, interest rates, implied volatilities, yield curves, dividends and exchange rates. Financial derivative instruments that use similar valuation techniques and inputs as described above are categorized as Level 2 of the fair value hierarchy.

Centrally cleared swaps and over the counter swaps derive their value from underlying asset prices, indices, reference rates, and other inputs or a combination of these factors. They are valued using a broker-dealer bid

quotation or on market-based prices provided by Pricing Services or other pricing sources (normally determined as of the NYSE close). Centrally cleared swaps and over the counter swaps can be valued by Pricing Services using a series of techniques, including simulation pricing models. The pricing models may use inputs that are observed from actively quoted markets such as the overnight index swap rate (“OIS”), London Interbank Offered Rate (“LIBOR”) forward rate, interest rates, yield curves and credit spreads. These securities are categorized as Level 2 of the fair value hierarchy.

Level 3 trading assets and trading liabilities, at fair value  When a fair valuation method is applied by the Adviser that uses significant unobservable inputs, investments will be priced by a method that the Board or persons acting at their direction believe reflects fair value and are categorized as Level 3 of the fair value hierarchy.

The validity of the fair value is reviewed by the Adviser on a periodic basis and may be amended in accordance with the Trust’s valuation procedures.

4. SECURITIES AND OTHER INVESTMENTS

(a) Investments in Affiliates

Each Fund may invest substantially all of its assets in Underlying PIMCO Funds and Acquired Funds. The Underlying PIMCO Funds are considered to be affiliated with the Funds. Each Fund may also invest in the PIMCO Short-Term Floating NAV Portfolio III (“Central Fund”) to the extent permitted by the Act and rules thereunder. The Central Fund is a registered investment company created for use solely by the series of the Trust and other series of registered investment companies advised by the Adviser, in connection with their cash management activities. The main investments of the Central Fund are money market and short maturity fixed income instruments. The Central Fund may incur expenses related to its investment activities, but does not pay Investment Advisory Fees or Supervisory and Administrative Fees to the Adviser. The Central Fund is considered to be affiliated with the Funds. The tables below show the Funds’ transactions in and earnings from investments in the affiliated Funds for the period ended December 31, 2016 (amounts in thousands^†):

PIMCO REALPATH® Blend 2020 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)	$	92	$	31	$	0		$	0		$	0		$	123	$	1	$	0
PIMCO High Yield Fund		313		74		(12	)		0			11			386		10		0
PIMCO Income Fund		504		177		(11	)		0			7			677		16		0
PIMCO Long Duration Total Return Fund		196		73		(12	)		(2	)		(29	)		226		8		8
PIMCO Long-Term Credit Fund		196		56		(14	)		(1	)		(11	)		226		6		0
PIMCO Real Return Asset Fund		392		100		(18	)		(1	)		(20	)		453		6		0
PIMCO Real Return Fund		418		108		(4	)		0			(9	)		513		3		0
PIMCO Short-Term Floating NAV Portfolio III		0		100		0			0			0			100		0		0
PIMCO Total Return Fund		192		105		0			0			(5	)		292		3		0
Totals	$	2,303	$	824	$	(71	)	$	(4	)	$	(56	)	$	2,996	$	53	$	8

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

SEMIANNUAL REPORT DECEMBER 31, 2016 73

Notes to Financial Statements (Cont.)

PIMCO REALPATH® Blend 2025 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)	$	41	$	17	$	0		$	0	$	0		$	58	$	0	$	0
PIMCO High Yield Fund		256		51		(5	)		0		9			311		8		0
PIMCO Income Fund		321		88		(5	)		0		5			409		11		0
PIMCO Long Duration Total Return Fund		171		61		0			0		(27	)		205		7		7
PIMCO Long-Term Credit Fund		172		46		0			0		(11	)		207		6		0
PIMCO Real Return Asset Fund		343		93		0			0		(18	)		418		5		0
PIMCO Real Return Fund		205		90		0			0		(4	)		291		2		0
PIMCO Short-Term Floating NAV Portfolio III		0		600		(500	)		0		0			100		1		0
PIMCO Total Return Fund		66		31		0			0		(1	)		96		1		0
Totals	$	1,575	$	1,077	$	(510	)	$	0	$	(47	)	$	2,095	$	41	$	7

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

PIMCO REALPATH® Blend 2030 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)	$	64	$	8	$	0		$	0	$	0		$	72	$	0	$	0
PIMCO High Yield Fund		482		61		(9	)		0		16			550		15		0
PIMCO Income Fund		553		96		(14	)		0		8			643		17		0
PIMCO Long Duration Total Return Fund		244		95		0			0		(36	)		303		10		10
PIMCO Long-Term Credit Fund		245		73		0			0		(14	)		304		7		0
PIMCO Real Return Asset Fund		489		142		0			0		(24	)		607		7		0
PIMCO Real Return Fund		164		75		0			0		(3	)		236		1		0
PIMCO Short-Term Floating NAV Portfolio III		406		102		0			0		0			508		2		0
PIMCO Total Return Fund		70		21		0			0		(2	)		89		1		0
Totals	$	2,717	$	673	$	(23	)	$	0	$	(55	)	$	3,312	$	60	$	10

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

PIMCO REALPATH® Blend 2035 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Emerging Local Bond Fund	$	50	$	2	$	(9	)	$	0	$	(3	)	$	40	$	1	$	0
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		60		0		0			0		0			60		0		0
PIMCO High Yield Fund		399		66		(18	)		0		13			460		12		0
PIMCO Income Fund		458		83		(21	)		0		7			527		14		0
PIMCO Long Duration Total Return Fund		137		55		0			0		(19	)		173		5		5
PIMCO Long-Term Credit Fund		137		44		0			0		(8	)		173		4		0
PIMCO Real Return Asset Fund		183		92		0			0		(8	)		267		2		0
PIMCO Real Return Fund		119		16		0			0		(2	)		133		1		0
PIMCO Short-Term Floating NAV Portfolio III		401		103		0			0		0			504		4		0
PIMCO Total Return Fund		60		7		0			0		(2	)		65		1		0
Totals	$	2,004	$	468	$	(48	)	$	0	$	(22	)	$	2,402	$	44	$	5

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

74 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

PIMCO REALPATH® Blend 2040 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)			Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Emerging Local Bond Fund	$	67	$	11	$	(8	)	$	(1	)	$	(4	)	$	65	$	2	$	0
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		34		5		0			0			0			39		0		0
PIMCO High Yield Fund		174		39		(4	)		0			6			215		5		0
PIMCO Income Fund		208		50		(6	)		0			3			255		6		0
PIMCO Long Duration Total Return Fund		59		18		0			0			(8	)		69		2		2
PIMCO Long-Term Credit Fund		56		16		0			0			(3	)		69		2		0
PIMCO Real Return Asset Fund		73		8		0			0			(3	)		78		1		0
PIMCO Real Return Fund		71		11		0			0			(1	)		81		1		0
PIMCO Short-Term Floating NAV Portfolio III		201		101		0			0			0			302		1		0
PIMCO Total Return Fund		34		5		0			0			(1	)		38		1		0
Totals	$	977	$	264	$	(18	)	$	(1	)	$	(11	)	$	1,211	$	21	$	2

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

PIMCO REALPATH® Blend 2045 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales		Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Emerging Local Bond Fund	$	69	$	11	$	0	$	0	$	(4	)	$	76	$	2	$	0
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		32		4		0		0		0			36		0		0
PIMCO High Yield Fund		100		25		0		0		3			128		3		0
PIMCO Income Fund		136		30		0		0		2			168		4		0
PIMCO Long Duration Total Return Fund		52		10		0		0		(6	)		56		2		2
PIMCO Long-Term Credit Fund		54		6		0		0		(3	)		57		2		0
PIMCO Real Return Asset Fund		70		11		0		0		(3	)		78		1		0
PIMCO Real Return Fund		69		6		0		0		(1	)		74		0		0
PIMCO Short-Term Floating NAV Portfolio III		201		101		0		0		0			302		1		0
PIMCO Total Return Fund		32		4		0		0		(1	)		35		1		0
Totals	$	815	$	208	$	0	$	0	$	(13	)	$	1,010	$	16	$	2

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

PIMCO REALPATH® Blend 2050 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales		Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Emerging Local Bond Fund	$	81	$	15	$	0	$	0	$	(5	)	$	91	$	2	$	0
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		41		0		0		0		0			41		0		0
PIMCO High Yield Fund		101		9		0		0		3			113		3		0
PIMCO Income Fund		142		14		0		0		2			158		4		0
PIMCO Long Duration Total Return Fund		63		11		0		0		(8	)		66		2		2
PIMCO Long-Term Credit Fund		63		7		0		0		(3	)		67		3		0
PIMCO Real Return Asset Fund		49		16		0		0		(1	)		64		1		0
PIMCO Real Return Fund		81		12		0		0		(1	)		92		1		0
PIMCO Short-Term Floating NAV Portfolio III		301		1		0		0		0			302		1		0
PIMCO Total Return Fund		40		6		0		0		(1	)		45		1		0
Totals	$	962	$	91	$	0	$	0	$	(14	)	$	1,039	$	18	$	2

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

SEMIANNUAL REPORT DECEMBER 31, 2016 75

Notes to Financial Statements (Cont.)

PIMCO REALPATH® Blend 2055 Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales		Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Emerging Local Bond Fund	$	72	$	7	$	0	$	0	$	(4	)	$	75	$	2	$	0
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)		35		0		0		0		0			35		0		0
PIMCO High Yield Fund		85		3		0		0		3			91		2		0
PIMCO Income Fund		120		7		0		0		2			129		4		0
PIMCO Long Duration Total Return Fund		51		11		0		0		(7	)		55		2		2
PIMCO Long-Term Credit Fund		53		6		0		0		(3	)		56		2		0
PIMCO Real Return Asset Fund		35		0		0		0		(1	)		34		0		0
PIMCO Real Return Fund		69		4		0		0		(1	)		72		0		0
PIMCO Short-Term Floating NAV Portfolio III		201		0		0		0		0			201		1		0
PIMCO Total Return Fund		35		0		0		0		(1	)		34		1		0
Totals	$	756	$	38	$	0	$	0	$	(12	)	$	782	$	14	$	2

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

PIMCO REALPATH® Blend Income Fund
Underlying PIMCO Funds	Market Value 06/30/2016		Purchases at Cost		Proceeds from Sales			Net Realized Gain (Loss)		Change in Unrealized Appreciation (Depreciation)			Market Value 12/31/2016		Dividend Income(1)		Realized Net Capital Gain Distributions(1)
PIMCO Foreign Bond Fund (U.S. Dollar-Hedged)	$	102	$	8	$	0		$	0	$	0		$	110	$	1	$	0
PIMCO High Yield Fund		256		16		0			0		9			281		8		0
PIMCO Income Fund		567		50		(11	)		0		8			614		16		0
PIMCO Long Duration Total Return Fund		120		26		0			0		(17	)		129		5		4
PIMCO Long-Term Credit Fund		123		18		(4	)		0		(7	)		130		3		0
PIMCO Real Return Asset Fund		240		33		0			0		(11	)		262		3		0
PIMCO Real Return Fund		343		36		0			0		(6	)		373		2		0
PIMCO Short-Term Floating NAV Portfolio III		107		1		0			0		0			108		1		0
PIMCO Total Return Fund		309		31		0			0		(8	)		332		5		0
Totals	$	2,167	$	219	$	(15	)	$	0	$	(32	)	$	2,339	$	44	$	4

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  The tax characterization of distributions is determined in accordance with Federal income tax regulations. The actual tax characterization of distributions received from underlying funds are determined at the end of the fiscal year. See Note 2(c) in the Notes to Financial Statements for more information.

5. FINANCIAL DERIVATIVE INSTRUMENTS

The following disclosures contain information on how and why the Funds use financial derivative instruments, and how financial derivative instruments affect the Funds’ financial position, results of operations and cash flows. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the net realized gain (loss) and net change in unrealized appreciation (depreciation) on the Statements of Operations, each categorized by type of financial derivative contract and related risk exposure, are included in a table in the Notes to Schedules of Investments. The financial derivative instruments outstanding as of period end and the amounts of net realized gain (loss) and net change in unrealized appreciation (depreciation) on financial derivative instruments during the period, as disclosed in the Notes to Schedules of Investments, serve as indicators of the volume of financial derivative activity for the Funds.

(a) Options Contracts  Certain Funds may write or purchase options to enhance returns or to hedge an existing position or future investment. A Fund may write call and put options on securities and financial derivative instruments it owns or in which it may invest. Writing put options tends to increase a Fund’s exposure to the underlying instrument. Writing call options tends to decrease a Fund’s exposure to the underlying instrument. When a Fund writes a call or put, an amount equal to the premium received is recorded as a liability and subsequently marked to market to reflect the current value of the option written. These liabilities are included on the Statements of Assets and Liabilities. Premiums received from writing options which expire are treated as realized gains. Premiums received from writing options which are exercised or closed are added to the proceeds or offset against amounts paid on the underlying futures, swap, security or currency transaction to determine the realized gain (loss). Certain options may be written with premiums to be determined on a future

76 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

date. The premiums for these options are based upon implied volatility parameters at specified terms. A Fund as a writer of an option has no control over whether the underlying instrument may be sold (“call”) or purchased (“put”) and as a result bears the market risk of an unfavorable change in the price of the instrument underlying the written option. There is the risk a Fund may not be able to enter into a closing transaction because of an illiquid market.

Certain Funds may also purchase put and call options. Purchasing call options tends to increase a Fund’s exposure to the underlying instrument. Purchasing put options tends to decrease a Fund’s exposure to the underlying instrument. A Fund pays a premium which is included as an asset on the Statements of Assets and Liabilities and subsequently marked to market to reflect the current value of the option. Premiums paid for purchasing options which expire are treated as realized losses. Certain options may be purchased with premiums to be determined on a future date. The premiums for these options are based upon implied volatility parameters at specified terms. The risk associated with purchasing put and call options is limited to the premium paid. Premiums paid for purchasing options which are exercised or closed are added to the amounts paid or offset against the proceeds on the underlying investment transaction to determine the realized gain (loss) when the underlying transaction is executed.

Options on Indices  Certain Funds may write or purchase options on indices (“Index Option”). An Index Option uses a specified index as the underlying instrument for the option contract. The exercise for an Index Option will not include physical delivery of the underlying index but will result in a cash transfer of the amount of the difference between the settlement price of the underlying index and the strike price.

(b) Swap Agreements  Certain Funds may invest in swap agreements. Swap agreements are bilaterally negotiated agreements between a Fund and a counterparty to exchange or swap investment cash flows, assets, foreign currencies or market-linked returns at specified, future intervals. Swap agreements may be privately negotiated in the over the counter market (“OTC swaps”) or may be cleared through a third party, known as a central counterparty or derivatives clearing organization (“Centrally Cleared Swaps”). A Fund may enter into asset, credit default, cross-currency, interest rate, total return, variance and other forms of swap agreements to manage its exposure to credit, currency, interest rate, commodity, equity and inflation risk. In connection with these agreements, securities or cash may be identified as collateral or margin in accordance with the terms of the respective swap agreements to provide assets of value and recourse in the event of default or bankruptcy/insolvency.

Centrally Cleared Swaps are marked to market daily based upon valuations as determined from the underlying contract or in accordance

with the requirements of the central counterparty or derivatives clearing organization. Changes in market value, if any, are reflected as a component of net change in unrealized appreciation (depreciation) on the Statements of Operations. Daily changes in valuation of centrally cleared swaps (“Swap Variation Margin”), if any, are disclosed within centrally cleared financial derivative instruments on the Statements of Assets and Liabilities. OTC swap payments received or paid at the beginning of the measurement period are included on the Statements of Assets and Liabilities and represent premiums paid or received upon entering into the swap agreement to compensate for differences between the stated terms of the swap agreement and prevailing market conditions (credit spreads, currency exchange rates, interest rates, and other relevant factors). Upfront premiums received (paid) are initially recorded as liabilities (assets) and subsequently marked to market to reflect the current value of the swap. These upfront premiums are recorded as realized gains (losses) on the Statements of Operations upon termination or maturity of the swap. A liquidation payment received or made at the termination of the swap is recorded as realized gain (loss) on the Statements of Operations. Net periodic payments received or paid by a Fund are included as part of realized gain (loss) on the Statements of Operations.

For purposes of applying a Fund’s investment policies and restrictions, swap agreements are generally valued by a Fund at market value. In the case of a credit default swap, in applying certain of a Fund’s investment policies and restrictions, the Funds will value the credit default swap at its notional value or its full exposure value (i.e., the sum of the notional amount for the contract plus the market value), but may value the credit default swap at market value for purposes of applying certain of a Fund’s other investment policies and restrictions. For example, a Fund may value credit default swaps at full exposure value for purposes of a Fund’s credit quality guidelines (if any) because such value reflects a Fund’s actual economic exposure during the term of the credit default swap agreement. In this context, both the notional amount and the market value may be positive or negative depending on whether a Fund is selling or buying protection through the credit default swap. The manner in which certain securities or other instruments are valued by a Fund for purposes of applying investment policies and restrictions may differ from the manner in which those investments are valued by other types of investors.

Entering into swap agreements involves, to varying degrees, elements of interest, credit, market and documentation risk in excess of the amounts recognized on the Statements of Assets and Liabilities. Such risks involve the possibility that there will be no liquid market for these agreements, that the counterparty to the agreements may default on its obligation to perform or disagree as to the meaning of contractual terms in the agreements and that there may be unfavorable changes in interest rates.

SEMIANNUAL REPORT DECEMBER 31, 2016 77

Notes to Financial Statements (Cont.)

A Fund’s maximum risk of loss from counterparty credit risk is the discounted net value of the cash flows to be received from the counterparty over the contract’s remaining life, to the extent that amount is positive. The risk may be mitigated by having a master netting arrangement between a Fund and the counterparty and by the posting of collateral to a Fund to cover a Fund’s exposure to the counterparty.

Total Return Swap Agreements  Certain Funds may enter into total return swap agreements to gain or mitigate exposure to the underlying reference asset. Total return swap agreements involve commitments where single or multiple cash flows are exchanged based on the price of an underlying reference asset and on a fixed or variable interest rate. Total return swap agreements may involve commitments to pay interest in exchange for a market-linked return. One counterparty pays out the total return of a specific reference asset, which may include an underlying equity, index, or bond, and in return receives a fixed or variable rate. At the maturity date, a net cash flow is exchanged where the total return is equivalent to the return of the underlying reference less a financing rate, if any. As a receiver, a Fund would receive payments based on any net positive total return and would owe payments in the event of a net negative total return. As the payer, a Fund would owe payments on any net positive total return, and would receive payments in the event of a net negative total return.

6. PRINCIPAL RISKS

In the normal course of business, the Funds (or Acquired Funds) trade financial instruments and enter into financial transactions where risk of potential loss exists due to such things as changes in the market (market risk) or failure or inability of the other party to a transaction to perform (credit and counterparty risk). See below for a detailed description of select principal risks. For a more comprehensive list of potential risks the Funds may be subject to, please see the Important Information About the Funds.

Investments in Mutual Funds  To the extent that certain Funds invest substantially all of their respective assets in Acquired Funds, the risks associated with investing in these Funds will be closely related to the risks associated with the securities and other investments held by the Acquired Funds. The ability of the Funds to achieve their respective investment objectives may depend upon the ability of the Acquired Funds to achieve their respective investment objectives. There can be no assurance that the investment objective of any Acquired Fund will be achieved. The NAV of each Fund will fluctuate in response to changes in the respective NAV of the Acquired Funds in which it invests. The extent to which the investment performance and risks associated with the Funds correlate to those of a particular Acquired Fund will depend upon the extent to which the assets of the Funds are allocated from time to time for investment in the Acquired Funds,

which will vary. Investing in Acquired Funds involves certain additional expenses and tax results that would not be present in a direct investment in the Acquired Funds.

Certain Funds’ investment performance depends upon how each Fund’s assets are allocated and reallocated according to each Fund’s asset allocation targets and ranges. A principal risk of investing in each Fund is that the Funds’ asset allocation sub-adviser will make less than optimal or poor asset allocation decisions. The asset allocation sub-adviser attempts to identify investment allocations for the Acquired Funds that will provide consistent, quality performance for the Funds, but there is no guarantee that such allocation techniques will produce the desired results.

Market Risks  A Fund’s (or Acquired Funds’) investments in financial derivative instruments and other financial instruments expose the Fund to various risks such as, but not limited to, interest rate, foreign (non-U.S.) currency, equity and commodity risks.

The market values of equities, such as common stocks and preferred securities or equity related investments such as futures and options, have historically risen and fallen in periodic cycles and may decline due to general market conditions which are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. They may also decline due to factors which affect a particular industry or industries, such as labor shortages or increased production costs and competitive conditions within an industry. Different types of equity securities may react differently to these developments. Equity securities and equity related investments generally have greater market price volatility than fixed income securities.

Issuers that have paid regular dividends or distributions to shareholders may not continue to do so in the future. An issuer may reduce or eliminate future dividends or distributions at any time and for any reason. Moreover, a Fund may use a dividend capture strategy (i.e., purchasing an equity security shortly before the issuer pays a dividend and selling it shortly thereafter), which may expose the Fund to higher portfolio turnover, increased trading costs and the potential for capital loss or gain, particularly in the event of significant short-term price movements of stocks subject to dividend capture trading. Also, securities purchased to capture a dividend often decline in value at the time of sale (i.e., shortly following the dividend) and the resulting realized loss to the Fund may exceed the amount of the dividend received, thereby negatively impacting the Fund’s net asset value.

Interest rate risk is the risk that fixed income securities and other instruments held by a Fund (or Acquired Funds) will decline in value

78 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

because of an increase in interest rates. As nominal interest rates rise, the value of certain fixed income securities held by a Fund (or Acquired Funds) is likely to decrease. A nominal interest rate can be described as the sum of a real interest rate and an expected inflation rate. Interest rate changes can be sudden and unpredictable, and a Fund (or Acquired Funds) may lose money if these changes are not anticipated by the Fund’s (or Acquired Funds’) management. A Fund (or Acquired Funds) may not be able to hedge against changes in interest rates or may choose not to do so for cost or other reasons. In addition, any hedges may not work as intended.

Duration is a measure used to determine the sensitivity of a security’s price to changes in interest rates that incorporates a security’s yield, coupon, final maturity and call features, among other characteristics. Convexity is an additional measure of interest rate sensitivity that measures the rate of change of duration in response to changes in interest rates. Fixed income securities with longer durations tend to be more sensitive to changes in interest rates, usually making them more volatile than securities with shorter durations. A wide variety of factors can cause interest rates to rise (e.g., central bank monetary policies, inflation rates, general economic conditions, etc.). At present, the U.S. and many parts of the world, including certain European countries, are at or near historically low interest rates. The Funds may be subject to heightened interest rate risk because the Fed has ended its quantitative easing program and has begun, and may continue, to raise interest rates. To the extent that the Fed continues to raise interest rates, there is a risk that rates across the financial system may rise. Further, while bond markets have steadily grown over the past three decades, dealer “market making” ability has not kept pace and in some cases has decreased. Given the importance of intermediary “market making” in creating a robust and active market, fixed income securities are currently facing increased volatility and liquidity risks. All of these factors, collectively and/or individually, could cause a Fund (or Acquired Funds) to lose value. If a Fund (or Acquired Funds) lost enough value, the Fund (or Acquired Funds) could face increased shareholder redemptions, which could force the Fund to liquidate investments at disadvantageous times or prices, thereby adversely affecting the Fund.

To the extent that a Fund (or Acquired Funds) may invest in securities and instruments that are economically tied to Russia, the Fund (or Acquired Funds) is subject to various risks such as, but not limited to political, economic, legal, market and currency risks. The risks include uncertain political and economic policies, short-term market volatility, poor accounting standards, corruption and crime, an inadequate regulatory system, and unpredictable taxation. Investments in Russia are particularly subject to the risk that further economic sanctions may be imposed by the United States and/or other countries. Such sanctions — which may impact companies in many sectors, including energy,

financial services and defense, among others — may negatively impact a Fund’s (or Acquired Funds’) performance and/or ability to achieve its investment objective. The Russian securities market, as compared to U.S. markets, has significant price volatility, less liquidity, a smaller market capitalization and a smaller number of traded securities. Adverse currency exchange rates are a risk and there may be a lack of available currency hedging instruments. Investments in Russia may be subject to the risk of nationalization or expropriation of assets. Oil, natural gas, metals, and timber account for a significant portion of Russia’s exports, leaving the country vulnerable to swings in world prices.

If a Fund (or Acquired Funds) invests directly in foreign (non-U.S.) currencies or in securities that trade in, and receive revenues in, foreign (non-U.S.) currencies, or in financial derivative instruments that provide exposure to foreign (non-U.S.) currencies, it will be subject to the risk that those currencies will decline in value relative to the base currency of the Fund (or Acquired Funds), or, in the case of hedging positions, that the Fund’s (or Acquired Funds’) base currency will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates, intervention (or the failure to intervene) by U.S. or foreign governments, central banks or supranational entities such as the International Monetary Fund, or by the imposition of currency controls or other political developments in the United States or abroad. As a result, a Fund’s (or Acquired Funds’) investments in foreign currency-denominated securities may reduce the Fund’s (or Acquired Funds’) returns.

Credit and Counterparty Risks  A Fund (or Acquired Funds) will be exposed to credit risk to parties with whom it trades and will also bear the risk of settlement default. A Fund (or Acquired Funds) minimizes concentrations of credit risk by undertaking transactions with a large number of customers and counterparties on recognized and reputable exchanges, where applicable. Over the counter (“OTC”) derivative transactions are subject to the risk that a counterparty to the transaction will not fulfill its contractual obligations to the other party, as many of the protections afforded to centrally cleared derivative transactions might not be available for OTC derivative transactions. For derivatives traded on an exchange or through a central counterparty, credit risk resides with the Fund’s (or Acquired Funds’) clearing broker, or the clearinghouse itself, rather than with a counterparty in an OTC derivative transaction. A Fund (or Acquired Funds) could lose money if the issuer or guarantor of a fixed income security, or the counterparty to a financial derivative instruments contract, repurchase agreement or a loan of portfolio securities, is unable or unwilling to make timely principal and/or interest payments, or to otherwise honor its obligations. Securities and financial derivative instruments are subject to varying degrees of credit risk, which may be reflected in credit ratings.

SEMIANNUAL REPORT DECEMBER 31, 2016 79

Notes to Financial Statements (Cont.)

Similar to credit risk, a Fund (or Acquired Funds) may be exposed to counterparty risk, or the risk that an institution or other entity with which the Fund (or Acquired Funds) has unsettled or open transactions will default. PIMCO, as the Adviser, minimizes counterparty risks to the Funds (or Acquired Funds) through a number of ways. Prior to entering into transactions with a new counterparty, the PIMCO Counterparty Risk Committee conducts an extensive credit review of such counterparty and must approve the use of such counterparty. Furthermore, pursuant to the terms of the underlying contract, to the extent that unpaid amounts owed to a Fund (or Acquired Funds) exceed a predetermined threshold, such counterparty shall advance collateral to the Fund (or Acquired Funds) in the form of cash or securities equal in value to the unpaid amount owed to the Fund (or Acquired Funds). A Fund (or Acquired Funds) may invest such collateral in securities or other instruments and will typically pay interest to the counterparty on the collateral received. If the unpaid amount owed to a Fund (or Acquired Funds) subsequently decreases, the Fund (or Acquired Funds) would be required to return to the counterparty all or a portion of the collateral previously advanced. PIMCO’s attempts to minimize counterparty risk may, however, be unsuccessful.

All transactions in listed securities are settled/paid for upon delivery using approved counterparties. The risk of default is considered minimal, as delivery of securities sold is only made once a Fund (or Acquired Funds) has received payment. Payment is made on a purchase once the securities have been delivered by the counterparty. The trade will fail if either party fails to meet its obligation.

Master Netting Arrangements  A Fund may be subject to various netting arrangements (“Master Agreements”) with select counterparties. Master Agreements govern the terms of certain transactions, and reduce the counterparty risk associated with relevant transactions by specifying credit protection mechanisms and providing standardization that improves legal certainty. Each type of Master Agreement governs certain types of transactions. Different types of transactions may be traded out of different legal entities or affiliates of a particular organization, resulting in the need for multiple agreements with a single counterparty. As the Master Agreements are specific to unique operations of different asset types, they allow a Fund to close out and net its total exposure to a counterparty in the event of a default with respect to all the transactions governed under a single Master Agreement with a counterparty. For financial reporting purposes the Statements of Assets and Liabilities generally present derivative assets and liabilities on a gross basis, which reflects the full risks and exposures prior to netting.

Master Agreements can also help limit counterparty risk by specifying collateral posting arrangements at pre-arranged exposure levels. Under most Master Agreements, collateral is routinely transferred if the total

net exposure to certain transactions (net of existing collateral already in place) governed under the relevant Master Agreement with a counterparty in a given account exceeds a specified threshold, which typically ranges from zero to $250,000 depending on the counterparty and the type of Master Agreement. United States Treasury Bills and U.S. dollar cash are generally the preferred forms of collateral, although other forms of AAA rated paper or sovereign securities may be used depending on the terms outlined in the applicable Master Agreement. Securities and cash pledged as collateral are reflected as assets on the Statements of Assets and Liabilities as either a component of Investments at value (securities) or Deposits with counterparty. Cash collateral received is not typically held in a segregated account and as such is reflected as a liability on the Statements of Assets and Liabilities as Deposits from counterparty. The market value of any securities received as collateral is not reflected as a component of NAV. A Fund’s overall exposure to counterparty risk can change substantially within a short period, as it is affected by each transaction subject to the relevant Master Agreement.

Master Repurchase Agreements and Global Master Repurchase Agreements (individually and collectively “Master Repo Agreements”) govern repurchase, reverse repurchase, and sale-buyback transactions between a Fund and select counterparties. Master Repo Agreements maintain provisions for, among other things, initiation, income payments, events of default, and maintenance of collateral. The market value of transactions under the Master Repo Agreement, collateral pledged or received, and the net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

Master Securities Forward Transaction Agreements (“Master Forward Agreements”) govern certain forward settling transactions, such as TBA securities, delayed-delivery or sale-buyback transactions by and between a Fund and select counterparties. The Master Forward Agreements maintain provisions for, among other things, transaction initiation and confirmation, payment and transfer, events of default, termination, and maintenance of collateral. The market value of forward settling transactions, collateral pledged or received, and the net exposure by counterparty as of period end is disclosed in the Notes to Schedules of Investments.

Customer Account Agreements and related addenda govern cleared derivatives transactions such as futures, options on futures, and cleared OTC derivatives. Such transactions require posting of initial margin as determined by each relevant clearing agency which is segregated in an account at a futures commission merchant (“FCM”) registered with the Commodity Futures Trading Commission (“CFTC”). In the United States, counterparty risk may be reduced as creditors of an FCM cannot have a claim to Fund assets in the segregated account. Portability of exposure reduces risk to the Funds. Variation margin, or changes in market value, are exchanged daily, but may not be netted between

80 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

futures and cleared OTC derivatives unless the parties have agreed to a separate arrangement in respect of portfolio margining. The market value or accumulated unrealized appreciation (depreciation), initial margin posted, and any unsettled variation margin as of period end is disclosed in the Notes to Schedules of Investments.

International Swaps and Derivatives Association, Inc. Master Agreements and Credit Support Annexes (“ISDA Master Agreements”) govern bilateral OTC derivative transactions entered into by a Fund with select counterparties. ISDA Master Agreements maintain provisions for general obligations, representations, agreements, collateral posting and events of default or termination. Events of termination include conditions that may entitle counterparties to elect to terminate early and cause settlement of all outstanding transactions under the applicable ISDA Master Agreement. Any election to terminate early could be material to the financial statements. In limited circumstances, the ISDA Master Agreement may contain additional provisions that add counterparty protection beyond coverage of existing daily exposure if the counterparty has a decline in credit quality below a predefined level. These amounts, if any, may be segregated with a third-party custodian. The market value of OTC financial derivative instruments, collateral

received or pledged, and net exposure by counterparty as of period end are disclosed in the Notes to Schedules of Investments.

7. FEES AND EXPENSES

(a) Investment Advisory Fee  PIMCO is a majority-owned subsidiary of Allianz Asset Management of America L.P. (“Allianz Asset Management”) and serves as the Adviser to the Trust, pursuant to an investment advisory contract. The Adviser receives a monthly fee from each Fund at an annual rate based on average daily net assets (the “Investment Advisory Fee”). The Investment Advisory Fee for all classes is charged at an annual rate as noted in the table in note (b) below.

(b) Supervisory and Administrative Fee  PIMCO serves as administrator (the “Administrator”) and provides supervisory and administrative services to the Trust for which it receives a monthly supervisory and administrative fee based on each share class’s average daily net assets (the “Supervisory and Administrative Fee”). As the Administrator, PIMCO bears the costs of various third-party services, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs.

Investment Advisory Fees and Supervisory and Administrative Fees for all classes, as applicable, are charged at an annual rate as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

Investment Advisory Fee

Supervisory and Administrative Fee

Fund Name

All Classes

Inst Class

Class P

Admin Class

Class D

Class A

Class C

Class R

PIMCO REALPATH® Blend 2020 Fund

0.01%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2025 Fund

0.01%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2030 Fund

0.02%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2035 Fund

0.03%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2040 Fund

0.03%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2045 Fund

0.03%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2050 Fund

0.03%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend 2055 Fund

0.03%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

PIMCO REALPATH® Blend Income Fund

0.01%

0.02%

N/A

0.02%

N/A

0.27%

N/A

N/A

(c) Distribution and Servicing Fees  PIMCO Investments LLC (“PI”), a wholly-owned subsidiary of PIMCO, serves as the distributor (“Distributor”) of the Trust’s shares.

The Trust has adopted separate Distribution and Servicing Plans with respect to the Class A, Class C and Class R shares of the Trust pursuant to Rule 12b-1 under the Act. In connection with the distribution of Class C and Class R shares of the Trust, the Distributor receives distribution fees from the Trust of up to 0.75% for Class C shares and 0.25% for Class R shares, and in connection with personal services rendered to Class A, Class C and Class R shareholders and the maintenance of such shareholder accounts, the Distributor receives servicing fees from the Trust of up to 0.25% for each of Class A, Class C and Class R shares (percentages reflect annual rates of the average daily net assets attributable to the applicable class).

The Trust has adopted a Distribution and Servicing Plan with respect to the Class D shares of each Fund pursuant to Rule 12b-1 under the Act (the “Class D Plan”). Under the terms of the Class D Plan, a Fund is permitted to compensate the Distributor out of the assets attributable to the Class D shares of the Fund, in an amount up to 0.25% on an annual basis of the average daily net assets of the Fund’s Class D shares for providing, or procuring through financial intermediaries, distribution, shareholder services, and/or maintenance of shareholder accounts with respect to Class D shareholders of the Fund, some of which may be deemed to be primarily intended to result in the sale of Class D shares.

The Trust has adopted a Distribution and Servicing Plan with respect to the Administrative Class shares of each Fund pursuant to Rule 12b-1 under the Act (the “Administrative Class Plan”). Under the terms of the

SEMIANNUAL REPORT DECEMBER 31, 2016 81

Notes to Financial Statements (Cont.)

Administrative Class Plan, a Fund may compensate the Distributor for providing, or procuring through financial intermediaries, distribution, administrative, recordkeeping, shareholder and/or related services with respect to Administrative Class shares. The Administrative Class Plan permits a Fund to make total payments at an annual rate of up to 0.25% of the average daily net assets attributable to the Administrative Class shares.

The Trust paid distribution and servicing fees at effective rates as noted in the following table (calculated as a percentage of each Fund’s average daily net assets attributable to each class):

	Distribution Fee		Servicing Fee
Administrative Class		—		0.25%
Class D		—		0.25%
Class A		—		0.25%
Class C		0.75%		0.25%
Class R		0.25%		0.25%

The Distributor also received the proceeds of the initial sales charges paid by the shareholders upon the purchase of Class A shares and the contingent deferred sales charges paid by the shareholders upon certain redemptions of Class A and Class C shares. For the period ended December 31, 2016, the Distributor retained $44,078 representing commissions (sales charges) and contingent deferred sales charges from the Trust.

(d) Fund Expenses  PIMCO provides or procures supervisory and administrative services for shareholders and also bears the costs of various third-party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency and printing costs. The Trust is responsible for the following expenses: (i) taxes and governmental fees; (ii) brokerage fees and commissions and other portfolio transaction expenses; (iii) the costs of borrowing money, including interest expense; (iv) fees and expenses of the Trustees who are not “interested persons” of PIMCO or the Trust, and any counsel retained exclusively for their benefit; (v) extraordinary expense, including costs of litigation and indemnification expenses; (vi) organizational expenses; and (vii) any expenses allocated or

allocable to a specific class of shares, which include service fees payable with respect to the Administrative Class Shares, and may include certain other expenses as permitted by the Trust’s Multi-Class Plan adopted pursuant to Rule 18f-3 under the Act and subject to review and approval by the Trustees. The ratio of expenses to average net assets per share class, as disclosed on the Financial Highlights, may differ from the annual funds operating expenses per share class.

Each Trustee, other than those affiliated with PIMCO or its affiliates, receives an annual retainer of $62,000, plus $6,250 for each Board meeting attended in person, $375 ($750 in the case of the audit committee chair with respect to audit committee meetings) for each committee meeting attended and $750 for each Board meeting attended telephonically, plus reimbursement of related expenses. In addition, the audit committee chair receives an additional annual retainer of $9,000, the valuation oversight committee lead receives an additional annual retainer of $2,000 (to the extent there are co-leads of the valuation oversight committee, the annual retainer will be split evenly between the co-leads, so that each co-lead individually receives an additional retainer of $1,000) and the governance committee chair receives an additional annual retainer of $750.

These expenses are allocated on a pro rata basis to each Fund of the Trust according to its respective net assets. The Trust pays no compensation directly to any Trustee or any other officer who is affiliated with the Administrator, all of whom receive remuneration for their services to the Trust from the Administrator or its affiliates.

(e) Expense Limitation  Pursuant to the Expense Limitation Agreement, PIMCO has agreed to waive a portion of the Funds’ Supervisory and Administrative Fee, or reimburse the Funds, to the extent that the payment of each Fund’s organizational expenses and pro rata share of Trustee Fees exceed 0.0049%, the “Expense Limit” (calculated as a percentage of each Fund’s average daily net assets attributable to each class). The Expense Limitation Agreement will automatically renew for one-year terms unless PIMCO provides written notice to the Trust at least 30 days prior to the end of the then current term.

PIMCO may be reimbursed for these waived amounts in future periods, not to exceed thirty-six months after the waiver. Expenses that have been waived may still be reimbursed to PIMCO, provided that (1) the Fund’s annualized organizational expenses and pro rata share of Trustee Fees plus the amount reimbursed does not exceed the Expense Limit; (2) such amount paid to PIMCO will not exceed the Reimbursement Amount, which is

82 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

the portion of the Supervisory and Administrative Fee that was waived, reduced or reimbursed by PIMCO; and (3) such amount will not include any amounts previously reimbursed to PIMCO. The recoverable amounts to PIMCO at December 31, 2016, were as follows (amounts in thousands^†):

	Expiring within
Fund Name	12 months		13-24 months		25-36 months		Total
PIMCO REALPATH® Blend 2020 Fund	$	0	$	16	$	0	$	16
PIMCO REALPATH® Blend 2025 Fund		0		16		0		16
PIMCO REALPATH® Blend 2030 Fund		0		16		1		17
PIMCO REALPATH® Blend 2035 Fund		0		16		1		17
PIMCO REALPATH® Blend 2040 Fund		0		16		0		16
PIMCO REALPATH® Blend 2045 Fund		0		16		0		16
PIMCO REALPATH® Blend 2050 Fund		0		16		0		16
PIMCO REALPATH® Blend 2055 Fund		0		16		0		16
PIMCO REALPATH® Blend Income Fund		0		16		0		16

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

(f) Acquired Fund Fees and Expenses  The Underlying PIMCO Fund expenses for the Funds are based upon an allocation of a Fund’s assets among the Underlying PIMCO Funds and upon the total annual operating expenses of the Institutional Class or Class M shares, as applicable, of the Underlying PIMCO Funds. The Underlying PIMCO Fund expenses incurred by a Fund will vary with changes in the expenses of the Underlying PIMCO Funds, as well as the allocation of the Fund’s assets.

The expenses associated with investing in a fund of funds are generally higher than those for mutual funds that do not invest in other mutual funds. The cost of investing in a fund of funds will generally be higher than the cost of investing in a mutual fund that invests directly in individual stocks and bonds. By investing in a fund of funds, an investor will indirectly bear fees and expenses charged by Acquired Funds in addition to each Fund’s direct fees and expenses. In addition, the use of a fund of funds structure could affect the timing, amount and character of distributions to the shareholders and may therefore increase the amount of taxes payable by shareholders.

8. RELATED PARTY TRANSACTIONS

The Adviser, Administrator, and Distributor are related parties. Fees payable to these parties are disclosed in Note 7, Fees and Expenses, and the accrued related party fee amounts are disclosed on the Statements of Assets and Liabilities.

9. GUARANTEES AND INDEMNIFICATIONS

Under the Trust’s organizational documents, each Trustee or officer of the Trust is indemnified and each employee or other agent of the Trust

(including the Trust’s investment manager) may be indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Funds. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of indemnification clauses. The Funds’ maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Funds that have not yet occurred. However, the Funds have not had prior claims or losses pursuant to these contracts.

10. PURCHASES AND SALES OF SECURITIES

The length of time a Fund has held a particular security is not generally a consideration in investment decisions. A change in the securities held by a Fund is known as “portfolio turnover.” Each Fund may engage in frequent and active trading of portfolio securities to achieve its investment objective, particularly during periods of volatile market movements. High portfolio turnover may involve correspondingly greater transaction costs to a Fund, including brokerage commissions or dealer mark-ups and other transaction costs on the sale of securities and reinvestments in other securities. Such sales may also result in realization of taxable capital gains, including short-term capital gains (which are generally taxed at ordinary income tax rates). The transaction costs and tax effects associated with portfolio turnover may adversely affect a Fund’s performance. The portfolio turnover rates are reported in the Financial Highlights.

SEMIANNUAL REPORT DECEMBER 31, 2016 83

Notes to Financial Statements (Cont.)

December 31, 2016 (Unaudited)

Purchases and sales of securities (excluding short-term investments) for the period ended December 31, 2016, were as follows (amounts in thousands^†):

	U.S. Government/Agency				All Other
Fund Name	Purchases		Sales		Purchases		Sales
PIMCO REALPATH® Blend 2020 Fund	$	0	$	0	$	1,123	$	253
PIMCO REALPATH® Blend 2025 Fund		0		0		824		192
PIMCO REALPATH® Blend 2030 Fund		0		0		1,011		292
PIMCO REALPATH® Blend 2035 Fund		0		0		707		290
PIMCO REALPATH® Blend 2040 Fund		0		0		426		143
PIMCO REALPATH® Blend 2045 Fund		0		0		366		130
PIMCO REALPATH® Blend 2050 Fund		0		0		426		144
PIMCO REALPATH® Blend 2055 Fund		0		0		210		104
PIMCO REALPATH® Blend Income Fund		0		0		325		97

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

84 PIMCO EQUITY SERIES

(THIS PAGE INTENTIONALLY LEFT BLANK)

SEMIANNUAL REPORT DECEMBER 31, 2016 85

Notes to Financial Statements (Cont.)

11. SHARES OF BENEFICIAL INTEREST

The Funds may issue an unlimited number of shares of beneficial interest with a $0.001 par value. Changes in shares of beneficial interest were as follows (shares and amounts in thousands^†):

	PIMCO REALPATH® Blend 2020 Fund											PIMCO REALPATH® Blend 2025 Fund
	Six Months Ended 12/31/2016						Year Ended 06/30/2016					Six Months Ended 12/31/2016						Year Ended 06/30/2016
	Shares			Amount			Shares		Amount			Shares			Amount			Shares			Amount
Receipts for shares sold
Institutional Class		90		$	907			106	$	988			62		$	611			109		$	1,070
Administrative Class		0			0			0		0			0			0			1			0
Class A		0			0			0		0			1			12			2			15
Issued as reinvestment of distributions
Institutional Class		8			77			12		117			6			64			13			122
Administrative Class		0			0			0		0			0			0			0			0
Class A		0			0			0		0			0			1			0			0
Cost of shares redeemed
Institutional Class		(7	)		(66	)		0		(4	)		(1	)		(8	)		(81	)		(762	)
Administrative Class		0			0			0		0			0			0			0			0
Class A		0			0			0		0			0			0			0			(1	)
Net increase (decrease) resulting from Fund share transactions		91		$	918			118	$	1,101			68		$	680			44		$	444

	PIMCO REALPATH® Blend 2045 Fund												PIMCO REALPATH® Blend 2050 Fund
	Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Receipts for shares sold
Institutional Class		24		$	243			44		$	422			38		$	388			95		$	900
Administrative Class		5			51			0			0			0			0			0			0
Class A		1			5			0			0			0			0			11			99
Issued as reinvestment of distributions
Institutional Class		5			54			9			82			7			68			8			80
Administrative Class		0			1			0			1			0			0			0			0
Class A		0			0			0			0			0			1			0			2
Cost of shares redeemed
Institutional Class		(3	)		(31	)		(5	)		(49	)		(7	)		(71	)		(4	)		(42	)
Administrative Class		(1	)		(13	)		0			0			0			0			0			0
Class A		0			0			0			0			0			(1	)		(1	)		(9	)
Net increase (decrease) resulting from Fund share transactions		31		$	310			48		$	456			38		$	385			109		$	1,030

86 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

PIMCO REALPATH® Blend 2030 Fund												PIMCO REALPATH® Blend 2035 Fund												PIMCO REALPATH® Blend 2040 Fund
Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares		Amount
	61		$	637			403		$	3,640			26		$	269			297		$	2,716			35		$	346			45	$	433
	1			10			1			12			1			10			0			0			1			11			3		23
	5			43			0			3			14			134			2			16			0			0			2		20
	16			158			12			118			12			117			12			114			6			60			9		86
	0			1			0			0			0			0			0			0			0			1			0		1
	0			1			0			0			0			2			0			0			0			0			0		1
	(1	)		(13	)		(66	)		(627	)		(2	)		(17	)		(5	)		(47	)		(6	)		(55	)		0		0
	0			0			0			0			0			0			0			0			0			0			0		0
	0			0			0			0			0			0			(3	)		(27	)		0			0			0		(3	)
	82		$	837			350		$	3,146			51		$	515			303		$	2,772			36		$	363			59	$	561

PIMCO REALPATH® Blend 2055 Fund												PIMCO REALPATH® Blend Income Fund
Six Months Ended 12/31/2016						Year Ended 06/30/2016						Six Months Ended 12/31/2016						Year Ended 06/30/2016
Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
	17		$	170			39		$	358			19		$	205			24		$	231
	5			51			0			0			0			0			3			39
	0			0			0			5			1			6			2			12
	5			53			8			79			6			58			12			111
	0			1			0			0			0			1			0			0
	0			0			0			1			0			1			0			2
	(6	)		(62	)		(2	)		(15	)		(1	)		(14	)		(6	)		(61	)
	0			0			0			0			0			0			0			(4	)
	(4	)		(40	)		(1	)		(9	)		0			(1	)		(2	)		(17	)
	17		$	173			44		$	419			25		$	256			33		$	313

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

The following table discloses the number of shareholders that own 10% or more of the outstanding shares of a fund/portfolio along with their respective percent ownership, if any. Some of these shareholders may be considered related parties, which may include, but are not limited to, the investment manager and its affiliates, affiliated broker dealers, fund of funds and directors or employees of the Trust or Adviser.

	Non Related Parties		Related Parties		Non Related Parties			Related Parties
PIMCO REALPATH® Blend 2020 Fund		0		1		0			62%
PIMCO REALPATH® Blend 2025 Fund		0		1		0			76%
PIMCO REALPATH® Blend 2030 Fund		0		1		0			43%
PIMCO REALPATH® Blend 2035 Fund		0		1		0			48%
PIMCO REALPATH® Blend 2040 Fund		0		1		0			79%
PIMCO REALPATH® Blend 2045 Fund		0		1		0			82%
PIMCO REALPATH® Blend 2050 Fund		1		1		15	%		70%
PIMCO REALPATH® Blend 2055 Fund		1		1		12	%		85%
PIMCO REALPATH® Blend Income Fund		0		1		0			85%

SEMIANNUAL REPORT DECEMBER 31, 2016 87

Notes to Financial Statements (Cont.)

12. REGULATORY AND LITIGATION MATTERS

The Funds are not named as defendants in any material litigation or arbitration proceedings and are not aware of any material litigation or claim pending or threatened against them.

PIMCO, the investment manager of the PIMCO Total Return Active Exchange-Traded Fund (“BOND”), has entered into a settlement agreement with the SEC that relates to BOND.

The settlement relates to disclosures regarding BOND’s performance attribution during the first four months of its existence in 2012 and the valuation of 43 smaller-sized positions of non-agency mortgage-backed securities using third-party vendor prices, as well as PIMCO’s policies and procedures related to these matters.

The settlement resolves the SEC’s investigation of BOND.

The foregoing speaks only as of the date of this report.

13. FEDERAL INCOME TAX MATTERS

Each Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code (the “Code”) and distribute all of its taxable income and net realized gains, if applicable, to shareholders. Accordingly, no provision for Federal income taxes has been made.

A Fund may be subject to local withholding taxes, including those imposed on realized capital gains. Any applicable foreign capital gains tax is accrued daily based upon net unrealized gains, and may be payable following the sale of any applicable investments.

In accordance with U.S. GAAP, the Adviser has reviewed the Funds’ tax positions for all open tax years. As of December 31, 2016, the Funds have recorded no liability for net unrecognized tax benefits relating to uncertain income tax positions they have taken or expect to take in future tax returns.

The Funds file U.S. tax returns. While the statute of limitations remains open to examine the Funds’ U.S. tax returns filed for the fiscal years ending in 2013-2015, no examinations are in progress or anticipated at this time. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

The Funds may gain exposure to the commodities markets primarily through index-linked notes, and may invest in other commodity-linked derivative investments, including commodity swap agreements, options, futures contracts, options on futures contracts and foreign funds investing in similar commodity-linked derivatives. The Fund may also gain exposure indirectly to commodity markets by investing in the

Commodity Subsidiary, which invests primarily in commodity-linked derivative instruments backed by a portfolio of inflation-indexed securities and/or other fixed income instruments.

One of the requirements for favorable tax treatment as a regulated investment company under the Code is that a Fund must derive at least 90% of its gross income from certain qualifying sources of income. The IRS has issued a revenue ruling which holds that income derived from commodity index-linked swaps is not qualifying income under Subchapter M of the Code. The IRS has also issued private letter rulings in which the IRS specifically concluded that income from certain commodity index- linked notes is qualifying income. The IRS has also issued private rulings in which the IRS specifically concluded that income derived from investment in a subsidiary, which invests primarily in commodity-linked swaps, will also be qualifying income. Based on the reasoning in such rulings, each Fund will continue to seek to gain exposure to the commodity markets primarily through investments in commodity-linked notes and through investments in the Commodity Subsidiary.

It should be noted, however, that the IRS currently has suspended the issuance of such rulings pending further review. In addition, the IRS also recently issued a revenue procedure, which states that the IRS will not in the future issue private letter rulings that would require a determination of whether an asset (such as a commodity index-linked note) is a “security” under the 1940 Act.

There can be no assurance that the IRS will not change its position that income derived from commodity-linked notes and wholly-owned subsidiaries is qualifying income. Furthermore, the tax treatment of commodity-linked notes, other commodity-linked derivatives, and a Fund’s investments in the Commodity Subsidiary may otherwise be adversely affected by future legislation, court decisions, Treasury Regulations and/or guidance issued by the IRS. Such developments could affect the character, timing and/or amount of the Fund’s taxable income or any distributions made by the Fund or result in the inability of the Fund to operate as described in its Prospectus.

The IRS recently issued proposed regulations that, if finalized, would generally treat a Fund’s income inclusion with respect to a subsidiary as qualifying income only if there is a distribution out of the earnings and profits of the subsidiary that are attributable to such income inclusion. The proposed regulations, if adopted, would apply to taxable years beginning on or after 90 days after the regulations are published as final.

The IRS also recently issued a revenue procedure, which states that the IRS will not in the future issue private letter rulings that would require a determination of whether an asset (such as a commodity index-linked note) is a “security” under the 1940 Act.

88 PIMCO EQUITY SERIES

December 31, 2016 (Unaudited)

Under the Regulated Investment Company Modernization Act of 2010, a fund is permitted to carry forward any new capital losses for an unlimited period. Additionally, such capital losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term under previous law.

As of their last fiscal year ended June 30, 2016, the Funds had the following post-effective capital losses with no expiration (amounts in thousands):

	Short-Term		Long-Term
PIMCO REALPATH® Blend 2020 Fund	$	0	$	20
PIMCO REALPATH® Blend 2025 Fund		37		14
PIMCO REALPATH® Blend 2030 Fund		0		6
PIMCO REALPATH® Blend 2035 Fund		0		29
PIMCO REALPATH® Blend 2040 Fund		2		18
PIMCO REALPATH® Blend 2045 Fund		7		19
PIMCO REALPATH® Blend 2050 Fund		6		21
PIMCO REALPATH® Blend 2055 Fund		10		20
PIMCO REALPATH® Blend Income Fund		0		10

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

As of December 31, 2016, the aggregate cost and the net unrealized appreciation (depreciation) of investments for Federal income tax purposes are as follows (amounts in thousands^†):

	Federal Tax Cost		Aggregate Gross Unrealized Appreciation		Aggregate Gross Unrealized (Depreciation)			Net Unrealized Appreciation/ (Depreciation)
PIMCO REALPATH® Blend 2020 Fund	$	4,908	$	115	$	(39	)	$	76
PIMCO REALPATH® Blend 2025 Fund		3,983		88		(56	)		32
PIMCO REALPATH® Blend 2030 Fund		6,979		367		(17	)		350
PIMCO REALPATH® Blend 2035 Fund		6,204		324		(9	)		315
PIMCO REALPATH® Blend 2040 Fund		3,836		133		(44	)		89
PIMCO REALPATH® Blend 2045 Fund		3,710		123		(60	)		63
PIMCO REALPATH® Blend 2050 Fund		4,266		164		(44	)		120
PIMCO REALPATH® Blend 2055 Fund		3,473		134		(62	)		72
PIMCO REALPATH® Blend Income Fund		3,645		86		(56	)		30

^†  A zero balance may reflect actual amounts rounding to less than one thousand.

⁽¹⁾  Primary differences, if any, between book and tax net unrealized appreciation (depreciation) are attributable to wash sale loss deferrals for Federal income tax purposes.

SEMIANNUAL REPORT DECEMBER 31, 2016 89

Glossary: (abbreviations that may be used in the preceding statements)

(Unaudited)

Counterparty Abbreviations:
BOA	Bank of America N.A.	CBK	Citibank N.A.	JPM	JPMorgan Chase Bank N.A.
Currency Abbreviations:
USD (or $)	United States Dollar
Exchange Abbreviations:
CBOE	Chicago Board Options Exchange
Index/Spread Abbreviations:
BCOMTR	Bloomberg Commodity Index Total Return	DWRTFT	Dow Jones Wilshire REIT Total Return Index	S&P 500	Standard & Poor’s 500 Index
Other Abbreviations:
LIBOR	London Interbank Offered Rate	TBA	To-Be-Announced

90 PIMCO EQUITY SERIES

Approval of Investment Advisory Contract and Other Agreements

(Unaudited)

Approval of Renewal of the Investment Advisory Contract, Sub-Advisory Agreement, Portfolio Implementation Agreement and Second Amended and Restated Supervision and Administration Agreement

At a meeting held on August 17, 2016, the Board of Trustees (the “Board”) of PIMCO Equity Series (the “Trust”), including the Trustees who are not “interested persons” of the Trust under the Investment Company Act of 1940, as amended (the “Independent Trustees”), considered and unanimously approved the renewal of the Investment Advisory Contract (the “Investment Advisory Contract”) between the Trust, on behalf of each of the Trust’s series (the “Funds”), and Pacific Investment Management Company LLC (“PIMCO”) for an additional one-year term through August 31, 2017. The Board also considered and unanimously approved the renewal of the Second Amended and Restated Supervision and Administration Agreement (the “Supervision and Administration Agreement” and together with the Investment Advisory Contract, the “Agreements”) between the Trust, on behalf of the Funds, and PIMCO for an additional one-year term through August 31, 2017. In addition, the Board considered and unanimously approved the renewal of the: (i) Sub-Advisory Agreement (the “Sub-Advisory Agreement”) between PIMCO, on behalf of PIMCO RAE Fundamental Emerging Markets Fund, PIMCO RAE Fundamental Global ex-US Fund, PIMCO RAE Fundamental Global Fund, PIMCO RAE Fundamental International Fund, PIMCO RAE Fundamental US Fund and PIMCO RAE Fundamental US Small Fund (the “RAE Fundamental Funds”), each a series of the Trust, and Research Affiliates, LLC (“Research Affiliates”); and (ii) Portfolio Implementation Agreement (the “Portfolio Implementation Agreement”) between PIMCO, on behalf of the RAE Fundamental Funds, each a series of the Trust, Research Affiliates and Parametric Portfolio Associates LLC (“Parametric”), each for an additional one-year term through August 31, 2017.

The information, material factors and conclusions that formed the basis for the Board’s approvals are summarized below.

1. INFORMATION RECEIVED

(a) Materials Reviewed:  During the course of the past year, the Trustees received a wide variety of materials relating to the services provided by PIMCO, Research Affiliates and Parametric to the Trust. At each of its quarterly meetings, the Board reviewed the Funds’ investment performance and a significant amount of information relating to Fund operations, including shareholder services, valuation and custody, the Funds’ compliance program and other information relating to the nature, extent and quality of services provided by PIMCO, Research Affiliates and Parametric to the Trust and each of the Funds, as applicable. In considering whether to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio

Implementation Agreement, the Board reviewed additional information, including, but not limited to, comparative industry data with regard to investment performance, advisory and supervisory and administrative fees and expenses, financial information for PIMCO and, where relevant, Research Affiliates and Parametric, information regarding the profitability to PIMCO of its relationship with the Funds, information about the personnel providing investment management services, other advisory services and supervisory and administrative services to the Funds, and information about the fees charged and services provided to other clients with similar investment mandates as the Funds, where applicable. In addition, the Board reviewed materials provided by counsel to the Trust and the Independent Trustees, which included, among other things, memoranda outlining legal duties of the Board in considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement.

(b) Review Process:  In connection with considering the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board reviewed written materials prepared by PIMCO and, where applicable, Research Affiliates and Parametric in response to requests from counsel to the Trust and the Independent Trustees encompassing a wide variety of topics. The Board requested and received assistance and advice regarding, among other things, applicable legal standards from counsel to the Trust and the Independent Trustees, and reviewed comparative fee and performance data prepared at the Board’s request by Lipper, Inc. (“Lipper”), an independent provider of investment company performance information and fee and expense data. The Board received presentations on matters related to the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement and met both as a full Board and in a separate session of the Independent Trustees, without management present, at the August 17, 2016 meeting.

The approval determinations were made on the basis of each Trustee’s business judgment after consideration and evaluation of all the information presented. Individual Trustees may have given different weights to certain factors and assigned various degrees of materiality to information received in connection with the approval process. In deciding to approve the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, the Board did not identify any single factor or particular information that, in isolation, was controlling. The discussion below is intended to summarize the broad factors and information that figured prominently in the Board’s consideration of the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement, but is not intended to summarize all of the factors considered by the Board.

SEMIANNUAL REPORT DECEMBER 31, 2016 91

Approval of Investment Advisory Contract and Other Agreements (Cont.)

2. NATURE, EXTENT AND QUALITY OF SERVICES

(a) PIMCO, Research Affiliates, Parametric, their Personnel, and Resources:  The Board considered the depth and quality of PIMCO’s investment management process, including: the experience, capability and integrity of its senior management and other personnel; the overall financial strength and stability of its organization; and the ability of its organizational structure to address changes in the Funds’ asset levels. The Board also considered the various services in addition to portfolio management that PIMCO provides under the Investment Advisory Contract. The Board noted that PIMCO makes available to its investment professionals a variety of resources and systems relating to investment management, compliance, trading, performance and portfolio accounting. The Board also noted PIMCO’s commitment to investing in information technology and infrastructure supporting investment management and compliance, as well as PIMCO’s continuing efforts to attract, retain and promote qualified personnel, including personnel with relevant equities experience, and to maintain and enhance its resources and systems. The Board considered PIMCO’s policies, procedures and systems reasonably designed to assure compliance with applicable laws and regulations and its commitment to further developing and strengthening these programs, its oversight of matters that may involve conflicts of interest between the Funds’ investments and those of other accounts managed by PIMCO, and its efforts to keep the Trustees informed about matters relevant to the Funds and their shareholders. The Board also considered PIMCO’s continuous investment in new disciplines and talented personnel, which has enhanced PIMCO’s services to the Funds and has allowed PIMCO to introduce innovative new funds over time.

The Trustees considered information they had received about the steps that PIMCO has taken with respect to active management of counterparty risk, such as implementing procedures requiring daily collateral adjustments and frequent communication between credit analysts and the Counterparty Risk Committee, which oversees counterparty risk on a firm-wide basis, continually evaluating requests to add or remove approved counterparties as market needs and conditions warrant. The Trustees also considered that PIMCO has continued to strengthen the process it uses to assess the financial stability of counterparties with which the Funds do business, to manage collateral and to protect the Funds from an unforeseen deterioration in the creditworthiness of trading counterparties. The Trustees noted that, consistent with its fiduciary duty, PIMCO executes transactions through a competitive best execution process and uses only those counterparties that meet its stringent and monitored criteria. The Trustees considered that PIMCO’s collateral management team utilizes a counterparty risk system to analyze portfolio level exposure and collateral being exchanged with counterparties.

In addition, the Trustees considered new services and service enhancements that PIMCO has implemented since the Board renewed the Agreements in 2015, including, but not limited to: continuing enhancement of analytics and technology systems; enhancing data processing and security and development tools and applications; continuing investment in its enterprise risk management function, including PIMCO’s cybersecurity program; building specialized talent in the PIMCO Global Advisory Board and continuing to hire new portfolio managers; continuing to expand the Funds Business Group global operating model; developing a website monitoring application to ensure accurate data content; engaging a third-party to perform an independent assessment of the application utilized for income servicing and enhancing the application to provide portfolio managers with more timely and high quality quarterly reporting; establishing a Fund Treasurer’s Office to provide, among other things, guidance with respect to industry and regulatory initiatives; advancing technology developers in global tax management application; conducting an end-to-end review of State Street IMS, custodian and pricing vendor connectivity in connection with the pricing function; continuing development of Pricing Portal to improve identification and feedback to vendors regarding valuations; continuing extensive pricing vendor due diligence; and partnering with Boston Financial Data Services, Inc. to establish secondary call center and other call center enhancements.

Similarly, the Board considered the sub-advisory services provided by Research Affiliates to the RAE Fundamental Funds. The Board also considered Research Affiliates’ supervisory responsibilities with respect to Parametric’s provision of portfolio implementation services to the RAE Fundamental Funds. The Board further considered the depth and quality of Research Affiliates’ investment management and research capabilities, the experience and capabilities of its portfolio management personnel and, in particular, the experience and capabilities of Robert Arnott, Research Affiliates’ principal, and the overall financial strength of the organization.

In addition, the Board considered the portfolio implementation and other operational services provided by Parametric to the RAE Fundamental Funds by, among other things, effecting portfolio transactions on behalf of the RAE Fundamental Funds. The Board also considered information about Parametric’s personnel responsible for providing services under the Portfolio Implementation Agreement. The Board also considered the nature and quality of Parametric’s trading, risk management, and compliance capabilities and resources, including Parametric’s policies and procedures regarding trade aggregation and allocation, which are integral parts of its role as portfolio implementer.

Ultimately, the Board concluded that the nature, extent and quality of services provided by PIMCO under the Agreements, by Research Affiliates under the Sub-Advisory Agreement, and by Parametric under

92 PIMCO EQUITY SERIES

(Unaudited)

the Portfolio Implementation Agreement are likely to continue to benefit the Funds and their shareholders, as applicable.

(b) Other Services:  The Board also considered the nature, extent and quality of supervisory and administrative services provided by PIMCO to the Funds under the Supervision and Administration Agreement. The Board considered the terms of the Supervision and Administration Agreement, under which the Trust pays for the supervisory and administrative services provided pursuant to that agreement under what is essentially an all-in fee structure (the “unified fee”). In return, PIMCO provides or procures certain supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board noted that the scope and complexity, as well as the costs, of the supervisory and administrative services provided by PIMCO under the Supervision and Administration Agreement continue to increase. The Board considered PIMCO’s provision of supervisory and administrative services and its supervision of the Trust’s third party service providers to assure that these service providers continue to provide a high level of service relative to alternatives available in the market.

Ultimately, the Board concluded that the nature, extent and quality of the services provided by PIMCO has benefited, and will likely continue to benefit, the Funds and their shareholders.

3. INVESTMENT PERFORMANCE

The Board reviewed information from PIMCO concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 and other performance data, as available, over short- and long-term periods ended June 30, 2016 (the “PIMCO Report”) and from Lipper concerning the Funds’ performance, as available, over short- and long-term periods ended May 31, 2016 (the “Lipper Report”). The Board considered information regarding both the short- and long-term investment performance of each Fund relative to its peer group and relevant benchmark index as provided to the Board in advance of each of its quarterly meetings throughout the year, including the PIMCO Report and Lipper Report, which were provided in advance of the August 17, 2016 meeting.

The Board noted that, according to Lipper, certain Funds had underperformed in comparison to their respective peer groups or benchmark indexes, or both, over short- and long-term periods. The Board discussed with PIMCO the reasons for the underperformance of certain Funds over short- and long-term periods. The Board also discussed actions that have been taken by PIMCO to attempt to improve performance and took note of PIMCO’s plans to monitor performance going forward.

The Board ultimately concluded, within the context of all of its considerations in connection with the Agreements, that PIMCO’s performance record and process in managing the Funds indicates that its continued management is likely to benefit the Funds and their shareholders, and merits the approval of the renewal of the Agreements.

4. ADVISORY FEES, SUPERVISORY AND ADMINISTRATIVE FEES AND TOTAL EXPENSES

The Board considered that PIMCO seeks to price funds to scale at the outset with reference to the total expense ratios of the respective Lipper median, if available, while providing a premium for innovative investment offerings. PIMCO reported to the Board that, in proposing fees for any Fund or class of shares, it considers a number of factors, including, but not limited to, the type and complexity of the services provided, the cost of providing services, the risk assumed by PIMCO in the development of products and the provision of services, the impact on potential returns from different levels of fees, the competitive marketplace for financial products, and the attractiveness of potential Fund returns to current and potential investors. Fees charged to or proposed for different Funds for advisory services and supervisory and administrative services may vary in light of these various factors. The Board also considered that PIMCO reviews the Funds’ fee levels and carefully considers reductions where appropriate.

The Board reviewed the advisory fees, supervisory and administrative fees and total expenses of the Funds (each as a percentage of average net assets) and compared such amounts with the average and median fee and expense levels of other similar funds. The Board also reviewed information relating to the sub-advisory fees paid to Research Affiliates with respect to applicable Funds, taking into account that PIMCO compensates Research Affiliates from the advisory fees paid by such Funds to PIMCO. With respect to advisory fees, the Board reviewed data from Lipper that compared the average and median advisory fees of other funds in a “Peer Group” of comparable funds, as well as the universe of other similar funds. The Board noted that PIMCO had contractually agreed, through October 31, 2016, to reduce its advisory fee by amounts shown in the table below:

PIMCO Dividend and Income Fund	0.16%
PIMCO RAE Fundamental Emerging Markets Fund	0.20%
PIMCO RAE Fundamental Global Fund	0.20%
PIMCO RAE Fundamental Global ex-US Fund	0.20%
PIMCO RAE Fundamental International Fund	0.10%
PIMCO RAE Fundamental US Fund	0.10%
PIMCO RAE Fundamental US Small Fund	0.10%

The Board further noted that the PIMCO Global Dividend Fund, PIMCO Balanced Income Fund, PIMCO U.S. Dividend Fund and PIMCO International Dividend Fund are expected to liquidate on August 26, 2016.

SEMIANNUAL REPORT DECEMBER 31, 2016 93

Approval of Investment Advisory Contract and Other Agreements (Cont.)

The Board also reviewed data comparing the Funds’ advisory fees to the standard and negotiated fee rates PIMCO charges to separate accounts and to other sub-advised clients with similar investment strategies, including differences in advisory services provided. The Board discussed comparisons of fees for Funds with fees for separate accounts and/or PIMCO private/alternative funds with similar investment strategies, noting that for certain Funds, there were no appropriate comparisons because PIMCO did not manage comparable separate accounts at the time that the Board considered the Agreements. The Board noted that the advisory fees (or management fees, where applicable) for most Funds were similar to the fee rates charged to other investment companies with the same investment strategies as the Funds.

Regarding advisory fees charged by PIMCO in its capacity as sub-adviser to third-party/unaffiliated funds, the Trustees took into account that such fees may be lower than the fees charged by PIMCO to serve as adviser to the Funds. The Trustees also took into account that there are various reasons for any such differences in fees, including, but not limited to, the fact that PIMCO may be subject to varying levels of entrepreneurial risk and regulatory requirements, differing legal liabilities on a contract-by-contract basis and different servicing requirements when PIMCO does not serve as the sponsor of a fund and is not principally responsible for all aspects of a fund’s investment program and operations as compared to when PIMCO serves as investment adviser and sponsor. In considering the fees paid by the Funds, the Board noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds.

The Board considered the Funds’ supervisory and administrative fees, comparing them to similar funds in the report supplied by Lipper. The Board also considered that as the Funds’ business has become increasingly complex and the number of Funds has grown over time, PIMCO has provided an increasingly broad array of fund supervisory and administrative functions. In addition, the Board considered the Trust’s unified fee structure, under which the Trust pays for the supervisory and administrative services it requires for one set fee. In return for this unified fee, PIMCO provides or procures supervisory and administrative services and bears the costs of various third party services required by the Funds, including audit, custodial, portfolio accounting, legal, transfer agency, sub-accounting and printing costs. The Board further considered that many other funds pay for comparable services separately, and thus it is difficult to directly compare the Trust’s unified supervisory and administrative fees with the fees paid by other funds for administrative services alone. The Board also considered that the unified supervisory and administrative fee leads to Fund fees that are fixed, rather than variable. The Board noted that, although the unified fee structure does not have

breakpoints, it implicitly reflects economies of scale by fixing the absolute level of Fund fees at competitive levels even if the Funds’ operating costs rise when assets remain flat or decrease. The Board considered that the Funds’ unified fee structure meant that fees were not impacted by recent outflows in certain Funds, unlike funds without a unified fee structure, which may see increased expense ratios when fixed costs are passed through to a smaller asset base. The Board concluded that the Funds’ supervisory and administrative fees were reasonable in relation to the value of the services provided, including the services provided to different classes of shareholders, and that the expenses assumed contractually by PIMCO under the Supervision and Administration Agreement represent, in effect, a cap on overall Fund fees, which is beneficial to the Funds and their shareholders.

The Board noted that the Funds’ total expenses continued to be generally in line with those of competitor funds. The Board discussed with PIMCO those Funds and/or classes of Funds that had above median total expenses. Upon comparing the Funds’ total expenses to other funds in the “Peer Groups” provided by Lipper, the Board found total expenses of each Fund to be reasonable.

The Trustees also considered the advisory fees charged to the Funds that operate as funds of funds (the “Funds of Funds”) and the advisory services provided in exchange for such fees. The Trustees determined that such services were in addition to the advisory services provided to the underlying funds in which the Funds of Funds may invest and, therefore, such services were not duplicative of the advisory services provided to the underlying funds. The Board also considered the various fee waiver agreements in place for the Funds of Funds.

Based on the information presented by PIMCO, Research Affiliates, Parametric and Lipper, members of the Board determined, in the exercise of their business judgment, that the level of the advisory fees and supervisory and administrative fees charged by PIMCO under the Agreements, as well as the total expenses of each Fund, are reasonable.

5. ADVISER COSTS, LEVEL OF PROFITS AND ECONOMIES OF SCALE

The Board reviewed information regarding PIMCO’s costs of providing services to the Funds as a whole and considered that PIMCO did not derive any profit from the Funds during the calendar year ended December 31, 2015, and does not expect to derive any profit from the Funds during the calendar year ended December 31, 2016. The Board noted that it had received information regarding the structure and manner in which PIMCO’s investment professionals were compensated, and PIMCO’s view of the relationship of such compensation to the attraction and retention of quality personnel. The Board considered PIMCO’s need to invest in technology, cyber security, information security, shareholder privacy, business continuity planning, infrastructure and staff to reinforce and offer new services and to accommodate changing regulatory requirements.

94 PIMCO EQUITY SERIES

(Unaudited)

With respect to potential economies of scale, the Board noted that PIMCO shares the benefits of economies of scale with the Funds and their shareholders in a number of ways, including through the pricing of Funds to scale from inception and the enhancement of services provided to the Funds in return for fees paid. In considering the advisory fees paid by the Funds, the Board also noted that retail investors in the Funds receive the benefit of PIMCO’s advisory services at the same advisory fee rates as institutional investors in the Funds. The Board considered that the Funds’ unified fee rates had been set competitively and/or priced to scale from inception and continued to be competitive compared with peers. The Board also considered that the unified fee is a transparent means of informing a Fund’s shareholders of the fees associated with the Fund, and that the Fund bears certain expenses that are not covered by the advisory fee or the unified fee. The Board further considered the challenges that arise when managing large funds, which can result in certain “diseconomies” of scale.

The Trustees considered that the unified fee has provided inherent economies of scale because a Fund maintains competitive fixed unified fees even if the particular Fund’s assets decline and/or operating costs rise. The Trustees further considered that, in contrast, breakpoints may be a proxy for charging higher fees on lower asset levels and that when a fund’s assets decline, breakpoints may reverse, which causes expense ratios to increase. The Trustees also considered that, unlike the Funds’ unified fee structure, funds with “pass through” administrative fee structures may experience increased expense ratios when fixed dollar fees are charged against declining fund assets. The Trustees also considered that the unified fee protects shareholders from a rise in operating costs that may result from, among other things, PIMCO’s investments in various business enhancements and infrastructure, including those referenced above. The Trustees noted that PIMCO’s investments in these areas are extensive.

The Board concluded that the Funds’ cost structures were reasonable and that the unified fee structure inherently involves the sharing of economies of scale between PIMCO and each of the Funds, to the benefit of their respective shareholders.

6. ANCILLARY BENEFITS

The Board considered other benefits realized by PIMCO and its affiliates as a result of PIMCO’s relationship with the Trust, including possible ancillary benefits to PIMCO’s institutional investment management business due to the reputation and market penetration of the Trust. The Board also considered that affiliates of PIMCO provide distribution and shareholder services to the Funds and their shareholders, for which they may be compensated through distribution and servicing fees paid pursuant to the Funds’ Rule 12b-1 plans or otherwise. The Board reviewed PIMCO’s soft dollar policies and procedures, noting that while PIMCO has the authority to receive the benefit of research provided by

broker-dealers executing portfolio transactions on behalf of the Funds, it has adopted a policy not to enter into contractual soft dollar arrangements.

7. CONCLUSIONS

Based on their review, including their comprehensive consideration and evaluation of each of the broad factors and information summarized above, the Independent Trustees and the Board as a whole concluded that the nature, extent and quality of the services rendered to the Funds by PIMCO, Research Affiliates and Parametric supported the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement. The Independent Trustees and the Board as a whole concluded that the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement continued to be fair and reasonable to the Funds and their shareholders, that the Funds’ shareholders received reasonable value in return for the fees paid to PIMCO by the Funds under the Agreements, the fees paid to Research Affiliates by PIMCO under the Sub-Advisory Agreement, and the fees paid to Parametric by PIMCO under the Portfolio Implementation Agreement, and that the renewal of the Agreements, the Sub-Advisory Agreement, and the Portfolio Implementation Agreement was in the best interests of the Funds and their shareholders.

SEMIANNUAL REPORT DECEMBER 31, 2016 95

Results of Proxy Voting

(Unaudited)

At a special meeting of shareholders held on August 26, 2016, PIMCO sought approval from shareholders of the PIMCO Dividend and Income Fund to enter into a sub-advisory agreement with Research Affiliates, LLC and a portfolio implementation agreement with Research Affiliates, LLC and Parametric Portfolio Associations, LLC.

The results of the proxy solicitation on the preceding matters were as follows:

PIMCO Equity Series

Proposal 1: To approve a sub-advisory agreement for the Fund

For*	Against*	Abstain*
15,360,763	855,024	944,023

Proposal 2: To approve a portfolio implementation agreement for the Fund

For*	Against*	Abstain*
15,324,472	909,160	956,177

* Certain series of the Trust’s shares were held by PIMCO-advised funds or accounts for which PIMCO had discretionary authority to vote proxies. Accordingly, PIMCO voted such shares in proportion to the votes of all other Trust shareholders voting on the proposal.

96 PIMCO EQUITY SERIES

General Information

Investment Adviser and Administrator

Pacific Investment Management Company LLC

650 Newport Center Drive

Newport Beach, CA 92660

Distributor

PIMCO Investments LLC

1633 Broadway

New York, NY 10019

Custodian

State Street Bank and Trust Company

801 Pennsylvania Avenue

Kansas City, MO 64105

Transfer Agent

Boston Financial Data Services

Institutional Class, Class P, Administrative Class, Class D

330 W. 9th Street, 5th Floor

Kansas City, MO 64105

Boston Financial Data Services

Class A, Class C, Class R

P.O. Box 55060

Boston, MA 02205-5060

Legal Counsel

Dechert LLP

1900 K Street, N.W.

Washington, D.C. 20006

Independent Registered Public Accounting Firm

PricewaterhouseCoopers LLP

1100 Walnut Street, Suite 1300

Kansas City, MO 64106

This report is submitted for the general information of the shareholders of the PIMCO Equity Series.

PES4002SAR_123116

Item 2. Code of Ethics.

The information required by this Item 2 is only required in an annual report on this Form N-CSR.

Item 3. Audit Committee Financial Expert.

The information required by this Item 3 is only required in an annual report on this Form N-CSR.

Item 4. Principal Accountant Fees and Services.

The information required by this Item 4 is only required in an annual report on this Form N-CSR.

Item 5. Audit Committee of Listed Registrants.

The information required by this Item 5 is only required in an annual report on this Form N-CSR.

Item 6. Schedule of Investments.

The Schedule of Investments is included as part of the reports to shareholders under Item 1.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which shareholders may recommend nominees to the Trust’s Board of Trustees since the Trust last provided disclosure in response to this item.

Item 11. Controls and Procedures.

(a) The principal executive officer and principal financial & accounting officer have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))), are effective based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d))) that occurred during the last fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a)(1)	Exhibit 99.CODE—Code of Ethics is not applicable for semiannual reports.
(a)(2)	Exhibit 99.CERT—Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
(b)	Exhibit 99.906CERT—Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

PIMCO Equity Series
By:	/s/    Peter G. Strelow
	Peter G. Strelow
	President (Principal Executive Officer)
Date:	February 24, 2017

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:	/s/    Peter G. Strelow
	Peter G. Strelow
	President (Principal Executive Officer)
Date:	February 24, 2017
By:	/s/    Trent W. Walker
	Trent W. Walker
	Treasurer (Principal Financial & Accounting Officer)
Date:	February 24, 2017