Allianz has – once again – presented a gold-rimmed balance sheet.
And CEO Oliver Bäte promised even more capital efficiency and even higher dividends.
But the risks that Bäte has taken are obvious.
In an effort to trim asset management for higher returns, Allianz Global Investors in the United States has attracted client money with controversial funds.
Claims for damages are now pending, for which the group has to set aside 3.7 billion euros.
The failed hedge fund strategy can not only be expensive, it also damages the reputation of the long-established Munich insurer, which has been targeted by the American judiciary.
It is also not very helpful that Bäte made Allianz the main sponsor of the Olympic Games against the will of other board members.
When he signed the expensive contract with the International Olympic Committee in 2018, Beijing was known as the venue.
The accusations made against China of systematic human rights violations certainly do nothing to improve a sponsor's image.
Bäte's contract runs until 2024 - so there's plenty of time for a bug fix.