Top bond manager overseeing billions at J.P. Morgan takes leave

Douglas S. Swanson, a top portfolio manager at J.P. Morgan with responsibility over nearly $52 billion in mutual fund assets, will take a leave of absence starting Oct. 1. Mr. Swanson manages the $29 billion J.P. Morgan Core Bond Fund (PGBOX) and heads the firm's U.S. Value Driven fixed income team. He will step aside until mid-2016 “to spend time with his family,” a spokeswoman said. The fund is the 10th largest U.S. actively managed bond fund. Over the year that ended Aug. 31, the Core Bond Fund has taken in $4.8 billion, a beneficiary of the flight of money out of Pacific Investment Management Co. following the departure of founder Bill Gross. The fund's “A” share class has returned 2.76% over the last year, as of Monday, ahead of more than 85% of its competitors, according to Morningstar Inc. J.P. Morgan said Barbara E. Miller, a longtime fixed-income manager at the firm, will take over the U.S. Value Driven team and serve as the new lead manager of Core Bond. Christopher Nauseda, already a co-manager on Core Bond, will continue in that capacity. Mr. Swanson has managed the fund since 1991. REVIEW COMING Changes at the helm of a mutual fund frequently spark reviews by research teams that serve advisers. At least one fund-rating service said Wednesday it planned to review its rating of the fund. “Doug and Barbara have worked together for 17 years, sharing research and risk resources and the same bottom-up, value-oriented approach to fixed income,” J.P. Morgan said in a statement. “Barbara will maintain the same team-based approach that has led to the consistent application of our disciplined investment process, with the rest of Doug's team remaining intact.” J.P. Morgan Funds is a unit of New York-based JPMorgan Chase & Co.