Bill Gross Criticizes ‘Total Return’ Bond Funds He Popularized
- Former bond king says strategy fails to live up to its mission
- Funds seen clinging to their benchmarks, hurting retail crowd
Bill Gross
Photographer: Patrick T. Fallon/Bloomberg
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Bill Gross pioneered the “total return” strategy in the 1980s that revolutionized the once-sleepy bond market.
Now the co-founder of Pacific Investment Management Co., who was ousted in 2014, says many of the funds bearing the name are failing to live up to their mission after suffering heavy losses this year.