Legal & General Group said in its annual earnings statement on March 12 that its pipeline for risk transfers, where insurers take over liabilities from pension plans, remains “busy,” adding that it’s “actively pricing” £17 billion ($21.1 billion) of new deals, with visibility on a further £27 billion.
At its investment management business, assets were 2% lower on average at £1.13 trillion last year, while the fee rate slightly increased due to a pivot toward higher-margin products.
CEO Antonio Simoes, who took the helm at L&G just over a year ago, has unveiled a new strategy for the company that envisioned merging its asset management units and scaling up private market and higher fee-paying assets. Last month, L&G agreed to sell its U.S. insurance entity for $2.3 billion, saying it expects to return more than £5 billion to shareholders between 2025 and 2027.
Despite those efforts, L&G’s share price has dipped slightly since Simoes started his role, with analysts pointing out in February that the company’s capital generation was weaker than they previously anticipated.
