December 7, 2009 |
For the second time in 15 years, Los Angeles-based money management giant TCW Group is involved in an ugly public divorce that is forcing its clients to choose sides. The $110-billion-asset firm on Friday fired its chief investment officer, star bond-fund manager Jeffrey Gundlach, after asserting that he had threatened to leave and take other top personnel with him. TCW Chief Executive Marc Stern opted for a preemptive strike: He sacked Gundlach and on the same day replaced the 24-year TCW veteran by acquiring a rival L.A. investment firm -- Metropolitan West Asset Management -- and putting Met West's team in charge of the bond funds that Gundlach had overseen.
March 16, 1995 |
In a major Wall Street breakup, five key officers are leaving Trust Co. of the West, one of Los Angeles' largest money management firms, after their attempt to split off their $7-billion-asset TCW divisions was angrily rejected by company founder Robert A. Day. The five, including high-yield junk bond experts Howard Marks and Bruce Karsh, will set up a new money management company called Oaktree Capital Management, effective April 7.
March 9, 1999 |
For the second time this decade, TCW Group, a Los Angeles-based money management firm that focuses on institutional clients, is trying to make a push into the lucrative--but highly saturated--retail mutual fund market. The company, which manages $55 billion in assets for corporate and public pension plans among other institutional investors, on Monday made nine institutional funds it runs under the Galileo brand name available to financial advisors and individuals.
February 23, 2010 |
TCW Group Inc., fighting to hold on to clients' assets after the money manager fired its veteran investment chief in December, said Monday that a majority of institutional investors in two specialized mortgage-bond portfolios opted to keep their money in the funds. The firm said 199 investors holding nearly $1.7 billion, or 57%, of the $3 billion in the funds chose to remain with TCW. About 130 investors who control the other $1.3 billion voted to pull their cash out. TCW declined to give a further breakdown of the money that's staying.
August 27, 2006 |
There's no mistaking Jeffrey Gundlach for an economic optimist. The TCW Group investment chief puts the odds of a U.S. recession in 2007 at about 75%. He thinks Americans are spent-out, and that the weakening housing market will only make them feel worse. "I think we easily could be looking at a relatively rare consumer-led downturn" in the economy, Gundlach says. Stock investors, he says, ought to be very cautious and consider lightening up.
February 25, 2010 |
TCW Group Inc.'s ouster of its star bond fund manager in December cost the Los Angeles investment firm more than one-fifth of the assets it managed before the firing, the company disclosed Wednesday. Institutional and individual investors pulled a total of about $25 billion from TCW after the company terminated Jeffrey Gundlach as chief investment officer Dec. 4, according to TCW data. The company managed $115 billion as of Jan. 31, up from $110 billion Dec. 4. But about $31 billion of the $115 billion was brought in by Metropolitan West Asset Management, which TCW agreed to buy to replace Gundlach and the TCW staffers whom the firm correctly expected to leave with him. Excluding the Metropolitan West money, TCW's assets declined to about $84 billion on Jan. 31. Any drop in assets means a money manager has less income than it would otherwise, because management fees are charged as a percentage of assets.
July 7, 2011 |
Star bond fund manager Jeffrey Gundlach won a key court ruling in his battle with TCW Group, with a judge opting to let a jury decide whether Gundlach's former employer sought to cheat him out of a huge chunk of income. The court's decision means that Gundlach's claim will be heard in a case scheduled for trial July 25, along with TCW's claim that Gundlach set up his new firm with trade secrets stolen from TCW. Los Angeles County Superior Court Judge Carl West said in a written opinion Wednesday that Gundlach's claims were "triable issues of fact" that should go before a jury rather than be dismissed by the court as TCW had asked.
May 6, 1997 |
After more than seven months of intense negotiations, Trust Co. of the West, which manages more than $50 billion, has decided to remain independent and privately owned, company executives said Monday. The giant Los Angeles money manager has been rumored since 1994 to be seeking a buyer or considering going public in an attempt to boost its position as the industry consolidates.
December 5, 2009 |
Stunning the world of bond investing, Los Angeles investment firm TCW Group Inc. on Friday ousted its star fund manager and simultaneously agreed to acquire smaller L.A. rival Metropolitan West Asset Management. TCW said Jeffrey E. Gundlach had been "relieved of duties" as chief investment officer and would be replaced in part by the co-founder of Metropolitan West. Gundlach, who also was removed from TCW's board of directors, had been with the downtown L.A. firm for 24 years.
April 6, 2010 |
Four months after his ugly split with TCW Group Inc., star L.A. bond fund manager Jeffrey Gundlach on Tuesday will launch his first mutual funds, hoping to lure some of the individual investors whose billions of dollars he managed at TCW. Gundlach's firm, DoubleLine Capital, said it would open the DoubleLine Total Return Bond fund and the DoubleLine Emerging Markets Fixed-Income fund after receiving Securities and Exchange Commission clearance Friday....