NEW YORK (TheStreet) -- Shares of PIMCO High Income Fund (PHK) plunged to a 52-week low of $11.11 in morning trading Friday after Bill Gross, the so-called "bond king," announced he would depart Pacific Investment Management Co. (PIMCO) for Janus Capital Group (JNS) .
Gross served as bond manager at PIMCO for 43 years. He said increasing administrative duties at PIMCO distracted from his work in investment management. PIMCO thanked Gross for his time in a statement but also said it had "fundamental differences" with his leadership.
Gross will manage a new fund called the Janus Global Unconstrained Bond Fund at his new company.
"I chose Janus as my next home because of my longstanding relationship with and respect for CEO Dick Weil and my desire to get back to spending the bulk of my day managing client assets," Gross said in a statement. "I look forward to a mutually supportive partnership with Fixed Income CIO Gibson Smith and his team; they have delivered excellent results across their strategies, which deserve more attention."
The stock was down 8.43% to $11.40 at 10:55 a.m. More than 8.8 million shares had changed hands, compared to the average volume of 641,225.PHK data by YCharts
Correction: The headline and first sentence of a prior version of this article have been updated to reflect that the article is referring to PIMCO High Income Fund and not PIMCO whose parent company is Allianz.