J.P. Morgan Signs Agreement to Sell its Large-Market 401k Recordkeeping
Business, J.P. Morgan Retirement Plan Services, to Great-West Financial®
NEW YORK, April 3, 2014
NEW YORK, April 3, 2014 /PRNewswire/ -- J.P. Morgan Asset Management has
signed an agreement to sell its Kansas City-based 401(k) recordkeeping
business, J.P. Morgan Retirement Plan Services (RPS), to Great-West
Financial^®. The transaction, which will not have a material impact on
JPMorgan Chase's earnings, is expected to close during the third quarter of
2014, subject to the receipt of regulatory approvals. Terms of the
transaction were not disclosed.
"We believe that this deal is very complementary. Great-West Financial is one
of the largest and most respected retirement plan administration firms in the
industry – with an existing expertise in serving large plans – and we believe
that our clients and employees will benefit from the acquisition," said
Michael Falcon, Head of Retirement at J.P. Morgan Asset Management. "Clients
of RPS will experience continuity in the people, products and services they
are accustomed to, while gaining the technological excellence and deep product
capabilities offered by Great-West Financial, an established provider to
public and private plans."
The transaction includes the large- to mega-sized plans, and does not include
J.P. Morgan's business in the small plan space administered through Retirement
Link^SM, which is a distinct and separate offering. J.P. Morgan will continue
to offer and even expand its efforts to serve the growing market in the small
J.P. Morgan and Great-West Financial are committed to providing the same
service and support that clients expect with no disruption as a result of the
acquisition. Employees of RPS will become Great-West Financial employees upon
close. The office location in Overland Park, KS, will be retained by
With $109 billion in defined contribution assets under management and $1.6
trillion in total AUM, J.P Morgan Asset Management is a leading provider of
investments, retirement plan services and thought leadership serving
companies, advisors and individuals globally.
"We continue to rapidly grow through all areas of the retirement marketplace
by delivering investments, including our growing SmartRetirement target date
funds, a distinct small-market defined contribution plan offering, and
innovative insights and tools including the award-winning Guide to
Retirement," said Falcon. "Our mission is to be our clients' premier partner
in helping individuals achieve a financially sound retirement."
Robert L. Reynolds, who was recently named President and Chief Executive
Officer of Great-West Lifeco U.S., the holding company that owns Great-West
Financial and Putnam Investments said, "With today's announcement, we are
taking a powerful step toward addressing the complex and evolving needs of
millions of working Americans – through the combination of expertise, talent
and business scale being created at Great-West Financial."
About J.P. Morgan Asset Management – Retirement
J.P. Morgan Asset Management is a leading comprehensive retirement solutions
provider dedicated to improving individual retirement outcomes. J.P. Morgan
Retirement has defined contribution assets under management of $109 billion.
J.P. Morgan Retirement Plan Services provides bundled recordkeeping services
to more than 650 clients and two million plan-level participants, representing
more than $160 billion in retirement plan assets (as of December 31, 2013).
About J.P. Morgan Asset Management
J.P. Morgan Asset Management, with assets under management of $1.6 trillion,
is a global leader in investment management. J.P. Morgan Asset Management's
clients include institutions, retail investors and high-net worth individuals
in every major market throughout the world. J.P. Morgan Asset Management
offers global investment management in equities, fixed income, real estate,
hedge funds, private equity and liquidity. JPMorgan Chase & Co. (NYSE: JPM),
the parent company of J.P. Morgan Asset Management, is a leading global
financial services firm with assets of approximately $2.4 trillion and
operations in more than 60 countries. Information about JPMorgan Chase & Co.
is available at www.jpmorganchase.com.
About Great-West Financial
Great-West Financial^® is a registered mark of Great-West Life & Annuity
Insurance Company. Headquartered in metro Denver, Great-West Financial
administers $243.5 billion in assets for its 5.4 million retirement, insurance
and annuity customers.
Great-West Financial is the nation's second largest underwriter of life
insurance sold through banks (BISRA Life Report, Third Quarter 2013, based on
total premiums at Sept. 30, 2013) and fourth-largest retirement plan record
keeper (Pensions & Investments, March 2014, based on total participant
accounts at Sept. 30, 2013). It is an indirect, wholly owned subsidiary of
Great-West Lifeco Inc. and "A Member of the Power Financial Corporation Group
of Companies" ^®.
Great-West Financial^® refers to products and services provided by Great-West
Life & Annuity Insurance Company (GWL&A), Corporate Headquarters: Greenwood
Village, CO, its subsidiaries and affiliates. Recordkeeping information and
rankings reflect all recordkeeping customers of GWL&A subsidiary FASCore, LLC:
those of institutional partners, third-party administrator clients and
Great-West Financial. The trademarks, logos, and registered marks used are
owned by GWL&A. "A Member of the Power Financial Corporation Group of
Companies" is the registered mark of Power Corporation of Canada.
SOURCE J.P. Morgan Asset Management
Contact: Kristen Chambers, 212-622-4111, email@example.com;
Gregory Roth, 212-622-4332, firstname.lastname@example.org
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