Wealth manager AMP can pursue more capital management, UBS says. It assumes further returns of A$150 million in 2H26. AMP had A$287 million of surplus CET1 capital--essentially a buffer against financial shocks--and that will build as profit grows. UBS also points to AMP's seemingly low dividend policy of A$0.04/share per year, and its completed A$150 million share buyback in 1H. "Over the medium-term, AMP may look to divest non-core partnership investments like PCCP (A$193 million), and look to release capital from the Bank via securitization deals," says UBS. It notes that every A$1 billion of securitized deals equates to a capital release of A$30 million-A$35 million. "This could support further capital returns via buybacks in FY27," UBS says. (david.winning@wsj.com; @dwinningWSJ)
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AMP Has Scope for Additional Capital Management — Market Talk
Wealth manager AMP can pursue more capital management, UBS says. It assumes further returns of A$150 million in 2H26. AMP had A$287 million of surplus CET1 capital--essentially a buffer against financial shocks--and that will build as profit grows. UBS also points to AMP's seemingly low dividend po…