Manulife acquires New York Life’s RPS

MANILA, Philippines - Manulife Financial Corp. has acquired the retirement plan services (RPS) business of New York Life in the United States through John Hancock Financial, its US division. It will increase John Hancock’s RPS assets under administration by approximately 60 percent. New York Life also agreed to assume, on a reinsurance basis, 60 percent of certain John Hancock life insurance policies.  The transaction accelerates Manulife’s growth strategy for wealth and asset management businesses around the world, while it complements recent investments in similar businesses in Canada and Asia. It likewise redirects capital to higher growth, less capital intensive, higher return businesses. The transaction also accelerates Manulife’s expansion into the United States mid-case and large-case retirement plan markets, and builds on its leading position in the small-case market.