Allianz AG has become the world’s fourth-largest financial group following its bid for Dresdner for $41 billion.

Reuters indicated the deal will have huge consequences for the German financial sector, because it involves a four-way swap of strategic assets that it is expected to create several financial giants.

For a taste of what that means, try this: Munich Re will swap its 40% stake in Allianz’s principal German life insurance arm for Allianz’s 13.3% stake in banking giant HypoVereinsbank, while HypoVereinsbank will increase its stake in Munich Re’s primary insurance arm, Ergo.

Meanwhile, on the home front, speculation is increasing about a possible alliance between AMP and ANZ, although both organisations are understood to be reluctant to discuss such a possibility.