AMP UK is being restructured and divided into two main streams which will see all closed book busine...
AMP UK is being restructured and divided into two main streams which will see all closed book business handled by one team and the removal of Tom Fraser from his position of UK managing director.
All closed book business from Pearl, London Life and NPI will move to the 'mature' division, including all products sold through the 90:10 fund which closes at the end of 2003.
Meanwhile, the 'contemporary' business will shoulder all remaining NPI, Towry Law, Ample and the UK operations of AMP Banking, as well as development of new, open architecture products and platforms, says ceo Andrew Mohl who took over just a few weeks ago.
"The separation of UKFS into two streams allows us to better manage the risks, which are different for each business. The mature and contempoarary businesses require different management skills and have distinct drivers of shareholder value," says Mohl.
"Our execution of strategy will be twofold. IN the mature business, we will seek to excel at managing the closed books of business, optimizing costs, retention and capital management. In the contemporary business, we will pursue targeted opportunities in those areas where we believe we have real competitive advantage," he adds.
"Mohl retiterates AMP is looking to try and rectify some of the problems in the UK division, rather than pull out of the market.
Changes to the structure of AMP UK had to be implemented, says Mohl, given the 40% loss in AMP's share value generated by problems at AMP UK.
However, it has meant the removal of five senior executives from UKFS, including Tom Fraser, md of UKFS; Tim Wade, md of AMP Int'l - which is now being folded into AMP Strategy & Development - Warwick Foster, cio, Peter Noble, general counsel and Andrew Jones, general manager for Human Resources.
Ian Laughlin will be responsible for AMP UK Life Services, the 'mature' division of UKFS, along with Jonathan Moss who will responsible for business transformation and previously restructured NPI's closed book of business.
John Drabble will head up AMP UK Contemporary Financial Services, while Paul Leaming, Christine McLoughlin, Marc de Cure, Gareth Bennett, Roger Yates, Craig Dunn and Matthew Percival will all retain positions, albeit some have changed.
Takeover of Commerbank Asset Management Italia will eventually fall under the remit of AMP UKFS while AMP Asia, AMP Sanmar and AMP Japan will fall under control of the Australian group.
Henderson Global Investors will remain unaffected.
To promote 'long-term investment'
Switching 'hard and expensive'
Smaller funds still packing a punch
To drive progress