PORTFOLIO OPTIMIZATION FUNDS

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DIVERSIFIED ASSET ALLOCATION SOLUTIONS

UPDATED AS OF 6/30/15

7/15 30382-15C

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PORTFOLIO OPTIMIZATION FUNDS

With thousands of mutual funds on the market

today, creating a portfolio of investments that

fits your risk tolerance and addresses your

investment needs can be challenging. Portfolio

Optimization Funds make this task easier for

you by offering one-step diversification managed

by a dedicated multi-asset class solutions team.

The funds range in investment style from

conservative to aggressive-growth to help match

your risk tolerance and investment goals.

Designed to:

maximize long-term growth

while diversifying across multiple asset classes to help reduce volatility

targeted to your risk tolerance level and time horizon

Effective December 31, 2014, Pacific Life Funds and its family of mutual funds changed its name to Pacific Funds

SM

_.

In addition, individual funds were also renamed. Portfolio Optimization Funds refers to

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1

1 _{Stocks in this example are represented by the Standard & Poor’s}®_{500, which is an unmanaged group of securities and considered to be}

representative of the U.S. stock market in general. An investment cannot be made directly in an index. The data assumes reinvestment of income and does not account for taxes or transaction costs. Past performance is no guarantee of future performance, and current performance may be lower or higher than the performance quoted.

How Much Difference Can a Few Days Make?

(Annualized Total Returns)

9.9%

Investors who stayed in the market

_{for all 5,040 trading days.}

6.1%

Missing just 10 of those days (the 10 best days of returns)

_{lowered the return by almost half.}

–2.2%

And missing the 50 best days—so still being invested

_{for 4,990 trading days—resulted in a negative return.}

Source: Morningstar®_{Inc., 2015.}

DEVELOP A LONG-TERM PLAN

AND STAY INVESTED

If you attempted to time the stock market over the past 20 years, you may have missed out on some

of the best days. Investors who stay invested tend to outperform those investors who frequently buy

and sell as a reaction to market movements.

1

The Cost of Market Timing

Risk of Missing the Best Days in the Market 1995-2014

Returns H ig he r Lo w er 10% 8% 6% 4% 2% 0% –2%

Invested for All

5,040 Trading Days Days Missed 10 Best Days Missed 20 Best Days Missed 30 Best Days Missed 40 Best Days Missed 50 Best

– 0.4% –2.2% 9.9% 6.1% 3.6% 1.5%

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Source: Morningstar®_{, Inc. 2015.} Total Returns Higher Lo w er

DIVERSIFY TO HELP MANAGE MARKET VOLATILITY

Diversification is based on the premise that different types of investments, or asset classes,

generally react differently to various market events. Attempting to predict or time these

events with precision is difficult. By strategically diversifying among a broad array of asset

classes, you can help to smooth out the impact of market volatility on your portfolio’s

overall return. This is demonstrated by the total returns of the diversified portfolio

(indicated in dark blue) in the chart below.

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Large-Cap Value 38.36 Large-Cap Growth 23.12 Large-Cap Value 35.18 Large-Cap Growth 38.71 Large-Cap Growth 33.16 Fixed Income 11.63 Fixed Income 8.44 Fixed Income 10.26 Mid-Cap Blend 45.51 Foreign Stock 20.25 Foreign Stock 13.54 Foreign Stock 26.34 Large-Cap Growth 11.81 Fixed Income 5.24 Large-Cap Growth 37.21 Mid-Cap Blend 26.71 Fixed Income 7.84 Mid-Cap Blend 17.88 Mid-Cap Blend 36.80 Large-Cap Value 13.45 Large-Cap Blend 37.77 Large-Cap Blend 22.45 Large-Cap Blend 32.85 Large-Cap Blend 27.02 Foreign Stock 26.96 Large-Cap Value 7.01 Cash 4.42 Cash 1.78 Foreign Stock 38.59 Mid-Cap Blend 18.29 Mid-Cap Blend 8.11 Large-Cap Value 22.25 Foreign Stock 11.17 Cash 2.06 Mid-Cap Blend 34.39 Large-Cap Growth 16.71 Large-Cap Growth 2.64 Large-Cap Value 17.51 Large-Cap Growth 33.48 Large-Cap Blend 13.24 Large-Cap Growth 37.18 Large-Cap Value 21.64 Large-Cap Growth 30.49 Foreign Stock 20.00 Mid-Cap Blend 24.14 Cash 6.18 Mid-Cap Blend 1.22 Diversified Portfolio –12.69 Large-Cap Value 30.03 Large-Cap Value 16.49 Large-Cap Value 7.05 Mid-Cap Blend 16.17 Fixed Income 6.97 Diversified Portfolio –28.06 Foreign Stock 31.78 Large-Cap Blend 16.10 Large-Cap Blend 1.50 Foreign Stock 17.32 Large-Cap Blend 33.11 Large-Cap Growth 13.05 Mid-Cap Blend 31.70 Mid-Cap Blend 19.03 Mid-Cap Blend 24.36 Diversified Portfolio 16.70 Large-Cap Blend 20.91 Mid-Cap Blend 4.27 Large-Cap Value –5.59 Large-Cap Value –15.52 Large-Cap Blend 29.89 Large-Cap Blend 11.40 Diversified Portfolio 6.63 Large-Cap Blend 15.46 Diversified Portfolio 6.07 Mid-Cap Blend –36.79 Large-Cap Blend 28.43 Large-Cap Value 15.51 Large-Cap Value 0.39 Large-Cap Blend 16.42 Large-Cap Value 32.53 Mid-Cap Blend 7.07 Diversified Portfolio 25.38 Diversified Portfolio 14.37 Diversified Portfolio 19.66 Large-Cap Value 15.63 Diversified Portfolio 16.49 Diversified Portfolio –2.14 Diversified Portfolio –6.53 Foreign Stock –15.94 Large-Cap Growth 29.75 Diversified Portfolio 11.13 Large-Cap Blend 6.27 Diversified Portfolio 13.93 Large-Cap Blend 5.77 Large-Cap Value –36.85 Diversified Portfolio 22.54 Diversified Portfolio 13.08 Cash 0.10 Large-Cap Growth 15.26 Foreign Stock 22.78 Diversified Portfolio 6.79 Fixed Income 18.47 Foreign Stock 6.05 Fixed Income 9.65 Fixed Income 8.69 Large-Cap Value 7.35 Large-Cap Blend –7.79 Large-Cap Blend –12.45 Mid-Cap Blend –17.80 Diversified Portfolio 24.90 Large-Cap Growth 6.30 Large-Cap Growth 5.26 Large-Cap Growth 9.07 Cash 5.03 Large-Cap Blend –37.60 Large-Cap Value 19.69 Foreign Stock 7.75 Diversified Portfolio –0.10 Diversified Portfolio 12.70 Diversified Portfolio 21.59 Fixed Income 5.97 Foreign Stock 11.21 Cash 5.31 Cash 5.33 Cash 5.23 Cash 4.85 Foreign Stock –14.17 Large-Cap Growth –20.42 Large-Cap Blend –21.65 Fixed Income 4.10 Fixed Income 4.34 Cash 3.06 Cash 4.83 Mid-Cap Blend 1.38 Large-Cap Growth –38.44 Fixed Income 5.93 Fixed Income 6.54 Mid-Cap Blend –2.51 Fixed Income 4.21 Cash 0.07 Cash 0.03 Cash 6.03 Fixed Income 3.63 Foreign Stock 1.78 Mid-Cap Blend 0.38 Fixed Income –0.82 Large-Cap Growth –22.42 Foreign Stock –21.44 Large-Cap Growth –27.88 Cash 1.15 Cash 1.33 Fixed Income 2.43 Fixed Income 4.33 Large-Cap Value –0.17 Foreign Stock –43.38 Cash 0.21 Cash 0.13 Foreign Stock –12.14 Cash 0.11 Fixed Income –2.02 Foreign Stock –4.90

Returns assume dividends and capital gains are reinvested and do not include any managerial expenses. The performance data herein represents past performance. Past performance does not guarantee

future returns. The Large-Cap Growth category is based on the Russell 1000 Growth Index. The Large-Cap Value category is based on the Russell 1000 Value Index. The Large-Cap Blend category

is based on the Russell 1000 Index. These three indexes measure the performance of the growth and value styles of investing in large-cap U.S. stocks and are constructed to provide a comprehensive and unbiased barometer of the large-cap market. The Mid-Cap Blend category is based on the Russell 2500 Index, which measures the performance of both growth and value styles of investing in mid-cap U.S. stocks and is constructed to provide a comprehensive and unbiased barometer for the small- to mid-cap segment.

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1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Large-Cap Value 38.36 Large-Cap Growth 23.12 Large-Cap Value 35.18 Large-Cap Growth 38.71 Large-Cap Growth 33.16 Fixed Income 11.63 Fixed Income 8.44 Fixed Income 10.26 Mid-Cap Blend 45.51 Foreign Stock 20.25 Foreign Stock 13.54 Foreign Stock 26.34 Large-Cap Growth 11.81 Fixed Income 5.24 Large-Cap Growth 37.21 Mid-Cap Blend 26.71 Fixed Income 7.84 Mid-Cap Blend 17.88 Mid-Cap Blend 36.80 Large-Cap Value 13.45 Large-Cap Blend 37.77 Large-Cap Blend 22.45 Large-Cap Blend 32.85 Large-Cap Blend 27.02 Foreign Stock 26.96 Large-Cap Value 7.01 Cash 4.42 Cash 1.78 Foreign Stock 38.59 Mid-Cap Blend 18.29 Mid-Cap Blend 8.11 Large-Cap Value 22.25 Foreign Stock 11.17 Cash 2.06 Mid-Cap Blend 34.39 Large-Cap Growth 16.71 Large-Cap Growth 2.64 Large-Cap Value 17.51 Large-Cap Growth 33.48 Large-Cap Blend 13.24 Large-Cap Growth 37.18 Large-Cap Value 21.64 Large-Cap Growth 30.49 Foreign Stock 20.00 Mid-Cap Blend 24.14 Cash 6.18 Mid-Cap Blend 1.22 Diversified Portfolio –12.69 Large-Cap Value 30.03 Large-Cap Value 16.49 Large-Cap Value 7.05 Mid-Cap Blend 16.17 Fixed Income 6.97 Diversified Portfolio –28.06 Foreign Stock 31.78 Large-Cap Blend 16.10 Large-Cap Blend 1.50 Foreign Stock 17.32 Large-Cap Blend 33.11 Large-Cap Growth 13.05 Mid-Cap Blend 31.70 Mid-Cap Blend 19.03 Mid-Cap Blend 24.36 Diversified Portfolio 16.70 Large-Cap Blend 20.91 Mid-Cap Blend 4.27 Large-Cap Value –5.59 Large-Cap Value –15.52 Large-Cap Blend 29.89 Large-Cap Blend 11.40 Diversified Portfolio 6.63 Large-Cap Blend 15.46 Diversified Portfolio 6.07 Mid-Cap Blend –36.79 Large-Cap Blend 28.43 Large-Cap Value 15.51 Large-Cap Value 0.39 Large-Cap Blend 16.42 Large-Cap Value 32.53 Mid-Cap Blend 7.07 Diversified Portfolio 25.38 Diversified Portfolio 14.37 Diversified Portfolio 19.66 Large-Cap Value 15.63 Diversified Portfolio 16.49 Diversified Portfolio –2.14 Diversified Portfolio –6.53 Foreign Stock –15.94 Large-Cap Growth 29.75 Diversified Portfolio 11.13 Large-Cap Blend 6.27 Diversified Portfolio 13.93 Large-Cap Blend 5.77 Large-Cap Value –36.85 Diversified Portfolio 22.54 Diversified Portfolio 13.08 Cash 0.10 Large-Cap Growth 15.26 Foreign Stock 22.78 Diversified Portfolio 6.79 Fixed Income 18.47 Foreign Stock 6.05 Fixed Income 9.65 Fixed Income 8.69 Large-Cap Value 7.35 Large-Cap Blend –7.79 Large-Cap Blend –12.45 Mid-Cap Blend –17.80 Diversified Portfolio 24.90 Large-Cap Growth 6.30 Large-Cap Growth 5.26 Large-Cap Growth 9.07 Cash 5.03 Large-Cap Blend –37.60 Large-Cap Value 19.69 Foreign Stock 7.75 Diversified Portfolio –0.10 Diversified Portfolio 12.70 Diversified Portfolio 21.59 Fixed Income 5.97 Foreign Stock 11.21 Cash 5.31 Cash 5.33 Cash 5.23 Cash 4.85 Foreign Stock –14.17 Large-Cap Growth –20.42 Large-Cap Blend –21.65 Fixed Income 4.10 Fixed Income 4.34 Cash 3.06 Cash 4.83 Mid-Cap Blend 1.38 Large-Cap Growth –38.44 Fixed Income 5.93 Fixed Income 6.54 Mid-Cap Blend –2.51 Fixed Income 4.21 Cash 0.07 Cash 0.03 Cash 6.03 Fixed Income 3.63 Foreign Stock 1.78 Mid-Cap Blend 0.38 Fixed Income –0.82 Large-Cap Growth –22.42 Foreign Stock –21.44 Large-Cap Growth –27.88 Cash 1.15 Cash 1.33 Fixed Income 2.43 Fixed Income 4.33 Large-Cap Value –0.17 Foreign Stock –43.38 Cash 0.21 Cash 0.13 Foreign Stock –12.14 Cash 0.11 Fixed Income –2.02 Foreign Stock –4.90

Diversification

1

may increase

your investment’s

growth potential

while reducing

the amount

of risk to

your portfolio.

The Foreign Stock category is based on the MSCI EAFE Index (Morgan Stanley Capital International), which measures the performance of developed stock markets in Europe, Australasia, and the Far East. The Fixed Income category is based on the Barclays U.S. Aggregate Bond Index, which includes U.S. government, corporate, and mortgage-backed securities, and maturities up to 30 years. The Cash category is based on the BofA Merrill Lynch U.S. 3-Month Treasury Bill Index (T bill). The Diversified

Portfolio is represented by an equal portion of the previously listed indexes. Index performance is not illustrative of the performance of the Portfolio Optimization Funds. For performance on the Portfolio Optimization Funds, visit www.PacificFunds.com. Indexes are unmanaged and

cannot be invested in directly.

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7/15 30018-15C

No bank guarantee • Not a deposit • May lose value Not FDIC/NCUA insured • Not insured by any federal government agency

PORTFOLIO OPTIMIZATION FUNDS

RISK-TOLERANCE QUESTIONNAIRE

To help you and your financial advisor determine which fund may meet your investment goals, work together to answer the following eight questions to help identify your financial needs, investment time horizon, and risk tolerance.

When do you expect to begin withdrawing money from your investment account? □ A Less than 2 years

□ B 2 years □ C 3 to 4 years □ D 5 to 7 years □ E 8 to 10 years □ F 11 years or more Risk Tolerance

Which of the following choices best reflects your attitude toward inflation and risk? □ A My main goal is to avoid loss, even though I may only keep pace with inflation.

□ B My main goal is to earn slightly more than inflation, while taking on a low level of risk.

□ C My main goal is to increase my portfolio’s value. Therefore, I am willing to accept short-term losses, but I am not comfortable with extreme performance fluctuations that may be experienced in the most aggressive investment options.

□ D My main goal is to maximize my portfolio value, and I am willing to accept more extreme levels of risk and performance fluctuations in my portfolio to do so.

The table below presents a hypothetical worst-case loss, expected gain, and best-case gain of five sample portfolios over a one-year period with an initial $100,000 investment. Which portfolio would you prefer to hold?

Hypothetical Best-Case ($) Expected Gain ($) Hypothetical Worst-Case ($)

□ A Portfolio 1 119,800 105,600 87,600

□ B Portfolio 2 123,700 106,200 84,700

□ C Portfolio 3 130,100 107,200 80,100

□ D Portfolio 4 136,800 108,300 75,800

□ E Portfolio 5 141,300 108,900 72,800 After you begin withdrawing money from your investment account, how long do you expect the withdrawals to last?

□ A I plan to take a one-time lump-sum distribution

□ B 1 to 4 years □ C 5 to 7 years □ D 8 to 10 years □ E 11 years or more 3. 4. 2. 1.

Investment Time Horizon

30018-15C PF Risk Questionaire_7.14.15.indd 2 7/14/15 3:31 PM

DETERMINE YOUR RISK-TOLERANCE LEVEL

Everyone has his or her own level of tolerance for investment risk. Evaluating

yours, and factoring it into your decisions, is an important part of prudent

long-term investing.

To get started, your financial advisor can help you determine your level of

risk tolerance by providing you with our questionnaire, or by using other

analytic tools. Ask your financial advisor for details.

Asset Management

The underlying funds in the

Portfolio Optimization Funds are

managed by some of the most

well-recognized management firms

in the industry. All management

firms may not be represented in

all Portfolio Optimization Funds.

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SELECT THE PORTFOLIO OPTIMIZATION FUND

THAT’S RIGHT FOR YOU

About Risk

A fund-of-funds is subject to asset allocation risk. Although diversification among asset classes can help reduce volatility over the

long term, this assumes that asset classes do not move in tandem and that positive returns in one or more asset classes will help

offset negative returns in other asset classes. A fund-of-funds does not guarantee gains and may incur losses and/or experience

volatility, particularly during periods of broad market declines. There is also a risk that you could achieve better returns by investing

in an individual fund or multiple funds representing a single asset class rather than using asset allocation. A fund-of-funds is subject

to its own expenses along with the expenses of the underlying funds. It is typically exposed to the same risks as the underlying

funds in which it invests in proportion to the allocation of assets among those underlying funds.

Pacific Funds offers five Portfolio Optimization Funds, allowing you to match the appropriate fund to

your financial objectives, risk tolerance, and time horizon. Each fund is structured as a fund-of-funds

(a mutual fund that invests in other mutual funds) that has been diversified to achieve a specific

target-risk level using a strategic mix of multiple asset classes.

Currently, each fund includes up to 21 individual asset classes, which spreads risk across various

markets. To see fund holdings, please refer to the fund fact sheets in this brochure.

Conservative

Moderate-Conservative

Moderate

Growth

Fixed Income Domestic Equity International Equity

Broad Asset Class Allocations as of 6/30/15

Potential Return High Low Risk Tolerance High Low International Domestic Fixed Cash AG G M MC C International Domestic Fixed Cash AG G M MC C International Domestic Fixed Cash AG G M MC C International Domestic Fixed Cash AG G M MC C International Domestic Fixed Cash AG G M MC C Aggressive-Growth

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OUR INVESTMENT APPROACH

Diversification is critical, no matter what stage of life you are in. While an

investor nearing retirement may have different financial objectives than one just

embarking on a career, both should consider employing diversification. But what

is also critical is choosing the correct asset classes in which to diversify, which is

known as asset allocation.

Pacific Life Fund Advisors (PLFA) applies an investment approach using three

fundamental disciplines: asset allocation, manager research, investment risk

management. Using these disciplines, PLFA determines each Portfolio Optimization

Fund’s overall asset allocation strategy and the appropriate underlying funds.

Asset Allocation

An asset class model is developed for each fund that reflects a risk/return profile

consistent with the fund’s investment goal. The model defines the asset classes, and

the percentage of each, to include in the fund.

Manager Research

Underlying fund managers are evaluated using quantitative screening to narrow the

list of potential managers. Qualitative due diligence meetings are then conducted with

the selected management firms to assess firm stability, performance repeatability,

and investment style adherence.

Investment Risk Management

Using the asset class model as a framework, the specific percentage that will be

invested into each underlying fund is determined according to the fund’s target-risk

objectives. Rigorous analysis and stress testing are performed to identify and

evaluate fund risks and, if necessary, adjust allocations accordingly.

Experienced Portfolio

Management

Established in 2007, Pacific Life Fund

Advisors LLC (PLFA) provides

multi-asset class solutions through its

Asset Allocation, Manager Research,

and Investment Risk Management

groups. PLFA is an SEC-registered

investment advisor and a wholly

owned subsidiary of Pacific Life

Insurance Company (Pacific Life).

As of June 30, 2015, PLFA managed

approximately $41 billion in total

assets under management.

Howard T. Hirakawa, CFA®

Portfolio Manager since 2003 Industry since 1994

Carleton J. Muench, CFA®

Portfolio Manager since 2006 Industry since 1998 Samuel S. Park Portfolio Manager since 2013 Industry since 1999

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7

Pacific Life Fund Advisors draws on research from

Ibbotson Associates in developing asset class models.

Ibbotson is one of the most highly respected consulting

firms in the U.S., with more than 30 years of experience

in real-world asset allocation.

Fixed Income 28%

Domestic Equity 43%

International Equity 15%

Alternatives 14%

ASSET ALLOCATION

Universe of Asset Classes

The Process

◾

Evaluate asset classes and select those that, in combination, are

appropriate for achieving the fund’s risk/return target.

◾

Agree on limits regarding the percentage of the fund that can be

devoted to each asset class.

◾

Adjust the model based on PLFA managers’ views of the current

market environment, economy, fiscal and monetary policy, and

specific asset classes.

Asset allocation, although intended to provide diversification, does

not guarantee future results, ensure a profit, or protect against loss.

Better returns could be achieved by investing in an individual fund or

funds representing a single asset class rather than using asset allocation.

Objective

Develop an asset class model for each Portfolio Optimization Fund that reflects a risk/return

profile consistent with the fund’s investment goal. The model defines the asset classes, and the

percentage of each, to include in the fund.

Develop Broad Asset Class Model

( Pacific Funds Portfolio Optimization Moderate

example as of 6/30/15)

The broad asset class of alternatives can include equity and fixed income strategies. Alternative strategies can have characteristics of equity or fixed income investments.

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MANAGER RESEARCH

Domestic Equity 43%

The Process

Quantitative Screening—Narrows the list of potential managers

for each asset class according to criteria such as:

◾

Minimum track record

◾

Peer-group rankings

◾

Manager tenure

◾

Performance and style consistency

◾

Fund/Firm size and fees

Qualitative Due Diligence—With the resulting list, PLFA travels the

world to perform thorough due diligence on the selected investment

management firms, evaluating their:

◾

Corporate structure, culture, and history

◾

Management and key personnel

◾

Investment philosophy and process

◾

Repeatability of each manager’s processes and outcomes

Ongoing Research and Evaluation—Assess each manager on

a regular basis, examining criteria such as:

◾

Performance

◾

Adherence to investment style

◾

Asset growth

◾

Firm stability

Objective

Select the appropriate underlying funds for each Portfolio Optimization Fund by evaluating investment

management firms, and the funds they manage, in terms of their abilities to consistently represent the

asset classes in our asset class models.

Evaluate Fund Managers and

For Each Asset Class

( Domestic Equity

example as of 6/30/15)

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9 PF Small-Cap Value 4.1% PF Large-Cap Growth 4.5% PF Large-Cap Value 9.1% PF Comstock 7.0% PF Mid-Cap Growth 2.0% PF Small-Cap Growth 1.6% PF Growth 3.5% PF Real Estate 0.9%

PF Main Street®_Core _6.1%

PF Mid-Cap Equity 4.0%

The Process

Portfolio Construction—Create a mix of underlying funds

that best represents the blend of asset classes put together

in the asset allocation phase.

Analytics and Stress Testing—Identify and evaluate fund

risks and, if necessary, adjust allocations accordingly.

◾

Confirm that potential downside risks are acceptable,

given the fund’s risk and return objectives.

◾

Ensure the portfolio accurately represents current

investment views.

◾

Maximize the potential for target-risk and return objectives

to be achieved.

Ongoing Risk Management—Continue to monitor each

Portfolio Optimization Fund by regularly evaluating results, risks,

and investment opportunities to determine if action is required.

Periodic Rebalancing—Direct cash inflows and outflows

to keep the fund aligned with its asset class model.

INVESTMENT RISK MANAGEMENT

Objective

Determine the allocation of underlying funds within each Portfolio Optimization Fund according

to the fund’s target-risk objectives.

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JUNE 30, 2015

Class A Class B Class C Advisor Class R

Ticker

POAAX Fund Number 141 POABXTicker Fund Number 241 POACXTicker Fund Number 341 PLCDXTicker Fund Number 041 POARXTicker Fund Number 541

PACIFIC FUNDS

PORTFOLIO OPTIMIZATION CONSERVATIVE

Growth of a Hypothetical $10,000 Investment – Class A (Without Sales Charge)

Fund Overview

Investment Goal: Seeks current income

and preservation of capital.

Investment Strategy: The fund is a

“fund of funds” that seeks to achieve its investment goal through a strategy of allocating its assets among other funds of the Trust (“Underlying Funds”). Under normal market conditions, the fund allocates its assets between two major asset classes of debt and equity in the following target amounts: 80% debt and 20% equity. Within the broad asset classes of debt and equity, the fund diversifies its holdings by investing in underlying funds that represent a variety of investment styles and security types, including alternative or non-traditional investment strategies.

Why Portfolio Optimization Funds

One-Step Diversification

Each Portfolio Optimization Fund is diversified among multiple asset classes, providing you with a core asset allocation solution to help meet your financial goals.

A Dedicated Team that Manages Multi-Asset Class Solutions

Pacific Life Fund Advisors’ investment approach uses three fundamental disciplines:

◾

Asset allocation

◾

Manager research

◾

_{Investment risk management}

Target-Risk Funds to Fit Your Needs

Portfolio Optimization Funds range in investment style from conservative to aggressive-growth to help match your risk tolerance and investment goals.

Investment Management

Portfolio Managers

Howard T. Hirakawa, CFA® Portfolio Manager since 2003 Industry since 1994

Carleton J. Muench, CFA® Portfolio Manager since 2006 Industry since 1998

Samuel S. Park

Portfolio Manager since 2013

Calendar Year-End

Returns (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Class A w/o Sales Charge 2.61 5.42 6.27 (10.26) 18.49 8.23 2.61 9.03 2.96 2.60

Class A w/ Sales Charge (3.07) (0.41) 0.44 (15.18) 11.92 2.28 (3.03) 3.03 (2.69) (3.02)

Barclays

U.S. Aggr. Bond Index1 2.43 4.33 6.97 5.24 5.93 6.54 7.84 4.21 (2.02) 5.97

S&P 500®_Index2 _{4.91 15.79} _{5.49 (37.00) 26.46 15.06} _{2.11 16.00 32.39 13.69}

BofA Merrill Lynch U.S.

3-Month Treasury Bill Index3 3.06 4.83 5.03 2.06 0.21 0.13 0.10 0.11 0.07 0.03

MSCI EAFE Index4 _{13.54 26.34 11.17 (43.38) 31.78} _{7.75 (12.14) 17.32 22.78} _(4.90)

Returns reflect reinvestment of dividends and distributions. Class A shares have up-front maximum 5.50% sales charge. Index inception dates existed prior to 12/31/03. Growth of $10,000 returns do not include sales charges. If sales charges were included, returns would be lower.

1_{Composed of approximately 7,000 asset-based, corporate, government, and mortgage-backed bonds. The}

index’s total return consists of price appreciation/depreciation and income as a percentage of the original

investment. 2_{A market capitalization-weighted index of 500 widely held stocks often used as a proxy for}

the stock market. 3_{Comprised of a single issue purchased at the beginning of the month and held for a full}

month. 4_{MSCI EAFE Index (Morgan Stanley Capital International) measures the performance of developed}

stock markets in Europe, Australasia, and the Far East. Indexes are unmanaged and cannot be invested in directly.

For performance data current to the most recent month-end, call Pacific Funds at (800) 722-2333, option 2, or go to www.PacificFunds.com. Performance data quoted represents past performance, which does not guarantee future results. Current performance may be lower or higher than the performance quoted. The investment return and principal value of an investment will fluctuate so, when redeemed, may be worth more or less than the original cost.

Total Returns (%) Annualized Total Returns (%)

YTD 1-Year 3-Year 5-Year 10-Year Life of Fund _12/31/03

Class A w/o Sales Charge 1.09 0.57 3.63 4.97 4.61 4.41

Class A w/ Sales Charge (4.46) (4.93) 1.69 3.79 4.02 3.89

Barclays U.S. Aggr. Bond Index1 _(0.10) _1.86 _1.83 _3.35 _4.44 _4.46

S&P 500®_Index2 _1.23 _7.42 _17.31 _17.34 _7.89 _7.72

3-Month Treasury Bill Index3 0.01 0.02 0.06 0.08 1.42 1.46

MSCI EAFE Index4 _5.52 _(4.22) _11.97 _9.54 _5.12 _6.02

2004 $20,000 $15,000 $10,000 $5,000 0 2013 2014 2015 2005 2006 2007 2008 2009 2010 2011 2012

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11

Ticker

POAAX Fund Number 141 POABXTicker Fund Number 241 POACXTicker Fund Number 341 PLCDXTicker Fund Number 041 POARXTicker Fund Number 541

Annual Fund Operating Expenses (%)

Gross Net Class A 1.40 1.30 Class B 2.15 2.05 Class C 2.15 2.05 Advisor 1.15 1.05 Class R 1.65 1.55 Fund Characteristics

Annual Turnover Ratio1 _11%

Total Net Assets ($M)2 _$411.4

Gross annual operating expenses reflect the total annual operating expenses paid by each fund. Net operating expenses reflect waivers, reductions, and reimbursements. Gross operating expenses and net operating expenses are sourced from the prospectus dated 8/1/14. The investment advisor has agreed to limit certain “Other Expenses” incurred by the fund that exceed an annual rate of 0.15% through 7/31/15, and 0.30% from 8/1/15 through 7/31/23 for Class A, B, C, and R shares; 0.15% through 7/31/15, 0.20% from 8/1/15 through 12/31/15, and 0.30% from 1/1/16 through 7/31/23 for Advisor shares. There is no guarantee that the investment advisor will continue to cap expenses after the expiration date.

1_{Calculated as of 3/31/14 fiscal year-end.}

2_{Net assets of entire fund, including all share classes.}

Each underlying fund has its own investment goal, strategy, and risks, and may not be available for individual purchase. Each underlying fund may include exposure to multiple broad asset classes. The prospectuses for the underlying funds are available at www.PacificFunds.com.

Performance for other share classes may differ. Please see the prospectus for additional information about fees, expenses, and availability.

Broad Asset Class

Allocations

Fund Manager

Portfolio Holdings

Underlying Fund Allocation (%)

International

Domestic

Fixed

Cash

AG

G

M

MC

C

17.3% 4.8% 77.9% 38.4% 32.7% 46.9% 14.7% 9.8% 65.1% 25.1% 19.5% 61.8% 18.7% 9.4% 57.9% Fixed Income Domestic Equity International Equity FIXED INCOME

Ashmore PF Emerging Markets Debt 6.0

BlueBay PF Absolute Return 4.0

Eaton Vance PF Floating Rate Loan 6.1

PF Global Absolute Return 4.0

Pacific Asset Management Pacific Funds Core Income 1.0

Pacific Funds High Income 5.5

PIMCO/Western Asset PF Inflation Managed 6.4

PF Managed Bond 30.7

T. Rowe Price PF Short Duration Bond 12.2

UBS/MCG PF Currency Strategies 2.0

DOMESTIC EQUITY

AQR PF Equity Long/Short 3.1

BlackRock PF Large-Cap Growth 1.5

ClearBridge PF Large-Cap Value 5.0

Invesco PF Comstock 3.0

Ivy Funds PF Mid-Cap Growth 1.0

MFS® _{PF Growth} _1.2

Oppenheimer PF Main Street®_Core _1.0

Scout Investments PF Mid-Cap Equity 1.5

INTERNATIONAL EQUITY

JPMorgan PF International Value 1.9

MFS® _{PF International Large-Cap} _2.9

(14)

PACIFIC FUNDS

PORTFOLIO OPTIMIZATION MODERATE-CONSERVATIVE

Ticker

POBAX Fund Number 142 POBBXTicker Fund Number 242 POBCXTicker Fund Number 342 PMCDXTicker Fund Number 042 POBRXTicker Fund Number 542

Growth of a Hypothetical $10,000 Investment – Class A (Without Sales Charge)

Calendar Year-End

Returns (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Class A w/o Sales Charge 4.05 8.19 6.64 (18.76) 22.28 9.84 1.13 10.84 7.78 3.45

Class A w/ Sales Charge (1.79) 2.24 0.78 (23.21) 15.56 3.75 (4.44) 4.76 1.88 (2.22)

Barclays

S&P 500®_Index2 _4.91 _{15.79 5.49 (37.00) 26.46 15.06} _{2.11 16.00 32.39} _13.69

MSCI EAFE Index3 _{13.54 26.34 11.17 (43.38) 31.78} _{7.75 (12.14) 17.32 22.78} _(4.90)

1_{Composed of approximately 7,000 asset-based, corporate, government, and mortgage-backed bonds. The}

index’s total return consists of price appreciation/depreciation and income as a percentage of the original

investment. 2_{A market capitalization-weighted index of 500 widely held stocks often used as a proxy for}

the stock market. 3_{MSCI EAFE Index (Morgan Stanley Capital International) measures the performance of}

developed stock markets in Europe, Australasia, and the Far East. 4_{Comprised of a single issue purchased}

at the beginning of the month and held for a full month. Indexes are unmanaged and cannot be invested in directly.

Fund Overview

Investment Goal: Seeks current income

and moderate growth of capital.

Why Portfolio Optimization Funds

◾

Asset allocation

◾

Manager research

◾

Investment Management

Samuel S. Park

JUNE 30, 2015

S&P 500®_Index2 _1.23 _7.42 _17.31 _17.34 _7.89 _7.72

MSCI EAFE Index3 _5.52 _(4.22) _11.97 _9.54 _5.12 _6.02

2004 $20,000 $15,000 $10,000 $5,000 0 2013 2014 2015 2005 2006 2007 2008 2009 2010 2011 2012

(15)

13

Ticker

POBAX Fund Number 142 POBBXTicker Fund Number 242 POBCXTicker Fund Number 342 PMCDXTicker Fund Number 042 POBRXTicker Fund Number 542

Broad Asset Class

Allocations

Fund Manager

Portfolio Holdings

International

Domestic

Fixed

Cash

AG

G

M

MC

C

DOMESTIC EQUITY

AB PF Small-Cap Value 1.0

Lord Abbett PF Small-Cap Growth 1.1

Oppenheimer PF Emerging Markets 2.0

QS Batterymarch PF International Small-Cap 2.5

(16)

PACIFIC FUNDS

PORTFOLIO OPTIMIZATION MODERATE

Ticker

POCAX Fund Number 143 POMBXTicker Fund Number 243 POMCXTicker Fund Number 343 POMDXTicker Fund Number 043 POCRXTicker Fund Number 543

JUNE 30, 2015

Growth of a Hypothetical $10,000 Investment – Class A (Without Sales Charge)

Calendar Year-End

Returns (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Class A w/o Sales Charge 6.12 11.19 7.29 (26.73) 27.07 12.06 (0.20) 13.00 12.63 3.74

Class A w/ Sales Charge 0.21 5.06 1.38 (30.75) 20.07 5.88 (5.68) 6.75 6.42 (1.97)

S&P 500®_Index1 _{4.91 15.79} _{5.49 (37.00) 26.46 15.06} _{2.11 16.00 32.39 13.69}

Barclays

MSCI EAFE Index3 _{13.54 26.34 11.17 (43.38) 31.78} _{7.75 (12.14) 17.32 22.78} _(4.90)

1_{A market capitalization-weighted index of 500 widely held stocks often used as a proxy for the stock}

market. 2_{Composed of approximately 7,000 asset-based, corporate, government, and mortgage-backed}

bonds. The index’s total return consists of price appreciation/depreciation and income as a percentage

of the original investment. 3_{MSCI EAFE Index (Morgan Stanley Capital International) measures the}

performance of developed stock markets in Europe, Australasia, and the Far East. 4_{Comprised of a single}

issue purchased at the beginning of the month and held for a full month. Indexes are unmanaged and cannot be invested in directly.

Fund Overview

Investment Goal: Seeks long-term growth

of capital and low to moderate income.

Why Portfolio Optimization Funds

◾

Asset allocation

◾

Manager research

◾

Investment Management

Samuel S. Park

S&P 500®_Index1 _1.23 _7.42 _17.31 _17.34 _7.89 _7.72

MSCI EAFE Index3 _5.52 _(4.22) _11.97 _9.54 _5.12 _6.02

2004 $20,000 $15,000 $10,000 $5,000 0 2013 2014 2015 2005 2006 2007 2008 2009 2010 2011 2012

(17)

15

Ticker

POCAX Fund Number 143 POMBXTicker Fund Number 243 POMCXTicker Fund Number 343 POMDXTicker Fund Number 043 POCRXTicker Fund Number 543

Total Net Assets ($M)2 _$1,645.2

Broad Asset Class

Allocations

Fund Manager

Portfolio Holdings

International

Domestic

Fixed

Cash

AG

G

M

MC

C

DOMESTIC EQUITY

Morgan Stanley PF Real Estate 0.9

(18)

PACIFIC FUNDS

PORTFOLIO OPTIMIZATION GROWTH

Ticker

PODAX Fund Number 144 PODBXTicker Fund Number 244 PODCXTicker Fund Number 344 PMADXTicker Fund Number 044 PODRXTicker Fund Number 544

JUNE 30, 2015

Growth of a Hypothetical $10,000 Investment – Class A (Without Sales Charge)

Calendar Year-End

Returns (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

S&P 500®_Index1 _{4.91 15.79} _{5.49 (37.00) 26.46 15.06} _{2.11 16.00 32.39 13.69}

Barclays

MSCI EAFE Index3 _{13.54 26.34 11.17 (43.38) 31.78} _{7.75 (12.14) 17.32 22.78} _(4.90)

market. 2_{Composed of approximately 7,000 asset-based, corporate, government, and mortgage-backed}

bonds. The index’s total return consists of price appreciation/depreciation and income as a percentage

of the original investment. 3_{MSCI EAFE Index (Morgan Stanley Capital International) measures the}

performance of developed stock markets in Europe, Australasia, and the Far East. Indexes are unmanaged and cannot be invested in directly.

Fund Overview

Investment Goal: Seeks moderately high,

long-term capital appreciation with low, current income.

Why Portfolio Optimization Funds

◾

Asset allocation

◾

Manager research

◾

Investment Management

Samuel S. Park

S&P 500®_Index1 _1.23 _7.42 _17.31 _17.34 _7.89 _7.72

MSCI EAFE Index3 _5.52 _(4.22) _11.97 _9.54 _5.12 _6.02

2004 $20,000 $15,000 $10,000 $5,000 0 2013 2014 2015 2005 2006 2007 2008 2009 2010 2011 2012

(19)

17

Ticker

PODAX Fund Number 144 PODBXTicker Fund Number 244 PODCXTicker Fund Number 344 PMADXTicker Fund Number 044 PODRXTicker Fund Number 544

Total Net Assets ($M)2 _$1,155.8

Broad Asset Class

Allocations

Fund Manager

Portfolio Holdings

International

Domestic

Fixed

Cash

AG

G

M

MC

C

Eaton Vance PF Global Absolute Return 2.0

Pacific Asset Management Pacific Funds High Income 2.0

PF Managed Bond 7.0

UBS/ MCG PF Currency Strategies 4.0

DOMESTIC EQUITY

(20)

PACIFIC FUNDS

PORTFOLIO OPTIMIZATION AGGRESSIVE-GROWTH

Ticker

POEAX Fund Number 145 POEBXTicker Fund Number 245 POCEXTicker Fund Number 345 POEDXTicker Fund Number 045 POERXTicker Fund Number 545

JUNE 30, 2015

Growth of a Hypothetical $10,000 Investment – Class A (Without Sales Charge)

Calendar Year-End

Returns (%)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

S&P 500®_Index1 _{4.91 15.79} _{5.49 (37.00) 26.46 15.06} _{2.11 16.00} _{32.39 13.69}

MSCI EAFE Index2 _{13.54 26.34 11.17 (43.38) 31.78} _{7.75 (12.14) 17.32} _{22.78 (4.90)}

Barclays

market. 2_{MSCI EAFE Index (Morgan Stanley Capital International) measures the performance of developed}

stock markets in Europe, Australasia, and the Far East. 3_{Composed of approximately 7,000 asset-based,}

corporate, government, and mortgage-backed bonds. The index’s total return consists of price appreciation/depreciation and income as a percentage of the original investment.

Indexes are unmanaged and cannot be invested in directly.

Fund Overview

Investment Goal: Seeks high, long-term

capital appreciation.

Why Portfolio Optimization Funds

◾

Asset allocation

◾

Manager research

◾

Investment Management

Samuel S. Park

S&P 500®_Index1 _1.23 _7.42 _17.31 _17.34 _7.89 _7.72

MSCI EAFE Index2 _5.52 _(4.22) _11.97 _9.54 _5.12 _6.02

2004 $20,000 $15,000 $10,000 $5,000 0 2013 2014 2015 2005 2006 2007 2008 2009 2010 2011 2012

(21)

19

Ticker

POEAX Fund Number 145 POEBXTicker Fund Number 245 POCEXTicker Fund Number 345 POEDXTicker Fund Number 045 POERXTicker Fund Number 545

Broad Asset Class

Allocations

Fund Manager

Portfolio Holdings

International

Domestic

Fixed

Cash

AG

G

M

MC

C

Eaton Vance PF Global Absolute Return 2.0

PIMCO/Western Asset PF Managed Bond 2.5

DOMESTIC EQUITY

(22)

SHARE CLASS OVERVIEW

For more details and restrictions regarding sales charges and other information mentioned below, please

see the prospectus. Read the prospectus carefully before investing. You can reduce the initial sales charge

of Class A shares by taking advantage of breakpoint opportunities as noted on page 22.

Reduced Sales Charges A Shares B Shares C Shares Advisor R Shares

Combination privilege Yes N/A

Rights of accumulation (ROA) Yes N/A

Letter of intent (LOI) Yes N/A

Contingent Deferred Sales Charge

(CDSC) Waived (if applicable) A Shares B Shares C Shares Advisor R Shares Death (if the redemption of assets is requested within

one year of the date of death or for redemptions from an IRA account, as long as re-registration of assets is made within one year of death)

Yes N/A

Permanent disability (as defined by Section 72(m)(7)

of the Internal Revenue Code) Yes N/A

Required minimum distributions (RMDs), only if calculated

by Pacific Funds Yes N/A

For certain amounts taken through systematic withdrawals Yes N/A

Excess contributions from a retirement account Yes N/A

Other Features A Shares B Shares C Shares Advisor R Shares

Shares convert to another class N/A A shares after

8 years N/A

Transactions A Shares B Shares C Shares Advisor R Shares Preauthorized investment programs opened directly

with Pacific Funds

Minimum $50 per fund per draft (initial fund minimums

must be met). N/A

Electronic funds transfer (EFT) Purchase or redeem through EFT between a financial

institution account and Pacific Funds. N/A

Systematic withdrawals

Minimum $50 monthly, quarterly, semiannually, or annually ($5,000 minimum account value). Both contingent deferred sales charge (CDSC) and CDSC waivers may apply. Check with your financial advisor about availability and transaction charges.

N/A

Dollar cost averaging (DCA)

There is a minimum of $50 monthly, quarterly, semiannually, or annually within the same account (initial fund minimums must be met) for DCA.

N/A