Commonwealth Bank platforms grow FUA
Improved investment markets and performance saw FirstChoice and Custom Solutions platforms grow their funds under administration (FUA) in the first quarter of 2012, Commonwealth Bank (CBA) has announced.
In its announcement to the Australian Securities Exchange, CBA reported FUA growth of 6.2 per cent in the first quarter, with $626 million of net flows into FirstChoice and Custom Solutions.
Insurance premiums were also up by 4.9 per cent, the bank announced.
"Asset growth remained largely deposit funded; new wholesale funding issuance in the quarter had an average tenor of 4.6 years," the bank stated.
However, retail banking remained challenging, highlighted by elevated wholesale funding costs, competitive deposit pricing and subdued credit demand.
CBA's unaudited cash earnings for the three months to 31 March 2012 were approximately $1.75 billion.
The bank's chief executive officer Ian Narev said it has retained conservative business settings consistent with "the uncertain outlook".
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