NKP view on the MLC restructure + market update

You may have read or heard in recent media articles that MLC have announced a number of changes to their business framework in preparation for it's separation from the NAB mid next year. We thought it was appropriate to give you some perspective on this. We have also included a recent article from Dr Shane Oliver regarding global markets that may be of some interest to you. 

What is happening?

MLC will essentially merge it's current five licensees into two. Apogee, Garvan and Meritum will be merged into a new unnamed licensee entity. They will also wind up their self-employed franchise adviser network, many of which are expected to join the new entity.

Pleasingly, they have kept the Godfrey Pembroke group as their other licensee, which they view as their "jewel in the crown".

What does this mean for Newcombe Kritsimas Partners?

This change has the least impact on Godfrey Pembroke advisers. There is no change to the way we do business, no rebranding required. Apart from an increase in licence costs - it is business as usual for us!

What does this mean for our clients?

Absolutely no change at all. Newcombe Kritsimas Partners will continue to provide you with the same level of service you are currently receiving.  

Our current focus?

As a business, Newcombe Kritsimas Partners continue to monitor the current regulatory landscape and what various Licensees out there have to offer. We currently remain with the Godfrey Pembroke network as the level of business, technical, research and compliance support we receive is market leading.

If at any stage we believe we believe there is a diminution in the quality of support to the point Godfrey Pembroke is no longer market leading or there is a better alternative in the marketplace we will assess and determine whether we move or not. The foundation of that decision will be based on what is best for our clients.

Market Update

You may be aware that the month of August has been quite volatile for markets. With concerns over the US trade wars, a messy Brexit, conflict in the Middle East, protests in Hong Kong, talks of recession - there are plenty of red flags out there at the moment. Dr Oliver believes that markets are in the middle of a correction and that it is not the start of a major bear market. Please click on the link to read the article: Olivers_Insights_-_August_2019.pdf

This is a timely reminder that if you do have concerns or your risk profile has changed (eg more conservative) - please contact us.. 

If you do have any questions, please don't hesitate to call us on on  02 9875 2966 or email us at client@nkp.net.au.

All the very best,

Andrew, John and the team at NKP.