ANZ-ING tie-up under a cloud
ANZ Bank and ING Australia have confirmed that their seven-month-old joint venture has not performed as well as expected due to weak investment markets. In a briefing the two groups updated analysts on the integration of the new JV confirming a performance below expectations. The operation contributed a $7 million loss to ANZ's overall results for the year to September 30.
ANZ's MD of wealth management, Elmer Funke Kupper, said good retail inflows had been offset by the termination of wholesale fund mandates and falling share markets. Funds under management for the year were unchanged at $26.6 billion. ING Australia's MD John Wylie said the integration process was on time and within budget. Both groups are committed to the venture for the coming 10 years and are aiming for double-digit earnings growth.