German based financial services provider and insurance company Allianz SE (ETR: ALV) has fired two asset managers who were in charge of the company’s group of investment funds which collapsed following a string of losses courtesy of the coronavirus pandemic which has indeed crippled many industries around the world.
The collapse of $15 billion Structured Alpha funds has landed the company into problems with the U.S. Department of Justice (DOJ) and Securities and Exchange Commission as the both entities are carrying investigations to find out what went wrong with the funds.
According to a regulatory filing, portfolio manager, Greg Tournant, who has been with Allianz Global Investors since 2002, was in charge of running the Structured Alpha funds.
“Tournant was discharged for violation of firm policies designed to ensure compliance with industry regulations and standards relating to the preparation and provision of client communications,” states the filing by U.S. Financial Industry Regulatory Authority.
The second sacked victim, Stephen Bond-Nelson, was dismissed for violation of the company’s compliance policies.