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DoubleLine Capital ("DoubleLine") is an American
investment management Investment management is the professional asset management of various securities, including shareholdings, bonds, and other assets, such as real estate, to meet specified investment goals for the benefit of investors. Investors may be institut ...
firm headquartered in
Tampa, Florida Tampa () is a city on the Gulf Coast of the United States, Gulf Coast of the U.S. state of Florida. The city's borders include the north shore of Tampa Bay and the east shore of Old Tampa Bay. Tampa is the largest city in the Tampa Bay area and ...
. It is known for its focus on investing in the bond market but also invests in other asset classes such as equities and
commodities In economics, a commodity is an economic good, usually a resource, that has full or substantial fungibility: that is, the market treats instances of the good as equivalent or nearly so with no regard to who produced them. The price of a comm ...
. The firm is majority owned by its employees.


Background

Jeffrey Gundlach Jeffrey Edward Gundlach (born October 30, 1959) is an American investor and businessman. He is the founder of DoubleLine Capital LP, an investment firm. Early life Jeffrey Gundlach was born October 30, 1959, in Amherst, New York, to parents Caro ...
was employed at
TCW Group TCW Group is an asset management firm based in Los Angeles, California. History Founded by Robert Addison Day in 1971 and headquartered in Los Angeles, TCW manages a broad range of investment products. The TCW Group was originally known as Trus ...
where he managed its Total Return Bond Fund which at the time was one of the top performing funds in the last 10 years that invested in intermediate-term bonds. It produced returns that exceeded those that were managed by Bill Gross. On 4 December 2009, he was fired by TCW and was alleged to be engaged in
gross misconduct ''Gross Misconduct'' is the second album from crossover thrash metal band, M.O.D. It was released in 1989 on Megaforce Records and Noise International and follows 1988's extended play '' Surfin' M.O.D.'' It was three years until the band releas ...
by plotting to take TCW's clients and trade secrets to establish his own rival firm. It was noted that the relationship between Gundlach and senior members such as
Marc Stern Marc Stern is an American attorney, business executive and philanthropist. He serves as the Chairman of the TCW Group, an asset management financial institution based in Los Angeles, California. He also owns minority stakes in Major League Basebal ...
and Robert Addison Day had deteriorated before then. In December 2009, shortly after leaving TCW, Gundlach, Philip Barach and 14 senior members of their team set up DoubleLine Capital in
Los Angeles, California Los Angeles ( ; es, Los Ángeles, link=no , ), often referred to by its initials L.A., is the largest city in the state of California and the second most populous city in the United States after New York City, as well as one of the world' ...
. The name DoubleLine came from a painting by
Piet Mondrian Pieter Cornelis Mondriaan (), after 1906 known as Piet Mondrian (, also , ; 7 March 1872 – 1 February 1944), was a Dutch painter and art theoretician who is regarded as one of the greatest artists of the 20th century. He is known for being ...
called Double Line. Gundlach and Barach reached out to Howard Marks who was the co-founder of
Oaktree Capital Management Oaktree Capital Management is an American global asset management firm specializing in alternative investment strategies. As of March 31, 2022, the company managed $164 billion for its clientele. The firm was co-founded in 1995 by a group that ...
as well as a former employee of TCW who knew them during their time there. Oaktree Capital Management invested $20 million in DoubleLine for a 20% stake. On 23 December, DoubleLine registered with the
Securities and Exchange Commission The U.S. Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street Crash of 1929. The primary purpose of the SEC is to enforce the law against market ...
. On 7 January 2010, TCW sued Gundlach with DoubleLine being named as a defendant in the case. TCW alleged that Gundlach and the firm stole its company secrets and clients. 45 out of 65 of Gundlach's old TCW team had joined DoubleLine. Gundlach countersued TCW stating it owed him millions in unpaid compensation. By December 2011, the lawsuit was settled. TWC prevailed on the trade secret case but the jury awarded nothing for the damages. An undisclosed settlement was reached between Gundlach and TCW. Gundlach prevailed on the unpaid compensation case and the jury awarded him and three other former TCW employees $66.7 million in unpaid wages. On 6 April 2010, DoubleLine started accepted investor money and launched its own Total Return Fund which was managed by Gundlach himself. By December that year, the firm had over $7 billion in assets under management. In July 2011, DoubleLine launched its first
closed-end fund A closed-end fund (CEF) is a fund that raises capital by issuing a fixed number of shares which are not redeemable, and then invest that capital in financial assets such as stocks and bonds. Unlike open-end funds, new shares in a closed-end fund ...
, the DoubleLine Opportunistic Credit Fund which was managed by Gundlach himself. By November 2012, DoubleLine was managing $50 billion. In January 2013, DoubleLine established a new division that would manage equity portfolios called DoubleLine Equity LP. It was reported that after the
2016 United States presidential election The 2016 United States presidential election was the 58th quadrennial presidential election, held on Tuesday, November 8, 2016. The Republican ticket of businessman Donald Trump and Indiana governor Mike Pence defeated the Democratic ticket ...
, Gundlach who voted for
Donald Trump Donald John Trump (born June 14, 1946) is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021. Trump graduated from the Wharton School of the University of Pe ...
and predicted his victory forwarded an email to DoubleLine employees with an image of Trump smiling in front of a garbage truck carting
Hillary Clinton Hillary Diane Rodham Clinton ( Rodham; born October 26, 1947) is an American politician, diplomat, and former lawyer who served as the 67th United States Secretary of State for President Barack Obama from 2009 to 2013, as a United States sen ...
and
Barack Obama Barack Hussein Obama II ( ; born August 4, 1961) is an American politician who served as the 44th president of the United States from 2009 to 2017. A member of the Democratic Party, Obama was the first African-American president of the U ...
away. The image angered some of the employees, who felt it blurred the line between politics and business. In 2019, the firm experienced a number of high level staff departures which was considered uncharacteristic. During this period DoubleLine's performance had dropped however it had over $140 billion in assets under management. In February 2022, DoubleLine moved its headquarters from Los Angeles to
Tampa, Florida Tampa () is a city on the Gulf Coast of the United States, Gulf Coast of the U.S. state of Florida. The city's borders include the north shore of Tampa Bay and the east shore of Old Tampa Bay. Tampa is the largest city in the Tampa Bay area and ...
due to its tax laws. In April 2022, DoubleLine launched its first two exchange-traded funds (ETF), the DoubleLine Opportunistic Bond ETF and the DoubleLine Shiller CAPE US Equities ETF. Prior to that, DoubleLine served as sub-advisor to ETFs offered by
State Street Global Advisors State Street Global Advisors (SSGA) is the investment management division of State Street Corporation and the world's fourth largest asset manager, with nearly $4.14 trillion (USD) in assets under management as of 31 December 2021. The company ...
and
AdvisorShares AdvisorShares Investments is a US-based investment management firm based in Bethesda, Maryland which offers actively managed exchange-traded funds (ETFs) through the AdvisorShares Trust. AdvisorShares partners with third party financial adviser ...
. In April 2023, one year after its ETF debut, DoubleLine moved into the real estate ETF market, launching the DoubleLine Commercial Real Estate ETF and the DoubleLine Mortgage ETF.


References


External links

* {{authority control 2009 establishments in California Companies based in Tampa, Florida Financial services companies established in 2009 Investment management companies of the United States