Pimco, the $2 trillion bond manager, will accelerate its diversification into equities this year, according to chief executive Mohamed El-Erian. He compares the situation to building a highway: “Now we are in a position to decide how many cars can run on it.”

Despite setbacks in some sectors, Pimco is continuing to augment its massive bond funds with products offering exposures to derivatives, multi-asset, real estate, private equity, real return and emerging markets. But it is still 90% exposed to bonds - a problem if the "great rotation" out of bonds and into equities gathers pace.