Bulletin: Allianz's Strong Headline Results Overshadowed By Structured Alpha Funds Provisioning

FRANKFURT (S&P Global Ratings) Feb. 18, 2022--S&P Global Ratings today said that the claim provision for a potential settlement of the U.S. Department of Justice's investigation into Allianz Global Investors' Structured Alpha Funds hamper the otherwise-strong 2021 headline financial results of global multiline insurance group Allianz SE (AA/Stable/A-1+). As of now, we believe, the provision's impact on the group's capitalization is manageable. Allianz reports a record operating profit of €13.4 billion for 2021, which is above our expectation and partly benefits from realized capital gains. The group made a claim provision of €2.8 billion net of tax, leading to a net result of €6.6 billion. The Solvency II ratio remains solid, at 209%. The sound underlying results across all segments

...February 18, 2022 FRANKFURT (S&P Global Ratings) Feb. 18, 2022--S&P Global Ratings today said that the claim provision for a potential settlement of the U.S. Department of Justice's investigation into Allianz Global Investors' Structured Alpha Funds hamper the otherwise-strong 2021 headline financial results of global multiline insurance group Allianz SE (##/Stable/A-1+). As of now, we believe, the provision's impact on the group's capitalization is manageable. Allianz reports a record operating profit of 13.4 billion for 2021, which is above our expectation and partly benefits from realized capital gains. The group made a claim provision of 2.8 billion net of tax, leading to a net result of 6.6 billion. The Solvency II ratio remains solid, at 209%. The sound underlying results across all segments support our view that Allianz will have the capacity to produce very strong group capital and earnings over 2022-2024. However, if the final settlement, including a potential fine, is materially...

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