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The Bond King: How One Man Made a Market, Built an Empire, and Lost It All Hardcover – March 15, 2022
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From the host of NPR’s Planet Money, the deeply-investigated story of how one visionary, dogged investor changed American finance forever.
Before Bill Gross was known among investors as the Bond King, he was a gambler. In 1966, a fresh college grad, he went to Vegas armed with his net worth ($200) and a knack for counting cards. $10,000 and countless casino bans later, he was hooked: so he enrolled in business school.
The Bond King is the story of how that whiz kid made American finance his casino. Over the course of decades, Bill Gross turned the sleepy bond market into a destabilized game of high risk, high reward; founded Pimco, one of today’s most powerful, secretive, and cutthroat investment firms; helped to reshape our financial system in the aftermath of the Great Recession―to his own advantage; and gained legions of admirers, and enemies, along the way. Like every American antihero, his ambition would also be his undoing.
To understand the winners and losers of today’s money game, journalist Mary Childs argues, is to understand the bond market―and to understand the bond market is to understand the Bond King.
- Print length336 pages
- LanguageEnglish
- PublisherFlatiron Books
- Publication dateMarch 15, 2022
- Dimensions6.55 x 1.4 x 9.55 inches
- ISBN-101250120845
- ISBN-13978-1250120847
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“The market can stay irrational longer than you can remain solvent.” Turning out to be right doesn’t do much good if you run out of money first.Highlighted by 253 Kindle readers
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Editorial Reviews
Review
"Well written. . . a deeply researched book about one of those money men who made a fortune and lost it all and changed finance but not for the better." ―Roxane Gay
"A perfect book... brilliant, chef's kiss! It's hilarious, tragic, witty, bright, smart, inspiring, devastating, and complete! Filled the Succession-size hole in my heart." ―Kaleb Nygaard, Wharton Initiative on Financial Policy and Regulation.
"This is an essential and enraging book, and it’s also a page-turner, even if you have a literary website editor’s knowledge of the financial world. It’s also very funny." ―Jessie Gaynor, LitHub
"[Childs's] book The Bond King isn’t just the story of Bill Gross. It’s about the expansion of finance to its current form, where experts rule and the little guy can’t win." ―Emily Flitter, New York Times
"Who the heck reads a book thrice in two months? I did. Mary Childs's The Bond King is a page-turner―about treacherous ... credit wonks" ―Roben Farzad, host of public radio's Full Disclosure
"It's amazingly good. It cuts through all the mind-numbing jargon of the finance world to provide an accessible and illuminating look at the rise of the multitrillion-dollar bond market. It's beautifully written. It's meticulously researched and reported. It's eye opening. And it centers on a fascinating and entertaining character whose journey takes us right to the heart of the story of high finance over the last half century." ―Greg Rosalsky, Planet Money newsletter
"It has been a long time since I devoured a book as just assiduously as this… I was completely gripped and I loved it. ―Felix Salmon, Slate Money podcast
"Entertaining. . . . [Childs] is a keen observer. . . . She ably describes the mechanics of the mortgage futures market. . . . A galloping narrative." ―Wall Street Journal
"[T]he award-winning financial journalist Mary Childs paints a vivid picture of how it all began and unraveled for the man credited with turning a once sleepy and low-risk corner of finance into an exciting casino." ―Vicky Huang, Insider
"Admirably thorough." ―James B. Stewart, New York Times
"[A] vivid tale of the bond manager and his empire." ―Niel Irwin, Axios
"A vivid and authoritative portrait of one of the most influential figures in American finance." ―Sheelah Kolhatkar, staff writer at The New Yorker and bestselling author of Black Edge
"An instant classic of finance and a joy to read. Mary Childs has a gift for explaining the rise of the modern bond market, one of the most important stories of finance, and interlaces that story with the deeply reported, thrilling, tragic and occasionally comic human story of the downfall of Bill Gross. And it is all written with great style, wit and insight. Anyone looking to understand the nuances of bonds or the difficulties of managing complicated people should read this book." ―Matt Levine, 'Money Stuff' columnist, Bloomberg Opinion
"A most necessary book. Mary Childs is one of a handful of finance writers who understand how the industry has reshaped America and helped create the strange, often failing society we inhabit. And one cannot understand modern finance without understanding the character of the mad bond king Bill Gross. Well-researched and written with verve, this is nothing short of a page-turner." ―Gary Shteyngart, author of Our Country Friends and Lake Success
"The Bond King details the intractable brilliance of Bill Gross that enabled him to build a bond empire but also kindled his own demise. The book navigates into some of the “colorful” corners of Gross’ recent years (including his acrimonious divorce and Hatfield’s vs. McCoy-like feud with his neighbor), but, importantly, it emphasizes practitioner-level insights into the markets he once dominated. The book could have been salacious, but to [Childs'] credit, it remains serious and insightful." ―Mike Terwilliger, BC Partners Credit
About the Author
Product details
- Publisher : Flatiron Books (March 15, 2022)
- Language : English
- Hardcover : 336 pages
- ISBN-10 : 1250120845
- ISBN-13 : 978-1250120847
- Item Weight : 1.11 pounds
- Dimensions : 6.55 x 1.4 x 9.55 inches
- Best Sellers Rank: #54,603 in Books (See Top 100 in Books)
- Customer Reviews:
About the author

Mary Childs is a co-host for Planet Money, NPR's economics podcast. She has written for Barron's magazine, the Financial Times, and Bloomberg News, covering topics from the bond market and credit-default swaps to capitalism and equality. She was also a Watson Fellow, spending a year traveling the world painting portraits. She lives in Richmond, Virginia.
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As the concept takes hold in the inflationary 1970’s, Gross begins to outperform other bond managers and he attracts a swath of institutional investors as PIMCO is spun out of the life company. By 2000 Gross is a star money manager and 70% of the company is acquired by Allianz, a German insurance giant.
Gross makes his bones by using futures, options, and all sorts of derivative instruments. He generated super returns in 1983 by arbitraging the difference between the futures price of GNMA securities and the underlying cash market where he cornered the market on the cheapest to deliver security. Yes, I know this is arcane bond market stuff. In 2002 Fortune Magazine names him the Bond King.
Later in that decade Gross was way ahead of the curve in predicting the mortgage melt down that was to come. He sent his people out to pose as home buyers to get a better understanding of the deteriorating underwriting standards for mortgages which led to a stellar year in 2007.
Gross then brings back Mohamed El-Erian from Harvard Management as his co-chief investment officer. Never mind that El-Erian’s international bond fund suffers from horrid performance. Of a sudden Gross became paranoid as El-Erian appears to be a rival. He became erratic and his performance suffered. So much so, that in 2014 his very own executive committee stages a palace coup and ousts him. He goes down hill from there and in 2016 his wife of 40 years divorces him.
Childs is very good at explaining PIMCO’s culture. Unlike the boisterous trading floor at sell-side firms and many buy-side firms, PIMCO’s trading floor is silent. There is no chatter among the traders; they communicate by email. As a product of the sell-side culture, the quiet trading floor seems outright weird.
My criticism of Childs’ book is that she leaves out quite a bit and makes a few big mistakes. In order for trading strategy to be successful you need counter parties willing to trade. At the same time Gross was starting out a revolution was taking place on Wall Street. Mortgage securities were being invented by Salomon Brothers’ Lew Ranieri and First Boston’s Larry Fink. Over at Drexel, Mike Milken was bringing into being the high yield bond market that enabled leveraged buyouts which had the effect of converting investment grade corporate bonds into junk overnight. Thus, the days of buy and hold were over and active trading became the norm in the fixed income market. Simply put Childs leaves out the milieu Gross was trading in.
Childs cites the reason for Pacific Mutual’s move to Orange County from downtown Los Angeles to Newport Beach in Orange County as lower rents. That is wrong. The real reason is that the WASP power structure in Los Angeles was losing relevance in the post-Watts riot era. The ascendant Black-Jewish-Latino coalition was taking over leaving less room for the power barons especially Asa Call, its CEO, at Pacific Mutual. She also characterizes Orange County as “barren strip mall desert,” which is so far from the truth. Only a snobbish east-coaster would make such a comment.
Nevertheless, aside from my comments above and aside from my view that her book takes on the feel of a very long magazine article, Childs offers up an interesting history of a finance titan in his time and place.
On a larger level, there's no structure to the book. You'll be taken on a journey that discusses the 80s, then jumps to 2012, then back to '08, the 90s, and back to the 2010s. The author chooses to group chapters by "theme," covering successes in one, failures in another. But the end result is a choppy read.
All in all, I don't think you can question the book is well researched. A lot of time has been spent finding direct and indirect sources to paint a comprehensive vision of PIMCO and Bill Gross. Anyone interested in bonds or the broader market will take something positive from it. But darned if it isn't a jumbled mess to read.
Couple of what I felt were flaws in the book -- (a) to certain extent Mary depicts Pimco and the other characters there to be neutral or great folks. I am sure they were no saints in this story. In all fairness Mary does in the "Author's Note" talk about issues at Pimco including lack of diversity and the debauchery of the men drunken with power at Pimco (b) the story jumps back and forth in the timeline, and I found that to be disconcerting...
I truly enjoyed the book -- although not as much as Mary's stories at Planet Money!!!!!
Reviewed in the United States 🇺🇸 on October 9, 2022
I was left very disappointed. There is little about finance or bond trading. The book is one overly long description of the toxic work environment and constantly explains how Bill is such a weird guy. Childs goes to lengths to record specific details, but has to use multiple asterisks and rely on what lawyers told her because the actual people were not interested in speaking with her. I lost interest somewhere in the middle. I finished reading but the tone did not change.
I know more about the characters than I did, but this was not an interesting biography or story like I had hoped.









