Jurie Strydom, Old Mutual Group CEO since June 1, 2025.
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Old Mutual was at a stage where it was prioritising shareholder distributions and would only consider capital deployments for pressing opportunities that were very strongly aligned to the group’s strategic priorities, CEO Jurie Strydom said.
Writing in the latest annual report released on Tuesday, he stated that capital allocation was being guided by a three-horizon framework, linked to return on net asset value delivery and aligned to the value creation phases. “
This approach guides decision-making and is underpinned by the imperative of earning the right to deploy capital by optimising return on net asset value outcomes,” he said.
In September 2025, the group announced a R3 billion share buyback. The acquisition of 10X Investments had been completed, which would strengthen the group’s direct and digital investment capabilities and expand its presence in low-cost passive investment solutions.
During the past year, the strategic framework was reset, and the operating model was restructured to sharpen focus on execution and accountability.
“A more devolved, empowering operating model has been implemented, with greater end-to-end accountability for business delivery held within cluster profit centres, supported by a leaner corporate centre,” said Strydom.
A clear 'tight and loose' decision-making framework underpins this model, reinforcing ownership of value chains closest to the customer while preserving key enabling and governing functions at the centre.
He noted that the global environment was likely to remain uncertain, shaped by uneven growth and ongoing heightened geo-political risks.
Against this backdrop, the South African outlook had become more constructive, supported by the 2026 National Budget, which reaffirmed a commitment to fiscal discipline.
“With public debt projected to stabilise and decline over the medium term, alongside a sustained primary surplus and targeted relief for households, these conditions will provide a more supportive foundation for confidence and investment,” he said.
In the current unlocking value phase, the group is focused on restoring margins and returns through disciplined execution and capital allocation.
“At the same time, we are laying the foundations for the generating growth phase, where we will leverage the scale of our businesses, our customer reach, and our distribution capabilities to pursue sustainable growth opportunities,” he said.
In the South African business, customer retention is being driven, as is the quality of new business in Mass and Foundation, as well as market share and margin recovery in Personal Finance.
To deepen market leadership in markets bordering South Africa, product offerings and distribution reach are being expanded to improve margins and returns.
OM Bank will leverage its existing banking capabilities, including R1.3bn in deposits, R15.1bn in loans and advances, a 360-branch network, and the largest FAIS-accredited adviser force in South Africa.
“This allows us to expand current relationships with our mass market customers while attracting new customers through a compelling banking proposition, combining physical presence with modern digital technology without the burden of legacy systems.”
Early success of this approach is evident in customer acquisition trends, which are tracking well ahead of public marketing campaigns in the second quarter, with strong activation from the Old Mutual branch network.
In East and West Africa markets, the group plans to focus on improving margins and returns, and demonstrating sustainable competitive advantage.
In the past year, shareholder operational costs increased by 11% to R1.89bn due to restructuring costs of R440 million incurred to reduce future expenditure. Excluding restructuring costs, shareholder operational costs reduced by R246m from the prior year, a reduction of 15%.
Results from operations increased by 13% to R9.8bn, supported by improved operating performance in Old Mutual Life and Savings and Old Mutual Insure.
Old Mutual Life and Savings benefited from positive experience and economic variances, as well as improved Old Mutual Finance profitability, partially offset by persistency basis changes.
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