Perennial now responsible for product in new IOOF structure
IOOF has given an indication of the roles that will be performed by it and Perennial under the new ownership structure going forward with the announcement that Perennial will be responsible for sales, marketing and product development for the group.
“The model we had before was a sub-optimal model because we tended to have two products on the market, an IOOF/Perennial product and a Perennial product. The intention is to make ourselves more transparent in the market,” IOOF chief executive Ron Dewhurst said.
He revealed the ultimate aim was to have Perennial handle the asset management arm of the business and IOOF to take charge of the distribution function.
Dewhurst said the group was working towards eventually having all of its products in the market operating under the Perennial brand, however he warned the process would take a while as there were some legacy products that had to continue with the IOOF name due to regulatory issues.
“This move enables us to really clean up our structure and have a much more effective operating vehicle with improved accountability,” he said.
“In the past people would sell platform and Perennial product. Now there’ll be people who work under the Perennial roof who will sell only Perennial retail product and institutional product and people within IOOF who sell the platform and distribution business. So it’s just a much cleaner business model,” Dewhurst explained.
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