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FRANKFURT, Feb 21 (Reuters) – Allianz (ALVG.DE) has dismissed two asset managers who oversaw a group of investment money that collapsed following racking up substantial losses when the distribute of coronavirus triggered wild sector swings, according to regulatory filings.
The downfall of the $15 billion Structured Alpha cash has landed the German insurance coverage firm in very hot drinking water with the U.S. Section of Justice (DOJ) and Securities and Trade Fee, which are the two investigating what went completely wrong.
The funds had been operate by portfolio manager Greg Tournant, who experienced been with Allianz International Buyers since 2002, in accordance to a profile that made use of to be on Allianz’s web-site.
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“(Tournant) was discharged for violation of company insurance policies created to guarantee compliance with marketplace regulations and expectations relating to the preparation and provision of client communications,” in accordance to a filing on Dec. 13 by the U.S. Economical Marketplace Regulatory Authority.
Reuters documented in Oct that the DOJ was seeking into achievable misconduct by supervisors of the Structured Alpha resources and the misrepresentation of chance to buyers. read through extra
Tournant did not right away reply to a LinkedIn information seeking comment and has not responded to a number of preceding attempts by Reuters to get hold of him. Allianz declined to remark.
A next Allianz personnel, Stephen Bond-Nelson, was “discharged for violation of business compliance insurance policies”, in accordance to a separate filing. Reuters was unable to reach Bond-Nelson for comment.
Traders in the resources, which were being predominantly U.S. community pension money, have sued Allianz