LGIM sees assets jump to £1.3trn despite redemptions from index funds
Investors pulled £6.8bn from LGIM index funds as DB schemes de-risked during the pandemic
Legal & General Investment Management weathered Covid uncertainty last year, reporting a 7% jump in its assets under management from £1.2trn in 2019 to £1.3trn in 2020.
Legal & General’s investment arm saw external net flows of £20.4bn driven by structural demand for the company’s products “against a prior year comparator which included a £37bn mandate with the Japan Government Pension Investment Fund,” according to the company results.
Operating profits rose by 3% to £404m “reflecting increased revenues from flows and asset values, which were partially offset by LGIM’s continued investment in its growth strategy”. The company highlighted key areas of investment over the last year as data analytics, digital customer experience, investment platform optimisation and international expansion, including the scaling up of their European operations.