More AMP board exits canvassed
Newly-named AMP chairman, former Commonwealth Bank chief executive, David Murray has acknowledged the likelihood of further board exits at this week AMP Limited annual general meeting amid criticism of his own appointment given his role at the head of CommBank.
Murray’s tenure as chief executive of the Commonwealth Bank coincided with a number of the scandals which gave rise to calls for a Royal Commission including those involving Commonwealth Financial Planning.
Murray’s appointment as chairman, succeeding Catherine Brenner, was announced by AMP Limited late on Friday, but is not expected to see major institutional shareholders moderate their general anger at the remaining members of the AMP board who oversaw the orphan client and “ring-fencing” issues raised at the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.
As well as facing the ire of institutional investors at the annual general meeting, AMP Capital is understood to be at risk of losing some investment mandates as part of the generally adverse investor sentiment around the company.
Interviewed on ABC radio, Murray acknowledged the level of hostility being directed towards AMP and the magnitude of the task facing the company in rebuilding investor confidence.
He pointed to the likelihood of up to three further board casualties.
Following Murray’s appointment as chairman, interim executive chairman, Mike Wilkins, will focus on the chief executive role until a full-time successor to former chief executive, Craig Meller, is found.
Recommended for you
It can be extremely hard to realise the gains from financial advice M&A, according to Peloton Partners’ Rob Jones, and more could be gained from firms looking inward at their own practice.
With platforms reporting their quarterly results, there is a clear divide in the adviser markets they are targeting, according to platform specialist Recep Peker, and which would be right for your clients.
The Federal Court has imposed a $10 million penalty on Macquarie Bank for failing to prevent and control unauthorised fee transactions by third parties including financial advisers.
A financial advice firm has seen a weekly decline of 10 advisers, with all moving to a new licensee, while Centrepoint Alliance continues its “growth story”.
