Aviva Investors assets dipped by £6.2bn in the first half of the year, much of it from the management buy-out of its American funds business.
Total assets stood at £234.3bn at 30 June, compared with £240.5bn at the beginning of the year.
Aviva sold US-based fund house River Road back to its founders in June for £74m, shedding £4.8bn in the process. The business’s book value was £42m.
Stripping that out, the business lost £1.4bn of net assets due to £5.8bn pulled by external clients and the redemption of £10.2bn of Aviva group money.
Aviva chief executive Mark Wilson says the turnaround of the investment management business is still a work in progress, but the recent launch of the Multi-Strategy range is “an important milestone”.
“We are supportive of the increased flexibility that the annuity reforms give our customers and with our broad range of products, including the recently launched Aviva Investors Multi Strategy fund range, we believe we are well placed for these changes,” he adds.
The funds business’s operating profit jumped 32 per cent to £41m compared to the first half of 2013.
The Aviva group’s operating profit rose 4 per cent in the six months to 30 June, hitting £1.05bn.