ING Australia looks to future after parent company refit
ING Australia claims cost-cutting measures undertaken by its Dutch parent will strengthen the local subsidiary’s position as one of the group’s key performers in the region.
This month it announced plans to sell €6-8 billion ($11-15 billion) in non-core assets to reduce its global scope and shore up its own stability.
The group says it plans to focus bank activities primarily on Europe and narrow the distribution of insurance to concentrate on life and retirement services.
Some 10 to 15 international business units will go in the next few years, but ING says key insurance operations will remain in “the Benelux, US, Central Europe, Latin America and Asia/Pacific”.
ING Australia spokesman Peter Hansen says the announcement assures the company’s local presence.
“Our core business activities of retirement services, superannuation and insurance are a good fit with the back to basics strategy announced by the ING Group,” he told insuranceNEWS.com.au.
“ING Australia is a key contributor of profit to ING Group’s Asia-Pacific region, which the group remains committed to growing.”
ING Australia is a separate business from local banking unit ING Direct, whose spokesman declined to comment on the future of that business.
The group is chasing efficiency gains after the Dutch Government last year injected €10 billion ($18 billion) into the business and provided state guarantees of its assets after the US unit’s disastrous foray into mortgage-backed securities.
This month it announced plans to sell €6-8 billion ($11-15 billion) in non-core assets to reduce its global scope and shore up its own stability.
The group says it plans to focus bank activities primarily on Europe and narrow the distribution of insurance to concentrate on life and retirement services.
Some 10 to 15 international business units will go in the next few years, but ING says key insurance operations will remain in “the Benelux, US, Central Europe, Latin America and Asia/Pacific”.
ING Australia spokesman Peter Hansen says the announcement assures the company’s local presence.
“Our core business activities of retirement services, superannuation and insurance are a good fit with the back to basics strategy announced by the ING Group,” he told insuranceNEWS.com.au.
“ING Australia is a key contributor of profit to ING Group’s Asia-Pacific region, which the group remains committed to growing.”
ING Australia is a separate business from local banking unit ING Direct, whose spokesman declined to comment on the future of that business.
The group is chasing efficiency gains after the Dutch Government last year injected €10 billion ($18 billion) into the business and provided state guarantees of its assets after the US unit’s disastrous foray into mortgage-backed securities.