Investment Management | In the Investment Management segment, which comprises Group-wide institutional asset management activities, Swiss Life achieved a result of CHF 93 million. The CHF 43 million increase on the previous year is primarily due to higher income from asset management and other commission income. There are a number of reasons for this: In Germany, Swiss Life spun off its investment management, previously integrated in the insurance business, into a separate investment company, whose result is now included in this segment. In Switzerland, a new service level agreement was concluded with the Swiss insurance business, and transactions in the real estate sector attained a higher volume. Thanks to stringent cost management, expenses rose by only 2% to CHF 189 million despite the first-time inclusion of the German business.
Assets under management came to CHF 120 billion, consisting of CHF 110 billion in insurance assets, around CHF 7 billion in investment funds and CHF 3 billion from third-party mandates.
In the period under review, Swiss Life adjusted its Investment Management organisation and processes. In order to boost the earnings potential, exploit synergies and improve risk control, all units in the Investment Management segment have been reporting directly to the Group Chief Investment Officer since 1 January 2008. Investment activities are now conducted in accordance with a Group-wide standardised process. Moreover, Swiss Life is concentrating its resources for the various investment classes at two locations in Zurich and Paris, from where a uniform implementation of investment decisions throughout the Group will be ensured.
Swiss Life continued to develop its guidelines with regard to directives and risk limits in the Investment Management segment, based on its existing Code of Compliance. Great significance is attached to monitoring adherence to the relevant directives and limits.
In 2008, the focus is on the full integration of the new Investment Management units, and the establishment of appropriate, modern infrastructure tailored to the requirements of present-day asset management.
| Key figures for Investment Management |
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| Asset management and other commission income | | 271 | | 225 | | 20.4% | |
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| Financial result (without share of results of associates) | | 3 | | 2 | | 50.0% | |
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| Other income | | 8 | | 8 | | 0.0% | |
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| Total income | | 282 | | 235 | | 20.0% | |
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| Interest expense | | 0 | | 0 | | n.a. | |
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| Operating expenses | | –189 | | –185 | | 2.2% | |
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| Segment result | | 93 | | 50 | | 86.0% | |
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| Assets under management | | 119 928 | | 118 127 | | 1.5% | |
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| Number of employees (full-time equivalents) | | 574 | | 522 | | 10.0% | |
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