Asteron seeks trans-Tasman focus
The financial services division of the Promina group, Asteron, has begun a program to more closely align its Australian and New Zealand businesses.
Promina said in its annual report released this morning that the move would involve a streamlining of the product suite offered by the group.
The changes, which would be finalised by the end of this year, were aimed at generating “improved processes”, Promina said.
A rationalisation of the group’s trans-Tasman back office operations would also be part of the moves.
The former head of Asteron’s life insurance business in Australia, Sean Carroll, was recently appointed to head up the group’s New Zealand business.
Asteron pitched in a handy $132 million of the $458 million profit Promina reported for 2004. The life insurance business was Asteron’s star performer, adding $105 million to the bottom line.
“Promina’s financial services businesses are adopting an increasingly trans-Tasman focus. Despite the differences in size, scope and dynamics between the two markets, the opportunities to extract synergies, reduce expenses, share knowledge and improve efficiencies make this a necessity,” the group’s annual report said.
“Asteron has embarked on a trans-Tasman back-office rationalisation programme to reduce expenses, increase revenue and enhance the product offering.”
Asteron will also focus on building the number of advisers in its Guardian Financial Planning dealer group, the annual report stated.
Chief executive Dennis Fox told Money Management last month the group’s long-term goal was for Guardian, which currently has 160 planners, to house 500 advisers.
“Advice-based distribution is expected to grow strongly. Asteron has implemented key account management as a business practice and increased the discipline and focus of this function - a move that we believe will increase penetration into non-aligned channels,” the annual report said.
“Asteron will also continue to develop proprietary distribution by seeking to increase the number of advisers in Guardian financial Planning.”
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