Allianz Se · XETR:ALV

Allianz — Q3 2014 Earnings Presentation

93 slides from Allianz's earnings presentation, Nov 7, 2014

1. Slide 1: Group financial results 3Q 2014

   Group financial results 3Q 2014 Dieter Wemmer Chief Financial Officer Analysts’ conference call November 7, 2014

2. Slide 2: Agenda

   1 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 2

3. Slide 3: Business highlights from the third quarter of 2014

   Group financial results 3Q 2014 Business highlights from the third quarter of 2014  Germany: More than 48,000 policies sold since launch of cooperation with Media-Saturn in September to offer device repair cost insurance “PlusSchutz” Property-Casualty  Italy: More than 1.5 million quotes requested

4. Slide 4: Business highlights from the third quarter of 2014 - comments

   Group financial results 3Q 2014 Business highlights from the third quarter of 2014 Comments  Allianz Germany – P/C  Taiwan – Life Since September 1, Media-Saturn Premium growth to EUR 611mn in the customers may buy additional coverage third quarter 2014 from EUR 347mn. for newly bought products in

5. Slide 5: Group: double digit revenue and net income growth

   Group financial results 3Q 2014 Group: double digit revenue and net income growth Total revenues (EUR bn) Operating profit drivers2 (EUR mn) +14.5%1 +5.2% 25.1 28.8 +187 +22 +2 2,650 2,518 -61 -19 3Q 13 3Q 14 Net income3 (EUR mn) +11.2% Operating P/C L/H AM CO Conso. Operating 1,606 profit profit 1,

6. Slide 6: Group: double digit revenue and net income growth - comments

   Group financial results 3Q 2014 Group: double digit revenue and net income growth Comments  Growth  Outlook 2014 Internal growth of 14.3% driven by strong Full-year operating profit outlook EUR growth in L/H (+25.0%) and accelerating 10bn, plus/minus EUR 500mn. 9M 2014 growth in P/C (+4.7%). YTD 2

7. Slide 7: Group: shareholders' equity at new high

   Group financial results 3Q 2014 Group: shareholders’ equity at new high Shareholders’ equity (EUR mn) Conglomerate solvency1,2 (%) +16.2% +3%-p 58,199 185% 184% 54,979 182% 50,083 31.12.13 30.06.14 30.09.14 31.12.13 30.06.14 30.09.14 Economic solvency2 (%) S&P capital adequacy +8%-p Allianz’ rating

8. Slide 8: Group: shareholders' equity at new high - comments

   Group financial results 3Q 2014 Group: shareholders’ equity at new high Comments  Shareholders’ equity  Economic solvency Higher actuarial losses for defined benefit Slight decrease due to lower interest rates pension plans (EUR -0.5bn) more than and higher market risk only partially compensated b

9. Slide 9: P/C: strong internal growth of 4.7 percent

   Group financial results 3Q 2014 P/C: strong internal growth of 4.7 percent (EUR mn) 3Q 2014 Revenues Total Internal Price Volume growth growth1 effect effect Δ p.y. Δ p.y. Total P/C segment 11,254 +5.7% +4.7% +0.8% +4.0% Large OEs Germany 1,979 +5.0% +4.1% France 962 -0.1% -0.1% Italy 933 +9.4% -0.6

10. Slide 10: P/C: strong internal growth - comments

    Group financial results 3Q 2014 P/C: strong internal growth of 4.7 percent Comments  P/C growth  AGCS Strong internal growth, mainly driven by Liability, Engineering and ART drive Global Lines and Anglo markets as well as top-line growth. Germany. External growth contribution of  AWP +0.8%-p come

11. Slide 11: P/C: absence of cat losses drives underwriting result

    Group financial results 3Q 2014 P/C: absence of cat losses drives underwriting result Operating profit drivers (EUR mn) Combined ratio (in %) +15.2% NatCat impact1 (in %-p) +52 1,422 +150 -1.3%-p 1,235 -14 94.8 93.5 Loss ratio 67.2 65.9 4.3 0.1 Expense ratio 27.6 27.6 Operating Underwriting Investme

12. Slide 12: P/C: absence of cat losses - comments

    Group financial results 3Q 2014 P/C: absence of cat losses drives underwriting result Comments  Operating profit  Accident year loss ratio 15.2% operating profit growth driven Improves 3.1%-p to 68.5% due to lower by very strong underwriting result. NatCat. Attritional loss ratio deteriorates Inve

13. Slide 13: P/C: Germany and France drive operating profit growth

    Group financial results 3Q 2014 P/C: Germany and France drive 15 percent operating profit growth (EUR mn) 3Q 2014 Operating Δ p.y. Combined Δ p.y. NatCat Δ p.y.1 profit ratio impact in CR1 Total P/C segment 1,422 +15.2% 93.5% -1.3%-p 0.1%-p -4.2%-p Large OEs Germany 350 n.m.2 90.3% -14.9%-p 0.1%-p -

14. Slide 14: P/C: Germany and France - comments

    Group financial results 3Q 2014 P/C: Germany and France drive 15 percent operating profit growth Comments  Germany  Credit Insurance Loss ratio down due to lower NatCat The CR improves as an increase in the losses, supported by better attritional LR AY LR is more than offset by higher run-off. and

15. Slide 15: P/C: future improvement potential as underperforming units addressed

    Group financial results 3Q 2014 P/C: future improvement potential as underperforming units are being addressed1 Combined ratio < 95% > 95% <100% > 100% Key contributors Germany UK FFIC  CR of 91.0% well ahead of  CR 96.8%. Strong internal  CR 123.4%. Extensive 95% FY 2014 target. growth of 12.4%

16. Slide 16: P/C: future improvement potential - comments

    Group financial results 3Q 2014 P/C: future improvement potential as underperforming units are being addressed Comments  OEs with CRs below 95% Weighted average CR of 89% (6M 2014: 88%). Share of GPW up to 69% (6M: 63%) due to CR improvement in France to below 95%.  OEs with CRs between 95% and 10

17. Slide 17: P/C: interest income holding up well

    Group financial results 3Q 2014 P/C: interest income holding up well Operating investment result Current yield (debt securities; in %) (EUR mn) +7.3% 3Q 13 0.81 718 770 3Q 14 0.78 Total average asset base1 103.0 105.4 (EUR bn) Reinvestment yield4 (debt securities; in %) 3Q 13 3Q 14 3Q 13 2.4 Interes

18. Slide 18: P/C: interest income holding up well - comments

    Group financial results 3Q 2014 P/C: interest income holding up well Comments  Operating investment result Operating investment result up 7.3% vs 3Q 2013. This increase is mainly driven by a swing in the F/X result net of hedging.  Interest & similar income Overall flat. Higher income on equities

19. Slide 19: L/H: high growth continues

    Group financial results 3Q 2014 L/H: high growth continues… (EUR mn) 3Q 2014 Revenues Total Internal PVNBP2 Δ p.y. growth growth1 Δ p.y. Δ p.y. Total L/H segment 15,853 +24.9% +25.0% 12,384 +35.0% Large OEs Germany Life 4,292 +4.0% +4.0% 3,091 +12.3% USA 2,901 +73.5% +73.7% 3,029 +86.8% Italy 2,789

20. Slide 20: L/H: high growth continues - comments

    Group financial results 3Q 2014 L/H: high growth continues… Comments  Revenues  Italy Continuation of growth in core markets like In bancassurance reduction of guarantee USA (EUR +1.2bn) and Italy (EUR +1.2bn) for traditional products to 0.0%. Newly while sales picked up in Taiwan (EUR launched UL

21. Slide 21: L/H: and profit targets are met

    Group financial results 3Q 2014 L/H: …and profit targets are met PVNBP (EUR bn) Reserves (EUR bn) CAGR CAGR +17% +8% 469.9 434.9 413.0 42.0 90.8 81.1 Unit-linked reserves 71.2 33.5 30.6 Aggregate policy 341.8 353.8 379.1 reserves NBM 1.7% 1.9% 2.5% Net flows (EUR bn) -0.1 9.0 13.31 9M 12 9M 13 9M 14

22. Slide 22: L/H: and profit targets are met - comments

    Group financial results 3Q 2014 L/H: …and profit targets are met Comments  NBM Net flows Change in business mix and product design helped to improve NBM by ~0.5%-p  Germany Life since 2012. Consistent net flows of EUR 6.5bn (2012-9M Across countries the biggest contributor was 2014) highlight “fli

23. Slide 23: L/H: operating profit at solid level

    Group financial results 3Q 2014 L/H: operating profit at solid level (EUR mn) Operating profit by sources1,2 Operating profit by line2 +2.8% +2.8% +165 +125 769 +6 790 769 790 Transfer -228 22 from AM 30 -47 74 Thereof, EUR 22mn 225 182 transfer from AM 768 514 535 Operating Loadings Investment Expe

24. Slide 24: L/H: operating profit at solid level - comments

    Group financial results 3Q 2014 L/H: operating profit at solid level Comments  Operating profit  Expenses At solid level including substantial new Increase in line with higher production, largely business strain (EUR 119mn) and higher offset by DAC capitalization. Acquisition costs DAC amortizatio

25. Slide 25: L/H: value of new business up

    Group financial results 3Q 2014 L/H: value of new business up 36 percent (EUR mn) 3Q 2014 VNB1 Δ p.y. NBM1 Δ p.y. Operating Δ p.y. profit Total L/H segment2 293 +36.5% 2.4% +0.0%-p 790 +2.8% Large OEs Germany Life 75 -0.5% 2.4% -0.3%-p 218 +24.6% USA 96 +56.2% 3.2% -0.6%-p 158 -14.1% Italy 31 +72.6%

26. Slide 26: L/H: value of new business - comments

    Group financial results 3Q 2014 L/H: value of new business up 36 percent Comments New Business Operating profit  VNB  Germany Life Growth in VNB in line with PVNBP as healthy Increase of investment margin (EUR +72mn) NBM is supported by new product due to better result from F/X and duration genera

27. Slide 27: L/H: margin at strong level of 19bps

    Group financial results 3Q 2014 L/H: margin at strong level of 19bps (yields are pro-rata) Based on Ø book value of assets1 3Q 13 3Q 14 Reinvestment yield5 (debt securities; in %) Current yield2 1.0% 0.9% 3.3 Based on Ø aggregate policy reserves 2.7 Current yield2 1.2% 1.1% Net harvesting and other

28. Slide 28: L/H: margin at strong level - comments

    Group financial results 3Q 2014 L/H: margin at strong level of 19bps Comments  Investment margin  Policyholder participation Sound investment margin of 19bps. Lower PHP (-2%-p) helped to improve Improvement driven by swing in net investment margin as well. Profit sharing harvesting and other. mana

29. Slide 29: AM: AuM benefit from USD exchange rate

    Group financial results 3Q 2014 AM: AuM benefit from USD exchange rate (EUR bn) ∆ total AuM +7.7% +2.8% +3.2% 1,814 1,872 1,738 441 461 Allianz Group 409 +0.1% +6.4% +0.1% assets -3.6% -0.3% 3rd party AuM 1,329 1,373 1,411 1,373 1,411 31.12.13 1 30.06.14 30.09.14 30.06.14 Net flows Market F/X Conso.

30. Slide 30: AM: AuM benefit from USD exchange rate - comments

    Group financial results 3Q 2014 AM: AuM benefit from USD exchange rate Comments  Segment AuM  PIMCO investment performance 3rd party AuM on highest level since 2Q 2013, 93% of 3rd party AuM outperformed their driven by USD strengthening (1.37 USD/EUR benchmark on a trailing 3-year basis (before en

31. Slide 31: AM: revenues decline 2.6 percent

    Group financial results 3Q 2014 AM: revenues decline 2.6 percent Revenues development1 Internal growth PIMCO Internal growth (EUR mn) -2.5% -5.9% -5.9% -2.6% 1,325 1,247 25 1,703 25 1,661 1,618 42 41 40 42.7 41.6 Performance fees 1,300 1,221 Other net fee and commission income 3Q 13 3Q 14 (AuM drive

32. Slide 32: AM: revenues decline - comments

    Group financial results 3Q 2014 AM: revenues decline 2.6 percent Comments  Segment revenues  Segment 3rd party AuM margin AuM driven revenues up 3% versus 2Q Margins stable in the first three quarters 2014: 2014. Decrease versus 3Q 2013 mainly 43.9bps in 1Q, 44.2bps in 2Q and 44.2bps in due to low

33. Slide 33: AM: operating profit at target

    Group financial results 3Q 2014 AM: operating profit at target Internal growth Operating profit drivers (EUR mn) -5.0% -5.0% AllianzGI 7551 7311 +7 +12 0 6941 AllianzGI 71.0% 99 99 -24 -47 -1 -7 -1 110 70.8% PIMCO PIMCO 51.3% 645 645 594 52.4% Operating Operating Revenues Expenses F/X Operating prof

34. Slide 34: AM: operating profit at target - comments

    Group financial results 3Q 2014 AM: operating profit at target Comments  Segment operating profit  Segment CIR 9M 2014 operating profit at mid-point of 2014 3Q CIR best in 2014 YTD: 57.4% in 1Q, pro rata target range. AAM Corporate 57.9% in 2Q and 57.1% in 3Q 2014. operating loss: EUR 10mn.  PIMC

35. Slide 35: CO: operating result ahead of target

    Group financial results 3Q 2014 CO: operating result ahead of target (EUR mn) Operating loss development and components +7 +3 0 -229 -248 -29 -8.1% Operating Holding & Banking1 Alternative Consoli- Operating result Treasury Investments dation result 3Q 13 3Q 14 © Allianz SE 2014 Δ 3Q 14/13 3Q 14 -26

36. Slide 36: CO: operating result ahead of target - comments

    Group financial results 3Q 2014 CO: operating result ahead of target Comments  Operating profit Actual result ahead of 9M 2014 run-rate for full-year outlook of EUR -1.0bn to -1.2bn.  Holding & Treasury Increase of operating loss driven by release of a restructuring provision (EUR 22mn) last year.

37. Slide 37: Group: shareholders' net income up

    Group financial results 3Q 2014 Group: shareholders’ net income up 11 percent (EUR mn) 3Q 13 3Q 14 Change Operating profit 2,518 2,650 +132 Non-operating items -242 -331 -89 Realized gains/losses 133 184 +51 Impairments (net) -135 -50 +85 Income from fin. assets and liabilities carried at fair value

38. Slide 38: Group: shareholders' net income - comments

    Group financial results 3Q 2014 Group: shareholders’ net income up 11 percent Comments  Non-operating items  Tax Higher realized gains/losses and less Lower tax rate esp. due to one-off tax impairments offset by negative effect from benefits for current and previous years reclassification of tax b

39. Slide 39: Summary

    Group financial results 3Q 2014 Summary  Total revenues at EUR 28.8bn (+14.5%) Outlook1 confirmed: Operating profit outlook EUR 10bn,  Operating profit of EUR 2,650mn (+5.2%) +/- 0.5bn Upper end of the  Shareholders’ net income of target range in reach EUR 1,606mn (+11.2%)  Strong capital and ba

40. Slide 40: New dividend policy going forward

    Group financial results 3Q 2014 New dividend policy1 going forward Allocation of net income2 2014ff (in %)  Regular pay-out ratio of 50% (up from 40%) 50% 1 pay-out Healthy balance between Internal growth 20 20 Budget for dividend yield and internal growth investments in profitable growth External

41. Slide 41: Additional information: Group

    2a 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 41

42. Slide 42: Group: highlights 9M 2014

    Group financial results 3Q 2014 – Additional information on Group Group: highlights 9M 2014 2013 2014 2013 2014 9M 9M 9M 9M Group +9.8% P/C +14.0% Total revenues 84.0 92.2 (EUR mn) 4,257 (EUR bn) 3,733 3.4% 0.7% NatCat impact CR 95.0% 93.6% 3.9% 2.8% Run-off ratio Group +6.0% L/H1 +15.8% Operating p

43. Slide 43: Group: key figures

    Group financial results 3Q 2014 – Additional information on Group Group: key figures1 (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 Total revenues (EUR bn) 32.0 26.8 25.1 26.8 34.0 29.5 28.8 +3.6 84.0 92.2 +8.2 - Property-Casualty 15.2

44. Slide 44: Group: shareholders' equity and stress tests

    Group financial results 3Q 2014 – Additional information on Group Group: shareholders’ equity and stress tests Shareholders’ equity1 (EUR mn) Estimation of stress impact3 (EUR bn) +16.2% 58,199 54,979 Equity markets -30% -2.8 50,083 12,380 Unrealized 11,141 Interest rate +100bps -5.6 gains/losses 6,

45. Slide 45: Group: revaluation reserve

    Group financial results 3Q 2014 – Additional information on Group Group: revaluation reserve (EUR bn) Off-balance sheet Revaluation On-balance sheet Shareholders’ Policyholders’ reserve share share 2.3 (34.4%) 3.2 (47.9%) Real estate 58.6 Associates and joint ventures 5.9 0.7 Non- Equity 10.8 contro

46. Slide 46: Group: conglomerate solvency ratio and stress tests

    Group financial results 3Q 2014 – Additional information on Group Group: conglomerate solvency ratio and stress tests Conglomerate solvency1,2 (EUR bn) Estimation of stress impact1,2,3 +3%-p Ratio as of 30.09.14 184% 182% 185% 184% Equity markets -30% 173% 48.9 49.8 46.5 Interest rate +100bps 188% I

47. Slide 47: Group: conglomerate solvency details as of 30.09.14

    Group financial results 3Q 2014 – Additional information on Group Group: conglomerate solvency details as of 30.09.14 (EUR bn) Available funds Required capital 27.0 Shareholders’ 48.9 equity1 P/C 7.7 Dividend accruals -2.0 Goodwill, -15.7 other intangibles, DTA Subordinated bonds, +10.5 participatio

48. Slide 48: Group: economic solvency ratio and stress tests

    Group financial results 3Q 2014 – Additional information on Group Group: economic solvency ratio and stress tests Economic solvency1,2,3 (EUR bn) Estimation of stress impact3,4 Confidence level +8%-p 99.5% 194% 205% 202% Ratio as of 30.09.14 202% 67.4 67.6 Interest rate5 +100bps 211% 62.7 Interest r

49. Slide 49: Group: asset allocation

    Group financial results 3Q 2014 – Additional information on Group Group: asset allocation1 (EUR bn) Property-Casualty Life / Health Asset Corporate and Consolidation Group Management Other 30.09.13 30.09.14 30.09.13 30.09.14 30.09.13 30.09.14 30.09.13 30.09.14 30.09.13 30.09.14 30.09.13 30.09.14 Inv

50. Slide 50: Group: investment result

    Group financial results 3Q 2014 – Additional information on Group Group: investment result (EUR mn) Property-Casualty Life / Health Asset Corporate and Consolidation Group Management Other 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 2013 2014 Operating inves

51. Slide 51: Group: overview investment portfolio

    Group financial results 3Q 2014 – Additional information on Group Group: overview investment portfolio Group investments and loans1,2 Asset allocation as of 30.09.14 (30.09.13) (EUR bn) Real estate3 Cash / Other 2% (2%) 2% (2%) 597.3 Equities Debt 572.9 7% (6%) 90% (90%) 506.8 © Allianz SE 2014 30.0

52. Slide 52: Group: fixed income portfolio (30.09.14)

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio (30.09.14) By type of issuer Total By rating3 EUR 536.0bn Government 38% AAA 26% Covered 20% AA 24% Corporate 32% A 19% thereof Banking 6% BBB 26% ABS/MBS1 4% Non-investment grade 3% Other2 6% Not rated4

53. Slide 53: Group: fixed income portfolio - Government and government related

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio – Government and government related (30.09.14) By region Total By rating EUR 202.3bn1 Germany 14% AAA 25% Italy 15% AA 39% France 19% A 8% Spain 3% BBB 25% UK 1% Non-investment grade 2% Rest of Europe 19%

54. Slide 54: Group: fixed income portfolio - Covered bonds

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio – Covered bonds (30.09.14) By country Total By rating EUR 108.3bn Germany 44% AAA 57% France 16% AA 21% Spain 10% A 16% UK 4% BBB 5% Ireland 1% Non-investment grade 1% Switzerland 2% Not rated 0% Sweden 1

55. Slide 55: Group: fixed income portfolio - Corporate

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio – Corporate (30.09.14) By sector Total By rating EUR 172.0bn Banking 19% AAA 2% Other financials 8% AA 10% Consumer 18% A 34% Communication 10% BBB 45% Industrial 7% Non-investment grade 7% Utility 12% No

56. Slide 56: Group: fixed income portfolio - Banks

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio – Banks (30.09.14) By country Total By rating EUR 33.3bn Germany 12% AAA 6% UK 11% AA 21% France 10% A 50% Italy 6% BBB 17% Rest Eurozone1 18% Non-investment grade 5% Europe ex Eurozone 10% Not rated 1% U

57. Slide 57: Group: fixed income portfolio - ABS/MBS

    Group financial results 3Q 2014 – Additional information on Group Group: fixed income portfolio – ABS/MBS (30.09.14) By type of category Total By rating EUR 22.0bn U.S. Agency 15% AAA 76% CMBS 45% AA 11% RMBS 12% A 8% CMO/CDO 5% BBB 3% Credit Card 1% Non-investment grade 2% Auto 3% Not rated 0% Othe

58. Slide 58: Group: equity portfolio (30.09.14)

    Group financial results 3Q 2014 – Additional information on Group Group: equity portfolio (30.09.14) By region Total By industry EUR 39.7bn1 Germany 14% Banking 9% Eurozone ex Germany 25% Other Financials 12% Europe ex Eurozone 18% Consumer 22% NAFTA 12% Basic materials 7% Rest of World 11% Utilitie

59. Slide 59: Group: real estate portfolio

    Group financial results 3Q 2014 – Additional information on Group Group: real estate portfolio1 By region Total By sectors EUR 19.3bn2 France 32% Office 62% Germany 29% Residential 19% Switzerland 15% Retail 15% Italy 7% Other/mixed 4% Spain 3% Rest of Eurozone 6% USA 1% Rest of World 7% By segment

60. Slide 60: Additional information: Property-Casualty

    2b 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 60

61. Slide 61: P/C: key figures

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: key figures (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 Gross premiums written (EUR bn) 15.2 10.8 10.7 10.0 15.2 10.8 11.3 +0.6 36.6 37.3 +0.7 Operati

62. Slide 62: P/C: loss ratio and run-off

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: loss ratio and run-off (in %) Accident year loss ratio 7-quarter overview accident year loss ratio -3.1%-p 7Q avg. Including NatCat Excluding NatCat 71.5 68.5 73.0 0.1 71.5 4.3 67.5 67.6 69.6 68.5 69.3 67.0 67.2 68.4

63. Slide 63: P/C: expense ratio

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: expense ratio (EUR mn) in % of NPE 28.2 28.0 8,861 9,037 6.4 6.6 Admin. expenses 2,060 2,070 7.0 7.0 Other acquisition 2,265 expenses 2,218 14.5 14.6 Commissions 4,712 4,574 © Allianz SE 2014 9M 13 9M 14 63

64. Slide 64: P/C: average asset base and yields

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: average asset base and yields Average asset base1 (EUR bn) Current yield2 (in %) Other3 +2.3% Equities Cash Debt securities Equities Debt securities 104.9 102.5 7.9 7.8 5.2 5.1 6.1 4.6 1.24 1.13 0.81 0.78 85.0 85.8 ©

65. Slide 65: P/C: operating investment result

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: operating investment result1 (EUR mn) +7.3% 786 783 805 770 762 748 718 in % of NPE 7.4 7.6 6.7 7.4 7.2 7.5 6.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q 2013 2014 +0.2% Interest & similar income2 871 926 876 869 840 922 878 Net harvestin

66. Slide 66: P/C: price effects on renewals

    Group financial results 3Q 2014 – Additional information on Property-Casualty P/C: price effects on renewals Pricing overview for selected operating entities1 (in %) Actual rate change on Selected OEs Assessment/trends of rate change on renewals renewals and momentum  Stable rate change until the e

67. Slide 67: Additional information: Life/Health

    2c 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 67

68. Slide 68: L/H: key figures

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: key figures1 (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 Statutory premiums (EUR bn) 14.8 14.1 12.7 15.1 17.2 17.0 15.9 +3.2 41.7 50.0 +8.3 Operating profit

69. Slide 69: L/H: operating profit details

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: operating profit details1,2 (EUR mn) L/H Guaranteed Protection Unit-linked segment 3 savings & annuities & health w/o guarantee 3Q 2013 3Q 2014 Δ 3Q 2013 3Q 2014 3Q 2013 3Q 2014 3Q 2013 3Q 2014 Loadings & fees 1,160 1,285 +

70. Slide 70: L/H: key metrics

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: key metrics New business margin1 Value of new business1 (VNB in % of PV of NB premiums) (EUR mn) 2.6 2.5 2.3 2.4 2.4 1.8 1.7 380 360 310 293 238 1Q 2Q 3Q 4Q 1Q 2Q 3Q 215 190 2013 2014 PV of NB premiums1 (EUR bn) 15.5 13.2 1

71. Slide 71: L/H: value of new business

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: value of new business1 (EUR mn) Value of New business Present value of Recurring Single new business margin new business premium premium premium 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q 3Q Δ %2 2013 2014 2013 2014 2013 2014 2013 2014 201

72. Slide 72: L/H: new business profitability by region

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: new business profitability by region Value of new business New business margin Capital return (EUR mn)1,2 (in %)1,2 3Q 14 (in %)3 3Q 4Q 1Q 2Q 3Q 3Q 4Q 1Q 2Q 3Q Payback IRR 2013 2013 2014 2014 2014 2013 2013 2014 2014 2014 p

73. Slide 73: L/H: operating asset base

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: operating asset base Operating asset base (EUR bn) Net flows (EUR bn) 3Q 13 3Q 14 OAB 529.8 Germany Life +1.0 +0.6 as of 30.06.14 Germany Health +0.1 +0.1 Net flows +3.4 France +0.1 -0.1 Italy +0.4 +1.6 Interest & similar C

74. Slide 74: L/H: average asset base and yields

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: average asset base and yields Average asset base1,2,3 (EUR bn) Current yield2 (in %) +12.2% Other4 Equities Cash 448.6 Debt securities Equities 10.4 Debt securities 8.1 30.8 399.8 9.3 7.3 25.6 1.00 1.02 0.94 0.79 399.4 357.

75. Slide 75: L/H: operating investment result

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: operating investment result1 +14.4% 4,884 4,460 4,571 4,451 4,056 4,207 3,892 1Q 2Q 3Q 4Q 1Q 2Q 3Q 2013 2014 +2.9% Interest & similar income2 4,058 4,348 4,111 4,170 4,135 4,448 4,233 Net harvesting & other3 592 -99 -21 660

76. Slide 76: L/H: MCEV development (1/2)

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: MCEV development (1/2) (EUR mn, after non-controlling interests) Free surplus +1,033 +1,871 +31 Required capital +596 31,088 30,996 30,492 VIF 508 -1,891 555 -1,136 672 14,134 14,637 15,485 MCEV uplift: 15,803 15,943 Additi

77. Slide 77: L/H: MCEV development (2/2)

    Group financial results 3Q 2014 – Additional information on Life/Health L/H: MCEV development (2/2) (EUR mn, after non-controlling interests) 1 +596 F/X changes from US, Asia-Pacific and Switzerland 2 +1,772 = +590 Projected release of risk free profits from VIF in the reporting period +625 Projecte

78. Slide 78: Additional information: Asset Management

    2d 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 78

79. Slide 79: AM: AAM key figures (1/2)

    Group financial results 3Q 2014 – Additional information on Asset Management AM: AAM key figures1 (1/2) (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 Operating revenues 1,870 1,772 1,661 1,682 1,517 1,607 1,618 -43 5,303 4,742 -561 Per

80. Slide 80: AM: AAM key figures (2/2)

    Group financial results 3Q 2014 – Additional information on Asset Management AM: AAM key figures (2/2) (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 PIMCO Operating profit 796 700 645 599 563 597 594 -51 2,140 1,754 -387 Performance fe

81. Slide 81: AM: splits of 3rd party AuM

    Group financial results 3Q 2014 – Additional information on Asset Management AM: splits of 3rd party AuM1 AAM PIMCO AllianzGI 30.09.13 30.09.14 30.09.13 30.09.14 30.09.13 30.09.14 Regions (in %)2 America 62.9 62.2 68.0 69.0 31.7 30.5 Europe 26.9 27.7 21.7 20.7 58.3 60.3 Asia-Pacific 10.2 10.1 10.3 1

82. Slide 82: Additional information: Corporate and Other

    2e 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 82

83. Slide 83: Corporate and Other: key figures

    Group financial results 3Q 2014 – Additional information on Corporate and Other Corporate and Other: key figures1 (EUR mn) 1Q 2Q 3Q 4Q 1Q 2Q 3Q Delta 9M 9M Delta 2013 2013 2013 2013 2014 2014 2014 3Q 14/13 2013 2014 9M 14/13 Total revenues (Banking) 148 133 131 138 139 132 135 +3 412 405 -7 Operatin

84. Slide 84: Glossary

    3 1 Highlights Group financial results 3Q 2014 2 Additional information a) Group b) Property-Casualty c) Life/Health d) Asset Management e) Corporate and Other 3 Glossary © Allianz SE 2014 84

85. Slide 85: Glossary (1)

    Glossary (1) AAM Allianz Asset Management, mainly the holding company of PIMCO and AllianzGI ABS Asset-backed securities: Structured bonds or notes collateralized by a pool of assets such as loans, bonds or mortgages. As characteristics of the collaterals vary considerably (with regard to asset clas

86. Slide 86: Glossary (2)

    Glossary (2) Collateralized debt obligation Collateralized debt obligation (CDO) is a type of structured security backed by a pool of bonds, (CDO) loans and other assets. CDOs usually do not specialize in any one type of debt but are often non-mortgage loans or bonds. Collateralized mortgage obligat

87. Slide 87: Glossary (3)

    Glossary (3) FCD Financial conglomerates directive: European regulation for the supervision of financial conglomerates and financial groups involved in cross-sectoral business operations. Financial assets carried at Financial assets carried at fair value through income include debt and equity securi

88. Slide 88: Glossary (4)

    Glossary (4) IRR Internal rate of return: The discount rate which gives a zero value of new business under real-world projections after allowing for any acquisition expense overrun or underrun. L/H Life and health insurance L/H operating profit sources The objective of the Life/Health operating prof

89. Slide 89: Glossary (5)

    Glossary (5) MCEV Market consistent embedded value is a measure of the consolidated value of shareholders’ interest in a life portfolio. The Market Consistent Embedded Value is defined as Net asset value (NAV) + Present value of future profits - Time value of financial options and guarantees (O&G) -

90. Slide 90: Glossary (6)

    Glossary (6) Operating profit Earnings from ordinary activities before income taxes and non-controlling interests in earnings, excluding, as applicable for each respective segment, all or some of the following items: Income from financial assets and liabilities carried at fair value (net), realized

91. Slide 91: Glossary (7)

    Glossary (7) RoE Return on equity: Represents net income attributable to shareholders divided by the average shareholders’ equity beginning of the period and end of the period. RoRC Return on Risk Capital: Measures the expected profit from new business relative to its projected risk capital with rea

92. Slide 92: Glossary (8)

    Glossary (8) VNB Value of new business: The additional value to shareholder created through the activity of writing new business. It is defined as present value of future profits (PVFP) after acquisition expenses minus the cost of option and guarantees (O&G), minus the cost of residual non-hedgeable

93. Slide 93: Disclaimer

    Disclaimer These assessments are, as always, subject to the disclaimer provided below. Forward-looking statements The statements contained herein may include prospects, statements of extent of credit defaults, (vii) interest rate levels, (viii) currency exchange future expectations and other forward

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