AMP bucks downward trends

insurance/annual-general-meeting/amp/equity-markets/chief-executive/life-insurance/chairman/

17 May 2001
| By Lachlan Gilbert |

The message repeated throughout the AMP annual general meeting today was that while global economies are showing weaknesses, AMP’s outlook for 2001 was positive.

AMP chief executive Paul Batchelor told the meeting that funds under management rose more than $7 billion to more than $298 billion in the first quarter of 2001.

"While weak equity markets will inevitably impact our investment income, we have taken decisive action to cushion this impact, deferring projects where prudent and continuing a company-wide focus on driving down costs," he said.

He said the pervading weaknesses in equity markets will also adversely impact funds management businesses, namely Henderson Global Investors, but added he expects Henderson to still deliver a margin above the 2000 result.

Batchelor predicts the adverse impact of the weak international markets on AMP's bottom line will abate by the second half of this year which "should deliver a sound 2001 result for AMP shareholders".

AMP has been transformed, says Batchelor, since it decided to branch out from traditional life insurance four years ago to a broad based financial services mix with a specific focus on the wealth creation and protection sectors of funds management and superannuation. Batchelor says the transformation was complete in 2000.

Also to emerge from the AGM was an affirmation by AMP chairman Stan Wallis that AMP was not planning on ditching its general insurance business, which is made up of the former GIO.

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 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 1 day 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 ago

One licensee has lost 27 advisers in the past week, now sitting at zero, according to the latest Wealth Data figures....

3 weeks 1 day ago

TOP PERFORMING FUNDS