(Bloomberg) -- Legg Mason Inc. attracted $5.1 billion into its bond funds in October, the most in more than seven years, after the departure of Bill Gross from Pacific Investment Management Co. prompted investors to reallocate billions of dollars.
The firm, based in Baltimore, also received $1.2 billion in new money in its equity funds, according to a statement today. Clients pulled $9.5 billion from money market funds during the month.
Legg Masons Brandywine Global and Western Asset Management units are among money managers benefiting after Grosss surprise exit caused clients to reevaluate where they invest their money. The move sparked a transition of assets in the bond industry, Chief Executive Officer Joseph Sullivan said on an earnings call last month.
We do expect to see increased momentum and demand for our fixed-income offerings in coming months and quarters, Sullivan said Oct. 31 in a conference call discussing earnings. Given the transition that is now under way between managers in fixed income, Brandywine, Western and our global distribution teams are seeing a very significant increase of conversations with investors.
Legg Masons assets under management rose to $719.5 billion as of Oct. 31, from $707.8 billion at the end of September. The increase includes foreign exchange declines of $1.1 billion and $9.5 billion that was added through the acquisition of stock manager Martin Currie, which was completed Oct. 1.
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