Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Australian wealth manager AMP to revamp financial advice model

Stock MarketsJul 25, 2021 11:25PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: The head office building of AMP Ltd, Australia's biggest retail wealth manager, is seen in central Sydney, Australia, October 28, 2016. REUTERS/David Gray/File Photo

(Reuters) - Australia's AMP (OTC:AMLTF) Ltd said on Monday it would move to a new form of financial advice model for clients, marking a shift in the troubled wealth manager's advice operations as it embarks on a demerger from its infrastructure and property units.

The move comes after AMP decided in April to spin off its asset management arm's private markets business and focus on its wealth management units following U.S.-based Ares Management (NYSE:ARES) Corp's failed bid to buy the whole company.

Under the new model, AMP will introduce a fresh service and fee structure for its advisers and stop owning client relationships. It will instead release "institutional ownership from AMP Financial Planning to advisers", it said.

AMP will also conclude arrangements that allowed it to buy back client books from licensed financial planners from the end of this year, after the securities regulator began investigation into an alleged fees-for-no-service conduct by its financial planning unit.

"The new model releases institutional ownership. Buyback arrangements will also cease, with advisers having between now and the end of the year to make the decision to leave the network under their existing arrangements," said Matt Lawler, managing director of Advice at AMP.

The embattled wealth manager will phase in a new "service proposition and fee model for advice practices" for its clients between January 2022 and January 2023, it said.

(This story has corrected third paragraph to say AMP will introduce a new service and fee structure for advisers, not clients)

Australian wealth manager AMP to revamp financial advice model
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email