The French asset manager Amundi is reportedly interested in acquiring Allianz Global Investors (AGI), the asset management arm of Germany's Allianz Group. According to a report by the news agency Bloomberg, there have been «on-and-off» talks between the two financial firms, citing insider sources.

One potential transaction structure could involve a full acquisition by Amundi or a combination with AGI, in which Allianz would retain a significant stake. Another option being considered is the creation of a joint venture that would merge specific parts of both businesses.

Exploring Various Options

Both Amundi and Allianz are reportedly working with consulting firms to evaluate various options in the asset management space. There have also been previous discussions between Allianz and Deutsche Bank regarding its subsidiary DWS.

Earlier this year, BNP Paribas announced plans to acquire the asset management arm of AXA. Additionally, Italian insurer Generali is reportedly considering a merger with Natixis Investment Managers.

Fee Pressure

European asset managers are seeking ways to achieve scale as rising costs and fee pressures weigh on profitability. Compared to their larger U.S. competitors, they remain relatively small.

Amundi, controlled by Crédit Agricole, is the undisputed leader in Europe, with over €2 trillion in assets under management. By contrast, AGI managed €555 billion in assets as of the end of June.