Legal & General Group PLC · LSE:LGEN
Legal & General — Non-Deal Roadshow (November 2012)
13 slides from Legal & General's roadshow presentation, November 2012
Slide 1: LGIM Investor Lunch
LGIM Investor Lunch November 2012 EVERY DAY MATTERS
Slide 2: LGIM: Supporting Group Ambition
2 LGIM: SUPPORTING GROUP AMBITION. • Global developments in LGIM, Retirement Solutions, Savings L&G Global • Protection growth in UK, US and Europe Opportunities • Partner of choice for Building Societies • Leverage scale and technology platforms • Growing UK revenue through pension solutions • Achi
Slide 3: LGIM – Core Competencies
3 LGIM – CORE COMPETENCIES. Index fund management LGIM assets under management • Global equities and fixed 380 income 340 Active Funds Index Funds 300 • Developed and emerging 260 224 236 markets 220 208 230 £ billion 214 180 176 162 140 138 Active fixed income 100 111 92 • Specialising in global cr
Slide 4: LGIM – Market Position
4 LGIM – MARKET POSITION. European Institutional Managers AUM 2011 Rank Company Country AUM £bn 1 BlackRock US/UK 485 2 LGIM UK 252 3 APG Netherlands 237 4 State Street Global Advisors US/UK 199 5 Amundi Group France 176 Source: IPE Top 400 Asset Managers June 2012 (Total third-party assets managed
Slide 5: Growth in LGIM: Strong Flows
5 GROWTH IN LGIM: STRONG FLOWS. Growth in LDI mandates, inc. notional Financial highlights £m H1 2012 H1 2011 FY 2011 £182bn Total revenue 219 205 417 £169bn Total costs (100) (88) (183) 31% R: Operating profit 119 117 234 CAG Net cash generation 97 91 189 Average Fee/funds (bps) 10.9 10.9 10.9 £66b
Slide 6: LGIM Growth Strategy
6 LGIM GROWTH STRATEGY. Continue to focus on diversifying by growing active fixed income management capability and pensions de-risking solutions alongside market leading index tracking business. Defined Benefit: Grow revenue from existing client base – provide solutions using the range of active fix
Slide 7: LGIM + Annuities Capability
7 LGIM + ANNUITIES CAPABILITY. DE-RISKING THROUGH DEFINED BENEFIT BULK PURCHASE ASSET AND LIABILITY ASSETS ANNUITIES MATCHING Legal & General Annuities LGIM expertise Index funds Active fixed income Buy-in Active fixed income Liability driven Buy-out investments Diversified funds (Underpinned by LGI
Slide 8: Liability Driven Investment Dynamics
8 LIABILITY DRIVEN INVESTMENT DYNAMICS. Addressing the market with affordable risk-aware Growth in LGIM LDI mandates solutions: £182bn • LGIM solutions manage clients’ asset and liability £169bn risks • Potential to meet a wide range of requirements £138bn across 3,000 clients • Bespoke and pooled d
Slide 9: UK Auto-Enrolment Opportunity
9 9 UK AUTO-ENROLMENT OPPORTUNITY. LGIM and Savings well placed to capture DC growth UK DC growth driven by larger employers: LGIM defined contribution AUM growth • LGIM has a leading franchise with large UK schemes £23bn • Large scheme requirements aligned to LGIM’s £21bn strengths £20bn • Demand f
Slide 10: Long-Term Finance: Property Development
10 LONG-TERM FINANCE. PROPERTY DEVELOPMENT Sale and Leasebacks • National Football Centre, St George’s Park at Burton-on-Trent • Development funding • 30-year RPI-linked lease from the Football Association Income Partnerships LGPL Portfolio • Joint venture with Imperial College • £116m student accom
Slide 11: US De-risking - How LGIM Is Winning Mandates
11 US DE-RISKING - HOW LGIM IS WINNING MANDATES. Focused business strategy • Delivering de-risking solutions to pension schemes Established high degree of credibility across full spectrum of LDI solutions • From plain vanilla long duration fixed income to highly customised derivative solutions Indus
Slide 12: Growth in LGIM: International
12 GROWTH IN LGIM: INTERNATIONAL. Rapid expansion since 2009: • 2009 US SEC approval gained for LGIMA (based in Chicago) International assets under management • Active Fixed and LDI driven growth £39.4bn • Regulatory approval gained during Q3 2012 to market index £30.3bn £31.5bn capability in US • G
Slide 13: Forward Looking Statements
13 FORWARD LOOKING STATEMENTS. This document may contain certain forward-looking statements relating to Legal & General Group, its plans and its current goals and expectations relating to future financial condition, performance and results. By their nature forward-looking statements involve uncertai
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