UK – Legal & General Investment Management won 5.4 billion pounds (8.1 billion euros) of new institutional business in the first quarter of 2004, a 93% increase on the same quarter a year ago.

Assets under management are now more than 143 billion pounds at LGIM, said parent Legal & General in first-quarter new business report.

“Our institutional fund management business had another excellent quarter winning record new business of 5.4 billion pounds (2003: 2.8 billion pounds),” Legal & General said.

“Of this total, 1.3 billion pounds was for active bond business, reflecting our successful strategy of developing this aspect of the business.

“New index fund business, which included one particularly large mandate, almost equalled the previous record in the fourth quarter of 2001.”

Earlier this year Legal & General said LGIM’s operating profit fell 13% to 80 million pounds (119.7 million euros) in 2003 from 92 million pounds in 2002.

Legal & General’s UK life and pensions new business was up 14% in the first quarter at 131 million pounds while UK group life and pensions fell 30% to 23 million pounds.

“These results show further good progress for Legal & General, with our core UK retail life and pensions business continuing to grow well in sluggish markets,” said chief executive David Prosser.

The firm added: “We expect the current stability in equity markets will lead to improved consumer confidence in savings and other financial products. At the same time we expect the trend of market share concentration to continue.

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