Mutual on growth path
Scottish Friendly funds under management hit £1bn
The 8% rise to £1.078 billion came on top of a 5% increase in total sales to £21.6 million. Sales are based on the industry standard measure of regular premiums plus one tenth of single premiums.
Strong growth from partnerships, such as the one with Sun Life Direct announced last year, helped to increase sales, increase membership numbers and maintain acquisition costs.
Glasgow-based Scottish Friendly, acquired Marine and General Mutual (M&GM) in February in a move that will double its assets to more than £2bn.
Fiona McBain, chief executive, said: “Scottish Friendly has had a great year and we are very pleased with the progress we have made. Significant business growth continues to build the foundations for long-term success.
“The transfer of M&GM to Scottish Friendly will be the biggest in the group’s history. When complete it will be a landmark moment for our business that will bring great opportunities and significant economies of scale.
“The organisation has adopted a long-term three-part strategy of mergers and consolidations, organic growth and business process outsourcing. We have shown growth on all fronts over the past year and expect to continue to be well-placed to seek out new opportunities in the future.”