Allianz has no plans to change Pimco after Gross departure

Despite the response from the market, Allianz is not looking to sell Pimco or take closer control of the business, according to one of the German group’s executives.

“We have the exact same control over Pimco we have had for 10 years. We have no desire to change that,” said Jay Ralph, chairman of Allianz asset management and a member of the parent group’s management board, in an interview with the Financial Times.

“Bill’s departure will have absolutely no impact on the Allianz relationship with Pimco, We have no plans to sell Pimco.”

During Mr Gross’s tenure, Pimco produced strong returns, with its flagship fund ranking among the best performing of its peers over the past 15 years. However, over the past five years its returns have faltered, causing investors to pull their money from the fund.

Mr Gross’s departure from California-based Pimco caused a shake-up among the upper echelons of the bond house which manages funds worth $2 trillion.

One of the beneficiaries was Andrew Balls, left, the brother of Ed Balls, the Shadow Chancellor. Mr Balls, who joined the finance industry after a career as a journalist, has been promoted from his former role as managing director of Pimco’s London office and head of portfolio management for its European division, global chief investment officer.

He was beaten to the job of succeeding Mr Gross by Daniel Ivascyn, who has been announced as the new group chief investment officer.

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