Newport Beach-based life insurer Pacific Life Insurance Co. has tapped bond fund manager Pacific Investment Management Co. of Newport Beach to manage $250 million of its investments.
Starting July 1, Pimco is set to take over the portion of Pacific Life’s investment portfolio, which totals about $28 billion.
Pacific Life said it chose Pimco after looking at six investment companies that meet requirements for insurance companies.
Pimco already manages about $10 billion of Pacific Life policyholder funds.
With more than $1 trillion in assets under management, Pimco is one of the largest mutual fund companies. Its Pimco Total Return Fund is the largest fund of any type with about $224.5 billion in assets.
Pimco got its start as part of Pacific Life in 1971. The bond investor broke off from Pacific Life in 1994 with Pacific Life selling its final, $288 million stake last year.
Pacific Life held as much as $2.1 billion in Pimco in 2002.
German insurer Allianz SE bought a majority stake of Pimco in 2000.
Pacific Life is the county’s largest privately held company.
The life insurer’s premiums make it a big investor in bonds, real estate and other areas.
