The stinging loss was in part driven by a $2.35 billion no-cash impairment that AMP has booked to launch a new strategy to focus on improving outcomes from its wobbly financial planning arm.
AMP also recorded massive outflows from AMP's Australian wealth management arm of $3.1 billion in the first half 2019. This outflow was the same as in the second half of 2018.AMP said it was due to a range of factors " including the impact of AMP’s appearance at the Royal Commission in 2018". AMP chief executive Francesco De Ferrari said the capital raising and writedowns would allow AMP to de risk its business.
"The capital raising and the AMP Life sale will provide the funds to implement immediately our new transformational strategy, which creates a simpler, higher growth and higher-return AMP that’s focused on clients and ensures that our balance sheet will be unquestionably strong." AMP's capital raising will be at a 15.7 per cent discount to the company's five-day volume weighted average price of $1.78.
sdanck There is no reason for AMP to exist
sdanck Incompetence and greed... AMP is as good as dead.
sdanck Seriously who keeps p*ssing away money when these guys raise equity to cover losses? In this climate they shouldn’t be able to get a cent.