Allianz SE · XETR:ALV

Allianz — German Corporate Conference 2006

34 slides from Allianz's conference presentation, Jun 1, 2006

  1. Slide 1: Building a global asset manager

    Joachim Faber, Member of the Board Building a global asset manager German Corporate Conference June 1, 2006

  2. Slide 2: Agenda

    Agenda Group overview and results 2 Allianz Global Investors 11 Additional information 23 0605_HK_German Corporate Conference_FINAL.ppt © Allianz AG 2006 2

  3. Slide 3: Allianz' businesses

    Allianz’ businesses Property/Casualty Life/Health Banking Asset Management ƒ Total revenues1: ƒ Total revenues1: ƒ Net operating re- ƒ 3rd party AuM: EUR 44.1bn EUR 48.1bn venues1: EUR 6.3bn EUR 743bn 0605_HK_German Corporate Conference_FINAL.ppt 17% 7% 6%3% 6% 26% 15% Germany 32% 26% 23% 6% Italy 1

  4. Slide 4: 2006 – a very good start into the year (1)

    2006 – a very good start into the year (1) Total revenues (EUR bn) Internal ƒ Development in line with +4.9% growth: 29.6 +2.9% expectations 28.3 25.2 23.7 23.8 ƒ Strong growth particularly in New Europe and Asia-Pacific 0605_HK_German Corporate Conference_FINAL.ppt 1Q 2Q 3Q 4Q 1Q 2005 2006 Operatin

  5. Slide 5: 2006 – a very good start into the year (2)

    2006 – a very good start into the year (2) Net income (EUR m) +34.4% ƒ High quality of result: net income 1,779 improvement entirely driven by 1,324 1,390 operating profit 794 872 0605_HK_German Corporate Conference_FINAL.ppt 1Q 2Q 3Q 4Q 1Q 2005 2006 Shareholders’ equity1 (EUR bn) +4.6% ƒ Profit fur

  6. Slide 6: 2006 - operating profitability further strengthened (1)

    2006 - operating profitability further strengthened (1) Property/Casualty insurance Life/Health insurance GPW (EUR bn) 14.1 +0.0% 14.1 GPW (EUR bn) 11.9 +7.9% 12.8 CR (%) 94.0 94.7 Margin (bps)2 18 22 Operating profit Operating 0605_HK_German Corporate Conference_FINAL.ppt +14.2% +39.8% (EUR m) prof

  7. Slide 7: 2006 - operating profitability further strengthened (2)

    2006 - operating profitability further strengthened (2) Dresdner Bank Asset Management Op. rev. (EUR bn) 1.6 +16.1% 1.9 Op. rev. (EUR bn) 0.6 +32.5% 0.8 CIR (%) 81.0 73.7 CIR (%) 59.3 59.5 Operating profit Operating profit 0605_HK_German Corporate Conference_FINAL.ppt +153.1% +31.6% (EUR m) (EUR m)

  8. Slide 8: 2006 - Profitability progress on track

    2006 - Profitability progress on track 2Qe – 4Qe 1Qa Operating profit (EUR m) Net income (EUR m) + 0.7bn +0.5bn 4,9191 0605_HK_German Corporate Conference_FINAL.ppt 4,380 8,7291 8,003 6,116 76% 6,052 69% + 3,056 70% 3,140 64% 1,324 1,779 1,887 2,677 2005 2006 2005 2006 © Allianz AG 2006 = Increasing

  9. Slide 9: Agenda

    Agenda Group overview and results 2 Allianz Global Investors 9 Additional information 23 0605_HK_German Corporate Conference_FINAL.ppt © Allianz AG 2006 9

  10. Slide 10: Allianz Global Investors - top five in global asset management in only 15 months

    Allianz Global Investors - top five in global asset management in only 15 months Acquisition Integration Internal Growth 1998 1999 2000 2001 2002 2003 2005 2004 3rd-party AuM1 23 30 336 564 513 523 707 May 2000 23 July 2001 0605_HK_German Corporate Conference_FINAL.ppt + EUR 228 bn2 + EUR 36 bn2 + E

  11. Slide 11: Allianz Global Investors fully established among the world's leading asset managers

    Allianz Global Investors fully established among the world’s leading asset managers AGI AuM vs. relevant peers and Allianz AuM breakdown Ranking of largest active asset managers AuM Allianz Group EUR bn, end-2005 EUR bn, 2005 Fixed Equity Income 1 Fidelity 1,024 1,266 0605_HK_German Corporate Confer

  12. Slide 12: Consistent AuM growth 8% p.a. on top of market yield

    Consistent AuM growth 8% p.a. on top of market yield Development of Allianz Global Investors’ third-party AuM1 vs. market indices EUR bn MSCI World Net Return (LC)2 SSB World +13% p.a. 899 0605_HK_German Corporate Conference_FINAL.ppt Gov’t (LC)2 774 689 585 561 +5% p.a. +5% p.a. © Allianz AG 2006 2

  13. Slide 13: PIMCO at the heart of Allianz Global Investors' growth story

    PIMCO at the heart of Allianz Global Investors’ growth story PIMCO AuM development by region USD bn CAGR 2002-05 +20% p.a. 557 0605_HK_German Corporate Conference_FINAL.ppt 471 66 40% Additional assets 55 48% “powered by PIMCO” 398 52 USD 67bn1 38 324 36 28 Asia Pacific 24 Europe 17 437 15% 380 334

  14. Slide 14: Allianz Global Investors' earnings power is concentrated in four units

    Allianz Global Investors’ earnings power is concentrated in four units Operating Earnings by entity Increasing earnings diversification In % of total1, 2005 US Equity Managers ƒ Leveraging regional distribution units 0605_HK_German Corporate Conference_FINAL.ppt 4% AllianzGI AP ƒ Improved performanc

  15. Slide 15: Allianz Global Investors' investment outperformance increasingly driven by equity

    Allianz Global Investors’ investment outperformance increasingly driven by equity Account based asset-weighted outperformance of third party assets (in %)1 Fixed Income 95 91 95 96 96 85 0605_HK_German Corporate Conference_FINAL.ppt AllianzGI 82 67 83 82 89 76 80 73 1-year 3-year Equity 79 65 1-year

  16. Slide 16: Allianz Global Investors successfully coped with equity market downturn

    Allianz Global Investors successfully coped with equity market downturn in the early-2000s Restructuring of equity managers Equity manager Major measures/ results Change of operating Investment expenses ‘04 vs. ‘01 performance (%)1 ƒ Streamlining of product portfolio 71 RCM US ƒ Active management of

  17. Slide 17: US Retail: leveraging Allianz Global Investors common distribution platform

    US Retail: leveraging Allianz Global Investors common distribution platform Retail distribution US Net inflows US – Ranking versus peers1 Common platform: Net inflows Allianz Global 2001 2002 2003 2004 2005 1 Vanguard American American American American Investors 2 American Vanguard Vanguard Vanguar

  18. Slide 18: Germany: leveraging Allianz Group's distribution power and superior products

    Germany: leveraging Allianz Group’s distribution power and superior products Net inflows 20051 (EUR bn) AuM market share1 (%) Total (EUR bn) 311 418 Allianz GI 13.8 DWS 25.0 23.9 DWS 8.9 Union 16.9 17.0 Mutual 0605_HK_German Corporate Conference_FINAL.ppt Deka 19.6 16.5 funds Union 6.7 Allianz GI 13

  19. Slide 19: Allianz Global Investors has consistently proven competitive in capturing net flows

    Allianz Global Investors has consistently proven to be competitive in capturing net flows Third party net flows (EUR bn) Comments % AuM bop Outstanding record of capturing net flows 65 ƒ Achieving positive net flows 0605_HK_German Corporate Conference_FINAL.ppt each quarter since it was 43 founded 2

  20. Slide 20: Consistently improved profitability

    Consistently improved profitability Operating profit (EUR m) Cost-income ratio (%) +24% p.a.2 -22.3%-p 0605_HK_German Corporate Conference_FINAL.ppt 1,124 80.7 78.5 67.8 851 63.0 58.4 716 469 495 20011 2002 2003 2004 2005 20011 2002 2003 2004 2005 © Allianz AG 2006 Ø Peers3 +7% p.a. Ø Peers3 75.7 76

  21. Slide 21: While cost management remains important, business growth will drive profitability

    While cost management remains important, business growth will drive profitability going forward Operating profit driver analysis (EUR m) Share of total change of operating profit 80% 1,124 20% 0605_HK_German Corporate Conference_FINAL.ppt 40% 60% 495 2002 Cost Business 2005 Cost Business 2008e manag

  22. Slide 22: Taking our business to the next level

    Taking our business to the next level 2002 Internal Perspective 2006 External Perspective 2008 Best 3 talent required Sustainable growth through to truly become 0605_HK_German Corporate Conference_FINAL.ppt client centricity: the preeminent ƒ Listen to client and market needs global asset manager ƒ

  23. Slide 23: Agenda

    Agenda Group overview and results 2 Allianz Global Investors 9 Additional information 23 0605_HK_German Corporate Conference_FINAL.ppt © Allianz AG 2006 23

  24. Slide 24: Reporting changes (1/3): transparency significantly improved

    Reporting changes (1/3): transparency significantly improved… Reporting changes effective 1Q 2006 Improvements ƒ Consistent labels across all New P&L1 ƒ P&L structure reworked reporting formats structure ƒ Individual P&L positions newly defined ƒ Ratios can be directly derived from P&L position 0605

  25. Slide 25: Reporting changes (2/3): no change in net income

    Reporting changes (2/3): …no change in net income (EUR m) Old reporting format New reporting format 2005 2006 2005 2006 1Q 2Q 3Q 4Q 12M 1Q ∆1Q 1Q 2Q 3Q 4Q 12M 1Q ∆1Q 06/05 06/05 Op. profit 1,820 2,374 1,723 1,826 7,743 2,450 +630 Op. profit2 1,887 2,346 1,864 1,906 8,003 2,677 +790 0605_HK_German Co

  26. Slide 26: Reporting changes (3/3): reconciliation of published merger plan figures

    Reporting changes (3/3): reconciliation of published merger plan figures (EUR m) Old reporting format New reporting format Plan Plan Plan Plan Plan Plan 2006 2007 2008 2006 2007 2008 CAGR Operating profit 8,359 9,239 10,362 Operating profit2 8,729 9,387 10,564 2005-2008 - P/C 4,267 4,454 4,988 - P/C

  27. Slide 27: Strong capital base

    Strong capital base (EUR bn) Shareholders’ equity1 Conglomerate solvency Risk capital Requirement Solvency ratio Risk capital requirement Coverage ratio Available Funds Available risk-bearing funds +4.6% 169% 173% 149% 153% 0605_HK_German Corporate Conference_FINAL.ppt 41.3 55.8 58.4 39.5 41.7 40.0

  28. Slide 28: Group: key figures per quarter

    Group: key figures per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Total revenues (EUR bn) 28.3 23.7 23.8 25.2 29.6 1.3 Operating profit 1,887 2,346 1,864 1,906 2,677 790 0605_HK_German Corporate Conference_FINAL.ppt Non-operating items 368 -212 -218 -112 354 -14 Income b/ tax, min. 2,25

  29. Slide 29: P/C: key figures and ratios per quarter

    P/C: key figures and ratios per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Gross premiums written (EUR bn) 14.1 9.6 10.4 9.6 14.1 0 Operating profit 1,214 1,650 992 1,286 1,386 172 0605_HK_German Corporate Conference_FINAL.ppt Non-operating items 516 100 188 220 428 -88 Income b/ tax, m

  30. Slide 30: L/H: key figures and ratios per quarter

    L/H: key figures and ratios per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Statutory premiums (EUR bn) 11.9 12.1 11.2 13.2 12.8 0.9 Operating profit 517 472 556 549 723 206 0605_HK_German Corporate Conference_FINAL.ppt Non-operating items 88 37 28 24 158 70 Income b/ tax, min. 605 509 5

  31. Slide 31: Dresdner Bank: key figures and ratios per quarter

    Dresdner Bank1: key figures and ratios per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Operating revenues 1,623 1,330 1,510 1,576 1,884 261 Operating profit 209 205 225 -9 529 320 Non-operating items 450 218 -29 186 392 -58 0605_HK_German Corporate Conference_FINAL.ppt Income b/ taxes, m

  32. Slide 32: Asset Management: key figures and ratios per quarter

    Asset Management: key figures and ratios per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Operating revenues 567 642 710 804 751 184 Operating profit 231 254 300 349 304 73 Non-operating items -164 -175 -212 -158 -136 28 0605_HK_German Corporate Conference_FINAL.ppt Income b/taxes, min. 6

  33. Slide 33: Corporate segment: key figures per quarter

    Corporate segment: key figures per quarter (EUR m) 2005 2006 Delta 1Q 2Q 3Q 4Q 1Q 1Q 06/05 Operating profit -267 -190 -223 -201 -180 87 Non-operating items -123 -381 -230 -384 -211 -88 Income b/taxes, min. -390 -571 -453 -585 -391 -1 0605_HK_German Corporate Conference_FINAL.ppt Income taxes 153 231

  34. Slide 34: Disclaimer

    Disclaimer These assessments are, as always, subject to the disclaimer provided below. Cautionary Note Regarding Forward-Looking Statements Certain of the statements contained herein may be statements of future expectations and other forward-looking statements that are based on management's current

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