Tuesday, October 16, 2018

Telstra chairman John Mullen expects profit to be halved after full NBN rollout; investor anger about trimmed dividend

Telstra chairman John Mullen has warned shareholders that the telco's net profit is expected to be cut in half after the National Broadband Network is fully rolled out. 

Telstra shareholders have also slapped the board over decisions to trim dividend as the company undergoes a dramatic transformation to confront digital competitors. 

ABC's Peter Ryan says the warning saw Telstra's share price fall by 1.8 percent.

Here's my report from The World Today

Friday, October 12, 2018

ANZ boss Shayne Elliott urges disgruntled customers to email him directly; says he's accountable and buck stops with him

ANZ chief executive Shayne Elliott has taken personal responsibility for misconduct at the bank and says he is accountable for damaging revelations from the financial services Royal Commission. 

Testifying at a parliamentary hearing in Canberra, Mr Elliott said ANZ has engaged in behaviour that falls below community standards but that ultimately the buck stopped with him. 

Mr Elliott has also encouraged jilted customers to contact him at his personal email address.

Here's my report from The World Today

Read the item here from ABC News Online

Market jitters a dress rehearsal for correction warns analyst Jasper Lawler; Donald Trump says US Federal Reserve is "crazy" for raising interest rates

Global markets have suffered more steep falls as jittery investors sell shares on fears that US trade tensions with China will slow global growth. 

Donald Trump has questioned the independence of the US Federal Reserve describing recent interest rate rises as "crazy"

London Capital Group analyst Jasper Lawler warns the current volatility is a dress rehearsal for an overdue correction.

Here's my analysis from this morning's edition of AM

Thursday, October 11, 2018

Greed a factor in some cases of misconduct, CBA boss Matt Comyn concedes

Commonwealth Bank chief executive Matt Comyn has conceded to failures or judgement and in some cases "greed" for some of the appalling cases if misconduct that have emerged from the financial services Royal Commission. 

Mr Comyn confronted heckling from the gallery in Parliament House this morning as he faced a grilling from the House Economics Committee. 

Here's today's report on The World Today 

Wednesday, October 10, 2018

Banks act to end "fees for no service" scandal, workers embarrassed wear bank uniforms in public says union boss Julia Angrisano

Bank customers fleeced in the "fee for no service" scandal will receive refunds of more than a billion dollars. 

The Australian Banking Association has been forced to ensure inappropriate fees are no longer charged and will spearhead legislative change to abolish controversial trail commissions. 

Finance Sector Union national secretary Julia Angrisano tells ABC's Peter Ryan that some frontline bank staff have been abused and too embarrassed to wear uniforms in public.

Listen to my report from The World Today

Banks act on "fees for no service" scandal as Royal Commission shame bites. I speak with Australian Banking Association boss Anna Bligh

The "fees for no service" scandal engulfing Australia's major banks has forced the industry's peak lobby group to overhaul a key section of its recently revamped code of practice. 

Read the story here

In addition to outlawing fees charged to dead people, the Australian Banking Association will seek new legislation to abolish lucrative "grandfathered" payments and trailing commissions that have in some cases encouraged financial advisers to put their own interests ahead of customers. 

The drastic move comes after the banking Royal Commission's interim report was scathing about "a culture of greed". 

Australian Banking Association chief executive Anna Bligh spoke with ABC's Peter Ryan on the AM program

Tuesday, October 9, 2018

Nature's Coin joins cryptocurrency rush as regulator AUSTRAC tightens surveillance

An Australian-backed cryptocurrency offering Nature's Coin has joined the rush to use fast evolving blockchain technology to develop real world applications. 

Nature's Coin executive director Ian Jones says the cryptocurrency is backed by tech entrepreneurs to support environmental and ecological projects backed by United Nations principles. 

Australia's financial intelligence agency is monitoring the rise of cryptocurrencies given potential risks for money laundering and terror financing. 

ABC's Peter Ryan says AUSTRAC now regulates 150 cryptocurrencies.

Listen to the story here

CBA to refund 'unauthorised fees' charged to dead and living customers in Royal Commission fallout

The Commonwealth Bank confirms it will refund its customers, including deceased estates, who were charged fees for no service. 

As part of its "remediation program", CBA will scrap "certain fees on legacy wealth products" from January 2019, which it said will save customers $25 million annually. 

It also plans to rebate all grandfathered commissions charged to customers, which will benefit 50,000 customers by around $20 million each year. 

ABC's Peter Ryan says the compensation is direct fallout from evidence that has emerged from the financial services Royal Commission.