Legal & General risks suffering a “pensions brain drain” following the departure of several senior staff in recent months, experts warn.
Last week, L&G confirmed long-serving pensions strategy director Adrian Boulding is leaving the firm later this year. It is unclear whether he will take on another role in the industry.
Boulding’s exit is the latest in a series of high profile departures from L&G’s pensions business in the last few months. Earlier this month, Money Marketing revealed head of strategy for individual annuities Tim Gosden had left and in September L&G Assurance chief executive John Pollock announced he was retiring.
On Monday, MGM Advantage announced Gosden has joined the firm to help build its retirement proposition ahead of new pension freedoms coming into force in April.
Intelligent Pensions technical director David Trenner says L&G risks damaging its reputation with advisers by failing to retain high profile spokespeople.
He adds: “If you think of L&G you think of Adrian Boulding when it comes to pensions, so this was a shock. We’ve seen over the years that lots of insurers have not valued high calibre spokespeople.
“There is certainly a risk of a brain drain because Adrian, Tim and John have vast experience and knowledge of the pensions industry. Ultimately if you lose the best people, that must jeopardise your business.”
Syndaxi Chartered Financial Planners managing director Robert Reid says: “I was surprised L&G was willing to let Adrian go at a time like this. It is hard to put a price on the value he brings to that business.”
Boulding has been at L&G for 18 years, since 1997. He is also chairman of the National Association of Pension Fund’s Pension Quality Mark and was part of a three-man committee that conducted a Government-commissioned review of auto-enrolment in 2010.
L&G: 12 months of upheaval
March 2014: L&G’s share price tumbles after Chancellor George Osborne shocks the industry by announcing radical new pension freedoms
September 2014: L&G Assurance Society chief executive John Pollock confirms he is retiring from the industry
January 2015: L&G closes its with-profits fund to new business
February 2015: Head of strategy for individual annuities Tim Gosden exits
March 2015: Provider confirms pensions strategy director Adrian Boulding will leave in August