Europe's largest insurer sees profits plunge 80%

German insurer Allianz has seen profits fall 80% in the third quarter as the impact of investments in European banks, and Greece, impacted returns.

Allianz, the largest insurer by market cap in Europe, said net profits fell to €258m in the three months to end of September, down from €1.27bn a year ago. The group said it had to writedown its positions in Greek debt to below 39% of its face value, resulting in a €198m hit. Total non-operating writedowns were €931m. According to the FT, the group said investments in Commerzbank, Italy's UniCredit and Banco Popular of Spain, as well as companies outside of the eurozone such as China Pacific Insurance Group and US insurer The Hartford, all dragged on profits. This morning shares in...