Seven years earlier than expected: SEC lifts restrictions – Allianz is allowed to conduct US fund business again

The U.S. Securities and Exchange Commission (SEC) is lifting all restrictions on Allianz and its asset management subsidiary, Allianz Global Investors (AGI). CEO Oliver Bäte announced this, as reported by Handelsblatt, among others. "We can resume asset management in the U.S. – seven years earlier than expected," Bäte is quoted as saying.

The ban on doing business with US investment funds was originally intended to last for ten years. The sanctions were imposed on Allianz in May 2022 following the scandal surrounding the Structured Alpha funds of its subsidiary Allianz Global Investors (AGI) .

Billion-dollar settlement after hedge fund debacle

The scandal had far-reaching consequences for the Munich-based company. Portfolio managers at a US branch of AGI concealed losses in the affected funds. US pension funds and other investors lost six billion dollars due to investments based on complex options strategies.

As a result of the guilty plea, a settlement with the US authorities was reached for fines and compensation payments of approximately six billion dollars. AGI US was also disqualified from the US market.

As a result, Allianz sold AGI US's fund business to Voya Investment Managers and dissolved AGI US as a legal entity in June 2024.

SEC confirms end of restrictions

The law firm Sullivan & Cromwell, on behalf of Allianz, began discussions with the SEC in early 2025 to obtain clarity on the exemption from the restrictions. The SEC confirmed on July 8 that the Allianz companies were no longer disqualified.

In the letter, Marc Mehrespand, Deputy General Counsel of the Asset Management Department, stated: "We understand that your client will proceed on the basis described. We do not object and have no further questions."

Allianz can now once again offer advisory services to investment funds registered in the US. For Bäte, the end of the scandal is a great relief. It had cast a shadow over the group's otherwise strong balance sheet.

The future of asset management remains open

Bäte left open the question of what the future holds for asset management. The pressure for consolidation remains high in the industry, but "not with us." Negotiations about a merger between AGI and its larger competitor, Amundi, failed at the end of last year .

Bäte expressed his satisfaction with the asset manager. The CEO highlighted the closer integration of asset management with the life insurance business. He sees significant growth opportunities in retirement planning solutions for the coming years.