Allianz SE · XETR:ALV
Allianz — Q2 2010 Earnings Presentation
84 slides from Allianz's earnings presentation, Aug 6, 2010
Slide 1: Group financial results 2Q 2010
Oliver Bäte, Chief Financial Officer Group financial results 2Q 2010 Analysts’ conference call August 6, 2010
Slide 2: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 2
Slide 3: Highlights
Allianz Group: Financial results for the second quarter 2010 Highlights Double digit revenue growth to EUR 25.4bn Strong operating profit of EUR 2.2bn Net income at EUR 1.1bn, reflecting lower harvesting Strong capital position, with 170 percent solvency ratio © Allianz SE 2010 3
Slide 4: Quarterly results overview
Allianz Group: Financial results for the second quarter 2010 Quarterly results overview (EUR mn) 2Q 08 3Q 08 4Q 08 1Q 09 2Q 09 3Q 09 4Q 09 1Q 10 2Q 10 +14.5%1 Total revenues 30.6 27.7 25.4 (EUR bn) 21.5 23.0 22.2 22.0 25.5 21.1 +22.7% Operating 2,659 profit 1,929 2,048 2,191 1,563 1,786 1,709 1,419
Slide 5: Strong capitalization
Allianz Group: Financial results for the second quarter 2010 Strong capitalization Shareholders’ equity1 Conglomerate solvency3 (EUR mn) (EUR bn) +0.7% Available funds Solvency ratio Requirement 43,461 43,764 +2%-p 40,166 6,244 5,925 164% 168% 170% Unrealized gains/losses 5,457 Revenue 8,582 9,204 6
Slide 6: Well capitalized to withstand market shocks
Allianz Group: Financial results for the second quarter 2010 Well capitalized to withstand market shocks Conglomerate solvency ratio1 Impact on IFRS equity1 Target range: 150% - 170% Estimation in EUR bn 100% Ratio as of 30.06.10 170% Equity markets -30%2 156% -3.1 Interest rate +100bps 171% -3.8 In
Slide 7: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 7
Slide 8: Revenues: double digit growth
Allianz Group: Financial results for the second quarter 2010 Revenues: double digit growth (EUR bn) Total revenues1 30.6 27.7 25.5 25.4 23.0 22.2 22.0 21.5 21.1 14.0 Total Internal 13.9 8.9 (in %) 10.0 growth growth2 9.0 9.5 9.8 10.2 2Q 10 +14.5 +10.8 10.8 13.1 13.0 P/C +4.5 +0.5 11.8 10.8 15.2 15.4
Slide 9: Strong operating profit up 23%
Allianz Group: Financial results for the second quarter 2010 Strong operating profit up 23% (EUR mn) Property/Casualty Life/Health 2Q 10 Δ 2Q 10/09 +28.2% -28.0% 1,681 P/C 1,147 +28.2% 1,147 895 990 703 713 L/H 713 -28.0% 2Q 2008 2009 2010 2008 2009 2010 AM 516 +109.8% Asset Management Corporate and
Slide 10: Non-operating items
Allianz Group: Financial results for the second quarter 2010 Non-operating items (EUR mn) 2Q 08 2Q 09 2Q 10 Δ 10/09 2Q 09 2Q 10 Realized gains/losses Realized gains/losses 959 181 and impairments of 548 815 -6 -821 - Equities 898 177 investments (net) - Debt securities 49 -21 - Real estate 12 25 Int
Slide 11: Net income change reflects lower harvesting
Allianz Group: Financial results for the second quarter 2010 Net income change reflects lower harvesting (EUR mn) 2Q 08 2Q 09 2Q 10 Δ 10/09 Operating profit 2,659 1,786 2,191 +405 Non-operating items 156 548 -597 -1,145 Income before taxes 2,815 2,334 1,594 -740 Income taxes -509 -447 -509 -62 Net i
Slide 12: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 12
Slide 13: P/C: summary
Allianz Group: Financial results for the second quarter 2010 P/C: summary Revenues at EUR 10.0bn Operating profit of EUR 1,147mn, up 28 percent ! Combined ratio 96.3 percent NatCat still above normal with 2.6 percentage points and run-off with 4.2 percentage points © Allianz SE 2010 13
Slide 14: P/C: revenues at EUR 10bn
Allianz Group: Financial results for the second quarter 2010 P/C: revenues at EUR 10bn (EUR mn) Revenues (EUR bn) Revenues (sel. OEs) 2Q 08 2Q 09 2Q 10 Δ10/091 Germany 1,696 1,682 1,642 -2.4% Countries Speaking German +4.5% Switzerland 124 126 137 +1.6% France2 843 734 714 -2.7% South America Europe
Slide 15: P/C: operating profit increased by 28%
Allianz Group: Financial results for the second quarter 2010 P/C: operating profit increased by 28% (EUR mn) Operating profit Operating profit drivers Combined ratio (in %) +28.2% +217 +62 1,147 895 -27 1,681 1,261 1,209 1,169 1,147 969 1,031 895 712 Operating Under- Invest- Other Operating profit w
Slide 16: P/C: combined ratio at 96.3%
Allianz Group: Financial results for the second quarter 2010 P/C: combined ratio at 96.3% In % Combined ratio 2Q 08 2Q 09 2Q 10 -2.6%-p Germany1 100.0 106.2 100.4 Countries Speaking German Switzerland 94.0 91.5 91.9 100.4 96.2 98.7 98.9 96.9 95.3 96.3 93.5 96.5 France 96.1 106.2 103.8 South America
Slide 17: P/C: NatCat impact remains high with 2.6%
Allianz Group: Financial results for the second quarter 2010 P/C: NatCat impact remains high with 2.6% (in %) 9-quarter overview a.y. loss ratio Development 2Q 10/09 Including NatCat 75.9 Excluding NatCat 73.4 72.7 -0.3 -0.4 +1.5 72.8 72.7 -0.7 72.6 72.4 72.1 72.8 71.5 71.5 (9Q-Ø) 70.9 72.0 71.3 71.
Slide 18: P/C: expenses
Allianz Group: Financial results for the second quarter 2010 P/C: expenses (EUR mn) in % of NPE 27.4 28.3 27.7 2,657 2,688 2,586 Expense ratio reduced by Admin. expenses 0.6%-p to 27.7% & other acquisition 12.6 13.4 13.0 expenses F/X impact increased expenses by EUR +88mn 1,192 1,259 1,258 Adm
Slide 19: P/C: stable operating investment income
Allianz Group: Financial results for the second quarter 2010 P/C: stable operating investment income Operating investment income (EUR mn) +7.9% 1,073 948 851 844 786 782 791 774 693 in % of NPE 11.4 9.6 8.1 9.1 8.4 8.1 7.4 8.2 8.7 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2008 2009 2010 +3.9% Interest & similar in
Slide 20: P/C: investment portfolio at EUR 95bn
Allianz Group: Financial results for the second quarter 2010 P/C: investment portfolio at EUR 95bn Average asset base (EUR bn) Current yield3 (in %) Other1 +7.5% Equities Cash2 Debt securities Equities 94.9 3.25 Debt 91.6 sec. 88.3 6.6 6.7 6.8 4.5 4.4 5.1 2.25 5.5 11.9 4.7 1.34 1.07 1.01 68.6 71.3 7
Slide 21: P/C: favorable price trends
Allianz Group: Financial results for the second quarter 2010 P/C: favorable price trends Pricing overview for selected major operations1 (in %) Price impact Nominal tariff Estimated Selected OEs on YTD increase FY2011 Expert assessment of the market renewals2 for 20103 pricing trend Ongoing price
Slide 22: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 22
Slide 23: L/H: summary
Allianz Group: Financial results for the second quarter 2010 L/H: summary Revenues up 16.2 percent to EUR 14.1bn Operating profit at EUR 713mn ! Operating asset base up by EUR 11bn to EUR 414bn Value of new business of EUR 247mn, and new business margin of 2.2 percent © Allianz SE 2010 23
Slide 24: L/H: strong revenue growth of 16.2%
Allianz Group: Financial results for the second quarter 2010 L/H: strong revenue growth of 16.2% (EUR mn) Revenues (EUR bn) Revenues 2Q 08 2Q 09 2Q 10 Δ10/091 (selected OEs) +20.0% Germany Life 3,077 3,436 3,985 +16.0% Countries Speaking German Germany Health 779 792 798 +0.8% Switzerland 206 260 23
Slide 25: L/H: operating profit of EUR 713mn
Allianz Group: Financial results for the second quarter 2010 L/H: operating profit of EUR 713mn (EUR mn) Operating profit Operating profit drivers -28.0% 990 +8 990 +165 713 859 812 703 713 -450 557 402 218 Operating Techn. Investm. Expense Operating profit result result result profit 2Q 09 Δ 2Q 10/
Slide 26: L/H: operating investment income of EUR 3.8bn
Allianz Group: Financial results for the second quarter 2010 L/H: operating investment income of EUR 3.8bn Operating investment income (EUR mn) -13.5% 4,393 3,741 3,737 3,938 3,800 2,700 2,015 2,159 299 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2008 2009 2010 +10.1% Interest & similar income1 3,759 3,235 3,365 3,2
Slide 27: L/H: positive net inflows
Allianz Group: Financial results for the second quarter 2010 L/H: positive net inflows (EUR bn) Operating asset base1 OAB as of 31.03.2010 402.9 Net flows 2Q 09 2Q 10 Germany Life +0.6 +0.8 Net inflows +2.4 Germany Health +0.2 +0.2 France -0.2 +0.0 Interest & +4.0 Italy -0.2 +0.3 similar income2 Oth
Slide 28: L/H: total asset base increased by 16%
Allianz Group: Financial results for the second quarter 2010 L/H: total asset base increased by 16% Average total asset base Current yield4 (in %) (EUR bn)1 Other2 +15.6% Equities Cash Debt securities Equities Debt 338.3 8.1 2.18 sec. 4.8 21.7 1.82 1.77 292.6 279.4 7.6 7.7 6.73 5.83 18.3 1.22 1.18 1
Slide 29: L/H: solid value of new business
Allianz Group: Financial results for the second quarter 2010 L/H: solid value of new business New business margin1 Value of new business1 (VNB in % of PV of NB premiums) (EUR mn) 286 2.4 2.4 2.2 2.2 1.8 249 247 174 2Q 3Q 4Q 1Q 2Q 145 2009 2010 PV of NB premiums1 (EUR mn) 12,081 11,471 11,177 8,133 7
Slide 30: L/H: strong new business margin across all regions
Allianz Group: Financial results for the second quarter 2010 L/H: strong new business margin across all regions Value of new business and New business margin (in %)1,2 new business margin1 2.8 VNB NBM 2.6 (EUR mn) (in %) 2.4 2.4 2Q 09 2Q 10 2Q 09 2Q 10 2.2 2.2 Europe 155 202 2.7% 2.6% 1.8 Asia-Pacif
Slide 31: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 31
Slide 32: AM: summary
Allianz Group: Financial results for the second quarter 2010 AM: summary 3rd party AuM now exceed EUR 1.1tn, total AuM now surpassing EUR 1.4tn ! Strong 3rd party net inflows with EUR 23bn Outstanding operating profit of EUR 516mn and cost-income ratio of 56.6 percent © Allianz SE 2010 32
Slide 33: AM: 3rd party AuM at EUR 1.1tn
Allianz Group: Financial results for the second quarter 2010 AM: 3rd party AuM at EUR 1.1tn 3rd party AuM (EUR bn) +40.0% Internal 1,1391 growth: 2 +28.8% 145 813 1 740 Other 1 128 Equities 142 Fixed 597 684 992 income 30.06.08 30.06.09 30.06.10 © Allianz SE 2010 Total AuM2 981 1,067 1,430 1) Includ
Slide 34: AM: strong 3rd party net inflows of EUR 23bn
Allianz Group: Financial results for the second quarter 2010 AM1: strong 3rd party net inflows of EUR 23bn 3rd party net flow development (EUR bn) 37.0 33.2 21.0 22.0 22.6 7.0 5.7 6.7 -39.0 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2008 2009 2010 © Allianz SE 2010 Net flows in % of 3rd 1.0 0.8 -5.4 1.0 2.8 4.2 2.6
Slide 35: AM: net fee and commission income up 58%
Allianz Group: Financial results for the second quarter 2010 AM: net fee and commission income up 58% Net fee and commission income (EUR mn) Internal +58.0% growth: +48.9% 1,1882 3rd party AuM driven margin1 (in bps) 88 721 752 Performance fees 30 20 36.8 36.1 39.1 Net fees & commissions 691 732 1,1
Slide 36: AM: exceptional operating profit of EUR 516mn
Allianz Group: Financial results for the second quarter 2010 AM: exceptional operating profit of EUR 516mn (EUR mn) Operating profit Operating profit drivers Cost-income ratio (in %) +109.8%1 +436 -28 516 576 -138 516 466 246 368 281 218 246 Operating Net fee & Other Operat. Operating 211 profit com
Slide 37: AM: outstanding fixed income performance continues
Allianz Group: Financial results for the second quarter 2010 AM: outstanding fixed income performance continues Fixed income 3rd party AuM Performance Operating profit (EUR bn) (Outperforming AuM in %) (EUR mn) +45.1% +79.4% 992 90 443 79 71 597 684 247 195 Net flows +8.1 +22.4 +27.7 in 2Q 30.06.08
Slide 38: AM: 3rd party equities AuM at EUR 145bn
Allianz Group: Financial results for the second quarter 2010 AM: 3rd party equities AuM at EUR 145bn Equities 3rd party AuM Performance Operating profit1 (EUR bn) (Outperforming AuM in %) (EUR mn) +13.0% n/m 145 24 25 142 78 128 63 62 Net flows -0.8 -1.6 -4.8 in 2Q -13 30.06.08 30.06.09 30.06.10 30.
Slide 39: AM: strong growth in net income contribution
Allianz Group: Financial results for the second quarter 2010 AM: strong growth in net income contribution Net income (EUR mn) +107.2% 230 194 146 143 130 121 111 92 80 53 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q AM net income 2008 2009 2010 in % of Group net income1 5.5 5.2 9.2 n/m 21.7 5.9 10.9 17.8 9.0 21.2
Slide 40: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 40
Slide 41: Summary: well on track to meet our targets
Allianz Group: Financial results for the second quarter 2010 Summary: well on track to meet our targets Double digit revenue growth to EUR 25.4bn Strong operating profit of EUR 2.2bn Net income at EUR 1.1bn, reflecting lower harvesting Strong capital position, with 170 percent solvency ratio
Slide 42: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 42
Slide 43: Group: result by segments overview
Allianz Group: Financial results for the second quarter 2010 Group: result by segments overview (EUR mn) P/C L/H AM CO Consolidation Total 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 Total revenues 9.5 10.0 11.8 14.1 0.8 1.2 0.1 0.1 0.0 0.0 22.2 25.4 (EUR bn) Operating pr
Slide 44: Group: key figures
Allianz Group: Financial results for the second quarter 2010 Group: key figures (EUR mn) 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Delta 6M 6M 6M 2008 2008 2008 2009 2009 2009 2009 2010 2010 2Q 10/09 2008 2009 2010 Total revenues 21.5 21.1 23.0 27.7 22.2 22.0 25.5 30.6 25.4 +3.2 48.5 49.9 56.0 (EUR bn) Operating p
Slide 45: P/C: key figures
Allianz Group: Financial results for the second quarter 2010 P/C: key figures (EUR mn) 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Delta 6M 6M 6M 2008 2008 2008 2009 2009 2009 2009 2010 2010 2Q 10/09 2008 2009 2010 Gross premiums written 9.8 10.8 9.0 13.9 9.5 10.2 8.9 14.0 10.0 +0.5 23.6 23.4 23.9 (EUR bn) Operating
Slide 46: L/H: key figures
Allianz Group: Financial results for the second quarter 2010 L/H: key figures (EUR mn) 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Delta 6M 6M 6M 2008 2008 2008 2009 2009 2009 2009 2010 2010 2Q 10/09 2008 2009 2010 Statutory premiums 10.7 9.4 13.1 13.0 11.8 10.8 15.2 15.4 14.1 +2.3 23.1 24.8 29.5 (EUR bn) Operating
Slide 47: L/H: operating investment income – details
Allianz Group: Financial results for the second quarter 2010 L/H: operating investment income – details (EUR mn) 2Q 08 3Q 08 4Q 08 1Q 09 2Q 09 3Q 09 4Q 09 1Q 10 2Q 10 1 Interest & similar income 3,759 3,235 3,365 3,261 3,611 3,541 3,431 3,522 3,974 Investment expenses -120 -110 -213 -138 -152 -151 -
Slide 48: L/H: new business
Allianz Group: Financial results for the second quarter 2010 L/H: new business (EUR mn) Value of New business Present value of Recurring Single new business margin new business premium premium premium 1 10 1 2Q 09 1 2Q 10 2 09 2Q 2Q 2Q209 2Q 110 Δ %2 2Q 09 1 2Q 10 2Q 092 2Q 10 2 2 Germany Life 77 92
Slide 49: L/H: positive net inflows
Allianz Group: Financial results for the second quarter 2010 L/H: positive net inflows (EUR bn) Operating asset base1 402.9 +4.0 +8.3 413.7 +2.4 -3.9 OAB Net Interest & Market F/X OAB as of inflows similar income2 effects3 effects as of 31.03.2010 30.06.2010 OAB as of 31.03.2010 Net inflows 2Q 09 2Q
Slide 50: AM: key figures
Allianz Group: Financial results for the second quarter 2010 AM: key figures (EUR mn) 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Delta 6M 6M 6M 2008 2008 2008 2009 2009 2009 2009 2010 2010 2Q 10/09 2008 2009 2010 Operating revenues 738 700 726 716 780 899 1,294 1,116 1,188 +408 1,468 1,496 2,304 Operating profit 28
Slide 51: AM: 3rd party AuM
Allianz Group: Financial results for the second quarter 2010 AM: 3rd party AuM1 (EUR bn) AuM development AuM client mix AuM regional breakdown2 Retail 1,139 1,139 Institutional 18 100 31.12.09 926 374 172 Internal Other3 Net inflows growth: 813 813 +60 22 +11.2% 740 Asia-Pacific 740 126 and rest 60
Slide 52: Corporate and Other: key figures
Allianz Group: Financial results for the second quarter 2010 Corporate and Other: key figures (EUR mn) 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Delta 6M 6M 6M 2008 2008 2008 2009 2009 2009 2009 2010 2010 2Q 10/09 2008 2009 2010 Total revenues (Banking) 156 125 131 117 124 119 157 128 138 +14 299 241 266 Operating
Slide 53: Corporate and Other
Allianz Group: Financial results for the second quarter 2010 Corporate and Other (EUR mn) Operating loss Operating loss components n/m 6 +78 +7 +1 -155 +72 -313 -155 Operating Holding Banking Alternative Cons. Operating loss & Treasury Investments loss 2Q 09 Δ 2Q 10/09 2Q 10 2Q 10 -138 -15 -2 0 -313
Slide 54: Corporate and Other: Holding & Treasury
Allianz Group: Financial results for the second quarter 2010 Corporate and Other: Holding & Treasury (EUR mn) Holding & Treasury operating loss drivers Δ 09/08 +95 +19 -16 -26 -138 -210 Operating F/X result Net Expenses Other1 Operating loss incl. hedges interest loss 2Q 09 2Q 10 2Q 10 +6 +29 -155 -
Slide 55: Group asset allocation
Allianz Group: Financial results for the second quarter 2010 Group asset allocation (EUR bn) Corporate and P/C L/H AM Consolidation Group1 Other Balance sheet items 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 Investments Equities 2 4.3 5.2 18.2 21.4 0.1 0.1 4.6 3.8 0.0 0.
Slide 56: Average AuM P/C and L/H: basis for yield calculation
Allianz Group: Financial results for the second quarter 2010 Average AuM P/C and L/H: basis for yield calculation (EUR bn) P/C L/H Balance sheet items 31.03.10 30.06.10 Average 31.03.10 30.06.10 Average Investments Equities 1 5,0 5,2 5,1 21,9 21,4 21,7 Debt sec. 61,0 62,1 61,6 196,4 208,5 202,5 Cash
Slide 57: Investment result
Allianz Group: Financial results for the second quarter 2010 Investment result (EUR mn) Corporate und P/C L/H AM Consolidation Group1 Sonstiges 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 2Q 09 2Q 10 Operating investment result Interest and similar income2 906 941 3,611 3,974 -2 -1 8
Slide 58: Shareholders' equity
Allianz Group: Financial results for the second quarter 2010 Shareholders’ equity (EUR mn) Foreign Unrealized Paid-in Revenue currency Shareholders' Non-controlling gains and Total equity capital reserves translation equity interests losses (net) adjustments Balance as of 31.12.08 28,569 7,110 -4,00
Slide 59: Revaluation reserve of EUR 25bn
Allianz Group: Financial results for the second quarter 2010 Revaluation reserve of EUR 25bn (EUR bn) Off balance sheet Revaluation On balance sheet reserve Shareholders’ Policyholders’ share share 24.8 Real estate 2.0 (39%) 2.2 (43%) 5.1 5.8 Associated enterprises, joint ventures 10.4 0.0 Minoritie
Slide 60: Conglomerate solvency: details as of 30.06.10
Allianz Group: Financial results for the second quarter 2010 Conglomerate solvency1: details as of 30.06.10 (EUR bn) Available funds Required capital Shareholders’ 22.1 40.7 equity1 Dividend accruals -1.0 P/C 6.9 Goodwill, other intangibles -15.4 Commerzbank shares -0.7 Subordinated bonds, participa
Slide 61: Overview investment portfolio
Allianz Group: Financial results for the second quarter 2010 Overview investment portfolio (EUR bn) Group investments and loans1 as of 30.06.10 (31.12.09) Total EUR 440bn (EUR 409bn) 440 409 Real estate2 Cash / Other 2% (2%) 1% (1%) 383 Equities 7% (8%) © Allianz SE 2010 Debt instruments 30.06.09 31
Slide 62: Limited impairments – good credit history
Allianz Group: Financial results for the second quarter 2010 Limited impairments – good credit history (EUR mn) AFS and HTM debt impairments Insurance 12M 12M 12M 12M 1Q 2Q Total since Debt 2006 2007 2008 2009 2010 2010 2006 Government 0 0 0 0 0 0 0 Pfandbrief & covered bonds 0 0 0 0 0 0 0 Banks 0 0
Slide 63: Fixed income portfolio (30.06.10)
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio (30.06.10) Asset allocation Rating profile3 Government 34% 36% 36% AAA 50% 49% 49% Pfandbrief & AA covered bonds 25% 27% 26% A Corporate 14% 14% 12% BBB 16% 16% 18% Banks Non-investment 23% 24% 25% 9% 9% 9% ABS/MBS1
Slide 64: Fixed income portfolio: government and government related
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio: government and government related (30.06.10) By country Total By rating EUR 143.6bn1 Germany 25% AAA 46% Italy 19% AA 18% France 14% A 29% Spain 4% BBB 3% UK 2% Non-investment grade 2% Rest of Europe 22% Not rated 2
Slide 65: Fixed income portfolio: covered bonds
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio: covered bonds (30.06.10) By country of collateral pool Total By rating EUR 99.2bn Germany 59% AAA 92% Spain 11% AA 3% France 12% A 3% UK 4% BBB 1% Ireland 2% Non-investment grade 0% Switzerland 1% Not rated 1% Swede
Slide 66: Fixed income portfolio: corporates excl. banks
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio: corporates excl. banks (30.06.10) By region Total By rating EUR 70.4bn Eurozone 38% AAA 4% Europe ex Eurozone 11% AA 10% NAFTA 45% A 37% Rest of World 6% BBB 34% Non-investment grade 4% Not rated1 11% By segment (EU
Slide 67: Fixed income portfolio: banks
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio: banks (30.06.10) By country Total By rating EUR 34.8bn Germany 15% AAA 14% UK 13% AA 23% France 7% A 53% Italy 6% BBB 8% Rest Eurozone 18% Non-investment grade 1% Europe ex Eurozone 9% Not rated 1% USA 19% Rest of W
Slide 68: Bank subdebt
Allianz Group: Financial results for the second quarter 2010 Bank subdebt1 (30.06.10) Lower Tier 2 Upper Tier 2 Tier 1 EUR 7.7bn gross EUR 0.6bn gross EUR 1.6bn gross AAA 1% AAA 0% AA 18% AA 16% A 60% A 22% BBB 18% BBB 51% Below BBB /not rated 3% Below BBB /not rated 11% UK 2% USA 16% UK 18% UK 8% F
Slide 69: Fixed income portfolio: ABS/MBS
Allianz Group: Financial results for the second quarter 2010 Fixed income portfolio: ABS/MBS (30.06.10) By type of category Total By rating EUR 23.9bn U.S. Agency 34% AAA 82% CMBS 35% AA 4% RMBS 7% A 8% CMO/CDO 8% BBB <1% Credit Card 3% Non-investment grade 5% Auto 1% Not rated <1% Other 12% By segm
Slide 70: CMBS, RMBS and structured credit exposure
Allianz Group: Financial results for the second quarter 2010 CMBS, RMBS and structured credit exposure (30.06.10) CMBS RMBS Structured credit 2008 3% USA vintage 2008 2001 7% Rest of 2007 and prior Europe 2006 11% 18% 2007 4% 22% 2006 NL and prior 68% IRL/SP/UK 2002- 2005 60% Gross EUR 8.3bn Gross E
Slide 71: Equity portfolio (30.06.10)
Allianz Group: Financial results for the second quarter 2010 Equity portfolio (30.06.10) By regions Total By industry Germany 23% EUR 30.3 bn1 Financials 25% Eurozone Consumer 15% ex Germany 36% Basic materials 11% Europe ex Eurozone 17% Utilities 5% NAFTA 13% Industrial 7% Rest of World 11% Energy
Slide 72: Equity exposure
Allianz Group: Financial results for the second quarter 2010 Equity exposure (EUR bn) Gross equity exposure Net equity exposure Equity gearing 34.11 33.51 5.2 1 30.3 0.4 0.4 0.3 33.1 4.8 3.9 4.5 0.7 0.7 0.7 12.5 11.5 10.3 4.3 20.7 23.5 23.7 -1.0 3.3 3.3 0.5 0.5 0.4 4.4 4.6 4.4 4.4 5.1 5.2 2.1 3.1 3.
Slide 73: Equity market scenarios
Allianz Group: Financial results for the second quarter 2010 Equity market scenarios (as of 30.06.10, EUR bn) Expected total P/L impact1 … … and resulting unrealized gains / losses on AFS equity securities in shareholders’ equity1 Equity market scenarios2: 2.9 0.0 2.1 -0.2 -0.2 -0.2 -0.2 -0.2 1.5 0.
Slide 74: Net equity exposure and solvency
Allianz Group: Financial results for the second quarter 2010 Net equity exposure and solvency (EUR bn) 31.12.09 31.03.10 30.06.10 36.3 37.6 34.8 13.6 14.7 15.5 12.5 11.9 11.5 21.2 21.6 22.1 Net equity Available Net equity Available Net equity Available exposure funds for exposure funds for exposure
Slide 75: Real estate portfolio
Allianz Group: Financial results for the second quarter 2010 Real estate portfolio1 By regions Total By sectors EUR 15.5bn2 France 31% Office 61% Germany 28% Residential 22% Switzerland 15% Retail 8% Rest of Europe 21% Other / mixed 9% Rest of World 5% By currency Net unrealized gains / losses3 (EUR
Slide 76: Agenda
Agenda Highlights Group P/C L/H Asset Management Summary Additional information Glossary © Allianz SE 2010 76
Slide 77: Glossary (1)
Glossary (1) ABS Asset-backed securities: Structured bonds or notes collateralized by a pool of assets such as loans, bonds or mortgages. Given that characteristics of the collaterals vary considerably (with regard to asset class, quality, maturity, etc.), asset-backed securities do so as well AFS A
Slide 78: Glossary (2)
Glossary (2) DAC Deferred acquisition costs: Commissions, underwriting expenses and policy issuance costs, which vary with and are primarily related to the acquisition and renewal of insurance contracts. These acquisition costs are deferred, to the extent that they are recoverable, and are subject t
Slide 79: Glossary (3)
Glossary (3) GPW Gross premiums written: Total premiums for insurance contracts written during a period, before reinsurance ceded Gross/Net In insurance terminology the terms “gross” and “net” mean before and after consideration of reinsurance ceded, respectively. In investment terminology the term
Slide 80: Glossary (4)
Glossary (4) L/H operating profit drivers The objective of the Life/Health operating profit driver analysis is to explain movements in IFRS results by analyzing underlying drivers on a L/H segment consolidated basis. Technical result: Technical result comprises risk result (difference between total
Slide 81: Glossary (5)
Glossary (5) NPE Net premiums earned OAB Operating asset base: Operating asset base represents all operating investment assets within L/H segment. This includes investments & loans, financial assets and liabilities carried at fair value as well as unit linked investments. Market value liability opti
Slide 82: Glossary (6)
Glossary (6) PVNBP Present value of new future business premiums: Present value of projected new regular premiums, discounted with risk free rates, plus the total amount of single premiums received Reinsurance Where an insurer transfers part of the risk which he has assumed to another insurer Reside
Slide 83: Glossary (7)
Glossary (7) Technical result L/H Comprises risk result (difference between total risk premiums and benefits in excess of reserves net of policyholder participation), lapse result (sum of "surrender charges" assessed and "commission claw- backs" minus deferred acquisition cost written off on lapsed
Slide 84: Disclaimer
Disclaimer These assessments are, as always, subject to the disclaimer provided below. Cautionary note regarding forward-looking statements The statements contained herein may include statements of future expectations and other forward-looking statements that are based on management’s current views