NAB cash earnings grow
National Australia Bank (NAB) has reported unaudited cash earnings for the June quarter of $1.4 billion, despite what it describes as challenging operating conditions.
At the same time, its wealth management businesses appeared to remain in positive territory in the face of investor nervousness.
In a June quarter trading update released to the Australian Securities Exchange (ASX) today, the big banking group said net flows into its MLC and NAB Wealth businesses were positive, despite continued weakness in investor confidence and low discretionary flows across the sector.
It said funds under management (FUM) fell marginally during the quarter as weaker markets resulted in negative investment returns, although retail FUM market share was stable.
Commenting in the quarterly update, NAB chief executive Cameron Clyne described “considerable challenges, including Australia’s multi-speed economy, subdued system credit growth, and fragile consumer confidence”.
Clyne also referenced concerns about US economic growth and European sovereign debt.
Discussing MLC and NAB Wealth, he said operating conditions had been challenging, with some weakness in equity markets, and that there had also been a further increase in insurance claims.
AUTHOR
Mike Taylor
Recommended for you
Two commentators have shared why cultural alignment can be the biggest deal breaker when it comes to advice M&A and how to ensure a successful fit.
With an abundance of private market options coming to market, due diligence becomes increasingly important as advisers separate the wheat from the chaff, adviser Charlie Viola has said.
The Treasury has launched a consultation into how the $47 million special levy for the Compensation Scheme of Last Resort will be funded.
With the final tally for FY25 now confirmed, how many advisers left during the financial year and how does it compare to the previous year?
