Allianz shares too were caught up in the negative atmosphere surrounding financials in 2007, trading at € 147.95 as of December 31, 2007, 4.4 % below the previous year’s figure. However, Allianz shares fell substantially less than our major competitors. We view this as an indication that investors have noticed and to some extent acknowledged the successes achieved in our operations. We will propose to increase the dividend significantly to € 5.50.
Allianz shares declined in value by 4.4 % in the year under review. This result was significantly better than our most important benchmark, the Dow Jones EURO STOXX Insurance (-10.0 %). This index reflects the prices of the largest insurance companies in the Eurozone. Overall market indices, on the other hand, performed noticeably better. The Dow Jones EURO STOXX 50 rose by 6.8 % and the DAX surged 22.3 %. The U.S. mortgage crisis was the principal factor in making investors stay clear of financials. This general attitude also dragged down our share price. After reaching almost € 180 in mid-year, the price of Allianz shares fell appreciably over the second half of the year in the wake of the U.S. credit crunch. Despite this disappointing price performance, most analysts surveyed by Bloomberg continued to be positive about Allianz shares. Around 74 % recommended them as a buy at end of February 2008.
In spite of the setback in 2007 the longer-term performance of the share price has been strong. Over the past three years the average annual price gain has been 14.9 %, while in the past five years the value of Allianz shares has risen by 12.9% each year on average.
At the following page we have made a share calculator available to you, with which you can work out the performance of your personal investments.