ANZ has announced it is simplifying its wealth management business, with group executive wealth, marketing and innovation Joyce Phillips departing in the process.
The group's full year 2015 results showed the Global Wealth division contributed 8% to ANZ's $7.2 billion cash profit; and an ANZ spokesperson has since said the group is "looking at how we improve returns from insurance and investment products given the additional capital requirements banks now have."
Broadly speaking, the restructure will involve "aligning the distribution of wealth products and services with [ANZ's] retail and commercial businesses and focusing its insurance, superannuation and investments product business in Australia on improving returns and capital efficiency."
More specifically, ANZ Private Bank will report to ANZ group executive Australia Fred Ohlsson; distribution (including ANZ Financial Planning) will move under retail distribution and report to managing director, retail distribution Catriona Noble.
Wealth operations in New Zealand will move into the consolidated retail, business banking and wealth team under John Brody; in Asia, wealth will become part of Retail Asia and report to chief executive, New Zealand David Hisco.
Finally, remaining insurance, superannuation and investments businesses in Australia will be consolidated into a new division called Australia Wealth. Managing director insurance Alexis George will oversee the new business.
"These changes generate more value for our eight million customers by making it simpler and more convenient to access wealth solutions through closer coordination and alignment of our wealth and retail products," ANZ chief executive Shayne Elliott said.
"The changes help us to unlock more potential from wealth and reduce complexity, duplication and cost across our business."
Commenting on Phillips' departure, Elliott added: "Under Joyce's leadership, the wealth division has achieved a significant amount since it was formed in 2012. In that time, Joyce has built a great reputation for wealth through its consistently strong business performance, improved governance and compliance and through market-leading innovations such as goMoney, Grow and Smart Choice Super.
"Joyce has also made a major contribution through her leadership of marketing, including significantly increasing the value of the ANZ brand in the region and our recent Equal Futures initiative."
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