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Since the announcement of the first deals with pension funds and other large investors worth approximately $ 3.5 billion in February, the insurer has paid another billion dollars in relation to the “Structured Alpha” hedge funds and has entered into further deals. , said board member Renate Wagner at Wednesday’s Annual General Assembly in Munich. CEO Oliver Bäte promised shareholders that Allianz could soon leave the hedge fund debacle behind. He relies on a “swift and final settlement” with the plaintiffs and the authorities. According to analysts’ estimates, the sum of the comparisons with investors and the sanctions of the authorities in the United States could reach over five billion euros.
Allianz has already written off 3.7 billion euros for “Structured Alpha”. This decimated net profit in 2021 by 2.8 billion euros. But Bäte made it clear once again that this was not going to be the end of the road. The group will present data for the first quarter next week.
“That’s a lot of wood,” said attorney Daniela Bergdolt of the DSW shareholders’ association. The fund’s billions in losses loomed over the share price like the sword of Damocles. “How could that happen?” At first you accused Allianz’s council of downplaying the problems. Supervisory Board Chair Michael Diekmann said the board was briefed on the lawsuits in July 2020. But it wasn’t until August 2021, after the SEC and the U.S. Department of Justice entered the scene, that the l insurer warned of billions of costs.
Two dozen pension funds and other large investors had sued Allianz for a whopping $ 6 billion. He had sold them hedge funds with a volume of $ 15 billion as an alleged safe investment. At the start of the Crown Crisis, however, investors lost much of their stake as stock markets plummeted. They accused Allianz of deviating from its investment strategy in view of the temporary panic in the markets.
On Thursday, Allianz stock temporarily fell 5.62 percent (-12 euros) to 201.55 euros via XETRA ex-dividend – the dividend discount is 10.80 euros per share.
The leverage must be between 2 and 20
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