Note: All figures are based on IFRS and are shown in Canadian dollars. All comparisons are with the corresponding period of 2011, unless otherwise stated.
MONTREAL, April 25, 2012 /CNW Telbec/ - Standard Life Financial Inc. ("Standard Life") today reported premiums and deposits were at $1.4 billion (2011: $1.5 billion) for the first quarter of 2012. The company's retail and group benefit and disability management businesses grew 5%, offset by lower premiums and deposits in the group savings and retirement business.
Assets under administration were 5% higher at $42 billion (2011: $40 billion).
Group savings and retirement business premiums and deposits were at $730 million (2011: $894 million). This reduction reflects the uneven pattern of this business. Standard Life's pipeline of sold business - but not yet transitioned - is higher than at the same period last year.
Group benefit and disability management business grew 2% to $176 million (2011: $172 million). Disability management, the core segment in this business, continues to drive growth with a 9% increase in premiums.
Premiums and deposits for retail savings and retirement products were up 7% to $467 million (2011: $437 million). The growth was driven by the strong demand for Standard Life's Ideal Segregated Funds, which increased 32% to $297 million (2011: $226 million) and by mutual funds, which grew 17% to $121 million (2011: $104 million). The renewed interest for Standard Life's mutual funds is a direct result of measures that were undertaken in 2011 to improve the product line and performance.
Standard Life is confident in its growth prospects for the rest of 2012 despite the challenging economic and financial market conditions that persist. The company will maintain its focus on core business segments of:
- Group defined contribution retirement plans
- Disability prevention and management services for employers
- Retail investment funds
This press release may contain forward-looking statements about certain of Standard Life's current plans, goals and expectations relating to future financial conditions, performance, results, strategy and objectives. Statements containing the words: 'believes', 'intends', 'expects', 'plans', 'seeks' and 'anticipates' and any other words of similar meaning are forward-looking. All forward-looking statements involve risk and uncertainty because they relate to future events and circumstances beyond Standard Life's control. As a result, Standard Life's actual financial condition, performance and results may differ materially from the plans, goals and expectations set out in the forward-looking statements. The company will not undertake any obligation to update any of the forward-looking statements in this press release or any other forward-looking statements that it may make.
Notes to Editors
- Premiums and deposits is a non-GAAP measure. Standard Life includes in its calculation deposits from segregated and mutual funds, and premium equivalents of administrative services only (ASO).
- As per UK securities regulations, Standard Life plc issues trading results and interim management statements for the 3 months ending March 31, and the 9 months ending September 30. It reports full results for the 6 months ending June 30, and the 12 months ending December 31. Standard Life Financial Inc. follows the same schedule.
- In 2011, Standard & Poor's raised the financial strength ratings of Standard Life's main operating company in Canada to 'A+' based on the company's improved contribution of earnings and its core status to Standard Life plc.
- Standard Life plc (LSE: SL.L) 2012 Q1 results published earlier today are available online.
About Standard Life
Standard Life plc is a leading long-term savings and investment company headquartered in Edinburgh, Scotland. Standard Life has around 6 million customers worldwide and operates in the United Kingdom, Europe, North America and Asia Pacific, and globally with Standard Life Investments Ltd.
In Canada, Standard Life has been doing business for almost 180 years. Standard Life Financial Inc., which wholly owns The Standard Life Assurance Company of Canada and Standard Life Mutual Funds Ltd., is Standard Life plc's largest operation outside the UK. With about 2,000 employees, it provides long-term savings, investment and insurance solutions to more than 1.4 million Canadians, including group benefit and retirement plan members.
As of March 31, 2012, Standard Life plc had $330 billion in assets under administration, including $42 billion in Canada through Standard Life Financial.
For further information:
Senior Advisor, External Communications and Public Affairs
514-499-7999, ext. 8150