Pimco hires money manager from Credit Suisse

Mar 11, 2014 @ 9:22 am

Pacific Investment Management Co., the world's largest bond manager, has hired Harley Bassman, who was a managing director at Credit Suisse Group AG's securities arm, as an executive vice president and money manager.

Mr. Bassman, who calls himself “The Convexity Maven,” told clients in a note obtained by Bloomberg News that he was ending his 30-year career on Wall Street's “sell side” and joining the “buy side” so he could “more directly implement my ideas for broad-minded investors.” He'll start at Pimco in July, reporting to Josh Thimons and Steve Rodosky, the firm said in a statement Monday.

Mr. Thimons focuses on interest-rate derivatives and Rodosky is the lead manager for long duration strategies, according to Pimco's website. Pimco, which had $1.9 trillion in assets as of Dec. 31, has been under pressure in the past 12 months amid withdrawals and underperformance by its largest fund, Bill Gross's Total Return,Fund (PTTAX) and a leadership shakeup spurred by the announced resignation of chief executive Mohamed El- Erian in January.

Mr. Bassman joined Credit Suisse in 2011, after working on derivatives and structured products at Bank of America Corp.'s Merrill Lynch unit and predecessors since 1985, according to Financial Industry Regulatory Authority Inc. records and his personal website. He created Merrill Lynch's MOVE index tracking anticipated rate volatility in 1998.

Convexity is a measure of the change in duration of a bond, or its sensitivity to interest-rate fluctuations, as market yields rise or fall. The concept carries importance in the valuation of interest-rate options and mortgage-backed securities.

(Bloomberg News)

0
Comments

What do you think?

View comments

Recommended for you

Featured video

INTV

Cameras roll at Best Places to Work for Financial Advisers' awards

Advisory firm winners on the top 50 InvestmentNews list of Best Places to Work for Financial Advisers explain the significance of this recognition at the Chicago awards event.

Latest news & opinion

RIA in a Box acquired by private equity firm Aquiline Capital

New owners plan more growth for the software service provider.

IBDs with the most female reps

Here are the 10 independent-broker dealers that have the most female reps.

Supreme Court decision likely to prevent brokers from filing class-action lawsuits

However, it likely won't bar employees from filing 401(k) lawsuits against their employers.

5th Circuit denies states' second attempt to defend DOL fiduciary rule

The three-judge panel split again, 2-1, in deciding not to take another look at the motion to intervene by California, New York and Oregon.

Pass-through tax strategies for business-owner clients

Shifting business structure, changing filing status and spinning off equipment are examples of ways business owners can take advantage of the deduction.

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print