Threadneedle has signed an agreement with Invesco Perpetual to acquire its full service defined contribution pension business with total assets of £470m.
Threadneedle first launched its DC product in 2001 and manages pension funds for over 100 clients with total assets of around £1.3 billion.
Threadneedle says it intends to grow its DC business and says IP’s transferred clients will get access to a broader range of funds, improved systems, web functionality and member communications.
Threadneedle CEO Crispin Henderson says: “By bringing on board Invesco Perpetual’s full-service DC business, we build on our existing strengths in DC provision, expand the range of funds available to our and Invesco Perpetual’s clients and enhance our position as a leading DC provider.”
Invesco Perpetual head of distribution Ian Trevers says: “It provides our clients access to a greater range of funds on the Threadneedle platform, access to additional services on-line and will allow Threadneedle’s clients access to our investment capability. Invesco Perpetual will continue to concentrate on its core strength of investment management.”
Threadneedle head of UK distribution Madeline Forrester says: “We are strengthening our existing DC team by promoting Rita Butler-Jones who joined Threadneedle in 2003 as DC relationship manager to head of DC. These moves signify our continuing commitment to the DC market, building on our existing strong track record. With DC pensions set to dominate future pension provision, we look forward to playing a key role in the sector’s development.”