New Business Sales Grow 24% at Standard Life

LONDON -- The shares of Standard Life  (LSE: SL  ) advanced 6% to 373 pence during early London trade this morning after the group's investment division revealed assets under management had grown 7% to a record 179 billion pounds during the first quarter.

Group assets under administration also advanced 7% to reach 233 billion pounds, underpinned by the new system of 'automatic enrolment' for U.K. pension schemes, which helped boost sales of long-term savings products by 24% to 6.3 billion pounds.

Standard Life said it had continued to see growth within its Canadian division, where the company "remains well placed in the growing pension market." Sales of corporate pensions in the region grew an impressive 94%.

David Nish, Standard Life's chief executive, said:

Standard Life has made a strong start to 2013, growing sales, net flows and assets. Standard Life Investments reinforced its position as a leading asset manager, delivering a very strong first quarter. This included reaching a record level of third party assets, which now represent over 50% of total AUM, a more diversified asset mix and increased geographic reach.

Our UK business had a good start to the year, and while the industry continues to see disruption as a result of the introduction of RDR, we have made a smooth transition to operating under the new regulatory environment with encouraging early indicators from both our corporate and retail customers and their advisors.

We remain confident that our business is well positioned for further strong and sustainable growth.

Following today's update, Standard Life trades at around 15 times this year's expected earnings and offers a prospective dividend yield of 4.1%.

Of course, whether that valuation and the prospects for the U.K. pension industry currently combine to make Standard Life a buy is something only you can decide.

But if you already own shares in Standard Life, you may want to download this exclusive wealth report, which reviews five particularly attractive offerings, carefully compiled by the Motley Fool's expert stock pickers.

Indeed, all five opportunities offer a mix of robust prospects, illustrious histories and dependable dividends, and have just been declared by the Fool as "5 Shares You Can Retire On"!

Just click here for the report -- it's free.


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2384399, ~/Articles/ArticleHandler.aspx, 9/30/2014 6:38:59 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement