Pimco to run Allianz Real Estate, forming US$100 billion unit
Los Angeles
PACIFIC Investment Management Co (Pimco) is taking over management of Allianz Real Estate, forming a combined unit with US$100 billion in assets.
Pimco parent Allianz Group has a real estate portfolio worth over 70 billion euros (S$110 billion) in Europe, the US and the Asia-Pacific region, according to a statement released on Tuesday.
Pimco, which managed US$1.91 trillion as of Dec 31 last year, is best known as a fixed-income manager and will oversee the combined real estate unit under its private strategies platform.
Pimco has been seeking to expand beyond its core bond business as yields have fallen and fund management fees narrow industrywide.
Its private strategies - which are available to institutional and high-net-worth investors - include hedge funds, distressed debt, real estate debt and other illiquid alternative products.
A NEWSLETTER FOR YOU
Property Insights
Get an exclusive analysis of real estate and property news in Singapore and beyond.
"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," said Jackie Hunt, a member of the Allianz board of management.
Allianz, a Munich-based insurer that also operates as an asset-management company, acquired the California-based Pimco in 2000. BLOOMBERG
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Property
Blackstone, Starwood split on commercial property market risks
No bids for Pine Grove’s mega en bloc sale at S$1.95 billion price
Rents set to be last domino to fall in global inflation battle
US rents climbed 1.5 times faster than wages in last four years
Australian budget to target housing woes with more construction workers
UK construction growth hits 14-month high in April, PMI survey shows