CLOSED-END EXCHANGE TRADEDCORPORATE BOND FUND | 12/31/12 QUARTERLY REVIEW

PIMCO Dynamic Income Fund (PDI)DescriptionSeeks current income as a primary objective andcapital appreciation as a secondary objective.Fund Inception DateMay 30, 2012Total Fund Assets(in millions)$1,307.5Management FirmPIMCOPortfolio ManagersDan Ivascyn, Alfred Murata & Joshua AndersonDividend FrequencyMonthlyNet Asset Value (NAV) / Market Price at Inception$23.83 / $25.00NAV / Market Price (as of 12/31/12)$28.95 / $29.24

High / Low Ranges (Since Inception)High / Low NAV $29.72 / $23.84High / Low Market Price $29.71 / $25.30Premium / (Discount) to NAV1.00%Fund Data (Common Shares)Shares Outstanding 45,170,540Average Daily Volume 259,368Expense Ratio* 2.30%Excluding interest: 1.78%

Fund Highlights Offers access to PIMCOs best income-generating ideas acrossmultiple global fixed-income sectors.

Investments may include mortgage-backed securities, investment-grade and high-yield corporates, developed and emerging marketscorporate and sovereign bonds, other income producing securitiesand related derivative instruments.

Dynamic sector allocation reflects PIMCOs macroeconomic viewsand assessments of relative value and credit market trends.

Closed-end vehicle allows the funds managers to invest in less-liquidsecurities, which tends to increase risk.

Benefits from PIMCOs robust credit research capabilities and riskmanagement.

Performance and Dividend AnalysisCommon Shares

0%5%

10%15%20%25%30%

NAV Market Price

0%5%

10%15%20%25%30%

Calendar Year Returns121

NAV 29.8%Market Price 24.9%

Cumulative ReturnsInception29.80%24.95%

NAV/Market Price-Since Inception (daily pricing) Fund Premium/DiscountPremium/Discount NAV Market Price

-5%

0%

5%

$23 10%

$25

$27

$29

$31

12/1210/128/126/125/12

Current Yield

Market Price Yield (%) 7.26NAV Yield (%) 7.34Undistributed Net Investment Income(as of 6/30/12) $0.1495

Distribution History (last six payments)Declaration Amount

Per ShareType

Date12/18/12 Short-Term Capital Gain $0.27012/18/12 Special Cash $0.59012/03/12 Dividend $0.17711/01/12 Dividend $0.17710/01/12 Dividend $0.1779/04/12 Dividend $0.177

Investment ProductsNot FDIC Insured | May Lose Value | Not Bank Guaranteed

Past performance is no guarantee of future results. An investment in the Fund involves risk, including loss of principal. Investment return and the value of shares will fluctuate. Returns are calculated bydetermining the percentage change in net asset value (NAV) or market share price (as applicable) with all distributions reinvested. The Funds performance at market price will differ from its results atNAV. Although market price returns typically reflect investment results over time, during shorter periods returns at market price can also be influenced by factors such as changing views about the Fund,market conditions, supply and demand for the Funds shares or changes in Fund distributions. The returns do not reflect broker sales charges or commissions. NAV is total assets less total liabilities dividedby the number of shares outstanding. This material is presented only to provide information and is not intended for trading purposes. The Fund is a closed-end exchange traded management investmentcompany. A closed-end fund, unlike an open-end fund, is not continuously offered. After the initial public offering, shares are sold on the open market through a stock exchange. Additional informationregarding the Fund can be found in the Funds most recent shareholder report. Distributions may include ordinary income, net capital gains, and/or return of capital. Refer to the most recent Section 19Notice, if applicable, for distribution composition information. Distribution rates are subject to change and are not a quotation of Fund performance. *For the period covered by the most recentshareholder report, the expense ratio is 2.30% or 1.78% when additional non-cash interest expenses are excluded. These expenses do not reflect actual expenses paid but reflect the accounting treatmentof certain bonds held in the Fund.1. The performance for the year of the Funds inception is the cumulative return over a partial year.Allianz Global Investors Distributors LLC. Visit www.allianzinvestors.com for more information.

CLOSED-END EXCHANGE TRADEDCORPORATE BOND FUND | 12/31/12 QUARTERLY REVIEW

PIMCO Dynamic Income Fund (PDI)Portfolio Analysis

Corporate IndustriesNon-Captive Cons. Finance 5%Brokerage 4%Restaurants 3%Chemicals 2%Pipelines 2%

Average Weighted Maturity