New asset management agreement with BlackRock
Following the review of our asset management arrangements announced in February 2018, we have selected BlackRock to manage £30bn of passively managed assets, out of the £110bn of assets that were in the scope of the review.
BlackRock has been selected following a competitive tender process in which it clearly demonstrated its market leading capabilities in passive strategies which will ensure that we can continue to deliver excellent service and investment performance for our customers.
The management of the assets will commence upon conclusion of the current arbitration process with Standard Life Aberdeen or when the existing contract expires. Lloyds Banking Group remains confident in its rights to terminate the current asset management agreements and expects the arbitration process to conclude early next year.
There will be no interruption to the ongoing investment management of our customers’ portfolios.