DKN posts steady half-year profit
DKN Financial Group has announced steady half-year results, reporting a net profit after tax (NPAT) of $3.73 million, which is 3 per cent short of its NPAT for the corresponding period.
Despite the slight fall in profits, funds under administration (FUA) for the group have continued to build to $7.92 billion, up 6.5 per cent since June last year and 2 per cent on 2010 half year results.
In a statement to shareholders, DKN chief executive Phil Butterworth said the company continued to deliver stable returns to investors despite a difficult environment in the wealth management sector.
He cited a lack of confidence among investors since the start of the global financial crisis as one of the key reasons for a lull in business and low investment flows.
He also pointed to the introduction of the Government’s Future of Financial Advice (FOFA) reforms as having a significant impact on the business to ensure that advisers are “reform ready” ahead of time.
“This has involved a significant commitment from senior advisers and principals, which has had an impact on new business development for many practices,” he said.
Until the lack of clarity surrounding legislative change is resolved, Butterworth said conditions for the sector would remain difficult.
Recommended for you
In this week’s episode of Relative Return Unplugged, AMP chief economist Shane Oliver joins the show to unravel the web of tariffs that US President Donald Trump launched on trading partners and take a look at the way global economies are likely to be impacted.
In this episode of Relative Return, host Laura Dew is joined by Andrew Lockhart, managing partner at Metrics Credit Partners, to discuss the attraction of real estate debt and why it can be a compelling option for portfolio diversification.
In this week’s episode of Relative Return Unplugged, AMP’s chief economist, Shane Oliver, joins us to break down Labor’s budget, focusing on its re-election strategy and cost-of-living support, and cautioning about the long-term impact of structural deficits, increased government spending, and potential risks to productivity growth.
In this episode of Relative Return, host Laura Dew chats with Mark Barnes, head of investment research, and Catherine Yoshimoto, director of product management, from FTSE Russell about markets in Donald Trump's second presidency and how US small caps are faring compared to their large-caps counterpart.
