Old Mutual merges fund firms Omam and Skandia Investment

 
Elizabeth Fournier
SAVINGS and investment trust Old Mutual revealed plans yesterday to merge its asset management businesses, bringing UK operation Old Mutual Asset Managers UK (Omam) and Skandia Investment Group (SIG) under the same brand.

The plan is designed to up Old Mutual’s asset management presence in the UK, giving it the opportunity to expand the range of products and advice it can offer.

The combined group does not yet have a name, but it will be run by Julian Ide, chief executive of Omam. The new management team will run a strategic review over the next six months, with more information on how the group will operate expected by the third quarter.

The UK’s Retail Distribution Review (RDR) was cited by the firm as a key reason for the change, as it looks to target financial advisers subject to the FSA’s new, more stringent rules by offering access to both Omam’s fund managers and Skandia’s strength in distribution.

“Our aim is to become one of the most preferred asset management partners for financial advisers and their customers in the post-RDR market,” said Old Mutual’s Paul Feeney.