Investors said 'closely monitoring' developments at Pimco

Magnifying Glass

Several U.S. institutional investors said they are closely monitoring the developments at Pimco, the bond firm, in the wake of Mohamed El-Erian's abrupt resignation as CEO and ensuing acrimony between him and co-founder Bill Gross.

Reuters reports that the investors, including retirement systems, have formally put Pimco on 'watch lists', a signal that they will keep a much closer eye its performance than usual. It could eventually lead to reductions in the amount of money they allocate to funds at the firm, whose full name is Pacific Investment Management Co and which has $1.91tril in assets.

'We intend to go out and meet with them over the course of the next month', said David Hunter, chief investment officer of the North Dakota State Investment Board. The board, which has about $400m invested with Pimco, put the fund on its watch list on February 28th.

Hunter said the board could ultimately decide not to make any changes to its allocation.

To access the complete Reuters article hit the link below:

U.S. investors closely monitoring Pimco after internal strife 

BOJ keeps stimulus in place, downgrades exports in warning sign

image: © Jan Krömer

JefferiesAnd the Best Place to Work in the global financial markets 2017 is...

Register for Financial Markets News Alerts