SunLife president eyeing acquisitions in the U.S.

Acquiring a life insurance company in the United States is an option that Sun Life Financial Inc. is willing to entertain, Jon Boscia, president of the Canadian financial services firm, said today.
DEC 04, 2009
By  Bloomberg
Acquiring a life insurance company in the United States is an option that Sun Life Financial Inc. is willing to entertain, Jon Boscia, president of the Canadian financial services firm, said today. “Life insurance is the No. 1 priority in terms of acquisition opportunities if we found something attractive here in the U.S.— that's where we are further away from having the benefits of scale,” he said at Sun Life's Investor Day in New York. But making such an acquisition may take some time, Mr. Boscia noted in an interview. “I think there will be some passage of time while companies wait to see stocks rebound, even more than where they are currently, before they start talking about potentially selling,” he added. Some insurance units will come on the market in the next 12 to 18 months as companies complete strategic reviews and decide to jettison their businesses, Mr. Boscia predicted. The sale of whole companies won't happen for two to three years, he said. “There's a strategic repositioning track that's coming sooner than the outright sale of companies,” Mr. Boscia added. “But both will come. We want to make sure we're in the pipeline, that we're in the deal flow and that we have opportunities to look at both of those.” Mr. Boscia also noted that while the acquisition of a stand-alone broker-dealer isn't high on Sun Life's list, the chance to buy a life carrier with a retail distribution unit would be an attractive opportunity.
Sun Life has made a couple of acquisitions over the course of the last two years, including its purchase this summer of Lincoln National Corp's U.K. business, as well as the 2007 acquisition of Genworth Financial Inc.'s employee benefits group. U.S. defined-contribution plans are another area of interest for the company, but that there are fewer acquisition opportunities in that line of business, compared with the life insurance market.

Latest News

Maryland bars advisor over charging excessive fees to clients
Maryland bars advisor over charging excessive fees to clients

Blue Anchor Capital Management and Pickett also purchased “highly aggressive and volatile” securities, according to the order.

Wave of SEC appointments signals regulatory shift with implications for financial advisors
Wave of SEC appointments signals regulatory shift with implications for financial advisors

Reshuffle provides strong indication of where the regulator's priorities now lie.

US insurers want to take a larger slice of the retirement market through the RIA channel
US insurers want to take a larger slice of the retirement market through the RIA channel

Goldman Sachs Asset Management report reveals sharpened focus on annuities.

Why DA Davidson's wealth vice chairman still follows his dad's investment advice
Why DA Davidson's wealth vice chairman still follows his dad's investment advice

Ahead of Father's Day, InvestmentNews speaks with Andrew Crowell.

401(k) participants seek advice, but few turn to financial advisors
401(k) participants seek advice, but few turn to financial advisors

Cerulli research finds nearly two-thirds of active retirement plan participants are unadvised, opening a potential engagement opportunity.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today’s choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave