Following on from its comprehensive reinsurance program for its wealth protection business in 2017, AMP said it is considering "all alternatives" for its life insurance portfolio and is in discussions with "a number of interested parties."
The wealth protection business reported earnings of $110 million over 2017, a significant recovery from the $415 million loss reported in 2016. AMP overall delivered an underlying FY 2017 profit of $1.04 billion, up from $486 million the previous year.
The business' wealth management arm saw net cashflows rise 177% over the year to $931 million, which AMP said was driven by "additional revenue in advice and SMSFs." AMP Bank also saw operating earnings rise 17% to $140 million, driven by a 14% boost in residential lending to $18.9 billion.
The group's investment arm, AMP Capital, saw its highest net cashflows since 2003: $5.5 billion (FY 16: $967 million). AMP said this was due to "strong international investor interest in AMP Capital's fixed income, real estate and infrastructure capabilities."
Commenting on the results, AMP chief executive Craig Meller said: "We've met our targets on reducing costs, driving new revenue from our Advice and SMSF businesses and managing margin compression in wealth management. We've stabilised and reinsured our life insurance business and we've stepped up our international growth, particularly in AMP Capital."
"Our growing global capability in infrastructure and real estate investment has driven record external cashflows into AMP Capital, including a major contribution from one of our Chinese partnerships, China Life AMP Asset Management," Meller said.
He added: "In wealth management, we've delivered the next phase of our Goals 360 advice platform - the goals modelling engine - enabling advisers to show customers the achievability of their goals during the advice session. It takes the financial planning process to the next level."