Legal & General records £589m first half profit

Analysts predicted the UK life insurer’s profit, based on European embedded value, would only reach £580m. The group raised its interim dividend by 7.5%, to 1.87p. The insurer also says as result of a capital review and in line with market expectations, it is to buy back £1bn of shares. L&G’s UK life and pensions business increased 24% to £4.47bn; while worldwide it was up 22% to £4.98bn. Institutional funds under management grew 51% to £16.2bn. Legal & General group chief executive Tim Breedon says the strong first half 2007 result demonstrates progress in the company’s core prot...