AMP NZ offloaded over $200 million in legacy retirement plans with retirement-focused Lifetime Income Group acquiring assets.
In a transaction confirmed this morning, Lifetime will take over as manager of the advisor-backed scheme AMP Superannuation Master Trust (SMT) by the end of February.
According to a just-released SMT disclosure document, AMP “has agreed to step down as SMT’s manager and appoint Lifetime Asset Management Limited (Lifetime) as its new manager. Approval of a New Zealand Guardian Trust Company Limited is required.”
SMT is one of the legacy schemes of the AMP fold, serving approximately 3,400 members, most of whom are nearing retirement.
Last year, Lifetime purchased a similarly sized Aon Superannuation Master Trust from Fisher Funds for $3.2 million.
According to the release, Aon and SMT’s “combined scale” will “reduce administrative and administrative costs for both schemes.”
Upon change of ownership, Lifetime will divest its various underlying AMP wholesale funds (predominantly managed by BlackRock) in favor of Fisher Funds, Macquarie, Simplicity, Mercer, Kernel, Vanguard, State Street, and Westpac employ a variety of strategies to
The scheme includes several diversified funds and several independent strategies.
In a memo sent to advisors, Lifetimes said: The NZ fixed rate asset class uses actively managed funds. ”
From the date of delivery, Lifetime will assume all administrative duties, including the processing of advisor fees, under the same terms previously provided by AMP. Lifetime has appointed a Wellington-based administrator to manage SMT.
“AMP’s retirement and Lifetime’s appointment demonstrate Lifetime’s commitment to help transition from retirement savings to retirement living,” said Ralph Stewart, founder and managing director of Lifetime, in a statement. It reflects,” he said.
Lifetime converted its original guaranteed income product into a quota-like annuity strategy in 2021.
https://investmentnews.co.nz/investment-news/lifetime-buys-amp-legacy-super-scheme/ Lifetime Purchase AMP Legacy Super Scheme