PIMCO to Assume Oversight of Allianz Real Estate, Creating One of the World’s Largest Real Estate Investment Managers
- Allianz Real Estate will become an important part of PIMCO’s Private Strategies platform within its Alternatives business
- PIMCO’s real estate investment platform will exceed $100 billion upon completion of the transition
- Added scale, complementary expertise, and an expanded global footprint will help PIMCO pursue attractive investment opportunities on behalf of its clients
Newport Beach, California (March 10, 2020) –PIMCO, one of the world’s premier fixed income investment managers, and its parent company Allianz Group, have agreed to transition the management and oversight of Allianz Real Estate to PIMCO. Allianz Real Estate will become an important component of PIMCO’s growing Private Strategies platform, augmenting PIMCO’s existing opportunistic real estate equity and private lending efforts. Upon completion of the proposed transition, PIMCO will become one of the world’s largest and most diversified real estate investment managers, with more than $100 billion in real estate assets under management, deployed across opportunistic, value-added, core, and securities strategies.
Historically the exclusive real estate investment arm of Allianz and its major insurance subsidiaries, Allianz Real Estate has built a broad and deep organization across its primary markets in Europe as well as the US and the Asia-Pacific region. Its 440 employees underwrite and manage a property portfolio of more than €70 billion, the majority of which represents investments in core and core-plus real estate equity, as well as a meaningful presence in private real estate lending.
“Real estate has been, and will continue to be, central to the development of our Private Strategies platform, which we consider essential to providing our clients with alternative approaches to achieving their long-term investment objectives,” said Emmanuel Roman, PIMCO’s Chief Executive Officer. “By incorporating Allianz Real Estate into PIMCO’s existing suite of private solutions, we intend to significantly enhance our capabilities in an area that has become a critical component of our clients’ portfolios.”
“This is an excellent growth opportunity,” said Jackie Hunt, Member of the Board of Management of Allianz SE. “Bringing two high performing, complementary specialist parts of the business together puts us in a position to provide customers a more comprehensive solution in real estate capabilities and strengthens our position in Alternatives, where we are already among the top 10 global players.”
“PIMCO sees tremendous long-term value for clients in real estate, particularly in private strategies which continue to offer patient investors the opportunity to achieve excess returns,” said Dan Ivascyn, PIMCO’s Group Chief Investment Officer. “Combining Allianz Real Estate with PIMCO’s already deep expertise in private real estate – and our opportunistic strategies more broadly – will expand our access to investment talent, transaction flow, and real-time market data, with the goal of bringing multiple benefits to our existing investors.”
PIMCO is one of the world’s premier fixed income investment managers. With its launch in 1971 in Newport Beach, California, PIMCO introduced investors to a total return approach to fixed income investing. In the 45+ years since, the firm continued to bring innovation and expertise to our partnership with clients seeking the best investment solutions. Today PIMCO has offices across the globe and 2,900+ professionals united by a single purpose: creating opportunities for investors in every environment. PIMCO is owned by Allianz SE, a leading global diversified financial services provider.
Except for the historical information and discussions contained herein, statements contained in this news release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may involve a number of risks, uncertainties and other factors that could cause actual results to differ materially, including the performance of financial markets, the investment performance of PIMCO's sponsored investment products and separately managed accounts, general economic conditions, future acquisitions, competitive conditions and government regulations, including changes in tax laws. Readers should carefully consider such factors. Further, such forward-looking statements speak only on the date at which such statements are made. PIMCO undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements.