Aegon will today announce details of a business restructure in the US and Asia targeting further operational and cost savings.
Chief executive Alex Wynaendts will confirm plans to increase market share in the life and protection segment, implement a business shift to more fee-based products in the individual savings and retirement markets and pursue growth opportunities in the employee solutions and pensions segments.
The strategy includes a commitment to “capture additional operational and cost efficiencies”, following the decision to reduce costs in Aegon’s UK businesses by 25 per cent. The firm recently announced a further 51 job cuts in the UK, bringing the total reduction in staff to 242 so far.
Wynaendts says: “The steps we are taking are aimed at sharpening our focus on the clear opportunities for our core business, implementing significant cost efficiencies in the United States, Europe and in Asia for the benefit of our customers, business partners and shareholders.”
The life and pensions company will also announce an organisational restructure in Asia, with Douglas Henck appointed to the newly created post of chief executive for Asia. As a result, all Asian based insurance businesses will be managed as one regional division headquartered in Hong Kong. Aegon says the move is in line with a broader strategy to achieve “greater geographical balance” in favour of regions which offer higher long-term growth and returns.