Aegon has concluded the final steps of its takeover of BlackRock’s defined contribution (DC) platform and administration businesses more than two years after announcing the plans.
About £15bn of assets have been transferred since the deal was announced in May 2016, with the final phase of transferring around 450,000 customers completed today (3 July) after being approved by a court last week.
The provider now has around £38bn assets under administration (AUA) within the workplace pension market, and pledged to develop its workplace savings proposition as part of a “refreshed” strategy for what it sees as a “key market”.
Aegon chief distribution officer Ronnie Taylor – who is leading the combined proposition after joining the firm from Scottish Widows in February – said the expanded offering would meet high demand from clients.
“Today is the start of an exciting new chapter in the development of our workplace savings business,” he said. “With employers demanding additional solutions to meet employees’ needs to and through retirement, workplace savings are no longer just about traditional DC pensions.
“Now Aegon can offer the full suite of master trust, own trust, investment only, and broader workplace savings solutions to trustee and corporate clients.”
He added the combination of the businesses allows it to be “uniquely placed” to support clients of all sizes.
The acquired business will take on Aegon’s brand, while BlackRock said its leftover DC businesses “remain a priority” with the $130bn of UK DC assets it manages having “growth potential”.
Taylor added Aegon is “primed to push on with an exciting schedule of developments”, of which more details will be shared soon.
“Aegon is passionate about helping employers engage staff with their savings to ensure the financial well-being of their workforce, while helping employers unlock the value of the significant spend they are making,” he concluded.