By Ulrike Dauer
Allianz SE (ALIZF) sees no reason to spin off or sell Pacific
Investment Management Company even though the asset manager still
suffers from net asset outflows, "which probably won't change in
the course of the year," departing Chief Executive Michael Diekmann
said in an interview with monthly magazine Manager Magazin,
together with his designated successor Oliver Baete.
Mr. Baete will head Europe's biggest insurer by market value on
May 6 after the annual shareholders' meeting.
Mr. Diekmann said he considers a positive "that the situation
has stabilized and that Pimco is again gaining customer funds."
"Despite all difficulties, Pimco is one of the most profitable
asset managers on the planet and one of the most successful
investments in our company history," the magazine quotes Mr.
Diekmann as saying.
Pimco has been a major headache for Allianz since last year's
management shake-up that involved the acrimonious departure of
Pimco co-founder and star fund manager Bill Gross in late
September, preceded by the exit of former chief executive Mohamed
El-Erian.
Pimco funds struggle with net asset outflows that continue after
Mr. Gross's departure. Last year, at the annual general meeting in
May, Allianz shareholders grilled management about Pimco's weak
performance and the top management shake-up.
Mr. Baete pointed to the "enormous synergies" between the
group's asset management and life insurance operations as an
argument against selling Pimco.
"It would be stupid to give up this model, which is to the envy
of many, and we've also explained this to our shareholders," Mr.
Baete said.
He added he will spend the rest of 2015 developing a group
strategy for the coming years.
Write to Ulrike Dauer at ulrike.dauer@wsj.com
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