The global asset management business of Aviva, created three and a half years ago, said that in the "streamlining" of its business it would aim to "leverage its strengths in key asset classes and prioritise its distribution effort towards the institutional market".
The development is part of a comprehensive business review which has been led by Aviva Investors’ CEO Alain Dromer.
His rationale is that the business strategy of the firm is sound but a greater focus in core areas would improve profitability and allow the firm to invest in global development.
Aviva Investors also said the economic downturn bad been the catalyst for a change in client behaviour across the asset management sector, with a reduced appetite for risker assets such as equities.
In total the company is proposing 160 job cuts over the course of 2012, approximately 12% of the company’s global workforce. The majority of the cuts will be in London.
The announcement followed one from Aviva Investors’ parent company, which said it had sold life companies in Eastern Europe, as reported by our sister publication International Adviser.
Following the change, Aviva Investors will concentrate on fixed income, real estate and multi-asset offerings, where it sees growth potential and already feels it has a strong competitive position.
Last week the firm announced it was extending its existing multi-asset range managed by Justin Oneukwusi up to five funds and re-classifying them Aviva Investors Multi-Asset Funds I to V.
