Annuities

This section provides a general overview of the money managers, their affiliated companies, and their overall investment philosophies. Please refer to the product prospectus, Statement of Additional Information, and Pacific Select Fund Annual or Semi-annual Reports for more detailed information.

The Cash Management portfolio is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC); its net asset value is not constant and will change with the value of investments.

High yield bonds have greater credit risk than higher quality bonds. Generally, stocks of small-cap, mid-cap, and emerging-growth companies may be riskier and more volatile than those of larger, more established companies. International investing is subject to currency fluctuations and political changes. Floating rate loans involve risk of default on interest and principal payments or price changes due to changes in credit quality of the issuer. The value can be more volatile due to increased sensitivity to adverse issuer, political, regulatory, market, or economic developments. Real estate investments involve risks such as refinancing, economic impact on industry, changes in property values, dependency on management skills, and risks similar to small company investing. Sector and concentrated portfolios with fewer securities may be subject to greater price volatility. A fund-of-funds is subject to the risks associated with the underlying funds in which it invests. Exchange-traded funds (ETFs) are not actively managed and are subject to risks similar to stocks, including those related to short selling and margin maintenance. Short positions pose a risk because they lose value as a security's price increases; therefore, the loss on a short sale is theoretically unlimited. Leverage can increase market exposure and magnify investment risk. The value of the variable investment options will fluctuate, and when redeemed, may be worth more or less than the original cost.