The Alico brand is the be dropped in the UK following MetLife’s acquisition of the business.
The £10.8bn deal, which completed today, will create what UK managing director Dominic Grinstead says is “life insurance powerhouse” with its focus on international growth.
The new UK wealth management business will combine and streamline the range of products offered by the two businesses.
Grinstead says MetLife will offer a combination of guaranteed unit linked retirement income products and guided architecture investment products.
He says: “We have taken the decision that we didn’t want confusion in the market place by having two competing product categories. That means what we will be looking to do is bring out a new set of products which are aligned, which will bring together the guaranteed solutions that Metlife has been very much focused on and also the guided architecture range which Alico has particularly been known for.”
However, as a temporary transitional measure the Alico Select Portfolio will be immediately withdrawn.
Grinstead says two new products will be launched by Metlife in early 2011. A new maximum investment plan will be launched to target IFA clients affected by the new lower lifetime allowance for pension contributions of £1.5m.
In addition, a new protected growth bond will be launched in early 2011 offering the option of a guarantee of 80 per cent of the highest ever unit value, with the guarantee available on a daily basis.
Grinstead will remain as managing director of MetLife’s UK retirement business, while Alico UK CEO Mike Kirsh will head up MetLife’s UK protection business as well as lead the company’s expansion into the European Wealth management business.