Total funds under management grew by 20% to £101bn ($125bn, €112.6bn) in the year to 30 September 2016, up from £84.5bn for the previous year, which it said was a “particularly good result” when many of its peers were experiencing high net outflows.
Chief executive Phil Loney also said the business had held up well against the volatile backdrop as a result of the uncertainty surrounding the UK’s membership of the European Union.
He said: “The combination of new businesses inflows in our asset management and pensions business and rising asset values, means that Royal London for the first time has more than £100bn in funds under management.
Institutional sales have been particularly strong and wholesale business has held up well through the volatility stemming from the UK referendum on EU membership.”
Expanded range boost
Royal London said credit and multi-asset strategies have driven much of the group’s growth in assets under management (AUM).
On the £100bn figure, Loney added: “Reaching this significant funds under management milestone reflects growth by acquisition and organically, as well as the expanded fund range developed by our asset management arm over the past five years.
“At the end of December 2011 funds under management were £46.2bn. The impressive growth demonstrates the commitment to growing institutional and wholesale assets through innovation in the credit and multi asset capabilities as well as the success of our award–winning pensions range for individual and workplace pensions.”
Investment platform Ascentric reported a decline in gross sales from £1.9bn in the year to 30 September 2015 to £1.6bn, while assets under administration grew by 17% from £10.1bn to £11.8bn.
Total intermediary new life and pensions was up by 28% to just over £6bn, while group pensions were up by 50% to just less than £2.9bn.
Individual pensions and drawdown was up by 11% to £2.7bn and intermediary protection increased by 22% to £440m.
Royal London said its rebranded whole of life product had been “very well received” and it boasted its highest ever market share of the Irish protection market due to its product innovation.