Jeffrey Gundlach

Jeffrey Edward Gundlach
Jeffrey Edward Gundlach
Born	October 30, 1959 (age 67); Amherst, New York, U.S.
Occupation(s)	Entrepreneur, investor, philanthropist
Years active	1980s–present
Known for	Founder of DoubleLine Capital

Jeffrey Edward Gundlach (born October 30, 1959) is a prominent American entrepreneur, investor, and philanthropist. He is the creator of DoubleLine Capital, a well-known investment management company.

Early life

Gundlach was born in Amherst, New York, to parents Carol and Arthur Gundlach, the latter working as a chemist at Pierce and Stevens Chemical Corp. He earned his degree summa cum laude in mathematics and philosophy from Dartmouth College in 1981. Subsequently, he briefly enrolled in a Ph.D. program in mathematics at Yale University but did not complete it.

Career

Before founding DoubleLine Capital, Gundlach managed the $9.3 billion TCW Total Return Bond Fund, which ranked among the top 2% of intermediate-term bond funds over a ten-year period. Following his termination from TCW in 2009, both parties became involved in legal disputes concerning trade secrets and compensation. Although TCW’s claim regarding trade secret misappropriation was upheld, no damages were awarded; meanwhile, Gundlach secured $66.7 million for unpaid earnings.

DoubleLine Capital

Shortly after leaving TCW in 2009, Gundlach established DoubleLine Capital together with Philip Barach and fourteen senior colleagues also from TCW. Barach had previously co-managed the $12 billion TCW Total Return bond fund alongside Gundlach. In 2011, Barron's recognized Gundlach as the "King of Bonds."

On March 9, 2011, during an appearance on CNBC, Gundlach cautioned that municipal bonds ("munis") were becoming "the new subprime," anticipating a substantial market correction despite historically low default rates. He projected a decline of 15-20% in long-term municipal bond prices driven by market anxiety. The following day, he sold off 55% of his personal holdings in municipal bonds, citing concerns over creditworthiness especially related to California general obligation bonds.

In 2012, Bloomberg Markets magazine included Gundlach among its list of the 50 Most Influential individuals.

Market strategies

2014 market outlook
2013 market outlook

Negative on the US Dollar

On November 11, 2020, Gundlach revealed in an interview with Real Vision that after maintaining a positive stance on the US dollar for six to seven years, he shifted to a negative view beginning January 2017. Speaking to CNBC, he explained that escalating trade and budget deficits following the pandemic have left the dollar "doomed," predicting a significant decline over the medium term. He reiterated this bearish perspective on the US dollar due to persistent fiscal issues.

Personal life

Gundlach was married to Nancy Draper, who played bass guitar in his former band "Radical Flat" (formerly known as "The Greens"). After more than two decades of marriage, she filed for divorce in 2010. He currently lives in Los Angeles, California.

Home burglary and recovery of art

In September 2012, while Gundlach was away, his residence in Santa Monica was burglarized. The thieves stole numerous valuable items including fine art pieces, wine collections, five luxury watches, cash, and a red 2010 Porsche Carrera 4S. Gundlach offered an overall reward of $200,000 for information leading to recovery; he added $1 million specifically for the missing Piet Mondrian painting and $500,000 for a stolen Jasper Johns, estimating the total loss at about $10 million. Within weeks, law enforcement received tips that resulted in recovering the artworks and making arrests; although reward payments aided the process, details about compensation remain undisclosed. The Porsche has not been recovered.

Philanthropy

In 2016, Gundlach contributed $42.5 million to the Albright–Knox Art Gallery located in Buffalo, New York to support its expansion and capital campaign efforts. This donation stands as the most substantial individual cultural gift ever made in the city. To honor his generosity, the institution was renamed the Buffalo Albright-Knox-Gundlach Art Museum (Buffalo AKG Art Museum).

External links

"The Decline and Fall of the Roman Empire", a presentation by Gundlach on February 14, 2012, drawing parallels between U.S. debt and military status with that of the late Roman Empire.
Levine, Deborah, "Bond expert Gundlach discusses the U.S., China, and Apple", MarketWatch, October 18, 2012.
"The Mind of Jeffrey Gundlach", Crossing Wall Street, April 22, 2013