Allianz, the giant German insurer and money manager, has promoted PIMCO Chief Investment Officer Bill Thompson and Dresdner RCM Global Investors CIO Bill Price to be head of global fixed-income and CIO of the Americas, respectively, for Allianz Asset Management, according to BW sister publication Money Management Letter. The duo will report to Munich-based Joachim Faber and Udo Frank.
The promotions have fueled speculation among industry players that Allianz is planning to merge its money management subsidiaries--a move that would break from its long-standing tradition of allowing affiliates to remain relatively independent. A PIMCO spokesman said the fixed-income teams at PIMCO, Dresdner RCM, and Nicholas Applegate Capital Management now would report to Thompson. He insisted, however that the German parent has no plans to merge the three firms. Calls to officials at both Dresdner RCM and Allianz were not returned.
One buy-side consultant, citing conversations with Dresdner RCM officials, said that Price's new role would, in fact, include "looking for synergies between the affiliates." Another market pro added, "it appears as if they are looking for ways to bring the affiliates closer together." One consultant speculated that the promotions have the potential to cause strife among the three affiliates, because Dresdner RCM, PIMCO, and Nicholas Applegate have long been rivals, and officials at all three firms might not appreciate having to report to the competition.