Gross fund among worst hit by bond sell-off

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Bill Gross's $285bn Pimco Total Return fund led falls among the world's most popular bond portfolios after the Federal Reserve prompted a global sell-off by indicating it may start tapering its QE programme.

According to Bloomberg, Gross's (pictured) flagship, the world's largest mutual fund, lost 1.6% from 18-20 June, the day after the Fed discussed its exit strategy. The fund fell 2.8% for the year. This was the second worst performance of 19 US total return funds with at least $2bn in assets, according to Bloomberg data. The $4.2bn Bernstein Intermediate Duration Portfolio was the worst performer this year, down 2.9%. The falls came as investors pulled record levels from bond funds in the week ended 12 June, according to EPFR Global. Funds lost $14.5bn to outflows last week and $12.5bn...

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