Known as the “Bond King,” Bill Gross is a well-known bond investor and co-founder of PIMCO, the Pacific Investment Management Company.
Bill Gross on Investing:
Everything you’ve heard about investing is wrong! Gross wrote the article. And I’ve remained upright.
Childhood and Schooling
Bill Gross was born in Middletown, Ohio, on April 13, 1944. In 1966, he graduated from Duke University with a bachelor’s degree in psychology. He then served in Vietnam in the U.S. Navy.
Taking chances, Bill Gross began his professional life as a gambler and card counter at poker tables. Later, he worked as an investment analyst for Pacific Mutual Life in Los Angeles. Along with pals Jim Muzzy and Bill Podlich, he established Pacific Investment Management Company, or PIMCO, in Newport Beach, California, in 1971.
PIMC
Bill Gross, dubbed the “Bond King,” established the first investable market for fixed-income instruments open to all investors. The firm provides mutual funds and account services to individual, institutional, and high-net-worth clients.
Bill Gross is recognized for his aggressive approach to bond investment, transforming the formerly calm bond market into a volatile and highly profitable game. Bonds were only ever exchanged on paper before PIMCO. In the past, pension funds and insurers were the biggest buyers of bonds, but PIMCO started actively trading in and out of positions and branched out into trash bonds and developing markets. As of 2022, PIMCO is the world’s biggest active fixed-income fund manager, with around $2 trillion in assets.
Bill Gross left PIMCO in 2014 after experiencing internal management issues. After being fired, he finally sued PIMCO and obtained a settlement.
Prominent Achievements
Bill Gross joined Janus Capital Group after leaving PIMCO and remained there until his retirement in 2019. Gross’s reputation followed him, and the day his transfer to Janus was made public, the company’s share price increased by 43%, marking a record one-day gain.
Philatelist Bill Gross’s generosity allowed the William H. Gross Stamp Gallery to exist at the Smithsonian National Postal Museum. In 2005, he assembled a comprehensive collection of United States postal stamps from the 19th century. In 2007, Gross raised over $9 million from selling a collection of British stamps, all of which he gave to Doctors Without Borders.
Bill Gross wrote a book titled I’m Still Standing in 2022, which described his personal American success story. Using the William, Jeff, and Jennifer Gross Family Foundation, all book earnings will be given to charitable organizations.
What Caused Bill Gross’s PIMCO Resignation?
Bill Gross was well-known for his outbursts and boasting, and he had disagreements with PIMCO’s management, particularly Chief Executive Officer Mohamed El-Erian. When Gross left PIMCO for Janus in September 2014, he reportedly felt pressured to step down due to tensions.
How Did Bill Gross’s Las Vegas Gambling Affect Him?
Although the odds were frequently in his favor, Gross said that if he took on too much leverage and accumulated too much debt, the house of cards would eventually collapse. He was an avid blackjack player in Las Vegas and said that the game instilled a “sense of risk” and taught him to refrain from making too many high-stakes bets.
The William H. Gross Stamp Gallery: What Is It?
Inaugurated in 2013 and named after its principal sponsor, the Smithsonian National Postal Museum in Washington, D.C.’s William H. Gross Stamp Museum is the biggest philately-focused museum globally. Hundreds of pullout frames with over 20,000 artifacts are dotted around the themed zones, offering a chance to see notable stamps never before available for public viewing.
The Final Word
Renowned bond investor Bill Gross built Pacific Investment Management Company, or PIMCO, into the world’s biggest active fixed-income fund management company. He is a prosperous writer and stamp enthusiast.
Conclusion
- Known as the “Bond King,” Bill Gross co-founded Pacific Investment Management Company, or PIMCO.
- He established the first fixed-income securities-investable market.
- Gross is a generous donor to the Smithsonian National Postal Museum’s William H. Gross Stamp Gallery and a prosperous stamp collector.
