In the Old Mutual Group results statement, international APE sales fell 24 % to £45m in Q3 2012, from £59m in the same quarter last year.
“International APE sales were impacted by the HMRC restriction on qualifying recognised overseas pension schemes. A new structure was successfully implemented in Malta in Q3 2012 and some recovery in sales performance is expected in Q4,” the company stated.
International Adviser reported in June this year that Skandia International’s QROPS strategy had changed, as the company moved from a “one provider” arrangement with Guernsey based Concept Group, to a multi-jurisdictional structure.
Skandia International’s gross sales in Q3 2012 were £0.4bn, down 20% from £0.5bn in Q3 2011.
Funds under management also dropped from the second to third quarter, but for a specific reason, as Skandia sold its business in Finland. The reduction from £14.6bn in Q2 to £13.7bn in Q3 was “almost exclusively” accounted for by this sale, according to the company.
Paul Feeney, chief executive of Old Mutual Wealth highlighted how there had been some confusion following the September 2012 announcement of the merger of the Skandia businesses (Skandia UK, Skandia International, Old Mutual Global Investors and the Skandia European businesses outside of the Nordic region) into a single business called Old Mutual Wealth.
He said:"There have been some confusing reports recently about what the merger of the Skandia businesses into Old Mutual Wealth means, so let me be clear. Our aim is to be a provider of wealth management solutions to financial advisers and their customers. Their needs remain at the core of our business and we will support them whether they choose to offer whole of market or restricted market propositions, or both.”
