Italian insurance giant Generali has agreed to acquire Union Investment TFI, a Polish asset management company, from Germany-based Union Asset Management for an undisclosed price.
Image: Generali to acquire Union Investment TFI from Union Asset Management. Photo: courtesy of Massimo Goina/ Assicurazioni Generali S.p.A.
Union Investment TFI with €3.3bn worth assets under management will significantly bolster Generali’s footprint in Poland.
With nearly 135,000 retail investors and 550 institutional investors under its fold, the Polish asset management company offers a variety of fund products across equities, fixed income and absolute return.
It also has its own internal fund manufacturing capabilities along with other investment solutions.
Generali, on the other hand, has managed assets of about €500bn, largely made up of fixed income bonds, with the rest in shares, real estate investments and cash.
Of its total portfolio, Generali has dedicated an average of 80% to insurance asset management, while the rest is made up of investments on behalf of non-insurance customers and unit-linked customers.
Generali Asset Management CEO Timothy Ryan said: “In addition to our multiboutique initiative for Europe announced in May 2017, we seek to benefit from the growth opportunity of CEE, especially in Poland, the largest market in the region.
“We will be leveraging on the strong position of Generali Poland and Union Investment TFI, combining our own expertise with that of experienced local investment professionals who have an excellent performance track record, to deliver the best possible investment solutions to customers.”
Generali CEE CEO and Austria, CEE & Russia regional officer Luciano Cirinà said: “The Austria, CEE & Russia Region is pressing forward with the development of joint activities that combine insurance and asset management lines.”
The acquired Union Investment TFI will be supervised by Generali’s regional office located in Prague as part of the asset management line.
Cirinà said: “Thanks to the contribution made by the company’s present team, nothing significant will change for its customers. Going forward, we will be combining the skills and know-how of the Generali Group and the company to offer customers and business partners best-inclass insurance and financial products and services.”