Challenger points to platforms for sales increase
Challenger has announced its total life and annuity sales increased in the March 2016 quarter, crediting the rise to being on platforms such as Colonial First State.
In a statement, Challenger said its total life sales for the quarter were $864 million, comprising $575 million and other life sales of $289 million.
Annuity sales increased by 29 per cent on the prior corresponding period and included growth in both term annuities (up 22 per cent) and lifetime annuities (up 63 per cent).
Challenger chief executive Brian Benari said the jump in lifetime annuities sales can be attributed to platforms.
"The key stand out is the step up in lifetime annuity sales which accounted for 23 per cent of sales in the quarter and benefited from our move to embed annuities on platforms," he said.
"This resulted in flows through Colonial First State, being up more than 100 per cent on the same period last year."
At the same time, Challenger reported its funds under management (FUM) were stable over the previous quarter at $57.4 billion.
Positive inflows across both Fidante Partners and Challenger Investment Partners of $0.8 billion in the quarter were offset by negative market movements resulting in stable FUM of $54.6 billion, the statement said.
Fidante Partners FUM was $41.5 billion, unchanged for the quarter, with net inflows of $0.6 billion offset by negative market movements.
Meanwhile, Challenger Investment Partners FUM was $13.1 billion at 31 March 2016, also unchanged for the quarter, with net inflows of $0.2 billion across both property and fixed income offset by fixed income market movements.
ASIC cancels AFSL of Sydney firm
ASIC has cancelled the Australian financial services licence of RVM Capital Pty ...
Education extension bill delayed
A bill to lock an additional one-year extension for advisers to comply with FASE...
Digital offerings can eliminate the need for personal advice
Digital advice may provide an avenue for advisers to be able to circumvent the c...