Pimco Seeks Lending Role From Banks Hampered by New Regulations

Pacific Investment Management Co. head Douglas Hodge sees an opportunity to take business from banks by providing credit to the global economy, even as the company strives to avoid lenders’ too-big-to-fail designation.

Global rules enacted to prevent another financial crisis have forced lenders to shrink their balance sheets, creating a need for credit in most of the world where about 80 percent of debt financing comes from banks, said Hodge, Pimco’s chief executive officer.