Lloyds Banking Group has acquired full ownership of Schroders Personal Wealth (SPW), acquiring Schroders’ 49.9 per cent stake in exchange for its 19.1 per cent stake in Cazenove Capital.

Schroders’ acquisition of Lloyds’ stake in Cazenove Capital sees it re-establishing full ownership of the wealth management business.

The transaction, which involved no cash consideration, will see SPW rebranded to Lloyds Wealth.

A new multi-year investment management agreement has been put in place for Schroders to continue managing SPW and Scottish Widows assets.

As part of the agreement, Lloyds will continue to refer its high net worth customers to Cazenove Capital.

Schroders and Lloyds said they believed this was the right time for SPW to fully transition to Lloyds, as it would allow both firms to focus on their core strengths.

“Today’s announcement represents a meaningful step in reshaping our business and focusing on delivering our strategic ambition, building the wealth management business of the future – one that is modern, global, collaborative and truly client-led,” commented Schroders CEO of wealth management, Oliver Gregson.

“This evolved partnership with Lloyds enables us to focus on where we can deliver the greatest value - driving growth, improving client outcomes, and elevating the experience for our clients.

“Guided by our unifying values of excellence, innovation, teamwork, passion, and integrity, we are focused on more than wealth management – we are committed to forging lasting partnerships that empower clients and give them the freedom to focus on what matters most to them.” 

Schroders group chief investment officer, Johanna Kyrklund, added: “As SPW’s client base continues to grow, so does our responsibility to deliver consistent, long-term investment performance.

“Our extended investment agreement to manage the SPW and Scottish Widows assets, alongside our ongoing referral arrangement with Lloyds, reinforces our position as a trusted partner - helping more people across the UK grow and preserve their wealth.”

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