By Inti Landauro
PARIS--German insurer Allianz SE's (ALV.XE) French unit has
lowered its exposure to equities, private equity and Spanish
sovereign debt, in line with the group's strategy of reducing
volatility in its portfolio of assets, Jacques Richier, the chief
executive of Allianz France, said Monday.
In the past two years, the French insurance company has cut its
exposure to Spanish sovereign debt to EUR300 million and lowered
the share of its life-insurance funds invested in equities and
private equity to 6%-7% from about 10%, Richier said in an
interview with BFM Radio station. The insurance company hasn't made
any provisions for its Spanish debt holdings.
He said the company has about EUR2 billion worth of Italian
sovereign debt, because it considers that country's financial
situation as "totally different." Richier said added that Allianz
as a group firmly believes the euro zone won't break up and will
thrive.
The French unit broadly follows the parent company's guidance on
what investment strategy to follow in the various countries in
which it operates, Richier said. The change in investment
allocation is a way to limit the impact of market volatility on the
company's balance sheet.
Richier also said he expects the company's second-quarter
revenue and profit in France to be in line with the first
quarter.
Write to Inti Landauro at inti.landauro@dowjones.com