Individual insurance sales during the quarter totalled $102 million, similar to last year’s third quarter. IA claimed to sell the most policies in Canada. Group insurance sales were $30 million for the quarter, compared to $18 million in the same period in 2024, mainly attributed to one large group sale.
Core earnings for the wealth management segment totalled $125 million, up from $106 million for the same period a year ago. The 18% rise came mainly from an increase in the combined risk adjustment release and contractual service margin recognized for services provided from strong net segregated fund sales, as well as favourable financial market impact.
Individual wealth management gross segregated fund sales were $1.6 billion for the third quarter (up 23% year over year), while gross mutual fund sales were $608 million (up 58% year over year). Combined net inflows of segregated and mutual funds totalled more than $1 billion in the third quarter, compared to $618 million in the same quarter last year. Clients favoured asset classes with higher return potential over guaranteed investments, iA noted.
At the same time, group savings and retirement sales for the third quarter were $607 million, down from $900 million a year earlier, mainly from a decrease in insured annuities sales.
On Oct. 31, iA closed its acquisition of RF Capital Group for $693 million, which included the cost of an advisor retention strategy. The acquisition added $43.6 billion in assets under administration as of Sept. 30 and 142 advisor teams as of Oct. 31. It will reduce iA’s solvency ratio by 6.5 percentage points and capital available for deployment will be down about $700 million.
IA’s total assets under management and under administration were nearly $289 billion at the end of the third quarter, an increase of 15% compared to the same time last year.