Mr. Gross’s complaint took aim at those in line to succeed him, including Mr. Ivascyn, who the suit claimed threatened to resign if Mr.
Performance in the new fund fared better than most of its peers in 2015 and 2016, including the similar fund at Pimco, co-managed by Mr. Ivascyn.
Gross as a defender of low-fee investment products, Pimco’s traditional focus, while Mr. El-Erian
and Mr. Ivascyn pushed to take on more risk in higher-fee products in the interest of bigger bonuses.
Mr. El-Erian has served as chief economic adviser to Pimco’s parent company, the German insurer Allianz, since he left in March 2014.
Gross would be named a “director emeritus.”
“Bill Gross has always been larger than life,” Dan Ivascyn, Pimco’s chief investment officer, said in the statement.
“Pimco has moved forward since Mr. Gross’s resignation,” the firm said in 2015.
