Australian markets tumble in wake of Wall Street rout; AMP selling life and wealth protection arms

Australian shares have lost all of the gains from the past 12 month after a massive selloff on Wall Street overnight. 

Global investors are nervous about trade tensions with China, Brexit, the US midterm elections, budget woes in Italy and rising tensions with Saudi Arabia over the killing of a Washington Post journalist. 

Also AMP announces the proposed sale of its life insurance and wealth protection arms for $3.3 billion.

ABC's Peter Ryan says investors are being urged not to panic about a long-awaited correction.