Allianz Global Investors has merged its German retail and institutional fund companies to form a new €175.2bn ($220bn) unit. The asset manager said the move reflects increasing convergence between the two types of business.

The newly formed unit, called Allianz Global Investors Kapitalanlagegesellschaft, will combine the assets from its merged companies, taking €60.3bn from Deutscher Investment Trust Gesellschaft; €84bn from Dresdnerbank Investment Management; €19.2bn managed by AGI Advisory and €11.7bn from Pimco Europe.