Scottish Friendly funds under management break £1bn barrier ahead of M&GM takeover

Glasgow-based mutual Scottish Friendly has seen funds under management hit £1 billion for the first time, after an 8 per cent rise last year.

Total AUM now stands at almost £1.08bn, a figure that is due to double this week with the completion of a takeover of Marine and General Mutual (M&GM).

Subject to final approval, the transfer, which is due to complete on 31 May, will see assets increase to more than £2bn.

Latest figures for 2014 from the financial services firm also reveal that total sales last year rose by 5 per cent to £21.6m on the back of strong growth from partnerships, such as one with Sun Life Direct, which has helped to increase sales and membership numbers, Scottish Friendly said.

Chief executive Fiona McBain said: “Scottish Friendly has had a great year and we are very pleased with the progress we have made. Significant business growth continues to build the foundations for long-term success.

“The transfer of M&GM to Scottish Friendly will be the biggest in the group’s history. When complete, it will be a landmark moment for our business that will bring great opportunities and significant economies of scale.

“The organisation has adopted a long-term three-part strategy of mergers and consolidations, organic growth and business process outsourcing.

“We have shown growth on all fronts over the past year and expect to continue to be well-placed to seek out new opportunities in the future.”