Jeffrey Edward Gundlach (born October 30, 1959) is the founder of DoubleLine Capital LP, an investment firm. He was formerly the head of the $9.3 billion TCW Total Return Bond Fund.
Early life
Jeffrey Gundlach was born on October 30, 1959 and is a native of Amherst, New York, where his father was a chemist for a bowling alley.[4] He is a graduate of Dartmouth College where graduated summa cum laude in math and philosophy in 1981, and attended Yale University for a Ph.D. in theoretical mathematics before dropping out.
Career
Gundlach was formerly the head of the $9.3 billion TCW Total Return Bond Fund, where he finished in the top 2% of all funds invested in intermediate-term bonds for the 10 years that ended prior to his departure. He was fired by TCW in 2009.
DoubleLine Capital
In 2009, shortly after his firing from TCW, Gundlach founded Doubleline, along with Philip Barach and 14 other members of Gundlach’s senior staff from TCW. Barach was Gundlach’s co-manager of the $12 Billion TCW Total Return bond fund. In a February 2011 cover story, Barron’s called him the “King of Bonds.”
On March 9, 2011, Gundlach was quoted on CNBC that “Munis Are The New Subprime.” “You’ve got a history of low defaults, which is comforting. But that kind of sounds like what subprime sounded like back in 2006,” Gundlach said. Gundlach pointed out that even if defaults do not ultimately climb as high as critics like Meredith Whitney have warned, muni bonds will likely trade much lower. “Between here and the end game, lies the valley. And the valley is full of fear. I think the muni market is going to go down by at least, on the long end, something like 15 and 20 percent,” he said.
On March 10, 2011, Gundlach reportedly liquidated 55 percent of his personal holdings in municipal bonds. However, the decline he predicted did not occur and on the same day as his liquidation, the Bond Buyer Index closed at 106.151904, with this index closing at 119.886063 on December 30, 2011, the last day of trading in 2011, equivalent to an improvement of +12.9%. The index closed at 129.99416 on December 31, 2012.
At the time, Gundlach also stated: “Nobody owns California general obligation bonds because they think it’s an improving credit story,” he said, drawing chuckles from the audience.
However, since March 2011, the ratings of California General Obligation bonds improved from A- to AA- by Standard and Poors and from A1 to Aa3 by Moody’s. In 2012, he was included in the 50 Most Influential list of Bloomberg Markets Magazine.
| Jeffrey Gundlach | |
|---|---|
| Born | Jeffrey Edward Gundlach October 30, 1959 Amherst, New York, U.S. |
| Residence | Los Angeles, California |
| Alma mater | Dartmouth College Yale University |
| Occupation | Bond-fund manager |
| Employer | DoubleLine Capital LP |
| Net worth | $1.66 billion |
| Spouse(s) | Nancy Draper (div.) |
Jeff Gundlach net worth: Jeffrey Gundlach is an American business executive who has a net worth of $1 billion. Jeffrey Gundlach graduated from Dartmouth College with dual degrees in Mathematics and Philosophy. He went on to attend Yale University, as a PhD candidate in Mathematics. He gained widespread notice within the financial community as the head of the TCW Group’s Total Return Bond Fund. TCW is a major investment firm dedicated to providing high net worth people and institutions with investment strategies. While serving as head of the fund, he regularly finished in the top 2% of all funds invested. After being fired from TCW in 2009, he, and a group of his co-workers, founded Doubleline Capital. He now serves as Chief Executive Officer and Chief Investment Officer at Doubleline, and is widely recognized as the most knowledgeable investor currently working with regards to bonds and fixed income investments.
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