PIMCO to participate in U.S. toxic asset plan

from Reuters: PIMCO to participate in U.S. toxic asset plan

...Bill Gross, the influential manager of the world's largest bond fund,gave the Obama administration's financial stability effort a much-needed endorsement on Monday, saying PIMCO will participate in the public-private plan.

"This is perhaps the first win-win-win policy to be put on the table and it should be welcomed enthusiastically," the founder and co-chief investment officer of PIMCO told Reuters.

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"We intend to participate and do our part to serve clients as well as promote economic recovery," he said, adding PIMCO will both buy toxic assets and manage some of them.

Another influential money manager, BlackRock Inc, told Reuters on Sunday that it too intends to be involved as one of the investment managers in the public-private investment fund. A Kohlberg Kravis Roberts & Co executive said on Monday the private equity firm would be "happy and willing" to partner with the government if an investment deal to buy assets made sense.

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"From PIMCO's perspective, we are intrigued by the potential double-digit returns as well as the opportunity to share them with not only clients but the American taxpayer," Gross said.