Sun Life Financial hikes capital to P700 M

Sun Life Financial Plans Inc. (SLFPI) a wholly-owned unit of Sun Life of Canada, is raising its capitalization to P700 million from P500 million, according to documents filed with the Securities and Exchange Commission.

SLFPI, the sole distributor of Sun Life’s pension and education plans in the Philippines, holds the distinction of being the fastest growing pre-need company in the country today.

Amid the global financial turmoil, SLFPI maintains its position as one of the top financial services companies in the country, posting a six-percent growth in sales in the third quarter this year. 

During the period under review, SLFPI opened three new sales offices, expanded its alternative channels, launched two new products and its asset management arm (Sun Life Asset Management Co.) retained its top two ranking.

”We are glad that despite the global financial crisis, we have sustained the trust and confidence of our public,” said SLFPI president and chief executive officer Henry Herrera.

“Sun Life Financial continues to implement new initiatives that support the company’s drive toward market leadership. “We are closely monitoring the local market situation and are continually on the lookout for opportunities that will benefit our shareholders and customers,” Herrera added.

SLFPI’s parent firm reported a net income of C$656 million in the first nine months of the year. In the third quarter, however, Sun Life incurred a net loss of C$396 million, owing to credit impacts and a downturn in equity markets.

“Extraordinary events in the global financial sector have affected the company’s overall third quarter results, however, Sun Life Financial’s prudent approach to capital and risk management position it well to withstand the current economic environment. It maintains a strong capital position globally, with strong capital reserves well above those required for an insurance company — a key measure indicating that a company can meet its commitments to policyholders,” Sun Life said in a statement.

SLFPI began operations in 1895 and currently provides 1.1 million Filipinos with products and services to help them meet their financial needs. — Zinnia Dela Peña