Andrew Putwain: Can you briefly introduce yourself and your role?
Alex Wharton: I am a Managing Director covering partnerships and insurance within L&G’s Asset Management business. I joined the company two years ago as part of the legacy Legal & General Capital division.
Legal & General Capital invested our balance sheet surplus capital, seeking to deliver returns, do good for society and the environment, and manufacture stable assets from development assets that would match our pension commitments.
When our group CEO announced our new corporate strategy in June 2024, I was asked to lead our third-party insurance asset management. We had been doing third-party insurance asset management for many years, but we felt this was a strong growth area for the company.
There's been a big pivot in the last 10 years from insurers that found it difficult to work with insurance-owned asset managers. The concept of competition might have been politically challenging for them, but with the increasing level of complexity, both regulatory and investment-wise, they've pivoted towards using insurance-owned asset managers. The understanding of them, their regulatory obligations, and their governance is helpful. It allows them to accelerate certain processes, which is a big advantage.
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