Legal & General Group (LGEN) Investor Day 2024 summary

Strategic vision, business focus, and execution

• Sharpened focus on core businesses, disposing of non-core assets and acquiring new capabilities, with proceeds reinvested or returned to shareholders.

• Launched private market funds targeting £20 billion in assets by 2028, and affordable homes initiatives.

• Leadership team restructured to accelerate growth, including new heads for asset management and retail.

• Disciplined capital allocation prioritizes investments above a 14% return hurdle, with a completed £200 million buyback and further returns possible.

• Continues to execute on the strategy set at the June Capital Markets Event.

Institutional Retirement business outlook and market positioning

• UK PRT market expected to remain strong, with £50–65 billion targeted for 2024–28 and a robust pipeline.

• Over £1 trillion global PRT market opportunity in the next decade, with only 12% of the £5.3 trillion market currently insured in the UK, US, and Canada.

• Record new business volumes in 2024, with £10.5 billion written or expected to close, and strong US and Canada performance.

• Funding levels of pension schemes now comfortably exceed 100%, driving higher affordability and sustained new business volumes.

• Market leadership established with over £70 billion written in the UK in the last decade and a top-10 position in the US.

Competitive advantages and business model

• Leading global PRT provider with over 25% UK market share over the last decade.

• Competitive pricing and yield uplift achieved through scale, asset origination, and a synergistic model spanning asset management, retirement, and retail.

• 84% of PRT volumes come from existing asset management clients, driving a threefold increase in asset management fees.

• In-house customer service teams, technology investments, and a world-class Net Promoter Score enhance client experience.

• Asset origination includes direct investments, affordable housing, and joint ventures, with £32 billion in direct investments and £14 billion in manufactured assets.