Insurance asset management
The heritage and positioning of AllianzGI align perfectly with insurers’ investment aims. The Allianz group has been investing on behalf of insurers for 125 years. AllianzGI teams now manage over £170 billion of insurers’ general assets and employ more than 50 specialised portfolio managers. This allows us to offer long-term and active investment expertise and tailor our solutions to reflect our partners’ multi-dimensional performance objectives.
Room for manoeuvre in the interests of economic and balance sheet performance.
Far from a “buy and hold” strategy, our active approach to insurance asset management calls for a detailed understanding of the balance sheet implications of each transaction in the portfolios. We seek to support and increase alpha generation for each of our clients.
Going beyond performance generation and risk management, our specialist Insurance, LDI and Regulatory Strategies (ILRS) team sees each portfolio as an opportunity to attain all our strategic objectives: ESG, ALM, balance sheet resilience, solvency, accounting, etc.
Tailor-made using an “à la carte” process, each of our client partnerships is based above all on continuous dialogue, so as to offer the full potential of our expertise, strategies and solutions, and incorporate our insurer clients’ ESG objectives from the very start. We took this path over 20 years ago and were among the first signatories to the United Nations Principles for Responsible Investment (UN PRI) in 2007.
A dynamic approach to insurance asset management
-
AllianzGI is a fully active manager. Our internal research gives us the ability to create value and means that we are not passively buying exposure to an investment universe. We enhance your experience of active management and create shared value by always prioritising the needs of our insurance clients.
-
We aim for consistent results through a global approach: to outperform the market, while taking into account the complex requirements and varied objectives of insurers (ESG, ALM, Solvency, accounting, among others).
-
As a strategic partner offering advisory services and tailor-made, results-oriented solutions, we help our clients attain their investment objectives and balance sheet resilience over and above economic performance alone.
-
We have been working with third-party insurers since the 1950s and have developed extensive expertise to ensure seamless integration with our clients’ investment processes. Our focused range of services is constantly evolving to meet the needs of local insurers in each country.
One of the strongest insurance asset management teams in Europe
The “core” portfolios of Allianz entities and our third-party insurance partners are managed by one single team. This reflects our philosophy that pooling resources is the best way to build a leading hub for insurance investment expertise.
The Insurance, LDI and Regulatory Strategies (ILRS) team is structured to generate alpha while meeting the exacting requirements of insurance portfolios.
- Capable of integrating multiple investment objectives (alpha, ESG/SRI, ALM, SCR, local accountancy, IFRS, etc.) in addition to SCR.
- Strong allocation and hedging capabilities to optimise risk budgets, improve tactical responsiveness and produce additional leeway for creating alpha.
Extensive research capabilities to secure an informational advantage for insurers that are subject to structural exposure
- Credit research: more than 20 credit analysts using in-house analysis infrastructure with a strong focus on the BBB segment within the Investment Grade category.
- Extensive ESG research capabilities able to take extreme risks into consideration.
- Risklab : AllianzGI advisory platform whose advanced modelling infrastructure and insurance expertise allows us to incorporate regulatory/ALM dimensions in our range of services.
Solutions
Solvency Capital Requirements (SCR) optimisation and bespoke Asset-Liability Management (ALM) solutions
As a specialist team within Allianz Global Investors, risklab acts as a strategic investment partner. The team of over 60 investment professionals worldwide develops advisory services and solutions that are tailored to individual investment goals. We start every client engagement by listening to a client’s needs and fostering a wide-ranging dialogue about specific opportunities. risklab actively supports investment outcomes with customised advice.
For insurance clients this involves a design of target allocation of alternatives and solving individual regulatory, accounting and ALM challenges through holistic insurance solutions including:
Regulatory and accounting requirements
Asset allocation and capital efficiency
ALM
Equity risk
Reducing equity SCR, volatility and impairment risk while improving and stabilising capital charge.
Credit risk
Reducing the credit SCR of diversified bond exposures for the purposes of diversification and seeking returns.
Currency risk
Reducing currency risk against euro with a view to ensuring effective international currency diversification and optimising hedging costs.
Interest rate risk
Reducing the duration spread so as to protect the valuation of the portfolio and balance sheet; improving convexity and reinvestment risks
We draw on our extensive expertise to design bespoke solutions that meet the delegation needs of our partners in the insurance fields.
Investment strategies for insurers.
Income-producing investments are highly sought after by insurance companies which makes finding the right opportunities essential. Our experienced team of fixed income managers will work hard to understand your needs and give you best in class investment capabilities.
Choosing to invest with Allianz Global Investors means that you will have access to a range of different active investment strategies and solutions to meet your needs and objectives, enabling you to create an effective structure for your portfolio whilst matching your risk and return goals.
Alternative diversification remains key in the current context of volatility and low interest rates. AllianzGI provides its insurance partners with access to a specialist, first-rate platform for alternative investments designed for insurers. These strategies offer the option to co-invest with Allianz in a full alignment of interest.
Insurance Snapshot Series
Investing involves risk. The value of an investment and the income from it may fall as well as rise and investors might not get back the full amount invested.
Past performance is not a reliable indicator of future results. If the currency in which the past performance is displayed differs from the currency of the country in which the investor resides, then the investor should be aware that due to the exchange rate fluctuations the performance shown may be higher or lower if converted into the investor’s local currency.
The views and opinions expressed herein, which are subject to change without notice, are those of the issuer companies at the time of publication. The data used is derived from various sources, and assumed to be correct and reliable, but it has not been independently verified; its accuracy or completeness is not guaranteed and no liability is assumed for any direct or consequential losses arising from its use, unless caused by gross negligence or wilful misconduct. The conditions of any underlying offer or contract that may have been, or will be, made or concluded, shall prevail.
This is a marketing communication issued by Allianz Global Investors GmbH, www.allianzgi.com, an investment company with limited liability, incorporated in Germany, with its registered office at Bockenheimer Landstrasse 42-44, 60323 Frankfurt/M, registered with the local court Frankfurt/M under HRB 9340, authorised by Bundesanstalt für Finanzdienstleistungsaufsicht (www.bafin.de). Allianz Global Investors GmbH has established a branch in the United Kingdom, Allianz Global Investors GmbH, UK branch, 199 Bishopsgate, London, EC2M 3TY, www.allianzglobalinvestors.co.uk, which is subject to limited regulation by the Financial Conduct Authority (www.fca.org.uk). Details about the extent of our regulation by the Financial Conduct Authority are available from us on request. The duplication, publication, or transmission of the contents, irrespective of the form, is not permitted.