AMP buys PWC financial planning business

By Nicole Szollos

Financial services giantAMPwill acquirePricewaterhouseCoopers’ financial planning division for an undisclosed amount, adding more than $1 billion to its total funds under advice.

PricewaterhouseCoopers Financial Planning, a division of the group’s tax practice, has 23 financial planners managing the $1 billion total portfolio of about 500 high net worth clients.

AMP Financial Planning Victorian manager Neil Farrington has been selected to head up the new group, which will take on a separate name.

AMP spokesperson Mike Smith says the group aims to have the name in place by the time AMP takes ownership of the group at the end of this month.

“We are going through a rigorous process to make sure whatever name we choose is good for the brand,” he says.

Under the deal, the new group will become a subsidiary of AMP Life while maintaining a close alliance with PricewaterhouseCoopers’ accounting firm. It will have offices close to the tax business and will continue to receive referrals.

According to Smith, the PricewaterhouseCoopers business was attractive to AMP as similar values between the two groups make it a good cultural fit.

“This is a very good business in a very exclusive end of the market, with planners who are highly qualified dealing with high net worth clients,” he says.