Great-West grows at home and abroad

Article Excerpt

GREAT-WEST LIFECO INC. $35 (Toronto symbol GWO; Conservative Growth and Income Portfolios, Finance sector; Shares outstanding: 996.9 million; Market cap: $35.0 billion; Priceto- sales ratio: 1.0; Dividend Yield: 3.7%; TSINetwork Rating: Above Average; www.greatwestlifeco.com) is Canada’s second-largest insurance company, after Manulife Financial (Toronto symbol MFC). It also offers mutual funds, retirement planning and wealth management. Power Financial (Toronto symbol PWF) owns 67.1% of Great-West. As of June 30, 2015, the company had $1.15 trillion of assets under administration, up 7.9% from $1.06 trillion at the end of 2014. Diversified operations cut risk In Canada, Great-West sells its products under many well-known banners, such as Great-West Life, Canada Life and Freedom 55. Canada supplies 44% of the company’s earnings. Great-West’s European division (42% of earnings) mainly sells group insurance and annuity products in the U.K., Ireland and Germany. In the U.S. (14% of earnings), Great-West is a leading provider of employer-sponsored retirement savings plans. This division also owns Putnam Investments, a major mutual fund firm. Great-West’s…