|        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Monday, August 10th, 8:44PM


Latest Headlines

Active discussion on sale of AMP NZ under way

AMP is in active discussion about the sale of its New Zealand business.

Friday, July 27th 2018, 1:41PM

It today provided an update on its expected 2018 interim results and announced action being taken to reset the business after the fallout from revelations of misconduct, uncovered by the Australian Royal Commission of Inquiry.

It said it was accelerating “advice remediation”, offering fee reductions on its Australian MySuper products, and investing to strengthen risk management systems and controls.

It is also reprioritising the “portfolio review” that could see AMP in New Zealand sold off.

AMP wants to release further value from several business lines, including AMP on this side of the Tasman.

It said it was in active discussions with a number of interested parties, though no timeline could be given for a transaction.

The business was more stable, so it was appropriate to pursue the transaction, a spokeswoman said.

AMP’s first-half underlying profit is expected to be lower than previously indicated, in the range of A$490 million to A$500m.

It will include a provision of A$290m for potential advice remediation. AMP was found to have misled regulators multiple times and charged fees when clients did not receive an advice service.

Acting chief executive Mike Wilkins said:  “Today’s announcement reflects our commitment to take decisive action to reset AMP and establish a platform from which the business can recover rapidly.  We’re facing squarely into the issues that have impacted our reputation and the community’s confidence in AMP.

“Our remediation provision responds to industry-wide issues raised by ASIC in its reports 499 and 515 and reflects a conscious business response to increased community expectations.  This remediation programme is complex as it will address both employed and aligned advisers, and we understand it is one of the first programmes to do so.  We are working on the programme with our advisers, the vast majority of whom are dedicated, professional and committed to meeting the advice needs of their clients.

“Customer needs are our immediate priority as we firmly believe this will also best serve the long-term interests of shareholders.  We know it will take time to earn back trust, however today is an important milestone in that process.”

Tags: AMP

« Reasonableness on non-disclosure needednib backs controversial TripAdvisor of healthcare site »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment



Printable version  


Email to a friend
Insurance Briefs

Insurer nib backs Ronald McDonald House with $20k investment
Health insurer nib New Zealand and its nib foundation have lent support to Ronald McDonald House Charities.

Less stressed during lockdown
New Zealander’s health and wellbeing had surprising benefits from the Covid-19 lockdown.

Southern Cross supports new safe haven for at-risk pets
Southern Cross Pet Insurance has teamed up with Pet Refuge to provide temporary shelter for animals affected by family violence.

nib Foundation supports Lifeline to the tune of $150,000
To support the growing mental health needs of Kiwis emerging from the Covid-19 pandemic, Lifeline Aotearoa has increased its service capacity thanks to a $150,000 grant from nib foundation, the charitable arm of nib New Zealand (nib).

News Bites
Latest Comments
Subscribe Now

Cover Notes - Specific news aimed at risk advisers

Previous News
Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
Site by Web Developer and