MetLife has announced it will sell its network of 4,000 US-based advisers to an American life insurance company in an effort to strengthen its focus on product manufacturing.
In a statement, the company said it entered into a definitive agreement with Massachusetts Mutual Life Insurance (MassMutual) which will see the sale of MetLife's retail adviser force – the MetLife Premier Client Group.
The retail network includes more than 40 local sales and advisory operations and about 4,000 advisers across the US.
"We are evaluating the economic and regulatory environment and directing capital to businesses where we can achieve a clear competitive advantage," MetLife chairman, president and chief executive Steven Kandarian said.
"This transaction will enable our US retail business to sharpen its focus on its core strength in product manufacturing while also providing a broader distribution network through the partnership with MassMutual.
"By decoupling manufacturing from distribution, our US retail business will be more agile, and both MetLife and the US retail business can achieve significant cost savings."
Eric Steigerwalt, executive vice-president of MetLife's US retail segment said, "With this transaction, our financial services representatives and support staff will continue to connect clients to the best risk and wealth management solutions, and MetLife's products will now have even greater reach through the premier distribution network that this transaction creates."
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 18 Oct 2018Aussies say royal commission won’t change their view of adviceBy James Mitchell
- 18 Oct 2018Hire younger advisers to get younger clients, paper suggestsBy Adrian Flores
- 18 Oct 2018Synchron launches app for adviser developmentBy Reporter
- 17 Oct 2018Private banking has no place for bad advisersBy Eliot Hastie
- 17 Oct 2018CBA admits failure to tackle conflicted adviceBy James Mitchell
- 16 Oct 2018NAB to address advice issues in $314m payoutBy Eliot Hastie
- view all