Westpac hits headwinds
Westpac hit what it described as more challenging market conditions in the December quarter to report a statutory net profit of approximately $1.4 billion on the back of flat operating income and while absorbing a $200 million reduction in markets and treasury income.
In a quarterly update filed with the Australian Securities Exchange today, the big banking group described operating conditions as having deteriorated in the December quarter with slowing global growth and an escalation in the European sovereign debt crisis.
It said this had led to high market volatility and increased business and consumer caution.
Westpac chief executive Gail Kelly said the result had reflected the more challenging operating environment.
Looking at its wealth management divisions, the bank's announcement said that wealth income in the quarter had declined as administration and management fees were impacted by lower average funds under management and funds under administration balances from weaker asset markets.
However, it said new platform flows had continued to be strong relative to the market, but that insurance earnings were lower, reflecting a rise in claims in line with seasonal factors and higher reinsurance costs.
Recommended for you
Equity offerings should be “seriously considered” by advice firms if they want to attract experienced advisers with the option viewed as a major differentiator for candidates seeking their next role.
DASH Technology Group has enacted two internal promotions, appointing a chief risk officer and chief commercial officer to strengthen the firm’s governance and operational capabilities.
The Stockbrokers and Investment Advisers Association has announced the appointment of its new chief executive following the exit of Judith Fox after six years.
Insignia Financial has appointed an experienced financial advice leader as head of education and advice on its Master Trust business, who joins from Ignition Advice,
