Australian Banking & Finance articles from October 2003

Australian Banking & Finance archives from October 2003

Our products lead the world: Australian financial institutions are among the world leaders in product innovation, according to a study.
October 16, 2003... The study by A.T. Kearney, the management consulting subsidiary of EDS, and TowerGroup, a financial research and services firm, showed that financial institutions in other parts of the world, particularly the UK, were copying some of our...

Macquarie Bank chief executive Allan Moss has been in Hong Kong and New York in the past month telling investors that our top investment bank was on track.(Brief Article)
October 16, 2003... MACQUARIE BANK CHIEF EXECUTIVE ALLAN MOSS has been in Hang Kong and New York in the past month telling investors that our top investment bank was on track to lift its first half and full year profit. The bank's first quarter profit for the...

Axa questions insurance cover.(Axa Asia Pacific Holdings Limited concerned about the level of under-insurance in Australia)
October 16, 2003... AXA ASIA PACIFIC HAS EXPRESSED concern about the level of under-insurance in Australia. Many Australians have less insurance than they need to protect their families and their income, according to research commissioned by Axa. It...

CBA introduces new 'lite' EFTPOS terminal.(Current Account)(Commonwealth Bank of Australia)(Brief Article)
October 16, 2003... THE COMMONWEALTH BANK HAS set a new benchmark in EFTPOS terminals by introducing Australia's first "lite" EFTPOS terminal. PayLite is designed for smaller businesses that process fewer transactions which do not require aft the extra's found...

Banking world.(Current Account)(Ernst Welteke)(Brief Article)
October 16, 2003... [ILLUSTRATION OMITTED] Caption: Ernst Welteke, European Central Bank council member and president of the Deutsche Bundesbank pauses during an interview at the Bloomberg offices in Frankfurt, Germany. Welteke said China shouldn't make...

Aust First Mortgage off to strong start.(Current Account)(Australian First Mortgage)(Brief Article)
October 16, 2003... A NEW AUSTRALIAN NON-BANK lender, Australian First Mortgage, has received more than $40 million in loan applications during August. It is anticipated that this will increase to $60 million in September/October 2003, and formally approved...

Aussie signs contract to support customers.(Current Account)(Aussie Group of Companies and TeleTech Holdings Inc.)(Brief Article)
October 16, 2003... AUSSIE GROUP HAS SIGNED A five-year partnership with TeleTech Holdings Inc to provide customer management services to Aussie's customers. Under the terms of the agreement TeleTech will provide customer support for existing Aussie Home...

On the record.(Current Account)(Luke Bunbury, Mike Pratt and Carolyn Bond quoted)(Brief Article)
October 16, 2003... "We believe its appeal will be wide-ranging across the country." ST GEORGE'S GENERAL MANAGER OF PERSONAL CUSTOMERS LUKE BUNBURY ON THE AUSTRALIAN SPIRIT MASTERCARD. "Opportunities will continue to arise in core markets with not all...

Direct risk: unravelling the mystery.(research revelations)
October 16, 2003... DIRECT RISK IS A RATHER HIDDEN activity, relying on direct marketing of a simplified insurance product to potential customers held on a database. Interestingly the direct marketing process is perhaps just as important as the product...

When no service is the best service.(News)
October 16, 2003... AS THE CUSTOMER SERVICE AND contact centre industry grows, a starting new observation is beginning to take hold--that the best service is actually no service at all. Think about the best customer experiences you have ever had: It probably...

Virgin Money boss to address conference.(News)(Paul Pester speaker at the World Financial Services Conference )(Brief Article)
October 16, 2003... THE CEO OF VIRGIN HONEY Group Paul Pester will be a guest speaker at the World Financial Services Conference in Sydney on November 19. Virgin Money launched in Australia in May this year and is already making inroads and Poster's views on...

CPS Credit Union returns best value.(News)
October 16, 2003... CPS CREDIT UNION (SA) has topped a survey of South Australian transaction accounts, returning the best value for money on a deposit of just $100. Eighteen months ago, Today Tonight opened a personal transaction account at 10 South...

Macquarie launches bond for advisers.(News)(Macquarie Bank Ltd.)
October 16, 2003... MACQUARIE BANK HAS launched a "forward thinking solution" for financial advisory businesses which require a $20,000 performance bond in order to apply for a new Australian Financial Services Licence (AFSL) to comply with the Financial Services...

Key logging a threat to banks.(News)(how banks should combat the issue of key logging )
October 16, 2003... FEEDBACK FROM VARIOUS recent meetings with banking contacts has indicated that key tagging is the topic of the moment within the banking and finance sectors, especially as it relates to internet banking. Key Logging is essentially like...

Independent firms take big business from top advisers.(News)(statistical data included)
October 16, 2003... INDEPENDENT CORPORATE advisory firms have won substantial business from investment banks over the past 18 months. KPMG Corporate Finance analysis of industry data on M&A activity reveals the market share of independent firms, defined as...

The latest CRM solutions.(News)(customer relationship management for financial services )
October 16, 2003... MANY FINANCIAL SERVICES firms have taken large financial risks during the past few years by implementing customer relationship management (CRM) technologies before they were mainstream. As other firms start to adopt the proven technologies,...

Norwich Union adopts Aviva's global brand.(Australian Insurer)(Brief Article)
October 16, 2003... FINANCIAL SERVICES PROVIDER Norwich Union Australia has adopted the global Aviva brand of its parent in a move it says will derive benefits by drawing on the global strengths of the name. Chief executive Allan Griffiths said the brand...

Liability insurance worries.(Australian Insurer)(Surf Life Saving Australia problems with obtaining liability insurance)(Brief Article)
October 16, 2003... RECENT PROBLEMS FACED BY A surf life saving group in obtaining liability insurance has underlined the urgent need for governments to complete the reform process, according to the Insurance Council of Australia. Surf Life Saving Australia...

Tower to refocus on life activities.(Australian Insurer)(Tower Australia forms Tower Life Ltd.)(Brief Article)
October 16, 2003... TOWER AUSTRALIA IS PLANNING to focus attention on its life insurance operations with the closure of its annuities unit to new business and the outsourcing of the management of its Australian ethical funds. "Tower Australia's objective is...

Zurich appoints Lazzard.(Australian Insurer)(Brief Article)
October 16, 2003... ZURICH AUSTRALIA HAS APPOINTED Lazard Asset Management as manager of its international equities thematic portfolio. The insurer said Lazard will manage its stand-alone international thematic funds and the inter national equities component...

Suncorp Metway.(Australian Insurer)(appointed Diana Eilert)(Brief Article)
October 16, 2003... SUNCORP METWAY HAS APPOINTED Diana Eilert to take over as head of its insurance business on November 3 following the retirement of John Trowbridge. Eilert, who is a partner with IBM Australia's business consulting unit, has a long history...

Merger activity to increase: study.(Australian Insurer)
October 16, 2003... THE GLOBAL INSURANCE INDUStry expects to see an increase in mergers and acquisitions activity in the next year. KPMG surveyed over 100 senior insurance executives and 59% believed more mergers were likely to occun Meanwhile, executives see...

Fraud concerns increase.(Special report: mortgage broking)
October 16, 2003... CALLS FOR MORE REGULATION have increased with Bill Moss, head of Macquarie's banking and property group, buying into the issue. Moss says the Australian home Lending market is experiencing an increase in the incidence of fraud. "This...

Maxis loans to deal exclusively with brokers.(Special report: mortgage broking)(Brief Article)
October 16, 2003... THE AUSTRALIAN MORTGAGE market has welcomed the newest brand on the block--Maxis Loans. Following the sale of AXA's 50% shareholding in Members Equity, AXA Home Loans with now be known as Maxis Loans. Retaining the existing product...

Time to consider future direction: the finance broking industry is at a crossroad, judging by recent headlines, calls for industry regulation, increasing litigation, allegations of negligence, misconduct and fraud.(Special report: mortgage broking)
October 16, 2003... It's time for industry players to consider their future direction very carefully and implement effective risk management strategies. Finance broking now represents a substantial part of the home lending market, with the 8000 brokers in...

A name known to many in Australian banking, Shayne Nelson, has won the CEOs job at Standard Chartered Bank Malaysia Bhd.(behind the screens)(Brief Article)
October 16, 2003... A name known to many in Australian banking, Shayne Nelson, has won the CEOs job at Standard Chartered Bank Malaysia Bhd. Throughout his career, he had held numerous challenging positions in Westpac and the National Australia Bank, including...

Prime Minister John Howard's "endorsement" of the St George charity MasterCard is a talking point in financial circles.(behind the screens)(Brief Article)
October 16, 2003... Prime Minister John Howard's "endorsement" of the St George charity MasterCard is a talking point in financial circles. Should a PM be promoting a commercial product? Strictly speaking the answer is obviously no. His department argues that as a...

Banking analysts at Deutsche Bank were not much impressed by the CBA's transformation program, saying it was long overdue.(behind the screens)(Brief Article)
October 16, 2003... Banking analysts at Deutsche Bank were not much impressed by the CBA's transformation program, saying it was long overdue. In a note to clients the banking research team said: "CBA's $880 million restructuring spend suggests the level of...

Bank of Queensland is not the major sponsor of the Brisbane Lions AFL team (unlike the Queensland Reds rugby team) but that didn't stop CEO David Liddy from making the trek to Bleak City for the grand final last month.(behind the screens)(Brief Article)
October 16, 2003... Bank of Queensland is not the major sponsor of the Brisbane Lions AFL team (unlike the Queensland Reds rugby team) but that didn't stop CEO David Liddy from making the trek to Bleak City for the grand final last month. He was seen wearing his...

Speaking of sport, CBA chief David Murray joined rugby commentator Chris "Buddha" Handy on centre stage as guest speakers at the Australian Institute of Banking and Finance's annual dinner in Sydney this month.(behind the screens)(Brief Article)
October 16, 2003... Speaking of sport, CBA chief David Murray joined rugby commentator Chris "Buddha" Handy on centre stage as guest speakers at the Australian Institute of Banking and Finance's annual dinner in Sydney this month. Some business was discussed but...

ANZ has filled the critical role of IT head by appointing Mike Grime as managing director, operations, technology and shared services to replace David Boyles who is retiring.(behind the screens)(Brief Article)
October 16, 2003... ANZ has filled the critical role of IT head by appointing Mike Grime as managing director, operations, technology and shared services to replace David Boyles who is retiring. Grime joins ANZ from Standard Chartered PLC where he was the group...

HSBC is moving into the AFL by taking a three-year sponsorship of the Hawthorn Football Club.(behind the screens)(Brief Article)
October 16, 2003... HSBC is moving into the AFL by taking a three-year sponsorship of the Hawthorn Football Club. Commencing on January 1 next year the 'HSBC Hawks' will feature the HSBC brand on all club attire as well as signage at the Melbourne Cricket Ground...

Axiss scholar program a winner: with the job market starting to pick up, the need for financial services firms to attract the right, high-quality candidates is imperative.(News)
October 16, 2003... This is especially true when finance employers consider hiring graduates and with more and more people graduating from commerce, economics and finance-related courses, the task can be a daunting one. The Axiss Scholar Program, run by Axiss...

Time to regain the customer.
October 31, 2003... FOUR SENIOR BANKING executives say banks must focus more on the needs of the customer to deliver future growth. At a panel discussion breakfast hosted by Australian Banking & Finance this month, Elizabeth Proust, managing director of ANZ's...

Scams fail to disrupt net uptake.(Market Intelligence Strategy Centre)
October 31, 2003... INTERNET BANKING IN AUSTRALIA has reached a new milestone with customer registrations breaching the seven million mark in the June quarter. Industry analysts MISC Australia (Market Intelligence Strategy Centre), on behalf of Australia's...

Westpac one of the top Asian arrangers.(Current Account)(Brief Article)
October 31, 2003... WESTPAC BANKING CORP, Citigroup and Industrial & Commercial Bank of China were the top three mandated arrangers in Asia-Pacific (including Asia, Australasia and the Indian-subcontinent) in the first nine months of 2003, with a combined share of...

Macquarie expects top financial services result.(Current Account)(Brief Article)
October 31, 2003... MACQUARIE BANK DEPUTY managing director Richard Sheppard says the bank is on track with its retail financial services strategy and expects a strong increase in profits for its Financial Services Group (FSG) for the year ended March 31, 2004....

Banking world.(Current Account)(Brief Article)
October 31, 2003... Television cameras record International Monetary Fund managing director Horst Kohler as he speaks at a press conference at the annual meeting of the board of governors of the International Monetary Fund and World Bank in Dubai. Germany...

Keycorp completes first smartcard transaction.(Current Account)(Brief Article)
October 31, 2003... SECURE ELECTRONIC TRANSACtion solutions provider Keycorp has revealed that its new generation K23 payment terminal has successfully completed what is believed to be the first "Live" Europay MasterCard Visa IEMV| smartcard transaction from one...

On the record.(Current Account)(Brief Article)
October 31, 2003... "Annual fees for the privilege of holding a credit card are simply ridiculous. Credit card providers should not get away with such blatant overcharging." VIRGIN MONEY'S MANAGING DIRECTOR ROHAN GAMBLE. "We have purchased a stake in AMP...

Cashcard awards ATM contract.(Current Account)(Brief Article)
October 31, 2003... AUSTRALIA'S LEADING INDEPENdent payments system services provider Cashcard has awarded NCR Corp a multi-year contract to provide maintenance and software services to maintain and support part of its fleet of automated teller machines (ATMs)....

ANZ acquires 40% stake in Metrobank.(Current Account)
October 31, 2003... ANZ BANK HAS FORMED A JOINT venture with and Metropolitan Bank and Trust Company [Metrobank] creating a growth platform for credit cards business in the Philippines. ANZ has acquired a 40% stake in Metrobank Card Corporation [MCC], the...

BPAY View guards against theft.(News)(related article: The numbers don't lie)
October 31, 2003... FINANCIAL INSTITUTIONS ARE missing out on a significant opportunity that can help protect customers against identity theft. Despite the success of bank-owned BPAY in successfully driving more than four million Australians to pay their bills...

Wide Bay growing.(News)(will change name to Wide Bay Australia to reflect growing outlook)(Brief Article)
October 31, 2003... WIDE BAY CAPRICORN BUILDING Society plans to change its name to Wide Bay Australia to reflect its growing outlook. Managing director Ron Hancock said: "We are proud of our heritage, but believe that a change in corporate identity will...

ABA blasts report.(News)(Australian Bankers Association)(Brief Article)
October 31, 2003... THE AUSTRALIAN BANKERS' Association (ABA) says it is disappointed that the findings of the Senate Select Committee's report into superannuation portability supports the status quo. This means that adult Australians will remain divided into...

Private equity rebounds.(News)(Brief Article)
October 31, 2003... THE PRIVATE EQUITY MARKET IN Australia is set to bounce back in 2003-04 after two years of declining activity, according to KPMG's private equity group. The head of the KPMG private equity group Ian Knight said a number of factors should...

Upgrading computer systems.(News)(Basel II)
October 31, 2003... WITH OR WITHOUT Basel II, pressure is continuing on banks to modify and improve their core systems to conform with ever higher standards of risk management. And spending on IT continues to be vast. One estimate is that 10 to 20 of the top...

Customer complaints falling.(News)
October 31, 2003... BANKS ARE GETTING BETTER AT customer service with a 13.3% fall in the number of cases dealt with by the Banking Ombudsman in the past year. David Bell, chief executive of the Australian Bankers' Association, said the fall was particularly...

Wizard dials mobile property value service.(News)(PriceWizard's mobile phone property value service )
October 31, 2003... THE AUSTRALIAN PROPERTY market has made its way to mobile phones with Wizard Home Loans launching the world's first SMS property pricing service --PriceWizard. PriceWizard is a mobile phone property value service that allows house-hunters...

Macquarie boosts brokinq.(News)(Macquarie Financial Services has made structural changes to its full service broking business)(Brief Article)
October 31, 2003... MACQUARIE FINANCIAL SERVICES has made structural changes to its full service broking business to strengthen its organisational and Leadership structure and more effectively cater for the recent growth in adviser numbers. The changes will...

QBE may quit travel market.(Australian Insurer)
October 31, 2003... QBE INSURANCE IS PLANNING TO appeal a court ruling against its decision to refuse to provide a woman with terminal cancer full travel insurance and could withdraw from the travel insurance market if the ruling is upheld. QBE Insurance...

'Cashback' scheme shakes market.(Australian Insurer)(Australian Insurance Holdings )
October 31, 2003... AUSTRALIAN INSURANCE HOLDINGS has Launched a car insurance reward scheme it believes will trigger the biggest shake-up in the Australian automotive insurance industry in more than a decade. In a move the insurer says could potentially save...

Insurance cover declines.(Australian Insurer)
October 31, 2003... FEWER PEOPLE IN AUSTRALIA are taking out insurance, according to new research commissioned by CommInsure, the Commonwealth Bank's insurance division. The survey conducted by Research International for CommInsure showed that from June 2001...

Road rage concerns insurers.(Australian Insurer)
October 31, 2003... NEW RESEARCH BY HOME AND car insurer AAMI has found most Australian motorists experience high levels of physical violence and abuse from other road users. With implications for all insurers of motor vehicles, the research reveals nine in...

Axa welcomes AMP takeover.(Australian Insurer)(Brief Article)
October 31, 2003... A NATIONAL AUSTRALIA BANK takeover of AMP might actually benefit rival. Axa Asia Pacific, according to Axa chief executive Les Owen. "I think it would give us a significant opportunity to position ourselves almost uniquely," he said. ...

Reforms create 'unfair' market.(Special Feature--Credit Cards)
October 31, 2003... THE AUSTRALIAN CREDIT CARD market has effectively been turned on its head by the controversial, Reserve Bank of Australia reforms, which have just come into effect. And the argument rages on about whether the changes will actually achieve...

Challenge on to find the winning model.(Special Feature--Credit Cards)(Column)
October 31, 2003... THE SEARCH FOR INNOVATIVE products within retail hanks has been a major focus of the 1990s. As a result of this focus and effort, the world of retail banking is now much more homogeneous. Consumer perceptions, regulation, cost of funds...

EMV smart cards to conquer the globe.(Special Feature--Credit Cards)(Europay MasterCard and Visa)
October 31, 2003... EMV CHIP. FOR YEARS IT SEEMED so abstract, a vision that might one day, far into the future, become reality. But just like those other dreams--the euro, the arrival of the new millennium, the Channel Tunnel it happened, and it worked. ...

AMEX, BMW join forces.(Special Feature--Credit Cards)(American Express and BMW Group Financial Services Australia will launch co-branded credit card called BMW Card)(Brief Article)
October 31, 2003... AMERICAN EXPRESS AND BMW have joined forces to Launch a co-branded credit card in Australia. The BMW Card features competitive interest rates, increased spending power and membership reward earn rate of 1.5 points for every dollar spent...

Virgin captures market share with no-fees card.(Special Feature--Credit Cards)
October 31, 2003... THE VIRGIN GROUP HAS HAD A major impact on the Australian market since launching its credit card in May. Consumer response to the Virgin Credit Card has continued to exceed all expectations, attracting over 300,000 applications since launch...

EFTPOS fees: a zero end game.(Special Feature--Credit Cards)(Electronic Funds Transfer Point Of Sale)
October 31, 2003... WHEN IS PRICE FIXING NOT fixing a price? When the price in question is zero. Or at least, this must have been the view hew [not unreasonably) by the Four Pillar banks and various other regional banks and financial institutions in their...

Commercial card solution assists bottom-line.(Special Feature--Credit Cards)
October 31, 2003... CORPORATIONS ARE STRIVING TO improve the delivery of corporate services to internal, and external business clients through the application of an "e-business" strategy, whilst looking to reduce internal service delivery costs and yet enhance...

Property boom a boon for lenders: the Queensland property boom is taking local financial institutions with it, lenders experiencing the most buoyant conditions ever.(Special report: Queensland)
October 31, 2003... Home Lending books are at record levels and local banks, credit unions and building societies have added branches and staff to cope with demand, which is showing no signs of easing. Increasing migration, a general recognition that the...

Interstate expansion drive high on agendas.(Special report: Queensland)
October 31, 2003... QUEENSLAND FINANCIAL INSTITUtions are not just taking share away from the major banks on their home soil. Bank of Queensland managing director David Liddy this month announced firm plans for the bank's interstate expansion, targeting a...

Suncorp mobilises strategic plan.(Special report: Queensland)
October 31, 2003... SUNCORP-METWAY IS HAPPY with the progress of its much-heralded plan to become more efficient. In June, managing director John Mulcahy revealed a five year strategic plan to pursue a diversified financial conglomerate approach and implement...

Leaders discuss future directions.(People)(Brief Article)
October 31, 2003... Four of the key players in the financial services industry, Hugh Harley (CBA), Elizabeth Proust (ANZ), Mike Pratt (Westpac) and David Poole (Macquarie) featured in a panel discussion breakfast in Sydney this month presented by Australian...

Most of the big names in banking and finance have now overcome the effects of jet lag after returning from another succesful Merrill Lynch Australasia investment conference in New York.(behind the screens)(Brief Article)
October 31, 2003... Most of the big names in banking and finance have now overcome the effects of jet Lag after returning from another succesful Merrill Lynch Australasia investment conference in New York. Frank Cicutto, Gail, Kelly, Michael Hawker, John Mulcahy,...

Heritage Building Society CEO Fraser Read-Smith (right) has quit to take the top job at Newcastle Permanent Building Society.(behind the screens)(Brief Article)
October 31, 2003... Heritage Building Society CEO Fraser Read-Smith (right) has quit to take the top job at Newcastle Permanent Building Society. He will replace John Hickey who Left suddenly last month. Read-Smith leaves some impressive growth figures in...

Property investment and financial services company Trafalgar Corporate has appointed Catherine Brenner as non-executive director.(behind the screens)(Trafalgar Corporate Pty. Ltd.)(Brief Article)
October 31, 2003... Property investment and financial services company Trafalgar Corporate has appointed Catherine Brenner as non-executive director. She is a director with ABN AMRO and a senior member of their mergers and acquisitions team. In addition to her...

Continuing with the people theme, non-bank lender Resi Mortgage Corp has appointed a CEO to help keep pace with rapid growth which has seen the company double in size in less than two years.(behind the screens)(Stephen Mayers appointed CEO)(Brief Article)
October 31, 2003... Continuing with the people theme, non bank lender Resi Mortgage Corp has appointed a CEO to help keep pace with rapid growth which has seen the company double in size in Less than two years. Former City Coast Credit Union CEO Stephen Mayers has...

Another non-bank lender, RAMS Home Loans, meantime, has renewed and expanded its sponsorship of Athletics NSW until 2005.(behind the screens)(Athletics New South Wales)(Brief Article)
October 31, 2003... Another non-bank tender, RAMS Home Loans, meantime, has renewed and expanded its sponsorship of Athletics NSW until. 2005, committing to the development of the sport in both metropolitan and regional. NSW, and helping to nurture Australia's...

Westpac has been named Australia's No 1 company and received the only AAA rating for corporate social responsibility by the RepuTex Social Responsibility Ratings (SR).(behind the screens)(Brief Article)
October 31, 2003... Westpac has been named Australia's No 1 company and received the only AAA rating for corporate social responsibility by the RepuTex Social Responsibility Ratings (SR). Westpac CEO David Morgan said: "We are very much driven by our belief that...

US economic recovery restrained, says S&P.(News)(Standard & Poor)(Brief Article)
October 31, 2003... THE US RECESSION IS OVER, but any recovery in US economy is likely to be subdued, according to Standard & Poor's chief economist David Wyss. Wyss, who visited Australia this month, said while the US recession had been mild, the recovery...