Bendigo and Adelaide Bank extends wealth management
Bendigo and Adelaide Bank has moved further into wealth management, using its results announcement today to confirm the purchase of a 24 per cent stake in Linear Asset Management.
The banking group’s managing director, Mike Hirst, said the business, and in particular the Linear wealth management platform, would provide significant scope for growth in the bank’s wealth deposit and financing businesses in a market that was faced with significant change.
“We gain access to a proprietary information technology system and new generation independent platform which is experiencing solid growth,” he said.
“This provides an ideal opportunity to leverage our retail and third party wealth distribution channels, and is a significant development in the group’s wealth strategy,’ Hirst said.
The acquisition of the 24 per cent stake in Linear came as Bendigo and Adelaide Bank announced a 190 per cent increase in profit after tax to $242.6 million for the 12 months to the end of June on the back of strong growth in its lending businesses and, particularly, its third party mortgage business.
Hirst said the bank’s wealth businesses were well placed to take advantage of improving market fundamentals with rationalisation and consolidation of the industry, as well as planned regulatory and legislative changes, likely to provide long-term benefits.
AUTHOR
Mike Taylor
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