Axa swaps annuities for Challenger advisers
Axa Asia Pacific Holdings has swapped its $1.3 billion annuity portfolio for Challenger Financial Services’ planning business in a deal costing Axa a net $100 million.
The acquisition of Challenger’s Genesys Wealth Advisers gives Axa an extra $12 billion of funds under advice and 350 advisers, making a total of 1600.
Axa CEO Andrew Penn says the deal is a “win win scenario” that pays for itself as offloading the annuity portfolio will allow the company to release $110 million in regulatory capital.
As part of the deal, Axa has also acquired Challenger’s proprietary wealth management platform Synergy.
Axa closed its $1.3 billion annuity portfolio to new business late last year.
The acquisition of Challenger’s Genesys Wealth Advisers gives Axa an extra $12 billion of funds under advice and 350 advisers, making a total of 1600.
Axa CEO Andrew Penn says the deal is a “win win scenario” that pays for itself as offloading the annuity portfolio will allow the company to release $110 million in regulatory capital.
As part of the deal, Axa has also acquired Challenger’s proprietary wealth management platform Synergy.
Axa closed its $1.3 billion annuity portfolio to new business late last year.