DoubleLine's Jeff Gundlach names deputy CIO as assets reach $100 billion

DoubleLine's Jeff Gundlach names deputy CIO as assets reach $100 billion
JUN 01, 2016
By  Bloomberg
Bond investor Jeffrey Gundlach named Jeffrey Sherman his deputy chief investment officer as assets at the firm he founded six years ago swelled to $100 billion. Mr. Sherman, 39, who joined DoubleLine at the start in 2009 from TCW, will report directly to Mr. Gundlach, Los Angeles-based DoubleLine said Wednesday in a statement. The promotion adds a new key investment post at DoubleLine, which Mr. Gundlach, 56, built into one of the fastest-growing money managers on the back of top-ranked investing performance and bold market calls. Assets overseen by the firm rose to $100 billion as of May 31. Like Mr. Gundlach, who studied theoretical mathematics, Mr. Sherman is a math-minded investor, overseeing a team that designs quantitative strategies. He and Mr. Gundlach co-manage the $955 million DoubleLine Shiller Enhanced CAPE fund, which combines fixed-income strategies with picking stock sectors through derivatives, using methods devised by Robert Shiller, the Yale University economics professor and Nobel Prize winner. The Shiller Enhanced CAPE fund has had an annualized return of almost 13% since inception in October 2013 and is up 5.5% this year, beating 84% of its Bloomberg peers. Assets in the fund, which was highlighted last month by London-based Risk.net when it named DoubleLine Capital its institutional investor of the year, have more than doubled in the last 12 months. Mr. Sherman was traveling and unavailable to comment, according to Loren Fleckenstein, a DoubleLine analyst. Mr. Sherman also manages the $32 million DoubleLine Strategic Commodity fund, which started last May and is down 7.7% in the past 12 months, outperforming 86% of peers. Mr. Sherman joined DoubleLine in 2009 along with more than 40 former employees of TCW Group, who followed Mr. Gundlach after he was ousted from the money manager. Prior to joining TCW, Mr. Sherman was a statistics and mathematics instructor at both the University of the Pacific and Florida State University, according to DoubleLine's website. He earned a bachelor's degree in applied mathematics from the University of the Pacific and a master's in financial engineering from Claremont Graduate University. The DoubleLine Total Return Bond Fund had May net inflows of $919 million while the DoubleLine Core Fixed Income Fund had net inflows of $375 million, the company said in a separate statement.

Latest News

More Americans are invested in the elections than the stock market
More Americans are invested in the elections than the stock market

A substantial number of people in a new 2,200-person survey believe their wealth, their "wallet power" and their retirement timelines are at stake.

Stocks rally to fresh highs as JPMorgan drives bank gains
Stocks rally to fresh highs as JPMorgan drives bank gains

The S&P 500 headed toward its 45th record in the year helped in part by a surprise interest income gain at the Wall Street giant.

Boosting payouts on cash crimps wealth management at Wells Fargo
Boosting payouts on cash crimps wealth management at Wells Fargo

Meanwhile, Wells Fargo’s WIM group reported close to $2.3 trillion at the end of last month.

Another AI-washing case shows where SEC is headed
Another AI-washing case shows where SEC is headed

The Securities and Exchange Commission has focused on "black-and-white" allegations of AI washing, but that could broaden out to a gray area that may loop in more financial services companies, a lawyer says.

High-net-worth giving splits along generational and gender lines, find BofA survey
High-net-worth giving splits along generational and gender lines, find BofA survey

More than nine in 10 HNWIs prioritize charitable giving, but demographics help shape the whys and the hows.

SPONSORED Destiny Wealth Partners: RIA Team of the Year shares keys to success

Discover the award-winning strategies behind Destiny Wealth Partners' client-centric approach.

SPONSORED Explore four opportunities to elevate advisor-client relationships

Morningstar’s Joe Agostinelli highlights strategies for advisors to deepen client engagement and drive success