PIMCO has shrunk by $US37.5 billion in 2013 and has officially lost its top dog mutual fund status,
Bloomberg’sCharles Stein reports.
With $US247.9 billion in assets, Bill Gross’s PIMCO lost out to the Vanguard Total Stock Market Index Fund, which ended October with $US251 billion. From Bloomberg:
Pimco Total Return, which became the biggest mutual fund in 2008, is on track to have the worst redemptions ever this year, losing $US28 billion through Sept. 30, according to estimates from Morningstar Inc. in Chicago. Investors are pulling money out of traditional fixed-income funds in anticipation that the three-decade rally in bonds is ending, and adding to stock funds, particularly low-cost index funds, as the bull market in U.S. equities is in its fifth year.
PIMCO Total Return was behind 56% of its contemporaries in 2013. It beat 77% of them over the past five years, according to Bloomberg.