REPORT: Bill Gross Met With Jeff Gundlach About Joining DoubleLine

Jeffrey GundlachREUTERS/Brendan McDermidJeffrey Gundlach, star bond investor and head of DoubleLine Capital.

CNBC’s David Faber is reporting that Bill Gross met with Jeff Gundlach about possibly joining his firm, DoubleLine Capital. 

“Gundlach would not go into any detail but did confirm in fact that [he and Gross] did have a meeting in which they discussed the possibility of Mr. Gross joining DoubleLine in some sort of capacity,” Faber said. 

Bloomberg reported that this meeting happened early last week. 

Faber reported on CNBC’s Squawk Alley that:

“[I]t does appear there was a good amount of tumult at [PIMCO] over these last couple of week… it does appear that Mr. Gross was well aware that he was on his way out. In speaking to a number of different sources in fact it does appear that a couple of weeks back he wanted a senior executive at the firm to be fired. That did not take place. Mr. Gross was very much unhappy with that, and then there were five executives according to people familiar with the situation who threatened to quit in Mr. Gross was not fired by PIMCO.”

Faber reported that this lead Gross to consider other options, including joining Gundlach’s DoubleLine.

These reports come after the huge news on Friday that Bill Gross would leave PIMCO, the firm he founded in 1971, to join Janus Capital. 

Earlier on Friday, Faber reported that Gross was going to be fired by PIMCO on Saturday due to “increasingly erratic behaviour.” Other employees also threatened to leave the firm if Gross didn’t go. 

In a statement following Gross’ departure, PIMCO said: “While we are grateful for everything Bill contributed to building our firm and delivering value to PIMCO’s clients, over the course of this year it became increasingly clear that the firm’s leadership and Bill have fundamental differences about how to take PIMCO forward.”

Following news that Gross was leaving PIMCO, reports surfaced that the firm would name Gross’ successor at some point on Friday, and Bloomberg has reported that this is likely to be Dan Ivascyn, a deputy CIO at PIMCO’s Newport Beach office. 

Shares of Allianz, the parent company of PIMCO, and Janus, which Gross is joining, were going in different directions on Friday.

Allianz shares listed in New York were down more than 6% following the news while Janus shares were up more than 33% after opening up more than 37% on Friday

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