Aberdeen Group reported increased assets for the year ended Dec. 31 and the unlocking of the surplus in its main defined benefit fund to the advantage of its defined contribution plan; but all eyes were on its rebranding back to its original aberdeen from abrdn.
The financial services firm said on March 4 that it was adding the e’s back into its name, reversing an April 2021 decision to position itself as “abrdn” rather than Standard Life Aberdeen — its moniker following the merger between parent companies Standard Life and Aberdeen Asset Management in 2017.
CEO Jason Windsor said in an interview posted on the firm’s website on March 4 that “it’s safe to say, the way that we presented the brand has been a bit of a distraction,” adding that the return to the name aberdeen reflects the removal of distractions and a focus on delivering for its customers, people and shareholders.
At the time of the renaming to abrdn, completed under then-CEO Stephen Bird — who left last year — the firm said the brand symbolized “the transition underway to bring a clarity of focus, renewed sense of purpose and drive for sustainable growth.”
The firm will retain its legal entity name, abrdn PLC, and that of the underlying funds, as well as its stock exchange ticker ABDN.
Also on March 4, aberdeen said it had agreed to unlock its main £2.6 billion ($3.2 billion) defined benefit plan surplus to fund its defined contribution plan. The pension fund had a surplus of £800 million as of Dec. 31, according to the firm’s annual report, published March 4.
The move allows the fund to maintain its surplus and “future optionality” such as considering a pension risk transfer deal, a news release said.
“It’s particularly pleasing that the strong investment performance of abrdn Investments has generated a surplus that we expect can fund the company’s DC contributions for the foreseeable future whilst enabling continued protection for DB members,” Windsor said in the release.
The firm operates across three units: investments, adviser and personal. The annual report also showed that total assets under management and advisement were up by 3.3% over the year ended Dec. 31, to £511 billion. The investments unit saw AUM increase by 0.8% to £370 billion.
Total net outflows totaled £6.1 billion, down from £13.9 billion for the year ended Dec. 31, 2023. Investments unit net outflows were £4 billion, with £4.3 billion of net outflows for the firm’s institutional strategies.
