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A Munich-based financial services company is set to roll out a new retirement products business in Australia amidst revelations of misconduct throughout the nation's financial services industry.
The move comes as the ongoing royal commission investigation revealed widespread unethical and unlawful conduct in the financial services sector – not only becoming a reputational nightmare for Australia's largest banks and money managers, but will also potentially opening doors for more regulation, structural reform, and as opportunities for new players.
Allianz SE's new Australian business will be launched in alliance with global fixed-income manager PIMCO and will target the country’s $2.6trn retirement savings pool, Reuters and Money Management reported.
The business would be initially headed by Adrian Stewart, PIMCO’s head in Australia and New Zealand, who has led the collaboration since its inception in 2015, while the search for a new CEO is being held.
Richard Feledy, managing director of Allianz Australia, said there is a significant demand for retirement-income solutions not only in Australia, but also abroad.
“It is a global challenge that we should all be focused on solving,” Feledy said.
The new business is expected to create and fill more than 50 Sydney-based jobs, the reports said.
