Bill Gross, manager of Pimco’s Total Return Fund, the world’s biggest mutual fund, says he dumped all of its Treasury holdings last month because of his outlook on inflation and economic growth.

"It's not a question of dissing the United States or questioning the credit of the United States, but simply a maturity reflection," Gross told CNBC.

Treasurys are "mispriced relative to the inflationary environment and the growth we see ahead, and there are better alternatives in order to capture yield."

So what are those alternatives?

Bill Gross

"Those would be corporate bonds, those would be a smattering of high-yield bonds and a growing proportion of emerging-market debt, which yields in the 5 to 6 percent category," he said.

"Are these bonds as safe as Treasurys? No, they are not triple-A types of investments, but they're not overvalued based on quantitative easing procedures that we've seen over the past 12 months.”

So Pimco has invested in Brazil, Mexico and even Spain, “which has a better balance sheet than the United States," Gross said. He said Pimco would return to Treasurys when their yields are more attractive.

Some experts are even more negative on Treasurys. “U.S. government bonds are not a safe haven,” star investor Jim Rogers told Bloomberg.

“I cannot conceive of lending money to the U.S. government for 30 years.”