AMP Fin. $2.48M profit

Press, 19 December 1986, Page 22

AMP Fin. $2.48M profit

PA Wellington AMP Financial Corp made a net profit after tax of $2.48 million (excluding equity accounted profits) for the six months ended September 30, 1986. That profit compared with an after-tax result of $1.3 million for the nine month period to March 31, the acting general manager of AMP Financial, Mr Ted Thomas, said. AMP Financial is a wholly owned subsidiary of the AMP Society.

Growth and diversification of the company, plus benefits from the foreign exchange dealing operation, had contributed to the result. AMP Financial began foreign exchange dealing on May 1, and had quickly built up a substantial turnover, Mr Thomas said. Early this year the corporation had concentrated on developing people and systems to meet the challenges of the market place, which had restrained growth, Mr Thomas said. “However, the wisdom of

this course has been shown by the profit results and also in the doubling of assets to $6OO million since balance date, through investments and trading opportunities,” he said. A recent development was the formation of FarmersAMP Credit Corp as a . joint venture with the Farmers’ Trading Co, Ltd, from April 1. Transferring medium-sized commercial lending and other smaller credit lines to Farmers-AMP Credit Corp meant AMP Financial Corp

could concentrate more on wholesale markets, major corporate clients and wealthy individual clients. AMP Financial now had a treasury operation dealing in domestic, foreign exchange and capital markets, and a corporate division concentrating on advice, debit/equity. structuring and new products. Through associate company relationships with the Marshall group of companies, AMP Financial could now offer futures trading and foreign currency exposure management services.