Standard Life Financial Inc. has reported a net income of $431 million (2011: $244 million), a year-on-year increase of 77%. The improvement was driven by higher fee income and investment yields, as well as previously announced management actions.
Premiums and deposits gained 10% to $5.86 billion (2011: $5.33 billion) in 2012 and 9% to $1.49 billion (2011: $1.37 billion) in the fourth quarter.
Group savings and retirement premiums and deposits increased 11% to $3.3 billion (2011: $2.9 billion). In the core segment of defined contribution plans, premiums and deposits rose by 8% to $2.4 billion (2011: $2.2 billion). This result was achieved through the delivery of customer solutions to support plan sponsors and help plan members address their retirement needs.
In 2012, premiums and deposits for retail savings and retirement solutions rose by 11% to $1.9 billion (2011: $1.7 billion). Growth was again driven by strong demand for Standard Life’s Ideal Segregated Funds. Although it suspended sales of the Ideal Income Series guaranteed lifetime withdrawal benefit product in April 2012, Standard Life continued to enhance its segregated fund offerings. For the year, it was the fastest growing company in the sector. Mutual funds advanced by 27% to $438 million (2011: $345 million) due to the success of fixed income and yield-oriented products.
Group insurance and disability management premiums grew by 3% to $719 million (2011: $700 million). In the core sector of disability management, premiums increased by 9% to $210 million (2011: $193 million). Large mandates contributed much of the growth in the sector.
Also read:
Scotiabank’s Q1 earnings beat estimates
TD’s Q1 earnings beat estimates