UK – Liverpool Victoria Friendly Society (LVFS) is to acquire the Royal National Pension Fund for Nurses (RNPFN) in a deal worth approximately £248m (€409m).
The existing fund will be closed to new business and transferred to the life company, whilst all the assets of the RNPFN will, over time, be distributed to policyholders.
Asset management for the fund will be taken over by LVFS’s London based operation as soon as possible following the acquisition – a move that will lead to a loss of assets for Deutsche Asset Management and Henderson Global Investors, which currently manage the fund’s portfolios.
A supervisory board will then be set up to protect the rights and interests of the RNPFN members.
The move comes after the RNPFN Council undertook an assessment as to how high quality, low cost life, pensions, savings and protection products could best be provided to the nursing and healthcare communities.
The deal will lead to the establishment of a new charitable company called the Burdett Trust for Nursing and the RNPFN will receive up to £100m from LVFS as capital support to help maintain financial security and investment freedom for RNPFN policyholders.