PIMCO Hires Hedge Fund Guru Geraldine Sundstrom

The ex-Brevan Howard manager will join the bond shop’s multi-asset group in 2015.

(June 11, 2014) — PIMCO has hired former hedge fund manager Geraldine Sundstrom as managing director and portfolio manager, adding to the bond shop’s senior investment team.

Sundstrom will take up a leadership role in the firm’s asset allocation team, reporting to Mihir Worah, deputy CIO and head of real return and multi-asset strategies.

“Geraldine is another great senior portfolio manager hire for PIMCO,” Bill Gross, PIMCO’s CIO, said in a statement. “She represents an important addition of demonstrated leadership and skill as we continue to build out our multi-asset group for the benefit of our clients.”

Prior to joining PIMCO, Sundstrom was partner and leader of a $2.7 billion emerging market fund at UK-based hedge fund manager Brevan Howard. She announced her departure from the firm in February after Brevan shut down the fund following a 15% loss in 2013.

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She also served as a portfolio manager at Louis Bacon’s Moore Capital, and has also worked as a senior fixed income researcher at Citigroup Global Investments and currency manager Pareto Partners. Sundstrom has a master’s degree in finance from Birkbeck College at London University and two degrees from Université Paris Dauphine.

The Newport Beach, California-based bond shop has been actively reshaping its leadership following former CEO Mohamed El-Erian’s departure in March. After appointing six deputy CIOs to fill El-Erian’s shoes, Gross then hired famed economist Paul McCulley for a newly created post of chief economist to act as adviser to the firm.

PIMCO’s flagship Total Return Bond Fund suffered from a 13th consecutive month of outflows in May. Its assets fell to $229 billion as of May 31, well below its peak of $293 billion last year.

Sundstrom will be based in PIMCO’s London office and will begin “no later than first quarter 2015,” the firm said.

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