Skip to main content
MENU
Subscribe
  • Sign Up Free
  • LOGIN
  • Subscribe
  • Topics
    • Alternatives
    • Consultants
    • Coronavirus
    • Courts
    • Defined Contribution
    • ESG
    • ETFs
    • Face to Face
    • Hedge Funds
    • Industry Voices
    • Investing
    • Money Management
    • Opinion
    • Partner Content
    • Pension Funds
    • Private Equity
    • Real Estate
    • Russia-Ukraine War
    • SECURE 2.0
    • Special Reports
    • White Papers
  • Rankings & Awards
    • 1,000 Largest Retirement Plans
    • Top-Performing Managers
    • Largest Money Managers
    • DC Money Managers
    • DC Record Keepers
    • Largest Hedge Fund Managers
    • World's Largest Retirement Funds
    • Best Places to Work in Money Management
    • Excellence & Innovation Awards
    • WPS Innovation Awards
    • Eddy Awards
  • ETFs
    • Latest ETF News
    • Fund Screener
    • Education Center
    • Equities
    • Fixed Income
    • Commodities
    • Actively Managed
    • Alternatives
    • ESG Rated
  • ESG
    • Latest ESG News
    • The Institutional Investor’s Guide to ESG Investing
    • ESG Sustainability - Gaining Momentum
    • Climate Change: The Inescapable Opportunity
    • Impact Investing
    • 2022 ESG Investing Conference
    • ESG Rated ETFs
  • Defined Contribution
    • Latest DC News
    • DC Money Manager Rankings
    • DC Record Keeper Rankings
    • Innovations in DC
    • Trends in DC: Focus on Retirement Income
    • 2022 Defined Contribution East Conference
    • 2022 DC Investment Lineup Conference
  • Searches & Hires
    • Latest Searches & Hires News
    • Searches & Hires Database
    • RFPs
  • Performance Data
    • P&I Research Center
    • Earnings Tracker
    • Endowment Returns Tracker
    • Corporate Pension Contribution Tracker
    • Pension Fund Returns Tracker
    • Pension Risk Transfer Database
    • Future of Investments Research Series
    • Charts & Infographics
    • Polls
  • Careers
  • Events
    • View All Conferences
    • View All Webinars
    • 2023 Defined Contribution East
    • 2023 ESG Investing
Breadcrumb
  1. Home
  2. MONEY MANAGEMENT
June 16, 2016 01:00 AM

PIMCO laying off 68 staff members, eliminating dividend team

Meaghan Offerman
  • Tweet
  • Share
  • Share
  • Email
  • More
    Reprints Print

    PIMCO is laying off 68 employees as part of moves that include eliminating the dividend team and closing the six mutual funds they manage, the company disclosed in an internal memo obtained by Pensions & Investments.

    In addition to the 68 employees who are being laid off, PIMCO said it would offer voluntary severance to eligible employees in the U.S.

    The changes are the latest retrenchment by PIMCO. In May 2015, the firm closed two active equity strategies. As a result of those changes, Virginie Maisonneuve, who had been hired just a year and half earlier to lead PIMCO's foray into active equities, resigned.

    Fixed-income oriented Pacific Investment Management Co., one of the world's largest global money managers, had struggled with net outflows since the departure of co-founder and Chief Investment Officer William H. Gross in September 2014.

    In the memo, signed by PIMCO President Jay Jacobs, CEO Douglas Hodge and CIO Daniel Ivascyn, the three said the employee reductions are occurring “to ensure that our business is better structured to serve our clients in this fast-changing asset management industry landscape.”

    PIMCO says the layoffs amount to about 3% of its total workforce of 2,300 but did not say how many U.S. employees will be eligible for voluntary severance that it will be offering. The memo says eligible employees will be contacted by human resources on Thursday.

    Analysts who follow PIMCO's parent company, Allianz SA in Munich, Germany, have said in the past that the manager might not be able to sustain its full workforce if net outflows were to continue.

    PIMCO's total assets under management were $1.5 trillion as of March 31, down from $2 trillion three years ago.

    The memo says the entire dividend team will be eliminated. The largest fund managed by the team, the $493 million U.S. version of the PIMCO Dividend and Income Builder Fund, will be transferred to another asset management firm, Research Affiliates, the memo says.

    Two other smaller funds will also be transferred to Research Affiliates. In addition, six mutual funds of dividend strategies with assets of $260 million will be closed, PIMCO said.

    Brad Kinkelaar, a portfolio manager who leads the dividend team, will be among those departing.

    The memo says that PIMCO will continue to expand investment teams but also notes that staff levels will also be managed through attrition and repositioning of resources.

    PIMCO spokeswoman Agnes Crane did not reply to a request for comment.

    Related Articles
    PIMCO boosts government debt as Treasuries rally
    PIMCO adds head of client analytics
    PIMCO assets rise for first time since mid-2014
    PIMCO Total Return Fund cuts emerging debt to lowest since 2014
    PIMCO Total Return adds Treasuries as global bond market surges
    Staff reductions at PIMCO to continue
    Layoffs might signal end to active equity at PIMCO
    PIMCO taps CBRE's head of China research for credit analyst role
    PIMCO taps Man Group for next CEO
    Recommended for You
    Ariel poaches 5 emerging markets value equity managers from AllianceBernstein
    MFS brings on new retirement lead strategist
    t_rowe_price_colo_1550-main_i.jpg
    T. Rowe Price AUM rises 3.6% in quarter, plunges 24.5% for year
    The Institutional Investor's Guide to ESG Investing
    Sponsored Content: The Institutional Investor's Guide to ESG Investing

    Reader Poll

    January 25, 2023
    SEE MORE POLLS >
    Sponsored
    White Papers
    The Future of Infrastructure: Building a Better Tomorrow
    Fulcrum Issues: Equity Returns and Inflation — Choose Your Own Adventure
    What Matters Most in Considering a Private Debt Strategy
    Why pursue direct lending in the core middle market?
    Research for Institutional Money Management
    Are Factors a Thing of the Past?
    View More
    Sponsored Content
    Partner Content
    The Industrialization of ESG Investment
    For institutional investors, ETFs can make meeting liquidity needs easier
    Gold: the most effective commodity investment
    2021 Investment Outlook | Investing Beyond the Pandemic: A Reset for Portfolios
    Ten ways retirement plan professionals add value to plan sponsors
    Gold: an efficient hedge
    View More
    E-MAIL NEWSLETTERS

    Sign up and get the best of News delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    Subscribe Today
    December 12, 2022 page one

    Get access to the news, research and analysis of events affecting the retirement and institutional money management businesses from a worldwide network of reporters and editors.

    Subscribe
    Connect With Us
    • RSS
    • Twitter
    • Facebook
    • LinkedIn

    Our Mission

    To consistently deliver news, research and analysis to the executives who manage the flow of funds in the institutional investment market.

    About Us

    Main Office
    685 Third Avenue
    Tenth Floor
    New York, NY 10017-4036

    Chicago Office
    130 E. Randolph St.
    Suite 3200
    Chicago, IL 60601

    Contact Us

    Careers at Crain

    About Pensions & Investments

     

    Advertising
    • Media Kit
    • P&I Content Solutions
    • P&I Careers | Post a Job
    • Reprints & Permissions
    Resources
    • Subscribe
    • Newsletters
    • FAQ
    • P&I Research Center
    • Site map
    • Staff Directory
    Legal
    • Privacy Policy
    • Terms and Conditions
    • Privacy Request
    Pensions & Investments
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • Topics
      • Alternatives
      • Consultants
      • Coronavirus
      • Courts
      • Defined Contribution
      • ESG
      • ETFs
      • Face to Face
      • Hedge Funds
      • Industry Voices
      • Investing
      • Money Management
      • Opinion
      • Partner Content
      • Pension Funds
      • Private Equity
      • Real Estate
      • Russia-Ukraine War
      • SECURE 2.0
      • Special Reports
      • White Papers
    • Rankings & Awards
      • 1,000 Largest Retirement Plans
      • Top-Performing Managers
      • Largest Money Managers
      • DC Money Managers
      • DC Record Keepers
      • Largest Hedge Fund Managers
      • World's Largest Retirement Funds
      • Best Places to Work in Money Management
      • Excellence & Innovation Awards
      • WPS Innovation Awards
      • Eddy Awards
    • ETFs
      • Latest ETF News
      • Fund Screener
      • Education Center
      • Equities
      • Fixed Income
      • Commodities
      • Actively Managed
      • Alternatives
      • ESG Rated
    • ESG
      • Latest ESG News
      • The Institutional Investor’s Guide to ESG Investing
      • ESG Sustainability - Gaining Momentum
      • Climate Change: The Inescapable Opportunity
      • Impact Investing
      • 2022 ESG Investing Conference
      • ESG Rated ETFs
    • Defined Contribution
      • Latest DC News
      • DC Money Manager Rankings
      • DC Record Keeper Rankings
      • Innovations in DC
      • Trends in DC: Focus on Retirement Income
      • 2022 Defined Contribution East Conference
      • 2022 DC Investment Lineup Conference
    • Searches & Hires
      • Latest Searches & Hires News
      • Searches & Hires Database
      • RFPs
    • Performance Data
      • P&I Research Center
      • Earnings Tracker
      • Endowment Returns Tracker
      • Corporate Pension Contribution Tracker
      • Pension Fund Returns Tracker
      • Pension Risk Transfer Database
      • Future of Investments Research Series
      • Charts & Infographics
      • Polls
    • Careers
    • Events
      • View All Conferences
      • View All Webinars
      • 2023 Defined Contribution East
      • 2023 ESG Investing