NAB steps up in wealth
(23 June 2009 – Australia) NAB has taken a big step to becoming a major player in Australia’s wealth management industry, by acquiring the Australian operations of Aviva.
National Australia Bank (NAB) announced that it agreed to buy Aviva's Australian wealth management business for A$825 million.
While Big Four rivals Westpac and CBA have bought up in the banking sector, and ANZ is looking to Asia for expansion, NAB has gone down the alternate wealth management and life insurance road.
The deal, chief executive, Cameron Clyne’s first, meets the objectives outlined in the NAB Strategy earlier this year.
Clyne said that the MLC and NAB wealth management business is a key area of growth.
It will enhance NAB’s offering in key wealth management segments including insurance and investment platforms, adding scale, efficiency and new capabilities to NAB’s operations, Clyne said.
The acquisition of Aviva Australia Holdings’ wealth management business includes its life insurance operations and investment platform, Navigator.
NAB will reportedly overtake CBA as the market share leader in life insurance in the country. The MLC and Aviva combination will give NAB a 16 percent market share against 15.3 percent for CBA and 12.7 percent for ING, the Sydney Morning Herald reported.
The Aviva acquisition also puts MLC closer to Westpac's BT fund management division and Macquarie Group for market leadership in the area of investment platforms used by fund managers, financial advisers and retail investors.
While Big Four rivals Westpac and CBA have bought up in the banking sector, and ANZ is looking to Asia for expansion, NAB has gone down the alternate wealth management and life insurance road.
The deal, chief executive, Cameron Clyne’s first, meets the objectives outlined in the NAB Strategy earlier this year.
Clyne said that the MLC and NAB wealth management business is a key area of growth.
It will enhance NAB’s offering in key wealth management segments including insurance and investment platforms, adding scale, efficiency and new capabilities to NAB’s operations, Clyne said.
The acquisition of Aviva Australia Holdings’ wealth management business includes its life insurance operations and investment platform, Navigator.
NAB will reportedly overtake CBA as the market share leader in life insurance in the country. The MLC and Aviva combination will give NAB a 16 percent market share against 15.3 percent for CBA and 12.7 percent for ING, the Sydney Morning Herald reported.
The Aviva acquisition also puts MLC closer to Westpac's BT fund management division and Macquarie Group for market leadership in the area of investment platforms used by fund managers, financial advisers and retail investors.
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