Times suiting Challenger
Annuities specialist Challenger Financial Services has claimed the ageing population is on its side as it reported a modest increase in net profit after tax, recording just a 6 per cent lift to $233 million for the year ended 30 June.
Commenting on the result, Challenger chief executive Dominic Stevens said new distribution and marketing initiatives put in place during the year had helped retail sales of guaranteed product rise 82 per cent to $933 million.
“We believe the life business will continue to benefit from a structural increase in demand for guaranteed, fixed rate products such as annuities and are committed to driving growth in this product category, targeting 20 per cent retail sales growth and 5 per cent net retail book growth for 2011,” he said.
“An ageing population is on our side, as the emerging realisation that share market volatility has delivered a lot of pain for little gain, even over the longer term,” Stevens said.
AUTHOR
Mike Taylor
Recommended for you
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver discuss the latest shock consumer price index numbers, which rose to 3.8 per cent in October, as well as the shifting US market and calls for super funds to invest in infrastructure projects.
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver discuss the Reserve Bank of Australia’s cautious stance in response to persistent inflation, subdued growth prospects, and political shifts affecting the nation’s journey towards net zero emissions.
In this episode of Relative Return, host Laura Dew speaks with Rachel White, head of financial adviser services at Vanguard about how advisers can help Australians to feel confident in retirement.
In this episode of Relative Return Insider, host Keith Ford and AMP deputy chief economist Diana Mousina take a look at the Reserve Bank’s unanimous decision to leave rates on hold on Melbourne Cup Day and whether future cuts are still on the cards.
