PIMCO has hired a successor to current chief executive officer Douglas Hodge, who will transition to a role as managing director and senior advisor within the company.
The bond investing behemoth said Tuesday (19 July) current Man Group chief executive Emanuel Ronan will take PIMCO’s reins beginning 1 November and will be based in the firm’s Newport Beach, California, headquarters.
Ronan, who has been at the Man Group since February 2013, also has held top leadership positions at Goldman Sachs as co-head of global worldwide securities and co-head of the European services division.
Ronan will assume control of PIMCO amid a tumultuous several years for the firm. Hodge became PIMCO’s chief executive after Mohamed El-Erian left in March 2014 amid reported spats with PIMCO founder Bill Gross, who left September of that same year. In June, some $800 million in assets flowed out of its Total Return Fund, PIMCO reported, which were just the latest in a string of outflows of what was once the world’s largest mutual fund.
According to a Zacks Investment Research report, the Total Return Fund, which has been around since May 1987, dipped below $100 billion in assets under management in September 2015, where it has stayed since. The fund currently has $86.4 billion under management after hitting a peak of $293 billion in April 2013.
PIMCO has garnered some LP commitments recently though. The Texas Municipal Retirement System in June committed $200 million to the PIMCO Corporate Opportunities Fund II Onshore Feeder Fund as part of a $700 million commitment to five opportunistic credit funds. In April, the Ohio Highway Patrol Retirement System put $15 million into the PIMCO Corporate Opportunities Fund II, while the Illinois Teachers Retirement System committed $100 million to the same fund in December.