Australian Banking & Finance articles from November 2002

Australian Banking & Finance archives from November 2002

Funds management may provide surprises for banks: ANZ chief.(John McFarlane, ANZ Bank Ltd.)(Interview)
November 18, 2002... AS THE DEBATE RAGES ABOUT THE likely success of the massive move by banks into funds management, ANZ chief executive John McFarlane is happy to be maintaining an underweight position in comparison with his major bank rivals. Instead of...

CBA chairman tips flat first half result. (Current Account).(John Ralph, Commonwealth Bank of Australia)(Brief Article)
November 18, 2002... COMMONWEALTH BANK CHAIRMAN John Ralph says Ralph first quarter investment returns have been poor, putting pressure on returns in the Life business which are now "well below the long term expectations for this business". "In this...

Hawker comfortable with cost figures. (Current Account).(Michael Hawker, Insurance Australia Group)(Brief Article)
November 18, 2002... INSURANCE AUSTRALIA GROUP chief executive Michael Hawker says projected cost savings of $160 million from the acquisition of CGU and NZI are "imminently achievable". Addressing an Australian Banking & Finance magazine Lunch, Hawker said:...

NAB, UBS tops in funds inflow. (Current Account).(National Australia Bank and UBS Asset Management)(Brief Article)
November 18, 2002... NATIONAL AUSTRALIA BANK AND UBS Asset Management were the biggest managers of new individual investment funds in Australia in the September quarter as inflows fell 57% from a year ago because of slumping stock markets. NAB had net inflows of...

Banking world. (Current Account).(Mizuho Holdings Inc. and UFJ Holdings Inc. securities)(Brief Article)(Illustration)
November 18, 2002... A customer leaves a Mizuho ATM banking area in Tokyo. Mizuho Holdings Inc and UFJ Holdings Inc have led big drops in Japanese bank shares on speculation their loans to problem borrowers may put them first in line to be seized by the government....

Community branch takes $10m in deposits. (Current Account).(banking operations of Heritage Nanango Community branch in Queensland now trading profitably)(Brief Article)
November 18, 2002... THE HERITAGE NANANGO COMMUNITY branch in Queensland has notched up two significant milestones after just nine months of operation: announcing it has taken $10 million in deposits and its banking operations are now trading profitably. The...

Citigroup fires 1200. (Current Account).(Brief Article)
November 18, 2002... CITIGROUP INC WILL FIRE MORE than 1200 of the 60,000 employees in its investment and corporate banking units to help counter a revenue stump from merger advice, stock sales and securities trading, company executives said. For the past...

On the record. (Current Account).
November 18, 2002... "If you're doing something important financially, you want to talk to a person and, ideally, face-to-face, and so we think that is the way things will go." ANZ CHIEF EXECUTIVE JOHN MCFARLANE ON PLANS TO OPEN ABOUT 50 NEW BANK BRANCHES IN...

Singapore ready for banking liberalisation. (Current Account).(to conclude free trade agreements with Australia and US)(Brief Article)
November 18, 2002... SINGAPORE IS READY TO OPEN UP its banking sector further to foreign players as the city-state moves closer to concluding free trade agreements [FTA] with Australia and the US. "Further opening up of the banking sector is inevitable," Lee...

Business lending the key to 2003: detailed analysis of the combined results of Australia's four major banks shows they fared well compared to many other banks around the world. (News).
November 18, 2002... In an environment of global economic uncertainly and poor investment markets, the four majors posted solid results with underlying pre-tax profits up an average of 3.9% on the prior year. Adjusting for discontinued businesses, the banks'...

Building societies, credit unions face earnings cut. (News).(credit unions and building societies record strong profit results in 2002)
November 18, 2002... LIKE MOST FINANCIAL institutions in Australia, credit unions and building societies have "ridden the home loan lending wave" and posted strong profit results for 2002. However, KPMG has warned that the profit growth could be sliced by as...

Ireland foreshadows more changes in funds market. (News).(Bill Ireland of Challenger International discusses major changes in Australia's funds management industry)
November 18, 2002... THE AUSTRALIAN FUNDS management industry has undergone major changes in the last two years and has become a powerful force in the financial services sector, Bill Ireland, managing director of Challenger International said. Speaking at an...

EBS acquisition increases Cashcard profit potential: Cashcard Australia, the leading independent provider of financial payments services, has completed the acquisition of Electronic Banking Solutions. (News).
November 18, 2002... EBS is a specialist in ATM and EFTPOS solutions for the retail, merchant market. The deal adds a significant retail. ATM network to Cashcard's existing operations. Almost 2500 additional. ATM locations at fuel, outlets; shopping centres...

AMP, National reap big benefits from CRM. (Special Feature--CRM Quarterly Report).(AMP Financial Services, National Australia Bank Ltd., customer relationship management)
November 18, 2002... MOST ORGANISATIONS RECOGNISE that they are not customer-driven and, as a consequence, are not operating at their full potential to acquire, retain, and grow customer wallet and mind share. They are keenly aware that their customers need to...

Better data, customer insight can increase sales by up to 20%. (Special Feature--CRM Quarterly Report).
November 18, 2002... WHILE BUSINESS EXECUTIVES overwhelmingly agree that technology has helped them strengthen relationships with their customers, more than half [55%] say that Customer Relationship Management (CRM] shortfalls can be attributed in part to...

Analytical CRM sharpens customer focus: CRM is fundamentally a business strategy, which focuses on treating customers as a strategic asset and maximising the share of wallet for the goods and services that are provided. (Special Feature--CRM Quarterly Report).(customer relationship management technology)
November 18, 2002... RESEARCH SHOWS THAT companies can easily spend $3 million-plus on the implementation of customer relationship management (CRM) technology, a large proportion of which is focused on the front end--the enablers of customer interaction (call...

Increasing your customer retention potential. (Special Feature--CRM Quarterly Report).(customer relationship management)
November 18, 2002... IT HAS BECOME AN OFTEN QUOTED axiom in marketing circles that the cost of retaining a customer is only a fraction of what it costs to acquire a new customer. This is particularly pertinent to the banking and finance industry, where the...

Banks to spend $3.5bn by 2005. (Special Feature--CRM Quarterly Report).(Celent Communications report)(Brief Article)
November 18, 2002... THE WORLD'S TOP 100 BANKS will spend about US$2.2 billion on CRM technology by end of 2002. This will grow to US$3.5 billion by 2005, accounting for a healthy compounded annual growth rate of 17 per cent, according to a report by Celent...

Putting the "R" back into CRM. (Special Feature--CRM Quarterly Report).(customer relationship management)
November 18, 2002... IT IS WELL RECOGNISED THAT THE business environment is changing and is doing so at an ever increasing rate. There is probably no industry more affected by these changes than the financial services industry. A combination of deregulation,...

Hawker draws crowd at Sydney luncheon. (People).
November 18, 2002... The chief executive of Insurance Australia Group Michael Hawker was the guest speaker at a luncheon presented by Australian Banking & Finance newsmagazine and sponsored by Veritas in Sydney this month. David Hosking and Frances Boag. ...

Ireland discusses funds management. (People).
November 18, 2002... The managing director of Challenger International Bill Ireland discussed the future of the funds management industry at an Australian Banking & Finance-Fuji Xerox lecture. Rita Herbert and Graeme Tree. Gerran Clowes. Tilly Hegarty...

Behind the screens. (News).(industry news)
November 18, 2002... Insurance Australia Group chief Michael Hawker can't quite understand the market's dislike of the group's acquisition of CGU and NZI. IAG shares have fallen sharply since the acquisition was announced with many investors believing the group has...

Regionals enjoy online growth. (the Nielsen/netRatings report).(online banking)(Industry Overview)
November 18, 2002... GROWTH IN THE ONLINE BANKING and finance sector over the last 12 months benefited the regional banking sector with the category growing 28% between August 01 and August 02 in terms of monthly users. This rate of growth, which includes both...

Mulcahy jumps at chance to lead Suncorp-Metway.(John Mulcahy, Suncorp-Metway Ltd.)(Brief Article)
November 29, 2002... JOHN MULCAHY WILL move his family from Sydney to Brisbane in the next few weeks to take over as managing director and chief executive of Suncorp Metway and realise a long-held ambition to head a major financial institution in Australia. ...

Banks battle for the rich.(private banking Australia)
November 29, 2002... AUSTRALIAN RETAIL BANKS ARE cannibalising their own client bases in the rush to control a limited number of high net worth client relationships. A survey by Ernst & Young found that private banking in Australia is entering a new phase. ...

S&P paints stable outlook for Asia-Pacific. (Current Account).(Standard & Poor's Corp.)(Brief Article)
November 29, 2002... STABILITY RATHER THAN spectacular growth is likely to be the defining theme for most banking sectors in the Asia-Pacific region in 2003. "Slow economic growth in the countries of the region with the notable exceptions of mainland China,...

Banking world. (Current Account).(Morgan Stanley and Co. Ltd. layoffs)(Brief Article)
November 29, 2002... Investment bank Morgan Stanley is firing about 2,200 employees worldwide in a move to cut costs amid the slump in global financial markets. The job cuts, around four percent of total headcount, affect staff across different business areas at...

AXA jumps to no. 5 in funds assets. (Current Account).(AXA Asia Pacific Holdings)(Brief Article)
November 29, 2002... AXA ASIA PACIFIC HOLDINGS jumped two spots to fifth place in Australian assets under management in the September quarter with a market share of 6.4%, market research group ASSIRT said. Total assets under management for the Australian...

ABA steps up push for choice of super. (Current Account).(Australian Bankers' Association)(Brief Article)
November 29, 2002... THE AUSTRALIAN BANKERS' Association (ABA) has called on the Australian Parliament to seriously consider the fact that there is no organisation, business, government or third party that has a stronger incentive to maximise one's retirement...

St George's supermarket joint venture a logical step. (Current Account).(St. George Bank deal with Foodstuffs New Zealand)(Brief Article)
November 29, 2002... ST GEORGE BANK IS TO SET UP A banking joint venture with New Zealand's largest supermarket chain, Foodstuffs, in what will be the first offshore foray by Australia's fifth biggest bank. The joint venture with the privately-owned Foodstuffs...

On the record. (Current Account).(quotations by bank executives Australia)(Brief Article)
November 29, 2002... "Previous valuations are no longer appropriate in light of the substantial falls in equity markets since June 30, 2002, difficult operating conditions and changes in the business." AMP CHIEF EXECUTIVE ANDREW MOHL, ANNOUNCING PLANS TO WRITE...

National under pressure to put overseas strategy back on tract. (News).(Frank Cicutto, National Australia Bank Ltd.)
November 29, 2002... NATIONAL AUSTRALIA BANK chief executive Frank Cicutto promised faster international expansion when he took the helm of Australia's largest lender three years ago. Since then, the bank has quit the US mortgage market, where it lost $2.2...

Corporate treasuries need integration. (News).
November 29, 2002... A LACK OF SYSTEMS INTEGRATION and an over reliance on spreadsheets is exposing Australian corporate treasuries to risk, according to the 2001 Treasury Technology Survey, conducted by the Finance and Treasury Association (FTA) and global...

Axiss claims success with China mission. (News).(Axiss Australia finance education and training conference)
November 29, 2002... A RECENTLY COMPLETED five-day mission to China, showcasing Australian excellence in finance education and training, has been judged a success. The November mission conducted seminars in Beijing, Shanghai and Shenzhen to more than 200...

Hunt outlines plans for more branches. (News).(Rob Hunt, Bendigo Bank)
November 29, 2002... BENDIGO BANK MANAGING director Rob Hunt says the regional is starting to carve out a "unique niche" for itself on the back of a record 48% rise in full-year net profit and an aggressive expansion strategy. According to Hunt the bank has...

New play for MBS investors. (News).(mortgage backed securities Australia)
November 29, 2002... THE ISSUANCE OF AUSTRALIAN mortgage-backed securities (MBS) so far this year, both global and domestic, has once again been significant. Importantly, 2002 has also witnessed the continuing growth of Australia's non-conforming MBS market. ...

Symond on innovation and Aussie. (News).(John Symond on Aussie Mortgage Market)(Brief Article)
November 29, 2002... Aussie managing director John Symond dropped a few pearls of wisdom during an informal executive roundtable at The Mint earlier this month. Symond talked off-the-cuff about his push for innovation in customer service, with the development of...

Consumers want lower rates, not handouts. (News).(on credit cards)
November 29, 2002... CONSUMERS IN SEARCH OF A new credit card favour lower interest rates over reward or affinity programs, according to new research. Compete Inc analysed consumer credit application behaviour at Capital One, MBNA and Citibank during the...

Put the knowing into building relationships. (examining the customer).(relationship marketing)
November 29, 2002... FINANCIAL INSTITUTIONS THE world over are seeking to embrace the concept of relationship marketing or RM (please note, NOT CRM!), because they have recognised the potential for long term growth and performance improvement RM offers. Financial...

B2B payment cards: bringing efficiencies to corporate and government purchases. (Advertorial).(business to business)
November 29, 2002... Purchasing Cards. Corporate Cards. Commercial Cards. P-Cards. Fleet Cards. They go by many descriptions and can be configured in numerous ways to meet specific needs. At heart, though, business to business payment cards may be the best tools...

Separated networks provide armour to segregate and protect information. (Special Feature--Security).(information technology and the banking industry)
November 29, 2002... THE NATURE OF OPPORTUNITIES is that they're often threats dressed up in fancy clothing and there is an inherent risk posed by their very existence. The Internet is a prime example of where fortune has not always favoured the brave. ...

Preparing for the worst: Zaid Alsaji, associate director at CMG, discusses how organisations can help ensure that security breaches are adequately dealt with and how they can be used to help improve security. (Special Feature--Security).(information technology guidelines)
November 29, 2002... THE REALITIES OF USING THE Web to deliver services to customers and the need to provide increasing levels of access cannot be reconciled with a fortress approach to IT security. As an increasing number of organisations now appreciate,...

Employee training may counter fraud. (Special Feature--Security).(information technology and banking industry)
November 29, 2002... IT SEEMS THAT EVERY MASS communication medium is talking about IT security--open any magazine or newspaper, or visit any business conference or trade show and it's guaranteed that security will be on the agenda. Companies are literally...

IT security--creeping closer to the holy grail: while the financial services industry may be more in tune with IT security than many other industry sectors, there is no room for complacency. (Special Feature--Security).
November 29, 2002... The banking and finance sector, like any other business sector, is not immune to security compromises arising out of the inherent weaknesses in IT technology. And, more worrying perhaps, it's one of the industries most at risk of suffering...

Smart cards bring new life to loyalty. (Get smart).(credit card industry Australia)
November 29, 2002... CREDIT CARD LOYALTY SCHEMES reward the customer. Or do they? With the collapse of the Ansett rewards scheme still reverberating among many loyal points-accumulating consumers, there is now strong argument that with membership of any long-term...

Employer branding offers benefit in `war for talent'. (human capital).
November 29, 2002... A PRETTY LOGO, A SMART CATCH-phrase... branding can Look deceptively simple. So why is it attracting so much attention at senior levels of business? Once the domain of product specialists and advertising agencies, branding has been...

Telcos, banks and broadband connection. (the Nielsen/netRatings report).
November 29, 2002... EFFORTS TO BETTER UNDERSTAND the behaviour of Internet users based on their ISP, highlights some very distinct differences between customers of competing ISPs when it comes to their online bank of choice. The implication is that if the ISP...

Behind the screens. (News).(News briefs.)
November 29, 2002... It would seem taking on the banks and the mortgage broking market is still not enough for Aussie John Symond. Speaking at a Rockwell executive briefing by Australian Banking & Finance, the big man hinted that real estate may be his next target,...

Money laundering issues. (News).(Column)
November 29, 2002... IMPROVEMENTS TO BANKS' systems to deal with international and domestic anti-money laundering requirements is a topic of conversation among many bankers. Anti-money laundering system controls at banks are notoriously difficult to get right...