Centrepoint draws line under insurance investment
Publicly-listed financial services group, Centrepoint Alliance has made clear its intention of moving out of product development to focus on servicing financial advisers.
In an announcement released to the Australian Securities Exchange (ASX) yesterday the company confirmed its exit from an investment in NEOS Life – the trading name of Australian Life Development Pty Ltd (ALD).
NEOS Life was established by a group of former TAL executives including its managing director, Brett Yardley, Chief Financial Officer, David Denison and Chief Operating Officer, Keith Moynihan. It lists its partners as being Pacific Life Re and NobleOak.
Explaining the move, Centrepoint chief executive, Angus Benbow said the business had commenced a new strategy under which it would provide market leading services to financial advisers such as compliance services, technology solutions and business planning and management services.
“This is quite different to the company’s former strategy, a component of which was focused on product solutions,” he said.
“As such, while the Company’s investment in ALD was appropriate to the former strategy, after thorough consideration, the board has decided it is no longer aligned to Centrepoint’s current direction,” Benbow said.
Recommended for you
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
In the run-up to heavy losses expected at the end of the financial year, June has already reported consecutive weeks of adviser losses.
ASIC has banned a former NSW adviser from providing advice for 10 years for investing at least $14.8 million into a cryptocurrency-based scam.
ASIC has sent warning notices to social media finfluencers who it suspects are providing unlicensed financial advice to Australians as part of a global crackdown by international regulators.
