How we create and sustain value
Everything we do is shaped by three clear strategic priorities: maximising value from our existing business, growing through disciplined acquisitions, and generating profitable new business.
Together, these objectives drive sustainable capital generation, support our dividend strategy and deliver long-term value for shareholders across the Group.
Our three strategic pillars
Our strategic pillars set out how we create and sustain value across the Group. This guides the decisions we make, the acquisitions we pursue and the outcomes we deliver for policyholders and shareholders alike.
We efficiently manage life assurance, investment and pension policies whilst ensuring good outcomes for customers and policyholders.
Why this matters:
Existing in-force books are the core source of capital generation and are at the heart of our investment case.
How we deliver:
A centralised governance oversight and corporate management team ensure robust and consistent governance across the group. Operating autonomy is delivered to the business units to benefit from strong local management teams.
£ 96 m
Creating value through acquiring companies or books of business.
Why this matters:
Acquisitions maintain the scale and effectiveness of the operating model. They also create a source of value enhancement through the delivery of cost and capital synergies.
How we deliver:
We identify potential deals through an effective network of advisers and industry associates. We work co-operatively with regulators and assess deals by applying well-established criteria considering the impact on cash generation and economic value. Transaction risk is minimised through stringent risk-based due diligence and the senior management team's acquisition experience. We fund deals with debt, equity or internal resources depending on the size and cash flows of each deal.
16
Writing new business only where conditions ensure products add value, meet hurdle rates and support long-term Operating Capital Generation.
Why this matters:
New business profits are a growing part of the Chesnara financial model and financial performance, complementing the value and growth delivered by our existing business and future acquisitions.
How we deliver:
- UK sells an onshore investment bond product, and is becoming a growing focus for the business unit with the addition of Chesnara Life.
- Movestic offers personalised unit-linked pension and savings solutions, as well as life and health products, distributed through brokers and its direct channel. It also provides a custodian product via several private banks.
- Scildon sells largely term assurance and protection products via a broker-led model.
£ 12 m
Sustainability underpins our strategic objectives
We are committed to ensuring that our operations and investments are sustainable and that sustainability is at the heart of our decision-making process across the group.
A track record built on discipline
Our investment proposition combines consistent capital generation, reliable dividend growth and a strategic approach to acquisitions that has delivered value for shareholders year after year.
A culture that delivers
Our long established and proven culture and values support the delivery of our core strategic objectives.
Our values are strongly influenced by our responsibility to our key stakeholders including policyholders, regulators, employees, customers, our investors and the planet.