Jeffrey Gundlach
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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 Amherst () is a town in Erie County, New York, United States. Amherst is an inner ring suburb of Buffalo. As of 2020, the town had a total population of 129,595. This represents an increase from 122,366 as reported in the 2010 census. The second ...
, to parents Carol and Arthur Gundlach. His father (d. 2013) was a chemist for Pierce and Stevens Chemical Corp. He is a graduate of
Dartmouth College Dartmouth College (; ) is a private research university in Hanover, New Hampshire. Established in 1769 by Eleazar Wheelock, it is one of the nine colonial colleges chartered before the American Revolution. Although founded to educate Native ...
where he graduated '' summa cum laude'' in math and philosophy in 1981,"The King of Bonds,"
''Barron's'', February 21, 2011
and attended
Yale University Yale University is a Private university, private research university in New Haven, Connecticut. Established in 1701 as the Collegiate School, it is the List of Colonial Colleges, third-oldest institution of higher education in the United Sta ...
for a Ph.D. in mathematics before dropping out.


Career

Gundlach was formerly the head of the $9.3 billion TCW Total Return Bond Fund, where he finished in the top 2% of all funds invested in intermediate-term bonds for the 10 years that ended prior to his departure. He was fired by TCW in 2009. In the aftermath, Gundlach and TCW sued each other and went to jury trial in California; TCW alleged that Gundlach stole trade secrets (TCW prevailed, but was awarded $0 for the claim), Gundlach sued over compensation claims (Gundlach prevailed, and was awarded $66.7 Million).


DoubleLine Capital

In 2009, shortly after his firing from TCW, Gundlach founded Doubleline, along with Philip Barach and 14 other members of Gundlach's senior staff from TCW."Jeffrey Gundlach, Bond Savant,"
BusinessWeek, May 10, 2012
Barach was Gundlach's co-manager of the $12 Billion TCW Total Return bond fund. In a February 2011 cover story, ''
Barron's Barron's or Barrons may refer to: *Barron's Educational Series, a publisher of books, as well as college entrance exam preparation classes and materials, now an imprint of Kaplan Test Prep ** B.E.S. Publishing, the former owner of Barron's * ''Barr ...
'' called him the "King of Bonds". On March 9, 2011, Gundlach was quoted on
CNBC CNBC (formerly Consumer News and Business Channel) is an American basic cable business news channel. It provides business news programming on weekdays from 5:00 a.m. to 7:00 p.m., Eastern Time, while broadcasting talk sho ...
that "Munis Are The New Subprime." Referring to municipal bonds, he said: "You’ve got a history of low defaults, which is comforting. But that kind of sounds like what subprime sounded like back in 2006". Gundlach pointed out that even if defaults do not ultimately climb as high as critics like Meredith Whitney have warned, muni bonds will likely trade much lower. "Between here and the end game, lies the valley. And the valley is full of fear. I think the muni market is going to go down by at least, on the long end, something like 15 and 20 percent," he said. On March 10, 2011, Gundlach reportedly liquidated 55 percent of his personal holdings in municipal bonds. At the time, Gundlach also stated: "Nobody owns California general obligation bonds because they think it's an improving credit story," he said, drawing chuckles from the audience. In 2012, he was included in the 50 Most Influential list of ''
Bloomberg Markets ''Bloomberg Markets'' is a magazine published six times a year by Bloomberg L.P. as part of Bloomberg News. Aimed at global financial professionals, ''Bloomberg Markets'' publishes articles on the people and issues related to global financial ma ...
'' magazine.


Market strategies

*2014 market outlook *2013 market outlook


Negative on the US Dollar

On 11 November 2020, Gundlach remarked in an interview with Real Vision that he "was previously positive on the US dollar for six to seven years until he turned negative on the US dollar since January 2017." He was quoted o
CNBC
that the "dollar is doomed" and "ultimately, the size of our deficits – both trade deficits which has exploded post-pandemic and the budget deficit, which is obviously, completely off the charts – suggest that in the intermediate term — I don’t really think this year, exactly, but in the intermediate term — the dollar is going to fall pretty substantially." He further re-affirms this by stating "In the long term, I think the dollar .... sdoomed."


Personal life

He was married to Nancy Draper, a bassist in his former band, "Radical Flat" (previously known as "The Greens), who filed for divorce from Gundlach in 2010 after being married for more than 20 years. He currently lives 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' ...
.


Home burglary and recovery of art

Gundlach's Santa Monica home was burgled in his absence in September 2012. Several pieces of art were taken along with some wine, five designer watches, cash and a prizedBritt, Russ
"Bond guru Gundlach bets big bucks to get his stolen art back"
'' MarketWatch'', September 24, 2012. Retrieved 2012-09-25.
2010 red Porsche Carrera 4S."Multimillionaire financier victim of $10-million heist"
LA ''Times'', n.d. Includes a slide show of nine pieces of stolen art including the Mondrian (#7), the Johns (#6) and a
Joseph Cornell Joseph Cornell (December 24, 1903 – December 29, 1972) was an American visual artist and film-maker, one of the pioneers and most celebrated exponents of assemblage. Influenced by the Surrealists, he was also an avant-garde experimental filmm ...
(#8). Retrieved 2012-09-25.
Some days after the theft, Gundlach added to a $200,000 "overall" reward a $1 million reward for the Piet Mondrian painting among the missing, and a $500,000 reward for the
Jasper Johns Jasper Johns (born May 15, 1930) is an American painter, sculptor, and printmaker whose work is associated with abstract expressionism, Neo-Dada, and pop art. He is well known for his depictions of the American flag and other US-related top ...
. The total value of the stolen property was put at $10 million at the time. Within weeks, a tip led to the recovery of the art works and arrests of suspects in the theft. The rewards—with the one for the Mondrian being termed a record for a single art work—were being said to have played a role in the recovery though no determination of payment had been made. The Porsche was still missing.Bel Bruno, Joe, and Stuart Pfeifer
"Art stolen from Jeffrey Gundlach is recovered; 2 arrested"
LA ''Times'', September 27, 2012. Retrieved 2012-10-02.


Philanthropy

In 2016, Gundlach donated $42.5 million to
Albright–Knox Art Gallery The Buffalo AKG Art Museum, formerly known as the Albright–Knox Art Gallery, is an art museum at 1285 Elmwood Avenue, Buffalo, New York, in Delaware Park. the museum's Elmwood Avenue campus is temporarily closed for construction. It hosted e ...
in
Buffalo, New York Buffalo is the second-largest city in the U.S. state of New York (behind only New York City) and the seat of Erie County. It is at the eastern end of Lake Erie, at the head of the Niagara River, and is across the Canadian border from Sou ...
, as part of their capital campaign and expansion project. The gift represents the city’s largest cultural gift from an individual, according to museum director Janne Sirén. The Gallery was renamed the Buffalo Albright-Knox-Gundlach Art Museum, or Buffalo AKG Art Museum for short.


References


External links


"Firing the $70 billion man: Full version,"
Fortune, March 10, 2010
"The Decline and Fall of the Roman Empire"
presentation given by Gundlach on 14 February 2012 (note that the presentation incorrectly dates this presentation as 2011), comparing the United States' debt and military profile to that of the late Roman Empire. *Levine, Deborah
"Bond guru Gundlach on the U.S., China and Apple"
''MarketWatch'', October 18, 2012.

Crossing Wall Street, April 22, 2013 {{DEFAULTSORT:Gundlach, Jeffrey Living people American investment bankers Dartmouth College alumni Stolen works of art People from Amherst, New York 1959 births Yale University alumni