Yellow Brick Road/Macquarie Bank deal to create competition
Yellow Brick Road's (YBR) new deal with Macquarie Bank will "establish much-needed competition in financial services", the company has announced.
YBR has launched a range of lower-priced mortgage products and is set to launch a new range of wealth management products in 2013 as part of its strategy to increase its presence in the sector.
The deal with Macquarie Bank would see the two companies develop branded banking and wealth management products and services, including the terms of a new mortgage funding and distribution arrangement.
"Key to our strategy is to deliver advice across a broader range of needs, including planning for retirement and protecting [clients'] assets," the company said in a statement to the Australian Securities Exchange.
The newly-announced campaign represents an "aggressive" push into financial services to create "much needed competition" in the sector, YBR said.
"The launch of this new range of mortgage products is compelling in the short term, but equally as compelling is the medium- to long-term potential of Yellow Brick Road delivering additional initiatives in banking and wealth management."
The announcement came hours after YBR entered a trading halt, saying it would announce a deal with a major financial services institution.
In the days leading up to the announcement, the media speculated the deal would be struck with Macquarie.
Recommended for you
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?
HUB24 has appointed Matt Willis from Vanguard as an executive general manager of platform growth to strengthen the platform’s relationships with industry stakeholders.
Investment manager Drummond Capital Partners has announced a raft of adviser-focused updates, including a practice growth division, relaunched manager research capabilities, and a passive model portfolio suite.
When it comes to M&A activity, the share of financial buyers such as private equity firms in Australia fell from 67 per cent to 12 per cent in the last financial year.
