Q4 New Business

RNS Number : 8634F

St. James's Place PLC

21 January 2010

 



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ST. JAMES'S PLACE plc

27 St. James's Place, London SW1A 1NR

Telephone [phone] Facsimile 020 7493 2382

PRESS RELEASE

21 January 2010

ST. JAMES'S PLACE WEALTH MANAGEMENT

NEW BUSINESS

FOR THREE MONTHS TO 31 DECEMBER 2009 

RECORD FOURTH QUARTER NEW BUSINESS 

RECORD FUNDS UNDER MANAGEMENT & PARTNERSHIP NUMBERS

St. James's Place plc ("SJP"), the wealth management group, today issues its new business update for the three months ended 31 December 2009.

Highlights for the three months are:

New Business

• Total single investments of £1.08 billion (2008: £0.72 billion), up 50% 

• Total new business on an APE basis of £133.2 million (2008: £96.4 million), up 38%

• Manufactured new business on an APE basis of £122.7 million (2008: £85.6 million), up 43%

• Manufactured business represents 92% of new business (2008: 89%)

Funds Under Management

• Funds under management of £21.4 billion, up £1.1 billion over the three months

• Net inflow of funds under management of £700 million (2008: £400 million)

• Continue to retain over 95% of existing clients' funds

Partnership

• Partnership numbers up 9% for the year to 1,464

David Bellamy, Chief Executive, commented:

"We are delighted with our fourth quarter figures. Record new investments and excellent retention are a credit to our entire community and have helped drive Group funds under management to record levels.

We are extremely pleased with the fact that we have grown the Partnership by 9%, the largest annual increase in ten years.

Our overall performance in 2009 gives us both the confidence and a good platform for further growth this year."

The details of the announcement are attached.

Enquiries:

David Bellamy, Chief Executive	Tel:	020 7514 1963
Andrew Croft, Group Finance Director	Tel:	020 7514 1963
Tulchan Communications Group Ltd John Sunnucks/Mal Patel	Tel:	020 7353 4200

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ST. JAMES'S PLACE WEALTH MANAGEMENT

NEW BUSINESS FIGURES TO 31 DECEMBER 2009

TOTAL LONG TERM SAVINGS

	Unaudited 3 Months to 31 December 2009								Unaudited 12 Months to 31 December 2009
New PREMIUMS		2009 £'m		2008 £'m		Change %				2009 £'m		2008 £'m		Change %
New Regular Premiums
- Pensions		19.4		19.8		(2%)				75.4		87.8		(14%)
- Protection		5.4		5.0		8%				19.6		19.1		3%
		24.8		24.8		0%				95.0		106.9		(11%)
New Single Premiums
- Investment		455.3		315.3		44%				1,389.4		1,365.5		2%
- Pensions		346.7		267.4		30%				1,176.6		1,070.7		10%
		802.0		582.7		38%				2,566.0		2,436.2		5%
Unit Trust Sales (including PEPs and ISAs)		282.7		133.6		112%				892.2		685.0		30%
	Unaudited 3 Months to 31 December 2009								Unaudited 12 Months to 31 December 2009
		2009 £'m		2008 £'m		Change %				2009 £'m		2008 £'m		Change %
NEW BUSINESS (RP + 1/10TH SP)
Investment		73.7		44.9		64%				228.1		205.0		11%
Pensions		54.1		46.5		16%				193.1		194.9		(1%)
Protection		5.4		5.0		8%				19.6		19.1		3%
Total		133.2		96.4		38%				440.8		419.0		5%

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ST. JAMES'S PLACE WEALTH MANAGEMENT

NEW BUSINESS FIGURES TO 31 DECEMBER 2009

MANUFACTURED LONG TERM SAVINGS

	Unaudited 3 Months to 31 December 2009								Unaudited 12 Months to 31 December 2009
New PREMIUMS		2009 £'m		2008 £'m		Change %				2009 £'m		2008 £'m		Change %
New Regular Premiums
- Pensions		16.5		15.6		6%				63.2		59.6		6%
- Protection		1.2		1.4		(14%)				4.7		6.7		(30%)
		17.7		17.0		4%				67.9		66.3		2%
New Single Premiums
- Investment		452.0		311.2		45%				1,372.2		1,276.1		8%
- Pensions		315.4		241.3		31%				1,057.2		946.8		12%
		767.4		552.5		39%				2,429.4		2,222.9		9%
Unit Trust Sales (including PEPs and ISAs)		282.7		133.6		112%				892.2		685.0		30%
	Unaudited 3 Months to 31 December 2009								Unaudited 12 Months to 31 December 2009
		2009 £'m		2008 £'m		Change %				2009 £'m		2008 £'m		Change %
NEW BUSINESS (RP + 1/10TH SP)
Investment		73.4		44.5		65%				226.4		196.1		15%
Pensions		48.1		39.7		21%				169.0		154.3		10%
Protection		1.2		1.4		(14%)				4.7		6.7		(30%)
Total		122.7		85.6		43%				400.1		357.1		12%

% of total new business

92%

89%

91%

85%

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ST. JAMES'S PLACE WEALTH MANAGEMENT

NEW BUSINESS FIGURES TO 31 DECEMBER 2009

Non Manufactured Long Term Savings

• Investment premiums of £17.2 million (2008: £89.4 million), amounting to £1.7 million (2008: £8.9 million) on an APE basis.

• Pension single premiums of £119.4 million (2008: £123.9 million) and regular premiums of £12.2 million (2008: £28.2 million), amounting to £24.1 million (2008: £40.6 million) on an APE basis.

• Protection business of £14.9 million regular premiums (2008: £12.4 million).

• Total new business, on an APE basis, of £40.7 million (2008: £61.9 million).

Funds Under Management

The table below provides an analysis of the movement in funds under management:

	Unaudited Year Ended 31 December 2009		Unaudited Year Ended 31 December 2008
		£'bn		£'bn
Opening funds under management		16.3		18.2
New money invested		3.5		3.0
Net investment return		2.8		(3.6)
		22.6		17.6
Regular income withdrawals & maturities		(0.4)		(0.4)
Surrenders & part surrenders		(0.8)		(0.9)
Closing funds under management		21.4		16.3
Annualised surrender rate as a % of average funds under management		4.0%		5.2%

Capital

There have been no material changes to solvency capital during the final quarter. The investment policy for non-linked assets remains on a prudent basis, with no exposure to equity investments: non-linked liabilities are matched by government backed gilts and bonds, and surplus assets are invested in AAA rated money market funds. This policy continues to immunise the capital base from stock market falls and both widening spreads and credit defaults on corporate bonds.

 

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