PRESS RELEASE
7 August 2007
The merger of the former Tapiola Asset Management Ltd into the new Tapiola Asset Management Ltd has been completed. As from August, fund and asset management services will be provided by one company, Tapiola Asset Management Ltd. Tapiola Fund Management Company Ltd changed its name to Tapiola Asset Management Ltd in May. The merger does not require any actions from the customers and the contact addresses remain the same.
The ownership of the fund and asset management companies was transferred to Tapiola Bank Ltd in summer 2006 and the companies were incorporated in the Tapiola Bank group. This clarifies the organization and enables efficient customer services.
The merger results from Tapiola Group’s decision to invest strongly in asset management services. According to Tapiola Asset Management Ltd’s Managing Director Tom Liljeström, the new company pursues strong growth and develops the services in accordance with the customers’ demands. Customers will from now on be served by one company; Tapiola Asset Management Ltd.
– As the customers’ assets grow, many of them want to make investing easier by engaging the asset management company to manage their assets. Also, the fund and asset management business have converged. By merging the companies, we can provide more comprehensive services and meet the customers’ increasing demands, says Liljeström.
According to Liljeström, only a few similar mergers have been carried out in Finland. However, Tapiola wants to be among the top companies providing comprehensive services.
– The market is developing strongly. I believe that we have some good years ahead of us since the large generations are saving for retirement. In general, we are now having a period of large-scale saving, says Liljeström.
Tapiola Asset Management Ltd intends to be among the fifth largest fund management companies within five years. Tapiola has already for many years demonstrated good return of investment and profitableness. Tapiola is also a risk aware investor. Tapiola is for example in a class of its own regarding efficiency in the Eufex analysis and in June Tapiola Asset Management obtained the GIPS verification*.
New Funds under Development, More Employees
– Tapiola is known as a risk aware investor which is verified by our success during volatile times. For a customer owned company, affordability is important in the competition. Furthermore, we will try harder to reach our goal of becoming a well-known company and our present system projects will enable better services and a versatile range of mutual funds, Liljeström states. Also, most of the mutual funds will be renamed in August.
Presently Tapiola Asset Management Ltd offers 20 mutual funds. According to the company’s plans, the amount will be about 30 funds within 3-5 years.
– This year we will introduce two or three new mutual funds. In autumn a fund investing in Asia and the Pacific area will be launched as well as a new mixed fund, says Liljeström.
The new company employs 42 persons. Layoffs are not necessary and all employees of the former company have been employed by the new one. This year Tapiola Asset Management Ltd has already engaged five new employees.
Tapiola Asset Management Ltd in Figures:
- AUM about EUR 5.5 billion, of which mutual fund assets EUR 1.59 billion
- About 25,000 unit holders
- Among the eight largest fund management companies in Finland
- Among the five largest asset management companies in Finland
- 20 mutual funds
- 42 employees
- Part of Tapiola Bank group
- The insurance companies of Tapiola Group own 100% of Tapiola Bank Ltd
- Largest shareholder is Tapiola General, 68.83%.
Additional information:
Managing Director Tom Liljeström, tel. +358 9 453 2102, e-mail: forename.surname@tapiola.fi
*GIPS (Global Investment Performance Standards), a globally accepted standard for the calculation and presentation of profits in investment management.
Information Services/Tuula Laru