Pacific Investment Management Co. in the past month pulled all its futures-clearing business from a unit of State Street Corp. after State Street asked Pimco to reduce some positions, the Wall Street Journal reported, citing people familiar with the matter. Pimco did not immediately respond to a request for comment.The spat occurred as Pimco was grappling with the departure of legendary bond investor Bill Gross and the billions of dollars of investor cash that followed him out the door, according to the WSJ. It wasn't clear if State Street's request was prompted by his exit.The shift affects a brokerage division within State Street Global Markets LLC, which takes fees to handle derivatives trades for financial institutions and asset managers in a process known as clearing.Pimco's withdrawal has led to an internal examination of State Street's futures brokerage business, according to the WSJ, citing one person familiar with the matter. Pimco had planned to open several new futures execution accounts with State Street, but those plans have been put on hold, according to the WSJ, citing the people familiar with the matter.
Financial Institutions, Inc. (FII) is a financial holding company. Shares of FISI traded higher by 1.85% or $0.45/share to $24.81. In the past year, the shares have traded as low as $19.72 and as high as $26.59. On average, 42229 shares of FISI exchange hands on a given day and today's volume is recorded at 14536.
State Street Corporation (State Street) is a financial holding company. Shares of STT fell by 0.53% or $-0.39/share to $73.43. In the past year, the shares have traded as low as $62.67 and as high as $76.78. On average, 2146820 shares of STT exchange hands on a given day and today's volume is recorded at 1879378.
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