Pimco inflows remain strong amid active management demand

Pimco inflows remain strong amid active management demand
Allianz chief says appetite for bonds has helped strong performance.
OCT 02, 2024
By 

Allianz SE’s Oliver Baete said inflows at the insurer’s bond firm Pacific Investment Management Co. are continuing at a rapid pace as investors flock to active management.

Pimco had, as of mid-year, almost “50 billion in net inflows, and that has continued strongly in July and August,” Baete, the insurer’s chief executive officer, said in an interview from Berlin. “We’re very, very happy about the strong flows that are happening and they will continue.”

Pimco, one of the world’s biggest bond managers, has benefited from clients’ returning appetite for bonds. Pimco CEO Emmanuel Roman said last month that investors are adding to their fixed income exposure as imminent interest rate cuts create opportunities.

Baete said that investor uncertainty about the course of markets has fueled a resurgence of active asset management, which is a focus of Allianz. Apart from Pimco, the insurer also owns Allianz Global Investors.

“I think we’re running at above 50% net flows into active fund management,” he said. “That’s amazing.”

Allianz is scheduled to report third-quarter results on Nov. 13. Second-quarter earnings beat analysts’ estimates on stronger income from the life-health insurance and asset management businesses.

Baete also said that investors shouldn’t expect a big change in his acquisition policy when he unveils new targets at a capital markets day in December. In the nine years that he’s been in the role, Baete said he hasn’t seen a big takeover opportunity that would have made sense.

“Nothing changing on M&A,” he said. The December event will be mostly about using the strength of the Allianz brand to fuel customer growth, he added.

Latest News

SEC Says Game Service Roblox Part of ‘Active Investigation’
SEC Says Game Service Roblox Part of ‘Active Investigation’

Short sellers previously said the company was under investigation, though Roblox denied allegations.

Musk’s DOGE descends on CFPB with intention to shut it down
Musk’s DOGE descends on CFPB with intention to shut it down

The Consumer Financial Protection Bureau is in the crosshairs of the Republican group that is widely attempting to dismantle government agencies.

Advisor fighting Finra banishment loses $17.7 million dispute with old firm
Advisor fighting Finra banishment loses $17.7 million dispute with old firm

National Securities Corp. sued the advisor in 2020, alleging breach of contract and unjust enrichment.

Job numbers, inflation leaving room for Fed to hold rates
Job numbers, inflation leaving room for Fed to hold rates

Recent data support a measured pace by the Federal Reserve for the year ahead.

Private assets remain hot despite surging stock market
Private assets remain hot despite surging stock market

Financial advisors are still adding alternatives despite the surge in publicly traded stock prices

SPONSORED Taylor Matthews on what's behind Farther's rapid growth

From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.

SPONSORED Why wealth advisors should care about the future of federal tax policy

Blue Vault features expert strategies to harness for maximum client advantage.