ANZ Banking Group chief executive Mike Smith has revealed his intentions for the firm’s planned global wealth management unit.
“[The division] will cover what we would call normal growth wealth management, but also private banking, insurance and investment opportunity,” Smith said.
“What we will do first is run it as two businesses through Australia and New Zealand, and Asia,” he said.
“Wealth management in Australia and New Zealand is based around tax and there has to be an asset component, whereas in Asia it is very much liability driven, so the two are slightly different.
“But at some stage I would like to pull that all together and run it as a global business.”
For the right price, the bank might also buy wealth management firms in the Asia-Pacific region, he said.
“We will look at opportunities within financial services which are relevant to us. Wealth management would be an issue [and] would be an area… I am interested in looking at, if there were opportunities that looked appropriate.”
The group has a financial planning joint venture with ING Australia that is in place until 2012.
“What we have had to do is work that partnership a little harder,” Smith said.
“I think we had a series of philosophical differences which have been resolved and… we are much more on the same page.”
Earlier this month, ANZ announced its cash net profit after tax (NPAT) from Asia-Pacific activities soared 52 per cent to $413 million, for the 12 months to September, making it the company’s fastest growing unit.
