The bond fund king may have to step off the throne if his fund keeps bleeding assets.

Bill Gross' Pimco [profile] Total Return Fund lost more than $41 billion, or 14 percent of its assets in the past four months, Bloomberg Businessweek's Christian Baumgaertel writes. In August, the flagship fund had $7.7 billion in net redemptions in its fourth straight month of withdrawals, Baumgaertel reports.

The Barclays U.S. Aggregate Index fell almost 3 percent since May 22 and the yield on the 10-year Treasury note rose to 2.9 percent from 1.93 percent on May 21, the day before Fed Chairman Ben Bernanke made the announcement that the Fed would likely begin tapering, Baumgaertel writes.

Pimco's fund lost 3.9 percent this year through Wednesday, trailing 86 percent of its peers. Jeffrey Gundlach's DoubeLine [profile] Total Return Bond Fund saw clients pull $1.1 billion and the fund has lost near 10 percent of its assets through investor redemptions and market losses, Baumgaertel reports. That said, the DoubleLine fund is ahead of 86 percent of its competitors, this year through Wednesday.

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Edited by: Casey Quinlan


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