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LOS ANGELES — Former Fed chairman Alan Greenspan has helped Pacific Investment Management make “billions of dollars” as a consultant, said Bill Gross, the bond manager’s co-chief investment officer.
During a discussion on banks several months before the global credit crisis, Greenspan’s “brilliance in terms of forecasting the potential for exactly what happened was a big money-saver for us,” Gross said Tuesday at a conference organized by the Asia Society.
Greenspan, right, cut the Fed’s benchmark interest rate to 1 percent in June 2003, the lowest since 1958, and kept it there for a year. He has recently been criticized for his handling of the economy and the housing bubble before his retirement in 2006. Bloomberg News
