Old Mutual merges European wealth arm

Old Mutual is to merge its French and Italian wealth management businesses with its Skandia Retail Europe arm, which operates in Germany, Austria, Poland and Switzerland.

The move follows a strategic review of the businesses and was a response to macro-economic and regulatory developments in the European savings and investments markets, according to the South African insurer.

The new business, Wealth Management Europe, will be headed by Hein Donders, current chief executive of the French and Italian wealth management business.

Paul Hanratty, chief executive of the Old Mutual long-term savings business said: 'We concluded that the affluent long-term savings and investment market in Europe is attractive for Old Mutual. As a result, we have decided to combine the Wealth Management Continental Europe business and the Skandia Retail Europe business to create Wealth Management Europe.'