Royal London profit up as life and pension sales fall
Barry O’Dwyer: outstanding
Insurer Royal London has reported a 5% dip in life and pensions sales to £10.7 billion, adding that the decline has been “industry wide”.
However, overall assets under management rose 22% to £139bn.
European embedded value (EEV) operating profit before tax was 5.1% higher at £416 million in 2019 compared to £396 million in 2018.
Unveiling his first results since joining from Standard Life Aberdeen, Barry O’Dwyer, group chief executive, said: “Royal London had a successful 2019 despite last year’s political and economic uncertainty.
“Our investment performance has been outstanding with 98% of active funds outperforming their three-year benchmark.
“Our robust capital position means we do not expect the virus to have any material long-term impact on our business.”
Kevin Parry, chairman, commented: “Our ProfitShare is 7% lower than last year due to the economic outlook indicating that the low interest rate environment will continue for some time yet.
“Our strong financial performance has helped to limit the economic impact on this year’s award, allowing us to add an aggregate £140m to eligible customers’ savings.”