Wealth Management

Cash net profit after tax was $642 million, a decrease of 9 percent on the prior year mainly due to the unwinding of mark to market losses on the Guaranteed Annuities portfolio in the prior years.

A solid Funds Management and General Insurance result was partially offset by an increase in claims and compliance related expenditure.

Highlights included:
  • Investment performance continues to be strong with 76%, 74% and 83% of funds outperforming benchmark over one, three and five years respectively

  • Colonial First State Global Asset Management received in excess of 60 global industry accolades including First State Investments being named “Best International Equity Group” and “Best Fund Management Group of the Year (Small)” in the Professional Adviser Awards 2011 (UK)

  • “Fund Manager of the Year” in Australia at the Standard & Poor’s Investment Manager of the Year awards

  • FirstChoice and Custom Solutions platforms performed well in a challenging retail market with positive net flows of $3.4 billion

  • FirstChoice retained the largest flagship platform with a market share of 11% and ranked second for net flows in the year to March 2011

  • Colonial First State won the “Best Fund Manager” service level award from Wealth Insights for the fourth year running. FirstWrap had the highest overall satisfaction rating from advisers with FirstChoice ranking second

  • CommInsure is rated as the #1 product provider in an independent survey conducted by Beaton Research and Consulting in May 2011, and

  • CommInsure was awarded “Life Insurance Company of the Year” by Plan for Life.

Strong Investment performance - 5 years