DoubleLine Capital LP’s Jeffrey Gundlach will manage a strategy available to European investors that mimics his flagship Total Return Bond Fund.
DoubleLine, the money manager with more than $40 billion in assets, is partnering with Nordea Bank AG, which will distribute the product to investors in Europe, according to a statement today by the Stockholm-based financial services group. The U.S. Total Return Bond strategy will invest in the same types of securities as DoubleLine Total Return Bond Fund, including agency mortgage-backed securities and non-agency mortgage securities, which don’t have an explicit or implicit guarantee from the U.S. government.
The new strategy marks Los Angeles-based DoubleLine’s first venture into the European market. DoubleLine, which was founded by Gundlach and President Philip Barach in December 2009, has attracted $22 billion in net deposits in the past 12 months, the third-highest amount after Vanguard Group Inc. and Pacific Investment Management Co., according to data compiled by Morningstar Inc. Gundlach, 52, said last week he may add stock funds to DoubleLine’s lineup of bond offerings.
The $32 billion DoubleLine Total Return Bond Fund returned 7.9 percent this year through Sept. 17, beating 96 percent of peers, according to data compiled by Bloomberg. It returned 8.6 percent over the past 12 months, ahead of 97 percent of rivals.