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What next for Pimco after Gross' departure?

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What next for Pimco after Bill Gross, the man who built the firm into a 2 trillion dollar asset manager, quit last Friday. There have been rumours that it could be hit by outflows of up to 30%. Michael Herbst from Morningstar Research says there are clearly ramifications for the company. However he stresses that it was not a one man show. He points out that the firm has “tremendous research and talent” across multiple sectors that few firms can match.

Although he says it’s foolish to pretend Gross’s departure won’t have an impact, he advises shareholders not to panic. Meanwhile Allianz, the German group that owns Pimco, says it has no plans to sell the company. That’s despite Allianz’ shares falling 6% on the DAX.