Bill Gross said he was fired from Pacific Investment Management Co., the first time he has publicly stated that he was dismissed from the firm he co-founded in 1971…Gross said he visited a neighbor, a retired air force general, after his exit from Pimco. As he was leaving, the retired general said Gross should have visited six months earlier because he could have taught him the first rule of the military. “I said, ‘what’s that?’ and he said: ‘watch your back,’” Gross said. [Bloomberg]
SIR YES SIR
NYC’s $160 billion pension fund has no need of a Gross-less PIMCO. Read more »
In the weeks that followed, Gross tried to close ranks. He spent more than 20 minutes before a firm-wide meeting to discuss the media scrutiny that had beset the company, a speech in which he disparaged El-Erian, according to two people. When he ended to a standing ovation from the audience, including Hodge and Ivascyn, at least one executive declined to rise. Thimons, a managing director outspoken in his objections to Gross’s leadership, disagreed with his comments and refused to stand, according to a person who was present. El-Erian’s departure had prompted media scrutiny and reports of clashes between El-Erian and Gross. The Wall Street Journal cited one example where Gross complained that El-Erian wouldn’t let him run the firm’s entire $2 trillion in assets…To stop the reports, Gross set up interrogations of members of the investment committee, managing directors, and lower-ranking money managers. He carried around a three-ring binder of printed-out e-mails and hand-written notes to find out who was talking to the press. Among his suspects were Balls, a former journalist, and Thimons, the executive who had remained seated during the standing ovation and who had organized a going-away party for El-Erian. — Bloomberg News, December 3, 2014
- Security camera footage of the office break room showing a young trader offering El-Erian a bite of his sandwich?
- Eyewitness accounts of a member of the investment committee shaking El-Erian’s hand on his last day of work?
- Chicken scratch that said something about how he was almost sure he saw two executive assistants mocking the birthday party he’d held for Bob The Cat last year. He was on the other side of the room so “not positive” but can read lips so pretty certain?
Bill Gross is a legendary bond investor who co-founded Pacific Investment Management in 1971. He once referred to himself as the Secretariat (as in, the thoroughbred horse) of investing and, at PIMCO, was known for discouraging employees from speaking to him or looking him in the eye. In 2014, he joined Janus Capital Management after a series of, let’s just call them “incidents” led senior employees to tell management is us or this guy.
Continue through the pages below to read the saga of legendary American financier, Bill Gross.
The compensation committee keeps the minutes of its meetings private, but considering that Gross far surpassed any expectations parent company Allianz might’ve set in the aforementioned areas, it seems obvious crows1 and alienation figured significantly in his 2013 pay. Read more »
The maestro’s former fund still exists, as the company will demonstrate today. Sure, it’s trading with a lot less money. But it’s a survivor, and it’s even doing basically the same stuff that Gross did before he
quit before he could be fired pursued a new opportunity in Denver. Read more »
Janus Capital CEO Isn’t Gonna Lie: If He Could Erect A Giant Fence Around Bill Gross And A Big Sign That Reads ‘This One Bites,’ He WouldBy Bess Levin
When Mr Gross expressed frustration with his company and suggested he may be looking for a new berth, Mr Weil promised to “move heaven and earth” to accommodate him at Janus. At the moment, that means furnishing a permanent office to Mr Gross’s liking in Newport Beach, California, just yards from Pimco. Rather than giving him a large team to manage and a desk on an open plan trading floor, Mr Gross will work behind a closed door. The aim is to prevent the kinds of outbursts that upset many Pimco staff. Mr Weil says he “wouldn’t dispute” the characterisation that Mr Gross has to be managed with kid gloves. “Bill likes quiet time to think, and our job is to make this fun and successful for Bill so he does it for a long time.” [FT, related, related, related]