View more on these topics

Aberdeen sells £100m stake for new fund launches

Aberdeen Gilbert Martin Gilbert 700x450

Aberdeen Asset Management is issuing £100m in shares to Japanese bank Mitsubishi UFJ Trust and Banking Corporation in a bid to power new fund launches.

The asset manager will issue 200 million shares with a total paid-up amount of 50 pence per share. These will convert to ordinary shares only if Aberdeen’s Common Equity Tier 1 Ratio falls below 5.125 per cent.

Aberdeen Asset Management chief executive Martin Gilbert says: “In line with Aberdeen’s strategy to diversify our range of capabilities and solutions for the evolving investment environment, we have raised £100m through a preference share issue to provide additional capital to seed new products.

“Last year’s acquisition of Scottish Widows Investment Partnership  has provided us with a broader range of capabilities, which we aim to develop further. To do this effectively it is important we support new fund launches with seed money, demonstrating our commitment to them. This attractively-priced additional capital will support this increased activity whilst maintaining the strength of the balance sheet.”

MUTB currently holds around 17 per cent of Aberdeen’s ordinary shares, and will be entitled to a fixed dividend of 5 per cent per annum from the preference shares.

Aberdeen Asset Management has recently launched four multi-asset funds targeting retirees who choose to make use of new pension freedoms.

Recommended

Innovation needed for investing in retirement

By Henry Cobbe The new pension freedoms means that advisers have a key role to play in helping their clients get the retirement they expected. In most cases, that’s unlikely to be a simple choice between cash, drawdown or annuity, but more of a combination of each to match a client’s needs, requirements and aspirations. […]

Cicutti-Nic-2014-MM-700.jpg
12

Nic Cicutti: What is Apfa’s vision for financial advice?

If there is one thing guaranteed to give my age away, it is my recollection of what it was like to be a trade union member in the 1970s. In most workplaces back then, unions rarely had to justify their worth by pointing to things they achieved on behalf of their members, although they often […]

Choose life…

Sarah Scott  – Marketing Consultant, Royal London  This month sees the return of Renton, Sickboy, Begbie and Spud in the sequel to the film Trainspotting. Just over 20 years later, we return to see exactly how life treated the characters whose lifestyle was less than ideal back in 1996. Did they choose a job, choose […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment