In a move to broaden and diversify its Canadian financial services business, AEGON Canada Inc. today officially launched a new investment management company, AEGON Capital Management Inc.

In announcing the new company, AEGON Canada chairman, president and CEO George Foegele said: “AEGON Capital Management has been created as a centre of investment management excellence that will serve the AEGON Canada group of companies, as well as its own blue chip client list.”

AEGON Capital Management currently manages over $6 billion in assets. In addition, senior employees and the portfolio managers have purchased a 30% equity interest in the company, a substantial ownership stake in the business. The remaining 70% equity interest is held by AEGON Canada.

AEGON Capital Management has evolved from the former Investment Management division of Transamerica Life Canada. Its seasoned leadership team will be headed by Karen Gavan, who will serve as CEO. Gavan will also continue as executive vice president, Corporate and CFO of AEGON Canada.

Mark Jackson, formerly vice president, Portfolio Management for Transamerica Life Canada, will serve as president and chief investment officer of the new firm, and Jock Fleming, formerly president and CEO of Laketon Investment Management Ltd., will serve as senior vice president and COO.

“AEGON Capital Management will continue to manage the corporate assets of Transamerica Life Canada as well as the segregated funds for Transamerica Life Canada,” said president Mark Jackson. “We will also seek to broaden the distribution of our investment expertise by developing products for the institutional, high net worth and retail markets as part of our growth strategy,” he continued.

AEGON Capital Management plans to leverage the varied distribution channels of AEGON Canada, including those of Transamerica Life Canada and Money Concepts Canada.

COO Jock Fleming explains that the new company will be founded on the principles of “active management, growth, fundamental research and superior customer service. AEGON Capital Management,” he said “will leverage the disciplined investment management approach established over the past few years at Transamerica Life Canada. At the same time, our new corporate structure will position AEGON Capital Management as a key link to the investment capabilities of all AEGON affiliates around the world, providing the advantages of global investment experience.”