Reporting its results for the three months to 31 March to the Australian Securities Exchange (ASX), AMP said assets under management in the Australian wealth management division had increased by $2 billion.
This was up from $124.2 billion to $126.2 billion.
This reflected positive investment markets but was offset by net cash outflows of $0.6 billion and pension payments of $468 million, up from $455 million in the first quarter of 2022.
AUM on the North platform increased by $1.5 billion from the previous quarter to $62.8 billion thanks to positive market performance.
However, the firm said net cash inflows to platforms – which included North, legacy and external platforms – were $152 million, a 62 per cent drop on the first quarter of 2022 when inflows were $406 million.
AMP said: “This was driven by lower internal inflows from Master Trust by $106 million as well as a 7 per cent increase in outflows compared to Q1 2022”.
Net cash outflows from Master Trust were $610 million, compared to $1 billion in the first quarter of 2022 when there had been a mandate loss of $0.3 billion.
On the North platform, net cashflow dropped 43 per cent from $827 million to $468 million.
Inflows to North from independent financial advisers increased 30 per cent.
AMP chief executive, Alexis George, said: “In Australian wealth management, assets under management have grown by $2 billion over the past quarter and we have reduced net cash outflows compared to Q1 2022. In our platforms business, our continued strategic focus on the independent financial adviser market is reflected in inflows from IFAs to the North platform being up 30 per cent on the same period last year.”
She noted the sale of the final AMP Capital business to Dexus had “sharpened our focus” on its wealth management business going forward.
I’ve been an adviser for 25 years and I’ve never recommended AMP. Something I’m quite proud of. Mainly because i now what customer service is. I hope they collapse and personally I would have sent AMP advisers to a North Korean style re-education camp.
What else could AMP expected? The way they shafted advisers sendi9ng many oif them into the depths of despair and depression after a lifetime of loyalty to AMP is beyond reprehensible. Whether it was the life company or the investment arm it was done under the nrand of AMP. That AMP was allowed to get away with ruining so many adviser businesses and families is a sad indictment on our industry law enforcers and society. The brand AMP is over in Australia – absolute toast. They’d be much better off selling the clients to some other large company that would look after them with integrity.
The word on the street is AMP is in deep trouble. All Partnership Managers and product BDM’s are in Sydney having crisis meetings.Can’t say this is going to end well for them!