A Notable PIMCO Departure
The firm loses a formidable contributor.
Given the firm's size and footprint in the investor community, it's always news when someone leaves PIMCO. Some departures, like that of Paul McCulley a couple of years ago, are especially noteworthy, though. In McCulley's case, it was a matter of the firm losing an important voice on its investment committee, which drives the macroeconomic decisions for all of PIMCO's funds. Still, it's worth noting that co-CIO Bill Gross seems to believe that investment committee member Saumil Parikh may be a key filler of the gap.
The upcoming departure of PIMCO GNMA (PDMIX) manager Scott Simon will likely have a different impact. As the leader of a PIMCO specialist desk focusing on agency mortgage-backed securities, Simon isn't involved in the day-to-day machinations of the firm's investment committee. Moreover, a cursory look at the funds for which Simon has been a named manager doesn't account for all that many assets when viewed against the backdrop of PIMCO's enormous $2 trillion asset base. That said, his efforts have been key to the success of PIMCO and its funds over many years.
Eric Jacobson has a position in the following securities mentioned above: PTTRX. Find out about Morningstar’s editorial policies.