Protection  

Why Standard Life is likely to axe life arm

When asked would the plug be pulled on the life arm of the Edinburgh-based provider, a representative from Standard Life stated that the pensions and savings business “remains an important part of our diversified business model”.

At a recent investors conference following the merger with Aberdeen Mr Skeoch said the company “shouldn’t forget the distribution strengths that comes from our strong position in the UK pensions and savings market that provide regular and steady flows through regular workplace contributions”.

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Ryan Hughes, head of fund selection at AJ Bell, said it is “entirely possible that Standard Life and Aberdeen may look to carve out the investment business from the life business and form a standalone asset manager going forwards."

However, Mr Hughes noted that this would likely be “some way down the line” to allow Standard Life and Aberdeen time to fully integrate the two fund management entities first.

julia.faurschou@ft.com