Yellow Brick Road/Macquarie Bank deal to create competition
Yellow Brick Road's (YBR) new deal with Macquarie Bank will "establish much-needed competition in financial services", the company has announced.
YBR has launched a range of lower-priced mortgage products and is set to launch a new range of wealth management products in 2013 as part of its strategy to increase its presence in the sector.
The deal with Macquarie Bank would see the two companies develop branded banking and wealth management products and services, including the terms of a new mortgage funding and distribution arrangement.
"Key to our strategy is to deliver advice across a broader range of needs, including planning for retirement and protecting [clients'] assets," the company said in a statement to the Australian Securities Exchange.
The newly-announced campaign represents an "aggressive" push into financial services to create "much needed competition" in the sector, YBR said.
"The launch of this new range of mortgage products is compelling in the short term, but equally as compelling is the medium- to long-term potential of Yellow Brick Road delivering additional initiatives in banking and wealth management."
The announcement came hours after YBR entered a trading halt, saying it would announce a deal with a major financial services institution.
In the days leading up to the announcement, the media speculated the deal would be struck with Macquarie.
AUTHOR
Staff Writer
Recommended for you
Sequoia Financial Group has announced it is selling off its Informed Investor subsidiary which it acquired in April 2022.
Wealth Data has examined which advice business model has seen the most growth since the start of the year including those that offer holistic advice.
Research conducted by Elixir Consulting and Lonsec has quantified the efficiency gains of using managed accounts in financial advice practices in hours per week saved.
With only one-quarter of advice practices actively seeking feedback from clients, the Financial Advice Association Australia has emphasised why this is a critical tool for client retention.
