PIMCO Income Strategy Fund


 

Up to $50,000,000 in Common Shares

PIMCO Income Strategy Fund (the "Fund") has entered into a sales agreement (the "Sales Agreement") with JonesTrading Institutional Services LLC

("JonesTrading") relating to its common shares of beneficial interest, par value $0.00001 per share ("Common Shares"), offered by this Prospectus

Supplement and the accompanying Prospectus. In accordance with the terms of the Sales Agreement, the Fund may under this Prospectus

Supplement offer and sell its Common Shares having an aggregate offering price of up to $50,000,000 from time to time through JonesTrading as its

agent for the offer and sale of the Common Shares. As of February 27, 2026, in prior "at the market" offerings, the Fund has sold through

JonesTrading as its agent pursuant to its current and prior shelf registration statements an aggregate of 20,935,378 Common Shares, representing

net proceeds to the Fund of $200,337,539 after payment of commissions. Under the Investment Company Act of 1940, as amended (the "1940

Act"), the Fund may not sell any Common Shares at a price below the current net asset value ("NAV") of such Common Shares, exclusive of any

distributing commission or discount. The Fund's investment objective is to seek high current income, consistent with the preservation of capital.

The Fund's outstanding Common Shares are listed on the New York Stock Exchange ("NYSE") under the symbol "PFL," as will be the Common Shares

offered by this Prospectus Supplement and the accompanying Prospectus, subject to notice of issuance. The last reported sale price for the Common

Shares on February 27, 2026 was $8.43 per share. The NAV of the Common Shares at the close of business on February 27, 2026 was $7.87 per

share.

Sales of the Common Shares, if any, under this Prospectus Supplement and the accompanying Prospectus may be made in negotiated transactions or

transactions that are deemed to be "at the market" as defined in Rule 415 under the Securities Act of 1933, as amended (the "Securities Act"),

including sales made directly on the NYSE or sales made to or through a market maker other than on an exchange at prices related to the prevailing

market prices or at negotiated prices.

JonesTrading will be entitled to compensation of up to 1.00% of the gross proceeds with respect to sales of the Common Shares actually effected by

JonesTrading under the Sales Agreement. In connection with the sale of the Common Shares on our behalf, JonesTrading may be deemed to be an

"underwriter" within the meaning of the Securities Act and the compensation of JonesTrading may be deemed to be underwriting commissions or

discounts.