The investment manager has replaced the departing head of risk with a managing director.

Global investment management firm Pimco has confirmed that Bill De Leon has resigned from his role as global head of risk management to spend more time with his family, despite reports that he stepped down after a probe into his personal conduct.

The Wall Street Journal said that the firm had an internal investigation related to De Leon's behaviour at a New York charity event in May 2017. According to the newswire, De Leon allegedly inappropriately touched a lower-ranking Pimco employee. Investigators did not find De Leon guilty of any other inappropriate behaviour.

De Leon, who was also a managing director at the Californian-based asset manager, had been head of risk since 2009. 

The firm has replaced De Leon with Sudi Mariappa, currently managing director and portfolio manager, as its new global head of portfolio risk management. 

Mariappa has 31 years of experience in the investment management industry, including 14 years with Pimco in various roles.

He has been a managing director at London-based hedge fund GLG, where he developed and managed fixed income funds. He was also a managing director for Merrill Lynch in Tokyo.