According to Fox Business, one of PIMCO’s New York offices has been struck by a plague of bed bugs, causing the evacuation of hundreds of employees to an undisclosed upstate location.
PIMCO’s business running normally, bed bugs traveling with employees?
The report cited traders that deal with the company, claiming that although business was continuing as usual, there was widespread anxiety that bed bugs could have been transmitted to employees homes.
A PIMCO spokesperson has since informed reporters that “our New York office is addressing an isolated issue with insects, and as a precautionary measure the firm is fumigating certain areas of the office space.”
Yarra Square Partners returned 19.5% net in 2020, outperforming its benchmark, the S&P 500, which returned 18.4% throughout the year. According to a copy of the firm's fourth-quarter and full-year letter to investors, which ValueWalk has been able to review, 2020 was a year of two halves for the investment manager. Q1 2021 hedge fund Read More
A common problem in New York
Transmission of bed bugs happens easily from infested hotel rooms used on business trips, to the office, and then to employees family homes. Particular problems have been reported in areas of high population density such as New York.
Both Bloomberg LP and Fox News suffered infestations in 2011, and just two weeks ago three Subway cars had to be fumigated after riders spotted bed bugs on the seats.
Bed bugs feed on blood to survive and reproduce, and in what many Americans may see as a meeting of minds, the parasites have now invaded Wall Street.
Eradicating the pests from an office costs tens of thousands of dollars, and companies then have to pay for employees to have their homes fumigated too. Fox News correspondent Charlie Gasparino said that most people do not realize the gravity of the situation or quite how common the parasites are.
More problems for Gross
PIMCO’s mutual funds have been under performing of late, leading many to question Gross’s leadership of the company. However the “bond king”, as Gross is known, has recently received a vote of confidence from PIMCO’s parent company, German insurer Allianz SE (ADR) (OTCMKTS:AZSEY) (ETR:ALV).
The PIMCO PR department must be cursing its luck over the infestation, which comes just a few months after a highly publicized rift between Gross and co-CEO Mohamed El-Erian.
PIMCO is home to the world’s largest bond fund, and had $1.97 trillion in assets under management as of June 30.