Aegon Asset Management today announced plans to integrate its European and US businesses, in a move which will see us leveraging our extensive global resources to enhance client outcomes and compete more aggressively with other major global asset managers.
The creation of a globally integrated structure follows the 2018 merger of our senior European management team with responsibility for Aegon Asset Management (Netherlands), Kames Capital and TKPI (Netherlands).
This final step to establish a globally integrated structure, will see the simplification of our current operating model which features regional executive committees, to create a global operating management board headed by Aegon Asset Management global chief executive Bas NieuweWeme.
It will create a global investment business, with assets under management of €339 billion ($386 billion)* that maximizes the full potential of our multi-site teams from across the regions. This will allow Aegon Asset Management to bring the breadth and depth of our actively managed investment expertize together for our clients across the globe, by providing them access to the firm's best-of-breed products and solutions.
Distribution and operations teams will also be managed on a coordinated, global basis while maintaining local client focus and relationships.
Our investment teams will be organized across four investment platforms for which we have uniquely differentiated capabilities and believe we can be globally competitive - Fixed Income, Real Assets, Equities and Multi-Asset & Solutions. There will not be any changes to our investment process, nor the people managing clients' portfolios.
Each investment platform will be led globally by a chief investment officer, who will be represented on the global management board. The existing investment teams will remain in place and continue to manage the portfolios currently entrusted to them, albeit with greater global perspective and deeper research inputs.
To maximize the impact of our highly respected ESG capabilities, we will transition our responsible investing team from the CEO to the CIO domain in order to be even closer to the investment process and ESG product development.
The new structure will also see the Kames Capital and TKPI brands retire in 2020 as the firm moves to the globally-recognized Aegon Asset Management brand. Although we will no longer operate the TKPI brand, we remain fully committed to its fiduciary and multi-manager services, which will be rebranded as AAM Fiduciary Services & Investment Solutions and AAM Multi-Management respectively.
By organizing our investment teams globally across the four investment platforms we can harness our experience, knowledge and resources worldwide.Bas NieuweWeme
Speaking about the changes, Bas NieuweWeme said:
"By organizing our investment teams globally across the four investment platforms we can harness our experience, knowledge and resources worldwide. This will enhance our performance potential and help generate better investment outcomes for our clients, while providing them access to our best in breed products and solutions. The move will support the great work being done by our investment and distribution teams by providing them with deeper resources, while not changing our investment processes or local focus.
"The changes allow us to be more responsive to the changing markets and the evolving needs of our investors, while avoiding duplication of effort. The efficiencies we realize can be invested in our client proposition and service, with competitive pricing and investment in our systems and processes so that they remain best-in-class for our clients."
* Source: Aegon Asset Management as at 30/06/2019.