Advisers to help AMP double in size

amp/financial-planners/amp-financial-services/financial-services-group/cent/chief-executive/

18 August 2005
| By George Liondis |

Increasing inflows through financial planners will play a vital role as AMP attempts to double in size over the next five years, chief executive Andrew Mohl said today.

The financial services group today reported a 22 per cent rise in net profits to $393 million for the half-year to the end of June, prompting Mohl to predict growth of at least 15 per cent in the operating margins of both AMP Financial Services and AMP Capital Investors for the full year.

Mohl said AMP would aim to double in value by 2010, an ambition that would require it to sustain 15 per cent growth per annum.

The half-year result was propped up by a $600 million increase in cash inflows, the result of a 12 per cent increase in funds flowing in through AMP advisers and a trebling of the group’s corporate superannuation business in the lead up to the introduction of super choice in July.

A standout, Mohl said, was the group’s ‘contemporary business’, which includes AMP’s product manufacturing arm for financial planners. The division grew operating margins by 38 per cent to $144 million.

The introduction of super choice and increasing demand for financial advice would open up further growth opportunities for AMP, Mohl said.

“AMP continues to transform its operations and we are encouraged by the results in the first half year. The business has achieved growth in both the retail and institutional sectors and our position in key market segments continues to improve,” Mohl said in a statement.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months 1 week ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months 1 week ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

3 weeks 4 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

2 weeks 3 days ago

ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test....

3 days 11 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND