Bernanke adds role as Pimco senior adviser to his jobs portfolio

Ben Bernanke is taking a role as senior adviser to Pimco, adding a second asset management firm to his portfolio of post-Federal Reserve paymasters.

The former Fed chair will advise Pimco's investment committee on macroeconomic issues and monetary policy, and also take part in client events, the company said on Wednesday.

With $1.6tn under management, Pimco is one of the most significant companies in the global fixed income markets, whose fortunes are tied closely to the actions of the US central bank.

Mr Bernanke's predecessor as Fed chair, Alan Greenspan, also signed on as a consultant to Pimco in 2007 after he left the central bank. Pimco founder Bill Gross declared the following year that Mr Greenspan "made and saved billions of dollars for Pimco".

Pimco's chief investment officer Dan Ivascyn said: "During his recent participation in two of our quarterly economic forums Dr Bernanke provided significant insights about global macroeconomic issues and monetary policy.

"We are confident that our ongoing relationship with him will further enhance our robust investment process."

News of the Pimco role comes less than two weeks after Mr Bernanke signed on as a consultant to Citadel, the Chicago hedge fund run by Ken Griffin.

Mr Bernanke joins Pimco after a period of upheaval at the company. Both Mr Gross and his co-chief investment officer Mohamed El-Erian left the company last year - Mr Gross after a management revolt - prompting client defections. Its assets under management have shrunk by $280bn in the past six months.

Mr Bernanke's association with the "buy side" of the financial markets comes as US and international regulators are examining whether asset management firms should be subject to greater scrutiny by the Fed and other agencies, for fear that they contribute to systemic risks.

Pimco and Citadel said that Mr Bernanke would not lobby Congress on their behalf.

Mr Bernanke began his private sector work shortly after stepping down from the Fed in January 2014, with speaking engagements and private dinners attended by hedge fund managers. Next week, he will be a keynote speaker at the SALT hedge fund conference in Las Vegas.

He is also a full-time fellow at the non-partisan Brookings Institution, where he has begun writing an economics blog. He also has a memoir, The Courage To Act, in which he reflects on his role fighting the financial crisis, due out later this year.

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