Pimco Said to Quit Trade Group After Mortgage-Deal Silence
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Pacific Investment Management Co. is quitting the American Securitization Forum after the trade group declined to issue a statement about investors’ views on the nationwide foreclosure settlement this month by five banks, two people with knowledge of the matter said.
Pimco, manager of the world’s biggest bond fund, informed ASF Executive Director Tom Deutsch of its decision in early February, said the people, who requested anonymity because the talks were private. The episode underscored Pimco’s concern that the trade group doesn’t advocate for debt buyers as well as banks that underwrite mortgages, the people said.