Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

LGIM's profit soars to £243m as divi climbs 20%

LGIM's profit soars to £243m as divi climbs 20%

Legal and General Investment Management (LGIM) has increased its operating profit to £243 million, up from £234 million in 2011.

At a group level, the insurer's group chief executive Nigel Wilson unveiled double digit sales growth for 2012, highlighting the success of its savings, insurance and investment divisions.

LGIM, which offers funds to retail investors, grew its profit over the same stretch, helping to boost the group's operating profit to £1.08 billion, versus £1.05 billion in 2011.

On the back of its strong run, Wilson (pictured) said Legal & General had decided to increase its dividend to shareholders by 20% to 7.65p, up from 6.40p per share.

Wilson said: 'Legal & General's double-digit sales growth in 2012 broke records, again demonstrating that customers value our insurance, savings and investment propositions. An uncertain, sluggish economy has had minimal impact.

'Our 20% increase in dividend is underpinned by 12% EPS [earnings per share] growth and strong cash flow. These in turn reflect growing strengths in execution, operational scale and efficient manufacturing and distribution. We have the capability, the opportunity and focused ambition, to grow earnings further in 2013 and beyond,' he added.

Looking to the future, Wilson said Legal & General planned to develop the opportunities long-term structural changes offered.  It hopes to achieve this by focusing on retirement solutions, international investment management, digital solutions, protection and direct investment.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Where A-rated Pattullo is finding the best bond opportunities

Where A-rated Pattullo is finding the best bond opportunities

Henderson Global Investors head of retail fixed income explains how he is managing his fund against the surprise current monetary policy divergence.

1 Comment Play Taxicab Tenner: Allianz Global Investors' AA-rated Simon Gergel

Taxicab Tenner: Allianz Global Investors' AA-rated Simon Gergel

Our much anticpated new series is here! We hand a black cab driver a tenner and grill the manager of the 125-year Merchants trust until the meter runs out.    

Play Europe bulls, a retail boost and why a little inequality can be a good thing

Europe bulls, a retail boost and why a little inequality can be a good thing

This week’s Investment Pulse looks at whether investors should be bullish on Europe, the surprise rise in UK retail sales and if a little inequality is a good thing.

Your Business: Cover Star Club

Profile: meet the duo at the heart of Hargreave Hale's succession plan

Profile: meet the duo at the heart of Hargreave Hale's succession plan

For the first time in the company's history a non-Hargreave is now at the head of the north west broker and asset manager

Wealth Manager on Twitter