Bill Gross is a renowned bond investor who co-founded the Pacific Investment Management Company, PIMCO, and is known as the "Bond King."
Gross is the author of Bill Gross on Investing, Everything You've Heard About Investing Is Wrong! and I'm Still Standing.
Key Takeaways
- Bill Gross co-founded Pacific Investment Management Company, PIMCO, and is known as the "Bond King."
- He created the first investable market for fixed-income securities.
- Gross is a successful stamp collector and benefactor of the William H. Gross Stamp Gallery at the Smithsonian National Postal Museum.
Early Life and Education
Bill Gross was born on April 13, 1944, in Middletown, Ohio. He earned a bachelor's degree in psychology from Duke University in 1966 and served in the United States Navy during the Vietnam War.
A risk-taker, Bill Gross spent his early career gambling and counting cards at poker tables before joining Pacific Mutual Life in Los Angeles as an investment analyst. In 1971, he founded his firm, Pacific Investment Management Company, PIMCO, in Newport Beach, California, with friends Jim Muzzy and Bill Podlich.
PIMCO
Known as the "Bond King," Bill Gross created the first investable market for fixed-income securities accessible to all investors. The company servesinstitutional investors, high-net-worth individuals, and individual investors with its account services and mutual funds.
Bill Gross is credited with aggressive bond investing and turning the quiet bond market into a destabilized game of high risk and reward. Before PIMCO, bonds were rarely traded and only through paper documents. Historically, the largest purchasers of bonds were insurers and pension funds, but PIMCO initiated active trading in and out of positions and expanded into areas like junk bonds and emerging markets. Managing assets of $1.74 trillion as of September 2023, PIMCO is the largest active fixed-income fund management firm in the world.
In 2014, Bill Gross resigned from PIMCO during a period of internal management struggles. He eventually sued and settled with PIMCO following his ousting.
Notable Accomplishments
After leaving PIMCO, Bill Gross joined Janus Capital Group until his retirement in 2019. Gross' reputation followed him and on the day his move to Janus was publicly announced, Janus's share price climbed 43% representing a historical one-day gain for the company.
Bill Gross is a renowned philatelist and is the benefactor of the William H. Gross Stamp Gallery at the Smithsonian National Postal Museum. In 2005, he formed a complete collection of 19th-century United States postage stamps. He auctioned a collection of British stamps in 2007, garnering proceeds of about $9 million, all of which Gross donated to Doctors Without Borders.
In 2022, Bill Gross released his memoir, I'm Still Standing detailing his own American success story. All proceeds from the book will be donated to charity through the William, Jeff, and Jennifer Gross Family Foundation.
Why Did Bill Gross Resign From PIMCO?
Bill Gross clashed with PIMCO's management, including Chief Executive Officer Mohamed El-Erian, and was known for his outbursts and boasts. Tensions allegedly forced Gross to resign in September 2014, when he left PIMCO for Janus.
How Did Gambling in Las Vegas Influence Bill Gross?
As an avid blackjack player in Las Vegas, Gross noted that it gave him a “sense of risk” and taught him to avoid placing too many high-stakes bets, citing “although the odds were many times in my favor, if you took too much leverage and had too much debt then the house of cards will come tumbling down.”
What Is the William H. Gross Stamp Gallery?
Established in 2013 as part of the Smithsonian National Postal Museum in Washington D.C. and named after its primary benefactor, the William H. Gross Stamp Gallery is the world’s largest gallery dedicated to philately. Distributed throughout the thematic areas are hundreds of pullout frames containing more than 20,000 objects, providing opportunities to view noteworthy stamps that have never been on public display.
The Bottom Line
Bill Gross is a renowned bond investor who led his Pacific Investment Management Company, PIMCO, to become the largest active fixed income fund management firm in the world. He is a successful author and stamp collector.
FAQs
Billionaire, bond investor, philanthropist and avid stamp collector. Founder, former co-chief investment officer and managing director of PIMCO, one of the world's largest mutual funds. Under Gross, PIMCO became the world's largest bond fund manager.
Is Bill Gross a billionaire? ›
Billionaire 'Bond King' Bill Gross says a Trump win would be 'disruptive' for markets.
What happened to Bill Gross at PIMCO? ›
In 2014, Bill Gross resigned from PIMCO during a period of internal management struggles. He eventually sued and settled with PIMCO following his ousting.
What is Bill Gross doing now? ›
Gross is retired now but still plays the market to a greater degree than most of us. “Actually, I've got a few clients,” he tells me. “I've got a large foundation, my largest client, which is $500 million, and then there's my own money and my kids' trust money.
Who is the most famous bond investor? ›
One of the most accomplished investors in recent history is Bill Gross. Known as the "bond king," Gross made a name for himself as the founder of Pacific Investment Management Company (PIMCO) in the 1970s. While he is no longer part of PIMCO, Gross is still an active investor.
Who is the owner of PIMCO? ›
In 2000, PIMCO was acquired by Allianz SE, a large global financial services company based in Munich, Germany, but the firm continues to operate as an autonomous subsidiary of Allianz.
Who is a dollar billionaire? ›
In the United States, a billionaire is a person with a net wealth of a billion dollars, or $1,000,000,000. Billionaires in other countries are defined by other monetary units.
Who is the richest person in the world ever recorded? ›
However, many believe Mansa Musa's wealth outdoes that of all modern billionaires. Mansa Musa ruled over the Mali empire in the 14th Century, and his incredible access to gold made him arguably the richest human to have ever lived. So, why is it that he has largely disappeared from the western historical imagination?
What is the meaning of gross bill? ›
Gross Billed refers to the full amount billed on an invoice prior to applying any discounts, retainers, or retainage. Net Billed refers to the full amount billed on the invoice after applying (or subtracting) the discounts, retainers, and retainage.
How old is Bill Gross? ›
William Hunt “Bill” Gross—a 79-year-old investor and fund manager best known for co-founding Pacific Investment Management Co.
Both own homes in Laguna Beach, California. Gross married former tennis professional Amy Schwartz in April 2021. She met Gross through a mutual friend in 2017, and they now live together in a Laguna Beach oceanfront mansion he bought for her, and which she decorated with a "love" theme.
How much is PIMCO worth? ›
How much a company is worth is typically represented by its market capitalization, or the current stock price multiplied by the number of shares outstanding. Pimco Corporate & Income Opportunity Fund net worth as of May 30, 2024 is $2.19B. PIMCO Corporate & Income Opportunity Fund is a diversified, closed-ended fund.
What is bill gross buying? ›
His strategy is to go long on two-year notes, while shorting 5- and 10-year Treasurys. While Gross acknowledged that he's tried trading off the AI frenzy by buying into Broadcom, his focus over the past 12 months has centered on pipeline master limited partnerships and regional banks.
How many employees are at PIMCO? ›
Bringing together people from around the world, PIMCO draws on the experience and resources of our 3,260+ employees across 23 offices to promote fresh ideas and differing points of view.
How big is PIMCO company? ›
PIMCO manages $1.89 trillion in assets, including $1.51 trillion in third-party client assets as of 31 March 2024.
Who is the famous bond manager? ›
Investment career
Gross is a CFA Charterholder, who earned his credentials while working as an investment analyst for Pacific Mutual Life between 1971 and 1976. Nicknamed the "Bond King", Gross managed one of the world's largest mutual funds, focusing mostly on bonds and fixed income investments.
How much is a sue Gross worth? ›
When did Bill Gross graduate from college? ›
He sold more than 10,000 copies of plans, helping him pay his way through college at the California Institute of Technology, where he graduated with a degree in mechanical engineering in 1981.
