The Pimco Total Return Fund, the world's largest bond fund, saw its assets sink by a record $41.1 billion last year after a mistaken bet on U.S. Treasuries resulted in the fund's worst annual performance in nearly two decades.
Investors pulled $4.2 billion from the fund in December, marking the eighth straight month of outflows and reducing the fund's assets to $237 billion. The fund, which co-founder and co-chief investment officer Bill Gross manages, fell 1.9 percent last year, marking its worst performance since 1994.
Pimco had outflows of $10.4 billion across all of the its U.S. open-end mutual funds in December, resulting in outflows of $31.1 billion for the year. That marked the first annual total outflows from those funds since Morningstar began tracking them in 1993.