Tr?id=566623520170033&ev=PageView&noscript=1

Allianz Terminates Two Portfolio Managers After Investment Fund Collapses

Posted on March 1st, 2022 at 1:47 PM
Allianz Terminates Two Portfolio Managers After Investment Fund Collapses

From the Desk of Jim Eccleston at Eccleston Law:

Allianz has fired two portfolio managers who monitored a group of investment funds that failed after generating massive losses at the outset of the pandemic, and after the U.S. Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) announced plans to investigate.


The $15 billion Structured Alpha funds were supervised by Greg Tournant, a portfolio manager who joined Allianz Global Investors in 2002, according to the SEC. The DOJ already had begun investigating the Structured Alpha funds as early as last October for the potential misrepresentation of risk to investors, according to Reuters. Numerous fund investors, including several U.S. public pension funds, have filed suit against Allianz and are seeking a total of $6 billion in damages.


The Allianz funds typically utilized complex options strategies to generate returns. However, the outset of the pandemic sparked market volatility, which caused the funds to suffer severe losses, up to 80% in some cases. Some of the U.S. public pension funds are alleging that Allianz deviated from its proprietary investment strategy of hedging to limit downside risk. Allianz announced last week that it had approved $4.2 billion to be set aside to handle the aftermath, which will reduce compensation for its chief executive as well as other board members and cause the company to suffer a fourth-quarter loss.


Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

 
 

Tags: eccleston, eccleston law, SEC

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

We just wanted to say thanks for your work in helping us get back some of the money we lost. We are not by any means rich, but we have saved some money and we have done so through a tight-fisted approach to most everything we do. So losing a significant chunk of money hurt…especially at a time when everyone else was growing their accounts. We really appreciate the work you did.

Allan and Adele

LATEST NEWS AND ARTICLES

1789155492 Law
September 11, 2026
SEC Considers Investor Test to Expand Accredited Investor Eligibility

The Securities and Exchange (SEC) Chairman Paul S.

1789059399 Law
September 10, 2026
Advisors Emphasize Early Planning as Key Defense Against Elder Financial Exploitation

Elder financial exploitation has reached crisis levels, according to InvestmentNews.

1789059201 Law
September 10, 2026
FINRA Arbitration Panel Awards $509,000 in Suit Over Conservation Easement Investments

InvestmentNews reports that a three-person arbitration panel under the aegis of Financial Industry Regulatory Authority (FINRA) Dispute Resolution Services awarded $509,000 in damages to clients of Strategic Financial Alliance Inc.