Jeffrey Gundlach, explaining why he named his firm DoubleLine Capital LP, compared running a fund to driving on a winding mountain road where a motorist mustn’t cross “the double line into the oncoming lane of risk.”
As Federal Reserve Chairman Ben S. Bernanke shuts the door to his office for a final time in two days, he can say he took actions that were the first or the biggest of their kind in the central bank’s 100-year history. Some will probably also be the last.
Tad Rivelle decided in 2008 that prices for some bonds got so low after Bear Stearns Cos. and Lehman Brothers Holdings Inc. collapsed that they made sense only if the U.S. was headed into another Great Depression.
TCW Group Inc.’s wager on risky mortgage bonds, which last year caused the money manager to trail 87 percent of competitors, is paying off now as investors in the securities shrug off Europe’s debt crisis amid signs U.S. housing is stabilizing.