Pacific Investment Management Co.’s flagship fund had its 29th straight month of client redemptions in September from what was once the world’s largest mutual fund.
Last month’s redemption follows outflows of $1.8bn in August, $2.5bn in July, and $3bn in June. Assets in the fund have plunged to $95.5bn from a high of $293bn in April 2013.
Customers have yanked record amounts of money from the fund over concerns about rising interest rates, fluctuating performance and last year’s sudden departure of Bill Gross, the Pimco co-founder who had managed Total Return for decades. Outflows in August reduced the fund to less than $100bn for the first time since January 2007, before strong returns during the financial crisis spurred an influx of cash from investors seeking the relative safety of bonds.
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