Bright result for Suncorp
Wealth management made a significant contribution to a record $1 billion profit posted by Queensland-based Suncorp today.
The company reported that its wealth management division had posted a profit of $81 million before tax despite what its chief executive, John Mulcahy, described as a difficult year for all financial services organisations, with increasing competition, margin pressure and slowing credit formation in particular sectors.
The company reported a $691 million profit before tax in its general insurance business, with a record insurance trading ratio for the full year of 19.3 per cent.
Looking forward, Mulcahy said macroeconomic conditions remained sound although future interest rate increases, if they occurred, would impact on lending growth in the retail mortgage sector and competition would continue to be intense in the financial services sector as the economy and growth slowed.
AUTHOR
Mike Taylor
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
