Jeffrey Gundlach, one of the world's leading bond fund managers, has reversed his once-bearish stance on government debt, saying he has bought "more long-term Treasuries in the last month" than in the last four years.

Gundlach said he started buying benchmark 10-year U.S. Treasury notes in the last month after yields popped above 2 percent, because he sees value there relative to other asset classes, including stocks. "I am a fan of Treasuries now. I wasn't a fan of Treasuries in July," said Gundlach, chief investment officer and chief executive of DoubleLine Capital.

His Los Angeles firm manages $56 billion in assets.

Gundlach is taking a different position than Berkshire Hathaway CEO and chairman Warren Buffett, who told CNBC on Monday that he would rather own stocks than long-term government bonds.

Gundlach's views are a change in tune from July, when he correctly predicted that government bonds could be at a peak in price. Ten-year notes were then yielding 1.48 percent. Bond prices and yields move in the opposite direction.

"They looked cheap at a yield above 2 percent, compared to certain riskier assets, which had gone up in price over the last six months while Treasury prices fell," he said.

So far, Gundlach's call is proving correct as 10-year Treasury bond yields dropped below 2 percent to yield 1.87 percent on Monday.

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The investor, who was dubbed by Barron's as the new "King of Bonds" two years ago, said he thinks the recent rally in stocks, which last week drove the Dow Jones industrial average to within 75 points of its record close of 14,164.53, has gone too far.

"They are obviously overbought in the short term," he said.

Gundlach, known for his contrarian investment views and opinions, also shorted Apple at $610 last year and predicted that the tech giant's stock would fall to $425. On Monday, Apple's stock closed at $420.05.