2023 Financial Results
For more than thirty years, Lombard International Group has been at the forefront of serving the wealth, estate, and succession planning needs of affluent, high net worth, and ultra-high net worth individuals and their families. Throughout this period, we have sustained robust growth and adeptly navigated through dynamic markets, evolving regulatory landscapes, and changing stakeholder requirements.
Lombard International Assurance S.A., the Group’s main insurance carrier, pioneered Luxembourg unit linked life insurance for wealth planning and has since retained its undisputed leadership position, consistently capturing a share of circa 25% of that market over the last decade.
We have a clear strategy for our business and are firmly on track to deliver growth and value to all our stakeholders.
A resilient 2023 financial performance
Against the backdrop of a challenging macro-economic and geopolitical environment, Lombard International Group has once again demonstrated a resilient financial performance in 2023.
The Group delivered €3.2 billion of new business premiums, with AUA increasing to €49.4 billion (as at 31 December 2023), driven by strong contributions from a number of core markets, including France, Sweden, Italy, Portugal and the UK. The results are testament to the trust which clients and partners place in us.
Our award-winning solutions and services are highly sought after and valued by our clients and their advisers. What truly matters to them is being able to protect, preserve, and pass on their wealth for future generations. They are looking for peace of mind, knowing that their requirements will be understood, addressed, and managed responsively.
Industry Recognition
In 2023, we continued to garner industry accolades, winning multiple awards, recognising our commitment to excellence and innovation. These are testament to the hard work and dedication of our team. We are proud to have been honoured with the following awards during the past year:
- Best Financial Services Group Europe, from Global Banking & Finance Review
- Decade of Excellence - Financial Services Group Europe, from Global Banking & Finance Review
- Leading Luxembourg Life Insurance Provider in France, from Leaders League
- Best Wealth Planning Team, from WealthBriefing
- Best Insurance-Based Wealth Solutions Provider, from Private Banker International Global Wealth Awards
- Gold Employer Partner status, from STEP
Forward-looking strategy focusing on our core European markets
In February 2023, we announced the sale of our Singapore Brokerage business to MHK Insurance Services Limited; and in November 2023, we announced the completion of the divestment of our US and Bermuda businesses to BroadRiver Asset Management and its affiliated entities, which have been rebranded to Axcelus Financial.
These divestments were a strategic decision to enable the Group to focus efforts and resources on further growing and serving core markets through our European Carriers and Distribution Entities. This direction aligns with the Group’s aim of simplifying operations, and our commitment to further invest in solidifying our presence and service delivery in markets where we exhibit leadership and see future growth potential.
Investing for sustainable and profitable growth
Our commitment to maintaining our leadership position in the Luxembourg unit-linked life insurance sector remains steadfast.
With a focus on the sustainable growth of our business, we are committed to continued investment in technology, digital solutions, and our in-house talent. This is all aimed at strengthening our position and deepening our relationships with existing and new partners and clients. In this regard, I am delighted to announce that Lombard International Group is set to launch its new distribution business, LIA Patrimonio Iberia, in Q2 2024, to support our ambitious growth plans in the region.
Against the backdrop of evolving regulatory requirements, we also continue to further enhance and strengthen our Risk Management and Compliance functions. This has included recruiting additional experienced compliance professionals and investment in the latest digital compliance software. This will ensure that the Group remains equipped to provide expert, compliant solutions to our partners and clients.
Reaffirmed financial strength
At the core of our forward-looking strategy is our financial strength and strong balance sheet. Lombard International Assurance S.A., the Group’s insurance carrier headquartered in Luxembourg, is well-capitalised and profitable, with reaffirmed ratings of A-(Excellent) from AM Best and an insurance strength rating of A with stable outlook from KBRA.
Our Company’s financial performance is built on a steady inflow of fee revenue, driven by our solid new business generation and the persistency of our in-force portfolio.
Our ongoing commitment to sustainability
At the forefront of the sustainable investing revolution stands Europe - a testament to the proactive role played by the EU in establishing a robust regulatory framework. This framework has empowered financial industry players to integrate ESG criteria into their business operations and value propositions, raising expectations and standards. By constructing new frameworks, Europe is addressing areas that traditionally cause hesitancy among investors, fostering an environment in which ESG investing can flourish.
Like the wider industry, as a business, we are fully committed to determining and refining our ESG targets, defining our path forward, and gauging our progress along the way. We recognise the significant capacity of our industry to drive transformative change, and we hold ourselves accountable for measuring performance beyond financial outcomes. Moreover, we wholeheartedly champion diversity, equity and inclusion, acknowledging the value they bring
We know what truly matters
What sets our Group apart is our focus on the provision of unit-linked life insurance solutions, the scale of our expertise and the in-house talent that we have accumulated over the last 30+ years of operations. With our presence in nine cities, seven countries and serving over 14 markets, we have built a significant breadth of international diversity, knowledge and experience.
Crucially though, private wealth is about more than just net worth, it’s about people, it’s about relationships. Our international team, made up of 50 different nationalities, speaking over 30 different languages, expertly serves the wealth planning needs of our partners and their clients. I am hugely proud of our multicultural, diverse, and inclusive Group, driven by a values-based culture of performance, ambition and curiosity. This gives us the edge when it comes to innovation and service excellence.
Lombard International Group is well positioned, financially strong and fully equipped to deliver continued growth and value to our partners and clients.
Yours sincerely,
Stuart Parkinson
Group Chief Executive Officer