Pimco Assets Under Management Rise to $1.97 Trillion

By Josh Beckerman 

Pacific Investment Management Co. said its assets under management were $1.97 trillion at the end of the second quarter, up from $1.94 trillion at March 31, attributing the increase to market performance and alpha generation.

The firm said third-party client assets accounted for $1.55 trillion of the $1.97 trillion total at June 30.

Pimco said 81% of its assets under management have outperformed their benchmarks on a trailing 12-month basis, and 86% have outperformed their benchmarks on a trailing 3-year basis before fees.

The Wall Street Journal reported last month that the $229 billion Pimco Total Return Fund, the world's largest bond fund, was outpacing two-thirds of rival funds in the second quarter, according to Morningstar Inc. data, a big improvement from the first quarter.

Investors have kept a close eye on Pimco since Mohamed El-Erian left his positions as chief executive and co-chief investment officer of the Newport Beach, Calif., firm earlier this year. The Wall Street Journal reported in February that Mr. El-Erian had clashed with co-founder Bill Gross.

In May, Pimco rehired former senior executive Paul McCulley for the newly created post of chief economist.

Pimco is part of Germany's Allianz SE.

Write to Josh Beckerman at [e-mail]

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