Oct. 9 (Bloomberg) -- Bill Gross, the former manager of the world’s largest bond fund who last month took over a new fund at Janus Capital Group Inc., said investors should say “bye-bye” to the days of double-digit returns.

“The world is slowing down,” Gross said in a conversation today with Janus Chief Executive Officer Dick Weil that was broadcast on the firm’s website. “We’re doing the best of them all,” Gross said of the U.S.,“but frankly it’s not like the old normal, it is the new normal where global growth proceeds at a very slow pace.”

He reiterated that returns will be subdued in the new normal, a view he and Pimco first expressed in 2009 coming out of the financial crisis. The 70-year-old Gross took over the Janus Global Unconstrained Bond Fund this week after leaving Pacific Investment Management Co. on Sept. 26. Gross, who co-founded Pimco in 1971 and ran its $201.6 billion Total Return fund, left after his deputies threatened to quit and management debated his ouster, said people familiar with the matter.

His departure prompted investors, including pensions and 401(k) plan advisers, to review their holdings with the firm and move money to competitors including TCW Group Inc., Legg Mason Inc., DoubleLine Capital LP and Loomis Sayles & Co.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.