IOOF claims protection on ANZ Royal Commission fall-out
IOOF Limited has gone to the trouble of pointing out that it is largely protected from any Royal Commission fall-out impacting the company’s acquisition of ANZ’s wealth management businesses.
In an announcement to the Australian Securities Exchange (ASX) IOOF pointed out that contractual protections existed “in respect of certain pre-completion conduct, subject to certain limitations”.
“For example, ANZ has provided various indemnities in favour of IOOF in relation to liability arising from a claim by a client made within five years of completion relating to various types of adviser pre-completion conduct, misconduct or non-completion conduct, misconduct or non-compliance,” the ASX announcement said.
The declaration to the ASX came as IOOF managing director, Christopher Kelaher reported the company had achieved positive net flows of $1 billion in funds under management, administration or advice (FUMA) for the third quarter, with total FUMA as at 31 March totalling $118.8 billion and funds under supervision standing at $33.8 billion.
“IOOF’s advice-led business has attracted new advisers and provides the foundation for our strong flows,” he said. “Open architecture shows our commitment to offering choice in wealth management services for all Australians and clearly differentiates us from other industry participants.”
Recommended for you
Three of Australia’s largest financial advice groups have shared their thoughts with Money Management on whether they would include crypto on their approved product lists.
Shadow treasurer Angus Taylor has vowed to introduce a bill to legislate a raft of financial services reforms if the Coalition is elected.
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
A $3.5 million settlement for victims of Melissa Caddick has been approved by the Federal Court following an initial agreement last December.
