Income Asset Management Group Limited · ASX:IAM
Income Asset Management — Investor Presentation (March 2019)
32 slides from Income Asset Management's investor presentation, Mar 28, 2019
Slide 1: Investor Relations Presentation
INVESTOR RELATIONS PRESENTATION 1
Slide 2: Business Update
BUSINESS UPDATE 111
Slide 3: Executives
EXECUTIVES MICHAEL HACKETT. CHAIRMAN BROOK ADCOCK. DIRECTOR JOHN NANTES. DIRECTOR Michael was the founding shareholder Brook has already had several successful John holds three bachelor’s degrees in and Managing Director of Trustees careers and brings with him a vast array of law, Commerce and Arts,
Slide 4: Growing Opportunity
GROWING OPPORTUNITY • Solid Growth in Core Products CASHWERKZ CURRENTLY • Large and increasingly addressable market SUPPLIES $2B TO THE • Market Structure Changes Regulatory Reform BANKS TO SUPPORT Creating New Opportunities CAPITAL FUNDING • Superior digital platform REQUIREMENTS. • Expanding solut
Slide 5: Innovative Security
INNOVATIVE SECURITY Customer funds separated from the platform Bank level cyber security standard Two factor authentication protection Regular security testing All transactions logged and audited 4
Slide 6: Leader in Innovation
LEADER IN INNOVATION IDENTIFICATION VERIFICATION AND MANAGEMENT. AN AUSTRALIAN FIRST 3 CLICKS TO INVEST • Invest in just three clicks • Leaders in customer ID verification and management • Know-your-customer and anti-money laundering processes embedded in platform • Costly to replicate and integrate
Slide 7: Cashwerkz Is Resonating
CASHWERKZ IS RESONATING 3,922% 80% GROWTH IN CUSTOMER 291 AVERAGE NUMBER FUNDS INVESTED* RETURN OF DAYS ON TO $1.81 BILLION RATE PLATFORM (RIM AND WEALTH PARTNERS ) 41 BANK PARTNERS AND GROWING $ 2.2T CASH MARKET * Between 31 December 2018 and 28 February 2019 6
Slide 8: Cashwerkz Is Resonating
"Funds on -Jul-17 01-Aug-17 01-Sep-17 01-Oct-17 01-Nov-17 01-Dec-17 01-Jan-18 01-Feb-18 01-Mar-18 01-Apr-18 01-May-18 01-Jun-18 01-Jul-18 01-Aug-18 01-Sep-18 01-Oct-18 01-Nov-18 01-Dec-18 01-Jan-19 01-Feb-19 Total CASHWERKZ IS RESONATING 750,029 1,000,029 1,150,029 1,425,739 3,515,739 6,587,721 28,5
Slide 9: Investors Are at the Core of Everything We Do
INVESTORS ARE AT THE CORE OF EVERYTHING WE DO • Easy access to term deposits for financial institutions and custodians • Innovative technology that’s constantly evolving • Customer funds never held by Cashwerkz • Cashwerkz partners with the financial services sector • Fee-free service for investors,
Slide 10: We Get the Market
WE GET THE MARKET WE KNOW CUSTODIANS AND THE WE KNOW WE KNOW MIDDLE WE KNOW INVESTORS. ADVISERS. MARKET. BANKS . • Broad, digital offerings • Independent • Rim Securities 15 year • We understand every part track record of the market • Competitive interest rates • Easy and transparent process • Effic
Slide 11: Our Contribution to Investing
OUR CONTRIBUTION TO INVESTING We are very conscious TRANSPARENCY. VIEW ALL YOUR INVESTMENTS IN ONE PLACE of the need to continuously innovate throughout our organisation CHOICE. HUGE RANGE OF INVESTMENT OPTIONS to counteract the increased levels of administration and myriad challenges TRUST. MARKET-
Slide 12: Partners
PARTNERS Adelaide Bank Community Mutual Ltd Police Bank Ltd (trading as Regional Australia Bank) AMP Bank Ltd Police Credit Union Limited Credit Union SA Ltd ANZ Police Financial Services Limited G&C Mutual Bank Limited (trading as BankVic) Arab Bank Australia Limited Gateway Bank Ltd QPCU Limited (
Slide 13: Benefits to Investors
BENEFITS TO INVESTORS REGISTERING, MAJORITY OF $5M+ MANY INVESTORS READY TRANSACTIONS READY TO INVEST AND TO RECEIVE A TRANSACT SEVEN DAYS INVEST NEGOTIATED RATE AFTER REGISTERING • Offers transparent view of • Rates constantly changing to • Competitive market interest rates investments reflect the
Slide 14: Building a Great Culture
BUILDING A GREAT CULTURE DEVELOPING A GREAT CULTURE FOR SUSTAINED GROWTH. DEVELOPING IMPROVING THE HEALTH AND DIVERSITY AND GIVING BACK CELEBRATING AND GROWING WORKPLACE WELLBEING INCLUSION TO OUR MILESTONES OUR PEOPLE ENVIRONMENT ACTIVITIES INITIATIVES COMMUNITY AND EVENTS CASHWERKZ SUPPORTS SUSTAI
Slide 15: Innovation and Business Roadmap
INNOVATION AND BUSINESS ROADMAP CASHWERKZ TAILOR PLATFORM UPDATED TO SUPPORT ENHANCEMENTS MADE FOR THE CLOUD DAILY RATE PUBLISHING, DYNAMIC INCLUDING SECURE PRICING AND ENHANCED ORDER HANDLING REPORTING EXPANDED SUITE OF PRODUCTS OPEN BANKING ADDITIONAL DEFENSIVE AIMED AT ALL SEGMENTS CONSIDERATIONS
Slide 16: Global Aspirations
GLOBAL ASPIRATIONS UK US$1.8T USA US$11.7T SINGAPORE US$44B AUSTRALIA US$1.5T 15
Slide 17: Financial Update
FINANCIAL UPDATE 16
Slide 18: Strong Results Transforming the Way We Invest in Cash
STRONG TRANSFORMING SUPERIOR FUTURE RESULTS THE WAY WE TECHNOLOGY GROWTH INVEST IN CASH POTENTIAL • 3,922% growth in funds • Exciting new product • Exceeds anti-money laundering • New partnerships invested to $1.81 billion* from opportunity for direct retail and know-your-customer • New products $45
Slide 19: H1FY18 Highlights
H1FY18 HIGHLIGHTS FINANCIAL SYNERGY. WITH RIM SECURITIES COMPLETED PERFORMANCE. • New leadership team in place and working well • 26% increase in deposit revenue • Customer integration in progress • $1.1 Billion in active funds on the Cashwerkz platform • Platform synergies progressing • Expanded op
Slide 20: Important Information
H1FY18 FINANCIAL ACCOUNTS IMPORTANT INFORMATION. • The H1FY18 financial period reflects the 6 month performance of the Trustees Australia group with a focus on growing the Cashwerkz platform. • The H1FY17 financial performance comparative only includes + the performance of Cashwerkz from its acquisi
Slide 21: Statutory Results Analysis
STATUTORY RESULTS ANALYSIS Trustee Australia - Consolidated H1FY18 $’000 H1FY17 $’000 COMMENTS. CONTINUING OPERATIONS • Financial services income is driven by increased Financial services income 639 620 deposit revenue Other income - 3,003 TOTAL REVENUE 639 3,623 • Other income reflects the gain on
Slide 22: H1FY18 Normalised
H1FY18 NORMALISED Trustee Australia - Consolidated COMMENTS. H1FY18 H1FY17 $’000 $’000 REVENUE FROM ORDINARY ACTIVITIES Revenue – deposits 601 476 • 26% increase in deposits revenue EXPENSES FROM ORDINARY ACTIVITIES • Increased operating costs reflects Business operating costs (639) (378) investment
Slide 23: Balance Sheet
BALANCE SHEET Trustee Australia - Consolidated 31 December 2018 30 June 2018 % Change $’000 $’000 Assets COMMENTS. Current Assets Cash and cash equivalents 7,853 402 1855% Trade and other receivables 387 218 77% Other current assets 379 263 44% Total Current Assets 8,619 883 876% • Increase in cash
Slide 24: Cash Flow
CASH FLOW Trustee Australia - Consolidated H1FY18 H1FY17 CASH FLOWS FROM OPERATING ACTIVITIES $’000 $’000 COMMENTS. Receipts from customers 452 1,515 • Net proceeds of $9.2 Million from Payments to suppliers and employees (2,859) (2,453) successful capital raise Interest received 19 4 • Directors pr
Slide 25: Bank Funding: Growth Potential
BANK FUNDING: GROWTH POTENTIAL AVAILABLE CASH BANK FUNDING $2.2TR. $10B. $1B. $2B. 24
Slide 26: Cashwerkz Segment Opportunity
CASHWERKZ SEGMENT OPPORTUNITY WHOLESALE DIRECT INVESTORS (NSW COUNCIL) $929B . . $6-12B SIZE OF THE MARKET FUND MANAGERS AND INSTITUTIONS/ SMSF . $178B CUSTODIANS $385B . Source: APRA Monthly Statistics and ATO SMSF Statistics 25
Slide 27: Trustees Australia: Our Customer Milestones
TRUSTEES AUSTRALIA: OUR CUSTOMER MILESTONES POST ROYAL PRE PRE ROYAL COMMISSION DECEMBER COMMISSION FINDINGS 2017 2018 2019 $45 million on the platform Increased Efficiency Improved Compliance 7 ADIs Reduce Overhead Costs Provide more transparency and choice Focused on Consumers Embrace Fintech Part
Slide 28: Independent Trustees Opportunity
INDEPENDENT TRUSTEES OPPORTUNITY AUSTRALIAN SUPERANNUATION MARKET $2.5TRILLION Annual growth of the Australian investment market FUM is 8.6% the highest its been in the last 8 years, which continues to be underpinned by legislative growth in compulsory superannuation and the growth of SMSFs. De-Merg
Slide 29: Trustees Australia Organisational Chart
TRUSTEES AUSTRALIA ORGANISATIONAL CHART CURRENT Existing Trustees Australia Shareholders Trustees Australia Limited: ACN 010 653 862 Cashwerkz Pty Ltd: ACN 164 806 357 Rim Securities Ltd: Redgate Asset ACN 111 273 048 Management Ltd: ACN 010 579 058 28
Slide 30: Trustees Australia Organisational Chart: In the Event of a Demerger
TRUSTEES AUSTRALIA ORGANISATIONAL CHART IN THE EVENT OF A DEMERGER Existing Trustees Existing Trustees New Shareholders Australia Shareholders Australia Shareholders New Capital Cashwerkz Pty Ltd (Trustees Australia renamed) ACN 010 653 862 Trustees Australia Limited (Redgate renamed) ACN 010 579 05
Slide 31: Thank You
THANK YOU
Slide 32: Trustees Australia Ltd and Cashwerkz contact details
TRUSTEES AUSTRALIA LTD LEVEL 1, 200 CREEK STREET BRISBANE QLD 4000 TRUSTEESAU.COM.AU CASHWERKZ LEVEL 5, 66 CLARENCE STREET SYDNEY NSW 2000 1300 721 005 CASHWERKZ.COM.AU 31
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