Richard M. Weil was named CEO of Janus Capital Group, effective Feb. 1, the company announced today.
Mr. Weil replaces Gary Black, who resigned as Janus' CEO in July. Timothy K. Armour, a member of Janus' board of directors, was interim CEO, said Rona Gilbert, a Janus spokeswoman.
Mr. Weil will be based in Janus' Denver headquarters, Ms. Gilbert said.
He was a managing director at PIMCO and most recently was global head of PIMCO Advisory, the firm's internal consulting arm that advises clients on a total of $1 trillion of assets.
In his 13-year tenure at PIMCO, Mr. Weil was COO from 2000 to 2009 and before that was general counsel of PIMCO Advisors, PIMCO's parent prior to its acquisition by Allianz in 2000.
Sabrina Callin, a PIMCO Advisory managing director, has been appointed acting head of the unit, Mohamed A. El-Erian, PIMCO's CEO, said in a statement. Further details about a permanent replacement for Mr. Weil were not available, said Mark Porterfield, a PIMCO spokesman.
Ms. Callin is a member of PIMCO Advisory's senior management team “directly leading the firm's engagements with a number of key clients,” Mr. El-Erian said in the statement. “We are excited about Sabrina taking on the role of heading PIMCO Advisory. … PIMCO Advisory will continue to serve clients worldwide in analyzing, managing and resolving challenges associated with legacy financial assets and other investment exposures.”
Steve Scheid, Janus Capital Group chairman, said in an interview that executives there wanted a CEO candidate with a very strong background in the investment management industry, experience in different disciplines within the industry, a history of building international businesses, and who enjoys working with people and building teams.
Mr. Scheid said Mr. Weil “really impressed me. He has all of these attributes and while everyone at this level in the industry is smart, Dick borders on brilliant. He has a very facile mind and very thoughtful perspectives."
Mr. Scheid said he doesn't expect any changes in Janus' investment teams or senior executives with Mr. Weil's arrival.
Mr. Weil is charged with spearheading the company's goals of building a substantial international business over the next five years and with substantially increasing institutional separate account assets above the current one-third of assets, which totaled $152 billion as of Sept. 30.
Mr. Scheid said Mr. Weil also will focus on “raising the stature of our fixed-income strategies. We have great performance and a solid team in fixed income. They managed between $5 billion and $6 billion as of the end of the third quarter and I want that to be 10 times that amount, between $50 billion and $60 billion.”
According to an 8-K filing by Janus, Mr. Weil's annual base salary will be $500,000 and he will be eligible for an annual performance-based cash bonus of up to $3.5 million. He will be granted a signing bonus of $10 million in restricted Janus stock on Feb 5. In addition, his long-term incentive package includes a $3 million restricted stock award and a $3 million stock option award, subject to meeting performance criteria, both of which will be distributed according to a four-year vesting schedule.