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Standard Life reports 4% increase in AUA

Standard Life reports 4% increase in AUA

Standard Life has increased assets administered on behalf of clients and customers to £307bn in 2015.

Results for 2015, published today (19 February), showed UK pensions and savings assets under administration (AUA) were up to £132bn in 2015, compared with £128bn in 2014, against a backdrop of volatile markets.

UK operating profit before tax for 2015 was £334m, down from £350m in 2014.

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The group said this reflected “scheduled” outflows from annuities and conventional with profits.

Outflows from annuities amounted to £0.9bn last year.

The group’s statement said that net inflows also reflected ongoing progress in its India and China associate and joint venture life businesses, which generated net inflows of £0.2bn.

Standard Life Investments saw total assets under management increase to £253.2bn against 2014’s figure of £245.9bn.

The group’s results stated that within this, third party assets under management in its growth channels increased by 11 per cent to £130.5bn against 2014’s figure of £117.5bn benefiting from net inflows of £12.6bn into institutional and wholesale, representing 13 per cent of the opening assets under management.

Standard Life acknowledged this was partially offset by outflows from its Ignis business of £2.5bn, including a divestment of £1.7bn from one large low revenue margin mandate.

Standard Life Group achieved a 9 per cent increase in regular contributions into workplace and record inflows into retail driven by ongoing growth in assets on its wrap platform and demand for its drawdown proposition.

Total workplace and retail net inflows of £5.8bn were up by 14 per cent and represented 8 per cent of opening assets under administration.

Keith Skeoch, chief executive said: “During 2015 Standard Life has made considerable progress towards creating a world-class investment company against a backdrop of volatile investment markets and an evolving regulatory landscape.

“We have increased the assets that we administer on behalf of our clients and customers to £307bn with almost two thirds of these assets now coming from our growth channels. Investments are at the heart of what we do and we now manage £253bn of assets across the globe driven by strong investment performance.

“While the difficult conditions in global financial markets may persist for some time, Standard Life remains well positioned to meet the needs of clients and customers around the world.”

ruth.gillbe@ft.com