German insurer Allianz has divided Pacific Investment Management (PIMCO) and Allianz Global Investors from its main business into a new division called Allianz Asset Management. The new division will consist of just those two businesses.
In a Reuters report Tuesday, the company said that the move was not a precursor to sale, but was a preparation for business in the decade to come. It had already separated the distribution of both PIMCO and Allianz Global Investors products, and had begun that move last year in the U.S.
Jay Ralph, who is the incoming head of Allianz Asset Management, had said in a Monday interview that he expected Bill Gross to continue at PIMCO "for some time." Gross, co-founder of PIMCO, will continue to serve as co-CIO along with Mohamed El-Erian, who is CEO as well as co-CIO.
Allianz Global Investors will be headed by Elizabeth Corley as chief executive; Andreas Utermann will be CIO.
Allianz Asset Management has approximately 1.4 trillion euros ($2.0 trillion) in AUM; that makes it one of the world's largest asset managers.