Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Allianz Shares ‘Attractive’ as Fund Outflows Slow, JPMorgan Says

Dec. 16 (Bloomberg) -- Shares of Allianz SE, Europe’s biggest insurer, are “attractive” because the pace of fund withdrawals at asset management business Pacific Investment Management Co. is decreasing, JPMorgan Chase & Co. said.

“We note that Pimco net outflows are slowing, and that performance of the main total return fund is beginning to recover,” Michael Huttner, an analyst at New York-based JPMorgan, said in an e-mailed report to clients dated Dec. 13. “And we estimate that Pimco concerns are now in the price.”

JPMorgan has an overweight recommendation on Allianz shares. The company climbed 0.6 percent to 123.55 euros at 9:43 a.m. in Frankfurt, taking this year’s gains to 18 percent. The benchmark Stoxx Europe 600 Insurance index rose 20 percent in the period.

Allianz’s asset-management unit, which includes Newport Beach, California-based Pimco, reported third-party net outflows of 26.7 billion euros ($36.7 billion) in the third quarter, mainly coming from traditional fixed-income products.

Higher prices for German motor and house-building insurance as well as “lower claims inflation” are expected to boost non-life pretax operating earnings at Allianz by 2015, Huttner said.

To contact the reporter on this story: Oliver Suess in Munich at osuess@bloomberg.net

To contact the editor responsible for this story: Frank Connelly at fconnelly@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.