We know that the bond fund king is fighting to retain his throne, but now the bond fund prince, Jeffrey Gundlach, is facing troubles of his own. Gundlach, manager of DoubleLine Total Return Bond Fund, saw his fund hit by a 1.22 billion net outflow in June, WSJ's Min Zeng reported. It is the first outflow since the fund's creation in 2010.

It's still a small outflow compared to Pimco[profile] Total Return Bond Fund's almost $10 billion lost in June. The DoubleLine[profile] fund posted a net inflow of 1.88 billion this year through the end of June. Gundlach is also beating the market index, which lost 2.33 percent in contrast to Doubleine's loss of 1,59 percent or Pimco's loss of 3.6 percent.

Gundlach may have avoided Gross' outflows by staying away from the inflation-linked Treasuries, Gross here earlier this year. Gunlach called them a "trap and "a disaster" according to bet on's Margaret Collins and Charles Stein. He is optimistic about the period between now and the end of the year, however, despite bond market panic:

“There’s profits to be made in the bond market tween now and the end of the year,” Gundlach, founder of Los Angeles-based DoubleLine Capital, said in a June 27 webcast for investors.

To read more, click here and here. 

Edited by: Casey Quinlan


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE