Wealth management helps Promina profit
Wealth management proved a key driver in a $216 million six month profit reported by Promina Group Limited today, with the company’s financial services division recording a net profit of $55 million.
The $55 million net profit recorded by the financial services division, which includes Asteron and Tyndall, was down from $60 million recorded in the same period in 2005, but the company pointed to an improvement in operational performance, with pre-investment operating margins increasing by 23 per cent to $38 million after tax.
It said this included a $7 million improvement in operating margins, offset by a decrease of $12 million in investment returns on shareholder funds.
However, the company said that the wealth management component of operating margins delivered a 180 per cent increase to $14 million from $5 million posted in the first half of last year, while the life risk component of operating margins was $24 million down from the $26 million posted in the first half of 2005.
It said total operating revenue in the financial services group had increased by 3.9 per cent, driven by strong retention rates in the life risk business and a renewed focus on sales, while Tyndall Asset Management had recorded a 16 per cent increase in funds under management.
AUTHOR
Mike Taylor
Recommended for you
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver unpack the latest unemployment numbers and what they mean for a rate cut, as well as how the latest flare-up in the ongoing US–China trade dispute has highlighted the remaining disparity between gold and bitcoin.
In this episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver take a look at the unfolding impacts and potential economic ramifications of the US government shutdown and the surge in gold and bitcoin prices.
In the latest episode of Relative Return Insider, host Keith Ford and AMP chief economist, Dr Shane Oliver, discuss this week’s RBA interest rate decision, a potential government shutdown in the US, and a new property scheme aimed at first home buyers.
In the latest episode of Relative Return Insider, host Keith Ford and AMP chief economist Shane Oliver discuss the latest Australian CPI data and their impact on future interest rate decisions. If the RBA opts to cut rates again, how will this affect investor and consumer behaviour?
