Legal & General Group Plc Pension Risk Transfer Transaction (8709W)
24 April 2019 - 4:24PM
UK Regulatory
TIDMLGEN
RNS Number : 8709W
Legal & General Group Plc
24 April 2019
Legal & General announces first Canadian Pension Risk
Transfer transaction
Legal & General Group plc ("Legal & General") announces
that it has agreed its first Pension Risk Transfer (PRT)
transaction in Canada for more than CAD $200 million (GBP114
million).
The Canadian PRT market is an attractive and fast-growing
market, which has more than doubled in size over the last five
years to reach sales in 2018 of CAD $4.6 billion (GBP2.6
billion).
The transaction is being written by Brookfield Annuity Company
and Legal & General Reinsurance Company Limited ("Legal &
General Reinsurance") who have recently entered into a strategic
partnership under which Legal & General Reinsurance will
provide quota-share reinsurance for Canadian PRT transfers. This is
the first PRT transaction for the strategic partnership, with Legal
& General Reinsurance taking a meaningful quota-share of the
total buy-in liabilities written by Brookfield Annuity Company.
Including this transaction, Legal & General has now written
GBP2.5 billion in International PRT since its first transaction in
2015. Central to Legal & General's international strategy is
the US PRT business, which has written USD $2.7 billion in premiums
across 45 transactions. Historically Legal & General has
focused on US PRT transactions less than USD $100 million, but in
2019 it entered the next stage of growth by writing a US
transaction of over USD $200 million.
Nigel Wilson, CEO of Legal & General said:
"I am delighted to announce our first PRT transaction in Canada,
where the market is growing strongly. The transaction provides
further evidence of our appetite and capability to grow our PRT
business internationally."
Thomas Olunloyo, CEO of Legal & General Reinsurance
said:
"We are excited by the opportunity to provide reinsurance into
the Canadian pension risk transfer market. We look forward to
working with Brookfield Annuity Company who are a rapidly growing
specialist provider of pension de-risking products."
Paul Forestell, CEO of Brookfield Annuity Company said:
"We are pleased to partner with Legal & General Reinsurance
and bring our capabilites to this transaction. Our partnership with
Legal & General offers additional capacity for a rapidly
expanding Canadian market."
Notes to editors
Legal & General Reinsurance
Legal & General Reinsurance is the global reinsurance hub of
the Legal & General Group and is the Group's vehicle for
writing PRT business outside of the UK and US. Legal & General
Reinsurance is rated A+ by both Standard & Poor's and
Fitch.
Legal & General Group Plc
Established in 1836, Legal & General is one of the UK's
leading financial services groups and a major global investor, with
international businesses in the US, Europe, Middle East and Asia.
With over GBP1 trillion in total assets under management, we are
the UK's largest investment manager for corporate pension schemes
and a UK market leader in pensions de-risking, life insurance,
workplace pensions and retirement income. We have also invested
over GBP19 billion in direct investments such as homes, urban
regeneration, clean energy and small business finance.
Legal & General has a market capitalisation of GBP17.3
billion (as at 23 April 2019) and is responsible for investing
GBP1,015 billion worldwide (as at 31 December 2018) on behalf of
investors, policyholders and shareholders.
Brookfield Annuity Company
Brookfield Annuity Company is a Canadian life insurer and is
wholly owned by Brookfield Asset Management, a leading global
alternative asset manager. It is the only Canadian life insurance
company that is primarily focused on providing group annuity
solutions to defined benefit pension plans.
Further information
Investors
Edward Houghton Head of Investor Relations +44 (0)20 3124
2091
Alyssa Manning Investor Relations Director +44 (0)20 3124
2047
Sujee Rajah US Investor Relations Director +1 312 964 3034
Media
John Godfrey Corporate Affairs Director +44 (0)20 3124 2090
Margrit Williams PR & Communications Director, LGR +44 (0)20
3128 1299
Graeme Wilson Tulchan Communications +44 (0)20 7353 4200
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of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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