Pimco losing Bill Gross had a huge impact on the company causing investors to withdraw about $10B right after the Wall Street Journal announced the departure on Friday, Sept. 26.

Although Gross' exit had been in the news for months now, it still became a shocking event when it was officially announced.  

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Gross founded Pimco in 1971 and was deemed as the "Bond King" after having $2 trillion in assets under his managament. In the year 2000, German insurer, Allianz, purchased the firm while Gross remained as chief investment officer. 

With his mathematical modelling and economic foresight, the firm made its massive growth and became the largest mutual fund in the world. It had then made a profit of 164 percent in a span of 15 years--far more than the industry's average of 116 percent. 

However, the board of Pimco has been deciding to let go of him a few days after his withdrawal. This move on the part of the committee prompted Gross to resign--that is, he wanted to protect himself from being pushed away. However, Gross said that he decided to switch jobs to focus more on the financial investment part of his clients instead of running a large firm.

Vincent Lui, an analyst at Morningstar, says that Gross' espected withdrawal led investors to draw over billions of dollars in assets and would rather put their investments into another basket, such as the Janus Capital Group.

Shareholders have already withdrawn about $70B as of May 2013 until August of this year--causing Pimco to lose its flagship mutual funds. Fund assets from April 2013 recoded $292.9B as per the data released by Morningstar.

Janus' shares went up to 43 percent, an increase that coincided with Gross' move. This made investors believe that with such small firm, it would limit the trade of liquid bonds. 

TagsBill Gross, investors, Janu, Pimco, exit, withdraw