Phoenix as part of the deal. 2p on the news, while Phoenix standard life investments limited 5. The sale involves the disposal of Standard Life Assurance Limited, with Standard Life Aberdeen retaining its UK retail platforms and financial advice business. Europe, UK retail and workplace businesses,’ the company said in a statement this morning.

Standard Life Aberdeen will continue to be the asset manager for the insurance business acquired by Phoenix as well as the assets it already manages for Phoenix. In addition, subject to normal commercial and governance constraints, Phoenix Group has committed to review further investment management mandates not currently managed by Aberdeen Standard Investments, who will be its preferred asset management partner for insurance investment solutions, as well as future consolidation opportunities,’ a company statement said. Following the deal Phoenix said half of the newly enlarged group would be based in Edinburgh, where it will be moving its headquarters. Standard Life Aberdeen said the sale was motivated by its aim to focus on its financial adviser platform business and asset manager arm Aberdeen Standard Investments. In partnering with Phoenix Group, whose expertise is in administering and servicing long-term savings, Standard Life Aberdeen is able to realise attractive value for the disposed businesses, while continuing to benefit from access to related assets and flows,’ the company said. This transaction completes our transformation to a capital light investment business, a process started in 2010 with the sale of Standard Life Bank, continuing with the sale of our Canadian business and the merger last year between Standard Life and Aberdeen Asset Management,’ Standard Life Aberdeen chair Gerry Grimstone said. A decision on that deal had long been expected after Aberdeen Asset Management, which had run the funds since 2013, combined with Scottish Widows’ competitor Standard Life last year.

Scottish Widows chief executive Antonio Lorenzo said Standard Life Aberdeen could participate in this contest if it fixed its competitor issue which is the presence of the Standard Life insurance arm. Many people want to participate . We welcome Standard Life Aberdeen to participate if they fix their problem with competition. We are not thinking to address this internally,’ he said. Let me make it absolutely clear we have not done this transaction to solve the competition issues, we have a good relationship with Lloyds,’ he said.

I think it was more out of sadness than anything that we reached where we were. But we felt this was the right transaction for Standard Life. If it helps us win the mandate we would be delighted but we did a good job for their policy holders and clients to I expect hopefully we will get a chance to retender. 7 billion withdrawn over the year.

Investment performance sentiment resulted in a slowdown in gross flows and increased rate of redemptions,’ the group said in its update. Performance of the fund has been poor, with returns below its benchmark over one, three and five years. While flows in this area remained negative in 2017, we have seen the start of a turnaround as investors start to question how much longer the rally in equity markets can last,’ it said. Chairman Gerry Grimstone meanwhile announced he would step down from his position in 2019. Grimstone has been with Standard Life for 11 years and was widely regarded as being instrumental to last year’s merger with Aberdeen.