Aberdeen Group, one of the United Kingdom’s longest-established finance companies, has officially reverted to its previous name after a brief and largely ridiculed rebranding to Abrdn. This decision marks a significant turnaround from 2021, when the firm, originally known as Standard Life Aberdeen, opted for the vowel-less name as part of a refreshing strategy suggested by branding agency Wolff Olins, which aimed to reflect a “modern, agile, digitally enabled brand.”

The name change was announced by new chief executive Jason Windsor on Tuesday, 7 November 2023, during the company’s annual results report. Mr Windsor, who took over from Stephen Bird, emphasised that the name change to Aberdeen Group represents a “pragmatic decision” that seeks to “remove distractions” and encourage focus on delivering value to customers, employees, and shareholders. “This is a group to be proud of, with a promising future,” he stated, affirming the significance of this transition for the organisation.

Aberdeen’s recent history is not without complications, with the Abrdn name drawing widespread mockery since its introduction in 2021. Critics questioned the decision to omit vowels, suggesting it was ill-considered and potentially confusing for branding and communication. One branding expert voiced concerns that the new name could be pronounced as “a burden.” The firm faced scrutiny regarding this choice, with its chief investment officer, Peter Branner, previously accusing the press of “corporate bullying” for their ongoing jests about the unusual name alteration. Speaking to Financial News in April 2024, he remarked, “I understand that corporate bullying to some extent is part of the game with the press, even though it’s a little childish to keep hammering the missing vowels in our name.”

This name change is the fourth in just eight years for Aberdeen, with the original Standard Life Aberdeen being formed from the 2017 merger of Standard Life and Aberdeen Asset Management. Following the latest rebranding, the company will continue to use “Aberdeen” as the principal brand name for its investment and adviser businesses, although its London Stock Exchange ticker will remain as ABDN.

In its recent financial report, Aberdeen Group revealed a 2% increase in profit, reaching £255 million, supported by an influx of about 35,000 new customers to its Interactive Investor platform. This growth in customer base helped boost assets under management by over 16% to £77.5 billion. However, the firm also acknowledged “disappointing” outflows, with withdrawals totalling £3.9 billion, a notable rise from £2.1 billion in 2023.

As the company moves forward with its newly reaffirmed identity, it aims to solidify its position within the competitive landscape of wealth and investments, setting ambitious targets for 2026 and focusing on enhancing customer relationships, all while navigating the challenges posed by withdrawal trends in the financial markets.

Source: Noah Wire Services