Allianz Global Investors, the fund management unit of Europe’s largest insurer Allianz SE, criticized investment banks for share sales it deemed “mishandled” and threatened to stop participating in so-called block sales, according to a letter obtained by Bloomberg News.
U.K. stocks are beating European equities by the widest margin in more than two years, luring investors who say the fastest profit growth in the developed world will prolong the advantage as the debt crisis worsens.
European stocks fell for a second week as the euro area’s budget deficit widened to more than double the European Union’s 3 percent limit in 2009, led by Greece and Ireland, offsetting better-than-expected results from companies including Ericsson AB and Volvo AB.
European stocks fell, as selloffs in Nokia Oyj and Deutsche Bank AG overshadowed debt sales by Ireland, Spain and Greece and investors awaited the latest policy statement from the U.S. Federal Reserve.
French stocks headed for their biggest three-day drop since November 2008, led by tumbling bank shares, on speculation that lenders are struggling to fund themselves and their debt ratings will be cut.