Money walks, follows bond guru

Fallout from prominent bond investor Bill Gross' departure from Pimco, a $1.25 trillion California-based investment firm, has reverberated in Tallahassee.

The latest news is the Florida State Board of Administration, according to the Wall Street Journal, Reuters and multiple other reports, intends to significantly reduce the amount it has invested with the firm. The agency says it will remove most of the $1.9 billion it has in Pimco through the Florida Retirement System Pension Plan. It also plans to pull other investments, and shift the money to a list of funds that potentially includes BlackRock and Prudential.

Gross, considered one of the most successful bond investors in years, recently resigned from Pimco, a firm he founded in 1971. Pimco, Pacific Investment Management Co., runs one of the largest bond mutual funds in the world and handles bond management for millions of clients. Gross joined a rival firm, Janus Capital Group, which has led to speculation about the future of Pimco.