Volatility has not been kind to bond funds lately, leading to a lot of big names underperforming, according to Reuters.
Among those names is Bill Gross, who despite timing his “short of the lifetime” pretty well, posted 0.4% in the negative for the year, leaving him to lag 93% of his peers in the non-traditional bond category.
His main rival meanwhile, Doubleline Capital’s Jeffrey Gundlach, has posted a return of 2.88% so far, beating 87% of their peers.
In the multi-sector category, veteran bond fund manager Dan Fuss hasn’t been doing so well, lagging 98% of his peers after his Loomis Sayles Bond Fund posted a negative 0.2% return for the year. Fuss, whose investment time-frame is usually much longer than most managers, saw his portfolio continually getting whipsawed by the market’s current volatility. Elsewhere in the same category, Bill Gross’ alumni firm has been beating 92% of its peers, with the company’s Pimco Income Fund returning 3.44% for the year.
Wonder how he feels about that?
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