Jump to content

PIMCO

From Wikipedia, the free encyclopedia

This is an old revision of this page, as edited by 144.77.128.126 (talk) at 17:03, 21 July 2023. The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

Pacific Investment Management Company LLC
Company typeLimited liability company[1]
IndustryFinancial services
Founded1971; 53 years ago (1971)[2]
FounderBill Gross[2]
Jim Muzzy
Bill Podlich
Headquarters
Newport Beach, California
,
U.S.
Key people
ProductsAsset management - public and private markets
AUMUS$2.0 trillion (March 31, 2022)[3]
OwnerAllianz
Number of employees
3,410+[4]
Websitewww.pimco.com

Introduction

PIMCO (officially Pacific Investment Management Company LLC) is a global leader in active fixed income with deep expertise across public and private markets. We invest our clients’ capital across a range of fixed income and credit opportunities, leveraging our decades of experience navigating complex debt markets. Our flexible capital base and deep relationships with issuers have helped us become one of the world’s largest providers of traditional and nontraditional solutions for companies that need financing and investors who seek strong risk-adjusted returns.

Since its inception over 50 years ago, PIMCO has been managing assets for central banks, sovereign wealth funds, pension funds, corporations, foundations and endowments, and individual investors. PIMCO’s public and private expertise spans fixed income, equities, commodities, global macro, alternatives, structured and corporate credit, hedge funds, private equity, as well as residential and commercial real estate.


History

PIMCO started as a unit of Pacific Life Insurance Company, managing separate accounts for that insurer’s clients, before PIMCO was officially founded in 1971. In 2000, PIMCO was acquired by Allianz SE, a global financial services firm based in Munich, Germany. Today, PIMCO continues to operate as an autonomous subsidiary of Allianz.

For over 50 years, PIMCO has cultivated its position as a global leader in active fixed income with deep expertise across public and private markets to create opportunities for clients through innovative investment solutions that span asset classes and global regions.

1971 – 1988

  • In 1971, PIMCO introduced the total return approach to fixed income investing, which it continues to innovate today.
  • In 1975, the firm began using mortgage-backed securities in client portfolios, making the firm one of the earliest investors in the sector.
  • In 1986, PIMCO introduced groundbreaking portable alpha strategies that pair equity index futures with actively managed bond portfolios.
  • In 1988, PIMCO became one of the first asset management firms to offer long duration management of liabilities as a dedicated strategy.

1997 – 2009

  • In 1997, PIMCO launched a Treasury Inflation-Protected Securities (TIPS)-focused strategy on the same day as the first U.S. TIPS auction.
  • In 2000, building on the firm’s Real Return practice, PIMCO expanded into commodities to become one of the world’s largest commodities managers.
  • In 2004, PIMCO launched alternative strategies to advance its capital markets innovation.
  • In 2005, PIMCO and Research Affiliates partnered to launch the first fund based on a fundamentally weighted equity approach, the flagship in what becomes a suite of systematic value strategies.

2018 – 2020

  • In 2018, PIMCO acquired municipal bond manager Gurtin Municipal Bond Management, broadening PIMCO’s muni platform and capabilities.
  • In 2020, PIMCO assumed oversight of Allianz Real Estate, making the combined business, now called PIMCO Prime Real Estate into one of the world’s largest real estate platforms .

2021 – Present

  • A Long-Term Focus on Forward-Looking Solutions
  • Private Markets/Alternatives

PIMCO has been investors in alternatives for over 15 years. The firm’s dedicated alternatives team benefits from the investment process that has been in place for more than 50 years through different economic and market environments. PIMCO is a leader in alternative investing sectors, such as private credit, private equity, real assets, and hedge strategies.

  • Technology Investments

PIMCO continues to make strategic investments in artificial intelligence (AI) to augment its investment process, increase operational efficiencies, and enhance return potential for client portfolios.


Leadership

Emmanuel “Manny” Roman is currently PIMCO’s chief executive officer (CEO) and managing director, overseeing the firm’s client and business areas, including broad strategy-setting and resource management. Dan Ivascyn is the current group chief investment officer (CIO), with broad oversight of portfolio management and investment strategy. Four other CIOs head up the portfolio management team: Andrew Balls, CIO Global Fixed Income; Mark R. Kiesel, CIO Global Credit; Marc P. Seidner, CIO Non-traditional Strategies; and Qi Wang, CIO Portfolio Implementation.

Investment process

Top-down meets bottom-up

PIMCO’s clients rely on an investment process combining top-down, macroeconomic analysis with bottom-up, security/credit analysis and research to uncover risks and identify opportunities. Honed over five decades, this process has been tested in virtually every market environment, and has helped millions of investors manage risks and pursue returns.

Secular and cyclical forums

PIMCO’s global investment process is anchored on the firm’s Secular Forum (5-year outlook) and Cyclical Forums (6-9 month outlook). Held four times annually, the forums serve as the cornerstones of the firm’s thought leadership. PIMCO investment professionals from around the world gather to discuss and debate the state of global markets and the economy in order to identify trends that will have important investment implications going forward.

PIMCO was among the first asset managers to establish such forums as the central sources of macroeconomic, geopolitical, and strategic themes that feed into the investment process, and ultimately, help guide portfolio construction.

Additionally, PIMCO augments its top-down and bottom-up views with rigorous research and analysis, using extensive quantitative tools and cutting edge technology to create a robust risk-management framework and identify investment opportunities. For decades, PIMCO has relied on quantitative strategies combined with fundamental analysis to drive alpha in fixed income.

Team approach and deep bench of investment professionals

PIMCO’s team approach to investment management fosters diversity of perspectives that work to counter group-think, leading to the best ideas and solutions that work their way into client portfolios.

PIMCO investment professionals, including portfolio managers and analysts across world regions and industries, provide on-the-ground expertise. The firm’s vast research networks and technological resources are also essential to its investment process.

Global Advisory Board

PIMCO believes that fostering different points of view is pivotal to its long-term success. One way the firm does this is by leveraging PIMCO’s Global Advisory Board (GAB), a team of world-renowned experts who contribute their insights to the firm on global economic, political and strategic developments, and their relevance to financial markets. Additionally, access to outside experts helps PIMCO professional form a well-rounded approach to managing portfolios.


References

  1. ^ "Pacific Investment Management Co LLC - Company Profile and News". Bloomberg News.
  2. ^ a b Grind, Kirsten; Calia, Michael (26 September 2014). "Bill Gross Leaves Pimco for Janus". Markets. The Wall Street Journal.(subscription required)
  3. ^ "Our Firm". PIMCO. Archived from the original on 2 May 2022. Retrieved 24 May 2022.
  4. ^ "Our Firm (Careers)". PIMCO. Archived from the original on 24 May 2022. Retrieved 24 May 2022.
Cite error: A list-defined reference named "childs2014" is not used in the content (see the help page).

Media related to PIMCO at Wikimedia Commons

Retrieved from "https://en.wikipedia.org/w/index.php?title=PIMCO&oldid=1166451578"