Legal & General Investment Management (LGIM) has reported an operating profit of £366m for the year ended 31 December 2016, an increase of 3% compared to £355m a year ago.
The LGIM division represents institutional and retail investment management and workplace savings businesses of Legal & General Group.
LGIM recorded external net inflows of £29.2bn, compared to £37.7bn in the 2015. The company’s total assets under management (AUM) stood at £894.2bn at the end of December 2016, a 20% surge compared with £746.1bn a year earlier.
Total revenues at the unit were £744m, an increase of 7% compared to £694m in the previous year.
Overall, Legal & General Group reported adjusted operating profit of £1.63bn for the year 2016, a rise of 11% from £1.46bn in 2015.
Legal & General Group CEO Nigel Wilson said: “Our long term approach to strategy and investment coupled with outstanding execution has again delivered terrific financial performance in 2016. Profit before tax up 17% to £1.6 billion, net release from operations up 12% to £1.4 billion, EPS up 19% at 22.2p and a return on equity of nearly 20%.
“We believe the UK remains a great place for us to help fill the huge funding gaps and under-provision of key financial products. We are playing our part to regenerate the UK’s cities, delivering economic growth and jobs, capitalise on its world-leading universities and improve commercialisation of its scientific discoveries. Additionally, we are accelerating the evolution of our US businesses.”