Welcome to AMP s executive summary for IBM Super

Transcription

1 Welcome to AMP s executive summary for IBM Super

2 A new mark for a new era 25,000 22,500 20, % 21.40% No. 1 in super AMP is a trusted and iconic Australian brand that has been around for more than 160 years. At the heart of our brand is our promise to help people own their tomorrow and achieve greater financial well-being. We do this by delivering the right balance of security and performance, and testament to our success is that AMP is now Australia s favourite for superannuation, personal insurance and advice. Number 1 in superannuation with $80 billion in FUA on a proprietary platform Our core business is wealth management: superannuation, insurance and investments, which provides a strong company focus and significant scale advantage that most of our competitors simply do not enjoy. Our footprint in the Australian marketplace has grown with the recent AXA and AMP merger, and we are proud to say that we are now the largest superannuation provider in Australia with more than A$80bn in superannuation, A$95 of clients investments and a market capitalisation of A$13.4bn. AMP is also one of the longest serving superannuation providers in Australia with more than 65 years corporate superannuation expertise. This size and scale allows us to continually reinvest $50m year-on-year, in system enhancements and innovation to benefit our clients, and ensures certainty and sustainable low fees for IBM, your employees and their families. In the past two years, AMP has invested $15m in member engagement research and activity. The result, soon to be launched NEW functionality and capability on our member transactional site - My Portfolio using IBM web sphere portal technology that will empower members to take control of their superannuation. One of Asia Pacific s largest investment managers AMP Capital Investors (AMPCI) is a wholly owned subsidiary of AMP Limited. AMPCI manages investments for retail and wholesale investors globally, creating greater wealth for our clients through better investment decisions and opportunities. We are one of Asia Pacific s largest investment managers with over A$95 billion in Assets Under Management (AUM) and over 50 years experience in Asia Pacific. We have over 250 investment professionals and almost 1,000 staff globally. A global footprint with operations in Australia, Bahrain, China, Hong Kong, Japan, India, Luxembourg, New Zealand, Singapore, UK and US. We are different to most of our contemporaries because we are an investment consultant and investment house in our own right. We can provide IBM and their members with insights into investment markets that can only be obtained through actual investing experience, which we believe provides IBM with a more robust, long-term solution. This scale and expertise will deliver market-leading investments solutions for IBM employees and their families. Flexible and adaptable to change AMP has to be flexible and adaptable in order to thrive in a highly regulated environment that is constantly changing. Recent reviews of the industry that were driven by the Federal Government (Ripoll, Henry and Cooper) sparked change across the superannuation landscape, and AMP lead the charge by being first to market with a MySuper ready solution before the Cooper Review was even released. Our thought leadership and access to key government representatives in this space has enabled us to help shape the direction of superannuation in Australia and for IBM this means that we are ahead of the regulatory curve, providing you and your members with a high degree of confidence that you are in safe hands. The strength of our brand, our scale and our market leading cost efficiency means we are best placed to manage the future changes to the retirement incomes system in Australia and ensure our customers continue to receive the best and most contemporary superannuation offering in Australia. This will be critical as both the environment changes and the needs of our members and employers evolve. Using our strength for the community Today AMP is a strong, flexible company that supports its people and is an integral part of the economic and social fabric of its communities. AMP is committed to not only investing in innovation that supports in the financial well-being of our customers, to create a better tomorrow, we are also committed to investing back into the community, giving those who are disadvantaged a helping hand. AMP Foundation, the philanthropic arm of AMP, supports a number of charities for disadvantaged Australians, and also supports AMP employees, through volunteer programs, to make a difference in their local community. Since inception in 1992, the Foundation, has invested more than $40 million in community-based projects that have helped make a real difference to local communities and their people. Millions of dollars ($) Millions of dollars ($) 17,000 15,000 12,500 10,000 7,500 5,000 2, ,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 AMP/AXA AMP Signature Super NAB 127, % ANZ 167,292 AMP Custom Super 12.87% Mercer Group 223,458 AMP SuperLeader AMP Flexible Lifetime Super Employer 10.00% BT/Westpac AMP Flexible Super Employer 6.08% Commonwealth 518,635 AXA Corporate Super Bond Master Trust 4.07% IOOF Group AXA Simpler Super 7.79% Other providers $80 Billion in FUA AXA Super Directions for Business AXA Tailored Super Synergy Retire Service Super (AXA) Source: DEXX&R Market Share Report Employer Super by Group, 31 March 2011

3 Take a look at the revamped My Portfolio soon to be launched AMP has invested more than $15 million in member engagement research and activity, and in 2010 undertook an extensive six month study that looked at the drivers and destroyers of member engagement. The result of this study was the inception of a new engagement process: ENGAGE, EDUCATE, UNDERSTAND, and ACT, which now underpins the design frameworks for all our member services. To date it has been highly successful in delivering greater member engagement, empowering them to take control of their financial future. The insights from this study will now shape the content and type of member services AMP will create for IBM members, so that they become more engaged in their superannuation and investments, and feel empowered to make more informed financial decisions, to help them own their tomorrow. Our award-winning Member Benefits Report, is highly personalised, and provides a unique experience for each member that is tailored to their situation, needs and opportunities. This innovative report provides a customised analysis, unique to each member, which can only be obtained through in-depth data mining and modelling. Inside, the report provides an overview of their current superannuation and insurance benefits, and what they re projected to have at age 65. This is a high impact communication tool, to engage with each member, and stimulate interest in saving for their retirement, with options on how to ensure greater adequacy in retirement. It is a report that also supports IBM, in positioning it as an employer of choice, by providing comprehensive education tools on their superannuation and insurance benefits that enable their members to take control. Personalisation and segmentation is the key to initial engage Focus on adequacy of member s benefits Our newly segmented Signatures newsletter is tailored to two different member segments - the wealth accumulators (25-49 years of age) and those nearing/at retirement (50+ years of age). The publication is rich in lifestyle, financial and human interest-based articles, is produced halfyearly and distributed in print and electronically via and as an e-magazine. The first segmented edition, attracted a 42.2% open rate which is 22% above industry average, and the most common embedded link in the magazine was to My Portfolio calculators, further illustrating the power of member education through to empowerment in one tactical piece. AMP s focus on retirement and insured benefit adequacy is no accident - it starts at the top. Craig Dunn, our CEO, sits on the Federal Government s Financial Literacy Board, and we sponsor the NATSEM Retirement Adequacy Index which regularly gauges how well Australians are prepared for retirement. This focus cascades through our organisation to our corporate superannuation strategy of advising all members about the adequacy of their own personal situation to help educate members. Unique personalised member experience Member Benefit Report Investment into technology and research Even though KPMG rates AMP s website capability No 1 (KPMG Internet Survey 2010), our online member service is about to undergo a major facelift with enhanced functionality in November Our enhanced website will provide a personalised experience and provides authenticated segmented messages for each member, to heighten member engagement and self-fulfilment. The new online service will include market leading functionality: an authenticated life-stage view personalised for each member with education content tailored to that segment projection and goal tracking options; advanced calculators to model retirement savings options and insurance needs; and personalised notification capability through or SMS alerts. Advice options to empower members to act Once AMP has empowered members to act through engagement, understanding and comparing, we will provide IBM members with an array of advice options to execute their strategy. Without the ability to act, the earlier endeavours of engagement, education and understanding become inadequate. AMP provides IBM members with: self-fulfilment options through our online functionality, the ability to talk to and receive advice on the IBM Super Plan through a licensed call centre (AMP Direct) at no cost, or obtain deeper advice including comprehensive advice from a panel of salaried advisers on a fee for service basis. This means IBM Super members will be much better prepared for a comfortable retirement.

4 Propriety platform locally supported by 65 years of Corporate Super expertise We are the only Australian provider which has protected and strengthened our customers investments through two World Wars, a depression and other crises over the last 160 years. While our focus has moved from mitigating the financial disaster of dying young to the risk of members outliving their savings, our core values and benefits hold strong helping Australians be better off, live with dignity and own their tomorrows. We have built SignatureSuper with the flexibility to specifically cater for the unique needs of organisations such as IBM; therefore we can tailor the design of SignatureSuper to suit your specific requirements. This means you can select the features you need, including: Utilising JANA as asset consultant to the plan Nominating a combination of investment approaches (including the JANA approach, the SignatureSuper approach, or a combination of both) Limiting or tailoring the investment menu The degree of branding of member communications and web site (with minimum AMP presence) Nominating the insurer(s) and specific insurance design for the plan Nominating a preferred actuary Structuring of the simple and all-inclusive fee structure Robust platforms and technology Our own proprietary administration platform, with over 2.5 million accounts and $50bn of FUA, gives AMP complete control over performance outcomes. Our Management Operating Systems and Management Reporting Systems deliver transparent accountability measuring and reporting performance against eight defined service standards. In turn, this gives IBM comfort over service delivery. The system is highly scalable and is locally supported by our IT@AMP team. A fully integrated system delivers real time results for data integrity and real time member information. Dedicated employer services We will appoint a Senior Strategic Account Manager and a Business Relationship Manager to the IBM Super Plan. The Senior Strategic Account Manager will provide high level advice on issues affecting IBM Australia strategically merger & acquisition support, benefit design, legislative implications, tax and funding of liabilities. The Business Relationship Manager support will include plan operations, quarterly reporting, consulting on technical and legislative issues, assisting with tailored communications, dealing effectively with enquiries and support to the policy committee. Our Trustee Board is made up of a majority of independent directors The Trustee Board of AMP Superannuation Limited is made up of two AMP executive directors and three independent nonexecutive directors. This provides IBM and your employees with added comfort around effective governance and the independence of Trustee decision making. Industry leading transition services AMP has a strong track record of delivering a seamless and efficient transition - our highly experienced team have transitioned over 70 plans in the last five years, 11 of those from Mercer, underpinned by a tailored member communication program. We have created a dedicated transition website for members, Member Central, to distribute information and updates in an easy and accessible manner and to keep members informed during the transition process. This innovative approach helps your members understand the changes that are taking place, gives them comfort over the security of their superannuation and provides a forum through which members can ask questions and find additional information they require. Ancillary Benefits My Money Manager AMP will provide a financial fitness programme for IBM employees, at no cost, to increase their financial knowledge, helping them at work and home. Employees will find the latest information, saving tips, budget tools and seminars to help them manage their money better. This programme will be managed by a full time resource that will be available exclusively to IBM employees. The information is delivered via an intranet site with access to seminars on various topics. Banking and other benefits SignatureSuper members are offered an exclusive range of corporate discounts and benefits, including banking and loan products through AMP Banking, discount general insurance through AMP General Insurance and more recently medical benefits through MBF/Bupa. Self-Managed Super Fund offer With the acquisition of AXA we are also able to offer employees of IBM who have a Self- Managed Super Fund (SMSF) access to a tailored solution for SMSF administration at discounted pricing especially for IBM employees. We are working with a range of business partners to extend this range of ancillary benefits, with new offers in the pipeline for Integrated administration and call centre team for IBM A dedicated transition website, and a track record of 70+ successful fund transitions in 5 years Administration built on best in class Business Process Management Systems which have delivered a 25% improvement in productivity Visit our transition website Login: TIM6 Password: timmy dedicated corporate super specialists, with a further pool of 680 staff

5 Any questions? AMP can deliver IBM, its employees and their families a world class outsourced superannuation plan, unique to your needs. We will continue to evolve as both the environment and the needs of your members change. Our 65 years expertise and ongoing commitment to helping Australians own their tomorrow, with continual investment in platforms, technology and member services, demonstrates the dedication and importance we place on wealth management solutions today, for tomorrow. We understand just how important this decision is and we are committed to ensuring a successful outcome for your members. Thank you for taking the time to read AMP s executive summary for IBM Super. Karen and Mic are waiting to answer your questions. Mic Wagner AMP Corporate Superannuation Phone: mic_wagner@amp.com.au Karen Henricus AMP Corporate Superannuation Phone: karen_henricus@amp.com.au Our master trust clients include some of Australia s leading brands: Woolworths Nine Network Coca Cola Group Caltex Macquarie Bank Honeywell Chevron Australia Anglican National Superannuation Fund WorleyParsons Westfield Group Crown and Burswood Mitsubishi Motors TABCORP Aecom Australia Accenture Group Credit Suisse