Sustainability Report 2021 02.2 Sustainability in proprietary investments 01 Introduction 02.2.1 Integrating sustainability Due to a change in the timings, the PRI results for in proprietary investments Our sustainability integration approach as an asset owner 2021 reporting are due in June 2022. Please see 02 Measuring and This is a simplified visualization of our sustainability integration approach across our proprietary investment our latest PRI assessment results from 2020 in the managing sustainability Sustainability integration and portfolio and asset classes (illustration not to scale). Allianz Sustainability Report 2020. Sustainability in our business activities engagement Our latest and past PRI Transparency 02.1 Sustainability in insurance Sustainability integration is fundamental to our € 212 bn Reports can be found on our profile on the 02.2 Sustainability in Non-listed investments PRI website. proprietary investments investment processes to ensure we consider risks 3 in 02.3 Sustainability in asset management and opportunities that extend beyond traditional € 12 bn We have invested more than € 849 billion Sustainability in our organization investment considerations. Integration of Sstainable a wide range of asset classes (2020: € 835 bn). sustainability across our proprietary investments is investments We systematically integrate sustainability 02.4 Human resources 2 considerations across our entire investment 02.5 Customer satisfaction steered by Allianz Investment Management (AIM) globally across all portfolios, regions and asset portfolio2 and enhance and deepen 02.6 Environmental management our approach, which is comprised of the classes. AIM is the main group-wide investment 03 Strengthening management function for proprietary assets. following elements: our foundation It works closely with Global Sustainability and Global AZ Portfolio € 11 bn 1. Asset manager selection, appointment with our internal asset managers, PIMCO and 89 ­nvestments €it‚ and monitoring 04 Climate-related Allianz Global Investors (AllianzGI), to develop 1  Environmental financial disclosure investment-related approaches such as € 849 bn obƒectives As an asset owner committed to the PRI and a the coal phase-out plan and sustainable ESG Screened founding member of the U.N.-convened Net- 05 Our universal principles investment strategies. Zero Asset Owner Alliance, our position on We are committed to the Principles for Responsible sustainability and our climate ambitions are clear; it is critical for the insurance industry to support Investment (PRI) and are part of a U.N.-supported 1  real world decarbonization in line with 1.5°C. international network of investors working together 1 € 12 bn to promote the incorporation of sustainability into  ­nvestments €it‚ Our portfolio goals cannot be achieved without Social obƒectives the close collaboration and support of asset investment decision-making. The PRI guide our € 1 bn managers. We select and appoint asset managers approach to responsible investment and drive ­nvestments €it‚ that align their activities with our long-term continuous improvement across our businesses. E„S obƒectives interest in limiting climate change. To support In addition to the disclosures contained in this this, we have defined minimum expectations and report, we report annually to the PRI as an € 6 bn asset owner.1 isted investments systematic engagement and monitoring practices for asset managers. 1 Allianz SE and Allianz Investment Management SE jointly prepare Allianz’s disclosure to the PRI as an asset owner, while AllianzGI and PIMCO each prepare a PRI Report as asset managers. 2 Sustainability integration processes and coverage vary by asset class and between the type of portfolio and mandate. Minimum standards for sustainability integration are in place for covering all investments through the Allianz sustainability Functional Rule for Investments. 3 Figures based on economic view. Compared to accounting view it reflects a volume increase due to switch from book to market values and changed asset scope (e.g. including For Valuation Only (FVO), trading and real estate own-use). 25