Lloyds Banking Group (LBG) and Scottish Widows have axed a £109bn asset management contract with Standard Life Aberdeen.
The revenue associated with the AUM represents less than 5% of Standard Life Aberdeen's FY 2017 pro forma revenue.
Keith Skeoch and Martin Gilbert, Standard Life Aberdeen's chief executives, said: "We are disappointed by this decision in the context of the strong performance and good service we have delivered for LBG, Scottish Widows and their customers. We will be discussing the implications of this with LBG and Scottish Widows."
LBG and Scottish Widows have sent notices to Standard Life Aberdeen from the relevant members of LBG seeking to terminate the investment management arrangements.
Termination is subject to a 12 month notice period.
Standard Life Aberdeen will take an impairment charge of approximately £40 million.
At 9:05am: (LON:SLA) Standard Life Aberdeen share price was -20.05p at 369.25p