Yes, he does sometimes carry it with him into battle.
Yes, that does mean he literally brings a sword to a gun fight.
The sword's something Pete was issued as part of his military training back in the day. Though generally considered more of a status symbol than for practical use, Pete likes to have it with him regardless.
The design journey was pretty swift. The initial inspiration came from the Goron's Knife from video game Legend Of Zelda Majora's Mask back from the ol' Nintendo 64 days. The two look nothing alike, but I started there and worked my way to what you see here. Why is the tip designed that way? No idea. I guess my intention was to make it a bit more unique. Again, status symbol over practicality.