Aviva Investors CEO Dromer to exit
Alain Dromer is to step down as CEO of Aviva Investors after insurance group parent Aviva revealed plans to simplify its business.
Chief executive for Europe, Igal Mayer, and chief executive of North America, Richard Hoskins, will also exit the firm.
Pat Regan will continue as group CFO and will assume responsibility for Aviva Investors.
Dromer joined the Aviva group in 2007 from HSBC, where he was most recently global head of group investment businesses.
“Dromer has transformed Aviva Investors, creating an integrated asset management business and successfully growing external sales to record levels in 2011,” read a company statement. “We will be recruiting a successor to Alain who will report to Pat Regan, CFO, to lead the next stage of Aviva Investors’ development.”
According to a London Stock Exchange announcement, Aviva has now decided to remove the regional layer of the business structure and produce a “flatter” organisation.
Aviva will now focus on developed markets including UK & Ireland, France, Spain, Italy, the US, and Canada, and higher growth markets including Asia, Poland, Turkey and Russia.
“These countries have higher growth characteristics due to their economic growth potential and relatively low penetration of insurance products. We expect that these businesses will grow quickly and make an increasingly material contribution to profits,” read the statement.
According to the company, more detail on cost saving measures will be set out at an investor and analyst event on 24 May.
“The changes I am announcing today will result in a simpler and more efficient organisation which will deliver further operational benefits, accelerate delivery of our strategy and provide opportunities for profitable growth,” said Andrew Moss, group chief executive.
Dromer’s exit follows John Clougherty’s departure at the end of last month, the chief executive of Aviva Investors’ UK funds business, and several desk closures announced at the beginning of the year.
The group closed its European, emerging market, SRI and global equities desks in January and announced 160 potential job cuts. Aviva Investors said the changes were due to the economic downturn which had reduced appetite for riskier assets.
This article was first published on Investment Week