| NEW YORK
NEW YORK Nov 5 The PIMCO Total Return Fund, the
world's largest mutual fund, attracted over $2.4 billion in new
money in October, increasing the fund's assets to $281 billion
and drawing more demand than competitor firm DoubleLine Capital
PIMCO's flagship fund, run by founder and co-chief
investment officer Bill Gross, is up 9.49 percent this year,
beating 87 percent of peers in Morningstar's intermediate-term
bond fund category.
In recent letters to investors, Gross has criticized the
towering debt levels of developed economies and the
effectiveness of the U.S. Federal Reserve's attempts to
stimulate growth through its bond-buying plans.
Pacific Investment Management Co., based in Newport Beach,
California, had $1.92 trillion in assets as of Sept. 30.
DoubleLine Capital LP, another prominent bond firm with more
than $45 billion in assets, attracted roughly $1.9 billion in
new money into its flagship DoubleLine Total Return Bond Fund
in October, according to Morningstar.
The fund, run by Jeffrey Gundlach, DoubleLine's chief
executive officer and chief investment officer, has $35.36
billion in assets, and is up 8.52 percent so far this year -
beating 79 percent of peers, according to Morningstar.
Demand for bond mutual funds has trounced that of stock
mutual funds this year despite the benchmark S&P 500 's
rise of about 12.34 percent. From the start of the year through
September, U.S.-based bond mutual funds have gained $238.27
billion in new money, while stock mutual funds have redeemed
$82.97 billion, according to the Investment Company Institute.
The top-performing bond fund so far this year is Chou
America Management Inc.'s Chou Income Fund, which has
produced a 31.11 percent return for the year to date, and has
just $6.36 million in assets, according to Morningstar.