AXA plans to pull out of the life and savings market in the UK.
New Model Adviser® first revealed the French insurance company was looking to sell investment platform Elevate, protection business SunLife and its Isle of Man offshore bond business in September 2015.
As reported yesterday, Standard Life has agreed a deal to buy Elevate. Last week AXA sold its Isle of Man business to the Life Company Consolidation Group.
Following the sale of Elevate, AXA said it was in talks about selling its remaining investment and savings business as well as SunLife.
The remaining investment and pension business, currently part of AXA Wealth, consists of non-platform assets. Multi-manager business Architas is not part of any sale talks.
Currently AXA Wealth has £45 billion of assets under administration, including Architas, Elevate and the Isle of Man business as well as non-platform life and pensions business.
AXA did not reveal who it was talking to about selling the remaining businesses, and said there was ‘no certainty’ that a deal would be reached.
If a deal is completed AXA’s UK interests would be reduced to asset management, property and healthcare. Last year it signalled this change in direction when it moved all of its multi-manager funds to Architas.
Paul Evans (pictured), chief executive of AXA UK, said it would see to businesses with a ‘stronger strategic focus’ on the life and savings market in the UK.
‘We have reviewed the strategic benefits of pursuing our activities in the UK life and savings market,’ he said.
‘After detailed consideration, we have come to the conclusion that these businesses could be even more successful if supported by organisations with a stronger strategic focus on the life and savings segment.’
He added the deals ‘would allow AXA to rebalance the focus of its UK activities towards property & casualty, health and asset management.’
Source: New Model Adviser