AMP to Launch Lifetime Pension in First Half of Year
AMP has announced its plans to launch the AMP Lifetime Pension in the first half of 2026. This initiative aims to provide members with a consistent income stream throughout their lives. The announcement comes as AMP reports positive growth in its superannuation and investment division for FY25.
Key Financial Highlights
For the fiscal year 2025, AMP’s underlying Net Profit After Tax (NPAT) in its superannuation and investment sector rose by 14.8%. The NPAT increased from $54 million in FY24 to $62 million in FY25. Despite this growth, the division faced net cash outflows, amounting to $542 million, which is a 45% decrease compared to the previous year.
Recent Performance and Challenges
- In FY23, the division lost $6.4 billion.
- In FY24, the outflow continued with a loss of $1 billion.
Despite these challenges, AMP is working toward achieving sustainable net cash inflows. This improvement is supported by an attractive member offering, which includes advanced digital advice services and leading products like AMP Super Lifetime and AMP Rewards.
Investment Returns and Member Engagement
AMP has also reported strong investment performance, with most MySuper members experiencing top quartile returns for FY25. Specifically, the MySuper 1970s option yielded a return of 10.8%.
Additionally, the digital personal financial advice tool saw over 300,000 users within its first year. New tools have been introduced to assist members in comparing AMP Super based on fees, performance, insurance, and services.
Future Outlook
Looking ahead, AMP aims to further expand its offerings with the launch of AMP Lifetime Pension. This product is designed to support retirement planning by providing an income for life, reinforcing AMP’s commitment to helping members achieve a dignified retirement.
Alexis George, CEO of AMP, highlighted the company’s recent success in the wealth segment. She emphasized that 2025 was significant for resolving legacy issues and stabilizing the portfolio, allowing for renewed focus on growth. George noted that the North platform’s new features are receiving positive feedback from advisers, positively impacting net cash flows.
AMP remains optimistic about the wealth and retirement sectors, with a clear strategic focus and a robust balance sheet. The company is well-positioned for organic growth while remaining open to inorganic opportunities that could enhance its scale and capabilities.
