L&G 2009 Final Results Part 6

RNS Number : 9841I

Legal & General Group Plc

23 March 2010

 



New Business								Page 89
6.01 Investment management new business
								Increase/
						2009	2008	(decrease)
						£m	£m	%
Managed pension funds1
Pooled funds						25,606	26,733	(4)
Segregated funds						3,381	841	302
Total managed funds						28,987	27,574	5
Other funds2						4,297	5,517	(22)
Total new funds						33,284	33,091	1
Attributable to:
Legal & General Investment Management						31,485	30,873	2
Legal & General Retail Investments						1,799	2,218	(19)
6.02 Investment management new business quarterly progression
	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to
	31.12.09	30.09.09	30.06.09	31.03.09	31.12.08	30.09.08	30.06.08	31.03.09
	£m	£m	£m	£m	£m	£m	£m	£m
Managed pension funds1
Pooled funds	6,742	7,076	5,763	6,025	3,423	9,748	8,254	5,308
Segregated funds	1,344	790	533	714	430	47	141	223
Total managed funds	8,086	7,866	6,296	6,739	3,853	9,795	8,395	5,531
Other funds2	869	1,326	1,382	720	890	908	3,151	568
Total new funds	8,955	9,192	7,678	7,459	4,743	10,703	11,546	6,099
Attributable to:
Legal & General
Investment Management	8,450	8,853	7,166	7,016	4,185	10,464	10,611	5,613
Legal & General
Retail Investments	505	339	512	443	558	239	935	486
6.03 Legal & General Investment Management new business by investment approach
							2009	2008
							%	%
Indexed equities							49.3	45.2
Indexed bonds (including index linked funds and cash)							26.8	41.2
Active bonds (including index linked funds and cash)							13.7	7.2
Structured solutions							9.7	6.2
Property							0.5	0.2
Total							100.0	100.0
1. New monies from pension fund clients of Legal & General Assurance (Pensions Management) exclude £7.9bn (2008: £7.4bn) held through the year on a temporary basis, generally as part of portfolio reconstructions.
2. Includes segregated property, property partnerships, private equity partnerships and institutional clients funds managed by Legal & General Investment Management and institutional investments in unit trust funds managed by Legal & General Retail Investments.
New Business								Page 90
6.04 UK funds under management
								Increase/
						2009	2008	(decrease)
						£m	£m	%
Total investments						315,101	264,228	19
Represented by
Index tracking funds:
- UK equities						68,971	54,780	26
- Overseas equities						73,858	54,366	36
- Fixed interest						36,534	35,912	2
- Index linked						28,245	30,704	(8)
- Cash/deposits						695	(186)	N/A
Total index tracking funds						208,303	175,576	19
Actively managed funds						76,860	65,872	17
Structured solutions						29,938	22,780	31
						315,101	264,228	19
By investment approach
Index equities						142,828	109,146	31
Index bonds (including index linked funds and cash)						65,475	66,430	(1)
Active bonds (including index linked funds and cash)						61,167	51,439	19
Structured solutions						29,938	22,780	31
Active equities						8,788	7,576	16
Property						6,675	6,646	-
Private equity						230	211	9
						315,101	264,228	19
By source of business
Institutional funds under management1:
- Managed pension funds pooled						190,792	160,946	19
- Structured solutions						29,938	22,780	31
- Other						11,261	8,631	30
- Managed pension funds segregated						4,330	3,832	13
Total institutional funds under management						236,321	196,189	20
UK businesses (life and general insurance funds)						65,106	57,688	13
UK businesses (unit trusts - excluding life fund investment)						13,674	10,351	32
						315,101	264,228	19
1.  Excludes institutional investments in unit trust funds.
Additional funds under management of £19bn (2008: £16bn) derived from retail investments and funds managed overseas, take total worldwide funds under management to £334bn (2008: £280bn).
New Business								Page 91
6.05 Worldwide new business
		Annual	Single		Annual	Single
		premiums	premiums	APE	premiums	premiums	APE	Increase/
		2009	2009	2009	2008	2008	2008	(decrease)
		£m	£m	£m	£m	£m	£m	%
Protection
- Individual		123	-	123	140	-	140	(12)
- Group		57	-	57	67	-	67	(15)
		180	-	180	207	-	207	(13)
Annuities
- Individual (non profit)		-	962	96	-	841	84	14
- Individual (with-profits)		-	17	2	-	27	3	(33)
- Bulk purchase		-	883	88	-	1,938	194	(55)
		-	1,862	186	-	2,806	281	(34)
Total Risk		180	1,862	366	207	2,806	488	(25)
Core retail investments1
- Unit trusts		10	2,595	269	12	1,466	159	69
- ISAs		22	838	106	29	413	70	51
Non profit Savings
- Unit linked bonds		-	677	68	-	1,306	131	(48)
- Individual pensions		144	1,279	272	181	1,460	327	(17)
- DWP rebates		-	10	1	-	8	1	-
With-profits Savings
- Bonds		-	553	55	-	283	28	96
- Individual pensions		102	211	123	106	434	149	(17)
- DWP rebates		-	115	12	-	118	12	-
- Group pensions		1	-	1	2	3	2	(50)
Total Savings		279	6,278	907	330	5,491	879	3
- USA		49	-	49	51	-	51	(4)
- Netherlands		8	142	22	13	157	29	(24)
- France		14	237	38	17	164	33	15
		71	379	109	81	321	113	(4)
France retail investment business		-	56	6	-	63	6	-
Total International
new business		71	435	115	81	384	119	(3)
Total worldwide
new business		530	8,575	1,388	618	8,681	1,486	(7)
1. Core retail investments excludes institutional investments in unit trust funds which are disclosed as part of institutional fund management new business (see Note 6.01).
New Business								Page 92
6.06 Worldwide new business APE quarterly progression
	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to
	31.12.09	30.09.09	30.06.09	31.03.09	31.12.08	30.09.08	30.06.08	31.03.09
	£m	£m	£m	£m	£m	£m	£m	£m
Protection
- Individual	31	32	30	30	33	34	37	36
- Group	16	11	16	14	16	14	23	14
	47	43	46	44	49	48	60	50
Annuities
- Individual (non profit)	16	22	25	33	26	20	20	18
- Individual (with-profits)	1	-	1	-	1	-	1	1
- Bulk purchase	9	5	24	50	31	25	66	72
	26	27	50	83	58	45	87	91
Total Risk	73	70	96	127	107	93	147	141
Core retail investments1
- Unit trusts	85	73	65	46	47	37	45	30
- ISAs	32	34	26	14	14	16	28	12
Non profit savings
- Unit linked bonds	23	13	14	18	30	26	35	40
- Individual pensions	60	65	71	76	82	83	93	69
- DWP rebates	-	1	-	-	-	1	-	-
With-profits savings
- Bonds	11	13	18	13	8	9	7	4
- Individual pensions	22	22	40	39	31	33	47	38
- DWP rebates	1	4	7	-	1	4	6	1
- Group pensions	-	-	1	-	-	1	1	-
Total Savings	234	225	242	206	213	210	262	194
- USA	9	11	13	16	15	12	12	12
- Netherlands	5	4	6	7	6	6	8	9
- France	7	1	6	24	6	8	4	15
	21	16	25	47	27	26	24	36
France retail
investment business	2	1	1	2	2	1	2	1
Total International
new business	23	17	26	49	29	27	26	37
Total worldwide
new business	330	312	364	382	349	330	435	372
1. Core retail investments excludes institutional investments in unit trust funds which are disclosed as part of institutional fund management new business (see Note 6.02).
New Business								Page 93
6.07 Worldwide new business annual premium quarterly progression
	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to
	31.12.09	30.09.09	30.06.09	31.03.09	31.12.08	30.09.08	30.06.08	31.03.09
	£m	£m	£m	£m	£m	£m	£m	£m
Protection
- Individual	31	32	30	30	33	34	37	36
- Group	16	11	16	14	16	14	23	14
	47	43	46	44	49	48	60	50
Annuities
- Individual (non profit)	-	-	-	-	-	-	-	-
- Individual (with-profits)	-	-	-	-	-	-	-	-
- Bulk purchase	-	-	-	-	-	-	-	-
	-	-	-	-	-	-	-	-
Total Risk	47	43	46	44	49	48	60	50
Core retail investments1
- Unit trusts	2	3	2	3	4	3	4	1
- ISAs	4	5	7	6	6	9	10	4
Non profit savings
- Unit linked bonds	-	-	-	-	-	-	-	-
- Individual pensions	29	38	37	40	44	43	51	43
- DWP rebates	-	-	-	-	-	-	-	-
With-profits savings
- Bonds	-	-	-	-	-	-	-	-
- Individual pensions	18	17	35	32	25	25	31	25
- DWP rebates	-	-	-	-	-	-	-	-
- Group pensions	-	-	1	-	-	1	1	-
Total Savings	53	63	82	81	79	81	97	73
- USA	9	11	13	16	15	12	12	12
- Netherlands	2	2	2	2	3	4	3	3
- France	-	(5)	-	19	2	5	-	10
	11	8	15	37	20	21	15	25
France retail
investment business	-	-	-	-	-	-	-	-
Total International
new business	11	8	15	37	20	21	15	25
Total worldwide
new business	111	114	143	162	148	150	172	148
1. Core retail investments excludes institutional investments in unit trust funds which are disclosed as part of institutional fund management new business (see Note 6.02).
New Business								Page 94
6.08 Worldwide new business single premium quarterly progression
	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to
	31.12.09	30.09.09	30.06.09	31.03.09	31.12.08	30.09.08	30.06.08	31.03.09
	£m	£m	£m	£m	£m	£m	£m	£m
Protection
- Individual	-	-	-	-	-	-	-	-
- Group	-	-	-	-	-	-	-	-
	-	-	-	-	-	-	-	-
Annuities
- Individual (non profit)	165	214	260	323	263	194	209	175
- Individual (with-profits)	6	4	4	3	4	8	7	8
- Bulk purchase	91	54	234	504	306	255	655	722
	262	272	498	830	573	457	871	905
Total Risk	262	272	498	830	573	457	871	905
Core retail investments1
- Unit trusts	829	705	630	431	424	344	404	294
- ISAs	283	285	188	82	86	72	173	82
Non profit savings
- Unit linked bonds	222	136	144	175	297	260	347	402
- Individual pensions	310	270	341	358	385	400	414	261
- DWP rebates	2	4	4	-	-	4	4	-
With-profits savings
- Bonds	116	132	171	134	85	86	74	38
- Individual pensions	35	53	56	67	65	79	164	126
- DWP rebates	6	44	63	2	5	42	66	5
- Group pensions	-	-	-	-	-	1	-	2
Total Savings	1,803	1,629	1,597	1,249	1,347	1,288	1,646	1,210
- USA	-	-	-	-	-	-	-	-
- Netherlands	29	27	31	55	29	32	37	59
- France	66	61	61	49	38	34	43	49
	95	88	92	104	67	66	80	108
France retail
investment business	13	11	16	16	19	18	19	7
Total International
new business	108	99	108	120	86	84	99	115
Total worldwide
new business	2,173	2,000	2,203	2,199	2,006	1,829	2,616	2,230
1. Core retail investments excludes institutional investments in unit trust funds which are disclosed as part of institutional fund management new business (see Note 6.02).
New Business								Page 95
6.09 International new business in local currency
		Annual	Single		Annual	Single		Increase/
		premiums	premiums	APE	premiums	premiums	APE	(decrease)
		2009	2009	2009	2008	2008	2008	%
USA ($m)		76	-	76	94	-	94	(19)
Netherlands (€m)		9	157	25	16	199	36	(31)
France (€m):
- Life and pensions		15	264	41	21	206	42	(2)
- Unit trusts		-	63	6	-	79	8	(25)
6.10 UK individual APE by channel quarterly progression
	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to	3 months to
	31.12.09	30.09.09	30.06.09	31.03.09	31.12.08	30.09.08	30.06.08	31.03.09
	£m	£m	£m	£m	£m	£m	£m	£m
Independent financial advisers	171	168	186	191	207	199	234	187
Tied	89	94	86	51	57	57	76	53
Direct	22	17	25	27	9	7	10	8
Total	282	279	297	269	273	263	320	248
6.11 UK individual APE by channel
					Annual	Single	Total APE	% of
For the year ended 31 December 2009					£m	£m	£m	total
Independent financial advisers					298	4,175	716	64
Tied					82	2,381	320	28
Direct					21	701	91	8
Total					401	7,257	1,127	100
					Annual	Single	Total APE	% of
For the year ended 31 December 2008					£m	£m	£m	total
Independent financial advisers					345	4,819	827	75
Tied					104	1,388	243	22
Direct					19	149	34	3
Total					468	6,356	1,104	100

 

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