Family Investments, the trusted friend to families when they need specialist financial help, has recorded its strongest ever performance with operating profits increasing by 30% to £19.8m in 2013*. The strong performance also saw an increase in Family’s reserves, an indicator of its financial strength, which grew to their highest level ever at £52.9m.
Funds under management also saw a 9% rise to £4.9bn, helped by a continued growth in memberships which reached 1.84 million. The mutual’s record breaking result was aided by writing profitable new business and making efficiencies following a strategic review.
The results follow Chief Executive, Simon Markey’s first full year in charge of Family Investments. The new CEO headlined the need for change by undertaking a thorough strategic review of the mutual. This review set out a new vision for Family Investments, identified new market opportunities, alongside an investment in systems to improve the customer experience.
Family’s growth has continued into 2014 with funds under management rising further to £5.4bn (as of 31st March 2014) and the signing of a new contract with Bank of Ireland UK to continue to manage the Post Office ISA for the next eight years.
“We delivered strong growth in the midst of a sector which is faced with a number of challenges and is undergoing rapid change.”
Simon Markey, Chief Executive of Family Investments said:
“2013 proved to be a fantastic year for Family Investments, as we delivered strong growth in the midst of a sector which is faced with a number of challenges and is undergoing rapid change. We have already made a substantial investment in new systems and technology and the profits generated this year will be used to invest in further growth, which will benefit members through better products and even better customer service.”
“While a number of mutuals within the industry have been hindered by the recession, new regulations and perhaps poor governance, we have been able to strengthen our position to record numbers. But this is only part of the challenge, the industry needs to continuously evolve, consolidating where necessary and offering better and a more diverse range of products to its members.”
“This is an evolution which Family Investments is well placed for, where we are able to lead the industry by investing further and creating a new and modern mutual which delivers the type of financial services that British families are crying out for.”