ASX Announcement: Full Year Financial Results

ASX Announcement
13 February 2020
Manager Client and Market Services Team

ASX Market Announcements NZX Limited
Australian Securities Exchange Level 1, NZX Centre, 11 Cable Street
Level 4, 20 Bridge Street PO Box 2959
Sydney NSW 2000 Wellington, New Zealand
AMP Limited (ASX/NZX: AMP)
Full Year Financial Results

RESULTS FOR ANNOUNCEMENT TO THE MARKET
Part One: Appendix 4E

Part Two: AMP reports FY 19 results
Part Three: Investor presentation
Part Four: Investor report
Marissa Bendyk
Group Company Secretary
AMP Limited Public Affairs

ABN 49 079 354 519 02 9257 6127
media@amp.com.au
amp.com.au/media
INVESTOR
REPORT Full year 2019
Management and contact details
AMP group leadership team

Francesco De Ferrari Chief Executive Officer
Megan Beer Chief Executive, AMP Life
David Cullen Group General Counsel
Jenny Fagg Chief Risk Officer
James Georgeson Chief Financial Officer
Helen Livesey Group Executive, People and Corporate Affairs
Craig Ryman Chief Operating Officer
Adam Tindall Chief Executive, AMP Capital
Blair Vernon Chief Executive, New Zealand Wealth Management
Alex Wade Chief Executive, AMP Australia
Investor relations
Howard Marks Director, Investor Relations
Telephone 61 2 9257 7109
Email howard_marks@amp.com.au
Michael Vercoe Senior Institutional Investor Relations Manager

Telephone 61 2 9257 4244
Email michael_vercoe@amp.com.au
Online reports
This Investor Report is available online at amp.com.au/shares along with other investor relations information.
AMP Limited
ABN 49 079 354 519
Contents
AMP Investor Report FY 19 1
Contents
AMP Strategic and business overview 2

FY 19 performance summary 3
Financial summary 4
AMP business unit results AMP Australia

Australian wealth management 6
AMP Bank 10
AMP Capital 12
New Zealand wealth management 16
AMP Life 18
Group Office and other items of profit and loss 20
Capital, debt and liquidity Regulatory capital requirements and capital management framework 22
Capital adequacy 23
Capital position, movements and dividends 24
Debt and liquidity overview 25
Additional AMP group information Sensitivities – profit and capital 26

Market share and channel analysis 28
AMP Capital investment performance 29
Five year summary 30
Glossary of terms Accounting treatment, definitions and exchange rates 31
Important general notes

This Investor Report provides financial information reflecting after income tax results for AMP shareholders. Information is provided on an operational basis
(rather than a statutory basis) to reflect a management view of the businesses and existing structures. Content is prepared using external market data and
internal management information. The principles of life insurance accounting are used in reporting the results of AMP Life. This Investor Report is not audited.
Profit attributable to shareholders of AMP Limited has been prepared in accordance with Australian Accounting Standards.
Forward looking statements in this Investor Report are based on management’s current views and assumptions and involve known and unknown risks and
uncertainties, many of which are beyond AMP’s control and could cause actual results, performance or events to differ materially from those expressed.
These forward looking statements are not guarantees or representations of future performance, and should not be relied upon.
This Investor Report is not an offer document and therefore has not been the subject of a full due diligence process typically used for an offer document.
While AMP has sought to ensure that information in this Investor Report is accurate by undertaking a review process, it makes no representation or warranty
as to the accuracy or completeness of any information or statement in this Investor Report. In particular, information and statements in this Investor Report
do not constitute investment advice or a recommendation on any matter, and should not be relied upon.
AMP also provides statutory reporting prescribed under the Corporations Act 2001. Those accounts will be available from AMP’s website amp.com.au and
reflect policyholder and shareholder interests.
Resolution Life transaction

On 8 August 2019, AMP announced a revised agreement with Resolution Life, with updated terms, for the sale of AMP Life (the Australian and New Zealand
wealth protection and mature businesses).
The revised agreement delivers consideration of A$3.0b, comprising:
–– A$2.5b cash, and
–– A$500m equity interest (expected to be around 20%) in Resolution Life Australia, a new Australian-domiciled, Resolution Life-controlled holding company
that will become the owner of AMP Life.
Resolution Life will be on risk for all experience and lapse losses from 1 July 2018 until completion and is entitled to all AMP Life net earnings during that period.
The sale is expected to complete by 30 June 2020. AMP will continue to report the results of AMP Life through to completion of the transaction.
2 AMP
AMP Investor Report FY 19
Strategic and business overview

AMP strategy In November 2019, AMP brought together its Australian wealth
On 8 August 2019, AMP announced its three-year strategic plan management and AMP Bank divisions under one leadership team.
to transform the business into a simpler, client-focused business Wealth management provides financial advice services (through
that is higher growth and higher return. AMP will seek to achieve aligned and owned advice businesses), platform administration
this through transformation to a client-focused culture, improving (including SMSF), unit linked superannuation, retirement income
execution and simplifying the business model. and managed investment products. AMP Bank offers residential
mortgages, deposits and transaction banking. The businesses will
Under the strategy, AMP intends to: continue to serve their clients in line with their obligations, as well
–– divest AMP Life to help fund the new strategy, simplify AMP and as seeking opportunities to integrate.
shift capital toward higher-growth businesses
–– further localise New Zealand wealth management, As at FY 19, AMP wealth management managed AUM of A$134.5b
exploring options to divest the business during the year to 31 December 2019, paid out A$2.4b in retirement
payments, and AMP Bank helped around 110,000 clients with their
–– reinvent wealth management in Australia, helping clients realise
banking needs and provided over 5,500 new home loans.
their ambitions:
•• grow contemporary solutions in Australian wealth During a period of fundamental change in the financial advice
management including a focus on direct-to-client channels industry, AMP remains committed to providing quality advice and
and digital solutions financial solutions that are affordable and accessible for more
•• further integrate AMP Bank solutions with Australian wealth Australians.
management, continuing strong growth and targeting
double-digit earnings growth over the medium term AMP Capital
•• fix legacy issues in Australian wealth management including AMP Capital is a diversified investment manager across major asset
reshaping aligned advice (buy back changes; fewer, more classes including equities, fixed interest, infrastructure, real estate,
productive advisers), simplifying super diversified and multi-manager and multi-asset funds.
–– grow AMP Capital through differentiated capabilities in real
In Asia, AMP Capital has partnerships with two leading financial
assets and public markets:
services groups:
•• continue to expand global footprint in real assets, growing
–– Mitsubishi UFJ Trust and Banking Corporation (MUFG: Trust
customised solutions
Bank), which holds a 15% minority interest in AMP Capital, and
•• build on relationships in China, Japan, US
–– China Life.
•• explore opportunities to expand global equity capabilities into
international markets, and
New Zealand wealth management
•• target double-digit earnings growth over the medium term
The New Zealand wealth management business encompasses
–– reinvigorate AMP’s culture to be client led, entrepreneurial, and
the wealth management, financial advice and distribution
accountable, with effective management of financial and non-
business in New Zealand. It provides customers with a variety of
financial risk.
wealth management solutions including KiwiSaver, corporate
superannuation, retail investments and a wrap investment
Overview of the AMP group
management program.
AMP is Australia and New Zealand’s leading wealth management
company. AMP Life
The AMP group’s business is divided into four areas: AMP Life comprises:
–– AMP Australia (wealth management, advice and bank) –– Australian wealth protection;
–– AMP Capital –– Australian mature; and
–– New Zealand wealth management, and –– New Zealand wealth protection and mature.
–– AMP Life.
The Australian wealth protection business includes individual and
group term, disability and income protection insurance products.
AMP Australia
Products can be held within superannuation or independently
AMP Australia aims to help Australians to manage and grow their
of superannuation. The Australian mature business comprises
wealth throughout their lives.
products which are largely closed to new business and are in
AMP seeks to provide whole-of-wealth services to Australians, run-off. The New Zealand wealth protection and mature business
taking a holistic view of a client’s needs at every stage of their life, includes a risk insurance and mature book, which is also largely
and providing financial solutions. closed to new business and in run-off.
AMP’s financial solutions seek to address the “big five” financial AMP has announced the sale of AMP Life (comprising the Australian
requirements affecting most Australians – managing cash and New Zealand wealth protection and mature businesses).
flows, managing debts, growing assets, enjoying retirement and
protecting their family’s future.
AMP
FY 19 performance summary
Key performance measures Cost measures
–– FY 19 underlying profit of A$464m has reduced 32% from –– AMP group controllable costs increased A$178m to A$1,544m,
A$680m in FY 18. This decrease largely reflects the impact of largely due to the inclusion of regulatory and compliance costs,
AMP Life and weaker Australian wealth management earnings increased professional indemnity insurance and increases in
(-50%), partly offset by growth in AMP Capital (+19%). AMP Capital from domestic and international growth initiatives.
–– FY 19 loss attributable to shareholders of A$2,467m has been –– AMP group cost to income ratio was 67.5% in FY 19, up from
impacted by the writedown of goodwill and capitalised costs, 55.8% in FY 18, driven by lower revenue and higher controllable
and reduction in the carrying value of advice registers held by costs including the impact of moving regulatory and compliance
AMP, including those currently in the buyback process. costs for implementing major change into controllable costs.
–– Australian wealth management earnings of A$182m declined –– Total controllable costs to AUM has increased by 5 bps in FY 19
50% from FY 18, driven by the removal of A$85m of earnings to 57 bps.
to the benefit of AMP Life, lower investment related revenue
–– Excluding AMP Capital, FY 19 controllable costs increased
arising from margin compression, including MySuper price
A$104m (11%) on FY 18 to A$1,017m, broadly in line with
changes in Q3 18, and higher controllable costs in part driven by
FY 19 guidance.
higher regulatory and compliance project costs.
–– Australian wealth management cost to income ratio increased
–– Australian wealth management net cash outflows were
18.9 percentage points to 65.3% in FY 19 due to lower revenue
A$6.3b in FY 19, including A$2.4b of pension payments,
and higher costs in the period. Controllable costs increased
versus net cash outflows of A$4.0b in FY 18 reflecting a range
by A$55m from FY 18 to A$517m, largely driven by higher
of factors including the impact of AMP’s appearance at the
regulatory and compliance project costs.
Royal Commission in 2018 and an increasingly competitive
environment. –– AMP Capital cost to income ratio increased 0.7 percentage
points from FY 18 to 63.0% in FY 19, reflecting increased costs to
–– AMP Bank’s total loan book increased 3% to A$21b in FY 19
support international growth being more than offset by higher
from FY 18, including residential mortgage growth of 4%,
revenues. Controllable costs increased by A$74m to A$527m
while deposits increased 8% to A$14.4b from FY 18.
in FY 19.
–– AMP Capital external net cashflows were A$2.5b, compared with
A$4.2b in FY 18, with A$7.5b of committed capital available for Capital position
deployment following strong infrastructure fund-raising during –– FY 19 Level 3 eligible capital resources were A$2,479m above
the year. minimum regulatory requirements, up from A$1,651m at
–– AMP Life operating losses of A$21m increased from losses 31 December 2018, largely due to the equity capital raised
of A$3m in FY 18 due to capitalised losses and other one-off through the Institutional Share Placement in August 2019 and
experience items and the impact of best estimate assumptions the Retail Shareholder Issuance in September 2019.
post ‘Protecting Your Super’ legislative changes. –– AMP anticipates that any capital in excess of target surplus
–– Underlying return on equity decreased 1.4 percentage points to post completion will first be used to fund delivery of the
8.2% in FY 19 from FY 18 reflecting reduced operating earnings new AMP strategy. Beyond this, AMP will assess all capital
in AMP Life and Australian wealth management. management options with the intent of returning the excess
above target surplus to shareholders, subject to unforeseen
Revenue measures circumstances.
–– Total AUM of A$272b1 in FY 19 up A$14b (5%) on FY 18. –– To maintain balance sheet strength and prudent capital
management through a period of significant change the Board
–– Australian wealth management AUM increased 9% to A$134.5b
has resolved not to declare a final dividend in FY 19. This position
in FY 19 from FY 18. FY 19 investment related revenue decreased
will be reviewed after the completion of the AMP Life sale.
12% and investment related revenue to AUM fell 11 bps in FY 19.
–– AMP Bank’s total revenue increased 2% and the net interest

margin decreased 1 bp from FY 18 remaining under pressure
from the the competitive lending environment and increasing
funding costs.
–– AMP Capital AUM increased A$15.8b (8%) to A$203.1b in FY 19

from FY 18. Fee income increased 13% to A$800m in FY 19
from FY 18, driven by broad-based strength in AUM and non-
AUM based management fees and higher performance and
transaction fees.
1 Includes SuperConcepts assets under administration, refer to page 9.

4 AMP
Financial summary
A$m FY 19 2H 19 1H 19 FY 18 % FY
Profit and loss
Australian wealth management1 182 79 103 363 (49.9)
AMP Bank 141 70 71 148 (4.7)
AMP Capital2 198 78 120 167 18.6
New Zealand wealth management1 44 22 22 53 (17.0)
Retained businesses operating earnings 565 249 316 731 (22.7)
AMP Life operating earnings3 (21) (52) 31 (3) n/a
BU operating earnings 544 197 347 728 (25.3)
Group Office costs (128) (69) (59) (76) (68.4)
Total operating earnings 416 128 288 652 (36.2)
Underlying investment income2 113 58 55 96 17.7
Interest expense on corporate debt (65) (31) (34) (68) 4.4
Underlying profit 464 155 309 680 (31.8)
Client remediation and related costs (153) (112) (41) (469) 67.4
Royal Commission - - - (32) n/a
Portfolio review - - - (29) n/a
Separation costs (183) (94) (89) (19) n/a
Risk management, governance and controls (33) (16) (17) (8) n/a
Transformation (28) (28) - - n/a
Other items 22 27 (5) (74) n/a
Impairments (2,407) (55) (2,352) - n/a
Amortisation of acquired intangible assets2 (96) (51) (45) (79) (21.5)
Profit/(loss) before market adjustments and accounting mismatches (2,414) (174) (2,240) (30) n/a
Market adjustment – investment income2 (47) (31) (16) (28) (67.9)
Market adjustment – annuity fair value (2) 3 (5) 12 n/a
Market adjustment – risk products (3) 23 (26) 24 n/a
Accounting mismatches (1) 4 (5) 50 n/a
Profit/(loss) attributable to shareholders of AMP Limited (2,467) (175) (2,292) 28 n/a
1 FY 19 operating earnings of Australian and New Zealand wealth management businesses do not include internal distribution fees and product revenues that are
for the benefit of Resolution Life from 1 July 2018.
2 AMP Capital is 15% owned by Mitsubishi UFJ Trust and Banking Corporation (MUFG: Trust Bank). The AMP Capital business unit results and any other impacted line
items are shown net of minority interests.
3 As disclosed on page 1, AMP has entered into a sale and purchase agreement with Resolution Life for AMP Life. This includes the Australian and New Zealand
wealth protection and mature business units. Operating earnings for AMP Life accrue to Resolution Life from 1 July 2018. AMP will continue to report these
earnings until the sale completes.
AMP
Financial summary cont’d
FY 19 2H 19 1H 19 FY 18
Earnings
EPS – underlying (cps)1 14.8 4.7 10.5 23.3
EPS – actual (cps) (79.5) (5.4) (78.4) 1.0
RoE – underlying 8.2% 6.3% 9.5% 9.6%
RoE – actual - - - 0.4%
Dividend 2
Dividend per share (cps) - - - 14.0

Dividend payout ratio – underlying - - - 60%
Franking rate3 - - - 90%
Ordinary shares on issue (m) 1
3,437 3,437 2,946 2,937
Weighted average number of shares on issue (m) – basic1 3,127 3,268 2,942 2,923
– fully diluted1 3,156 3,298 2,962 2,942
– statutory 3,105 3,244 2,922 2,897
Market capitalisation – end period (A$m) 6,598 6,598 6,247 7,197
Capital and corporate debt
AMP shareholder equity (A$m) 4,910 4,910 4,307 6,683
Corporate debt (excluding AMP Bank debt) (A$m) 2,139 2,139 1,909 1,849
S&P gearing 20% 20% 23% 17%
Interest cover – underlying (times) 8.1 8.1 8.0 11.0
Interest cover – actual (times) - - - 1.4
Margins
Australian wealth management investment related revenue to AUM (bps) 82 79 85 93
AMP Capital AUM based management fees to AUM (bps) – external 47.6 46.3 49.0 46.2
AMP Bank net interest margin (over average interest earning assets) 1.69% 1.68% 1.70% 1.70%
Cashflows and AUM
Australian wealth management cash inflows (A$m) 25,622 14,256 11,366 25,084
Australian wealth management cash outflows (A$m) (31,963) (17,501) (14,462) (29,052)
Australian wealth management net cashflows (A$m) (6,341) (3,245) (3,096) (3,968)
Australian wealth management persistency4 86.1% 86.7% 86.6% 88.3%
Australian wealth management AUM (A$b) 4
134.5 134.5 132.7 123.2
AMP Capital net cashflows – external (A$m) 2,526 1,708 818 4,219
AMP Capital net cashflows – internal (A$m) (7,715) (4,273) (3,442) (6,991)
AMP Capital AUM (A$b)5 203 203 200 187
Non-AMP Capital managed AUM (A$b) 6
69 69 71 71
Total AUM (A$b)6 272 272 271 258
Controllable costs (pre-tax) and cost ratios
Operating costs (A$m) 1,358 720 638 1,229
Project costs (A$m) 186 84 102 137
Total controllable costs (A$m) 1,544 804 740 1,366
Cost to income ratio 67.5% 76.1% 60.2% 55.8%
Controllable costs to average AUM (bps) 57 59 55 52
1 Number of shares has not been adjusted to remove treasury shares.

2 The AMP Limited Board has resolved not to declare a final 2019 dividend.
3 Full year franking rate is the franking applicable to the final dividend for that year.
4 Excludes SuperConcepts assets under administration.
5 FY 19 includes AMP Capital’s 24.9% share of PCCP. AUM measured at net asset value (A$1.7b).
6 Includes SuperConcepts assets under administration, refer to page 9. 1H 19 assets under administration has been restated down by A$4.3b for correction of
duplicated balances on funds migrated to new systems and finalisation of FY 18 lodgements.
6 AMP business unit results
AMP Australia | Australian wealth management
Profit and loss (A$m) FY 19 2H 19 1H 19 FY 181 % FY

Investment related revenue2 1,070 530 540 1,213 (11.8)
Other revenue3 25 8 17 96 (74.0)
Total revenue 1,095 538 557 1,309 (16.3)
Investment management expense (322) (158) (164) (331) 2.7
Controllable costs4 (517) (270) (247) (462) (11.9)
Tax expense (74) (31) (43) (153) 51.6
Operating earnings 182 79 103 363 (49.9)
Underlying investment income 13 7 6 13 -
Underlying operating profit after income tax 195 86 109 376 (48.1)
Ratios and other data

RoBUE 20.1% 17.3% 23.0% 37.5% n/a
End period tangible capital resources – after transfers (A$m) 926 926 878 898 3.1
Net cashflows (A$m)5 (6,341) (3,245) (3,096) (3,968) (59.8)
AUM (A$b)5 134.5 134.5 132.7 123.2 9.2
Average AUM (A$b) 5,6
131.2 133.5 128.8 130.1 0.8
Persistency5 86.1% 86.7% 86.6% 88.3% n/a
Cost to income ratio 65.3% 69.4% 61.3% 46.4% n/a
Investment related revenue to AUM (bps)2,5,6,7 82 79 85 93 n/a
Investment management expense to AUM (bps)5,6,7 25 24 26 25 n/a
Investment related revenue less variable costs to AUM (bps) 2,5,6,7
57 55 59 68 n/a
Controllable costs to AUM (bps)4,5,6,7 39 40 39 35 n/a
Operating earnings to AUM (bps)4,5,6,7 14 12 16 28 n/a
1 Operating earnings in FY 18 includes A$42m (post-tax) relating to internal distribution fees and product revenues for the benefit of Resolution Life when the
transaction settles. The full year equivalent amount is approximately A$85m (post-tax) and is reported in AMP Life operating earnings from 1 January 2019.
2 Investment related revenue refers to revenue on superannuation, retirement income and investment products.
3 Other revenue includes SuperConcepts revenues and product fees, platform fees and advice fees received by licensees on Australian wealth protection and
mature products.
4 Includes SuperConcepts.
5 Excludes SuperConcepts assets under administration.
6 Based on average of monthly average AUM.
7 Ratio based on 184 days in 2H 19 and 181 days in 1H 19.
AMP business unit results
AMP Australia | Australian wealth management cont’d
Operating earnings Investment related revenue to AUM

Operating earnings fell from A$363m in FY 18 to A$182m in FY 19.
FY 19 investment related revenue to AUM was 82 bps, an 11 bps
The decline in operating earnings was largely due to:
(12%) reduction from FY 18 driven by product mix and volumes
–– the impact of the Resolution Life transaction due to the cessation
changes (4 bps), the Resolution Life transaction impact (3 bps),
of internal distribution arrangements between Advice and the
MySuper price change (3 bps) and Protecting Your Super (PYS)
Australian wealth protection and mature businesses in FY 19
legislation impact (1 bp).
(A$85m post-tax)
–– higher controllable costs (A$55m pre-tax), and Investment related revenue to AUM for North was 52 bps in FY 19
–– lower investment related revenue arising from margin across both administration and multi-manager investment revenue.
compression, including MySuper price changes in Q3 18
(A$38m pre-tax). SuperConcepts
SuperConcepts incorporates a range of SMSF services and products
Other revenue including fund administration, accounting software and education
Other revenue decreased by A$71m from FY 18 to A$25m in FY 19, for individual members, intermediaries and accountants.
driven by the cessation of internal distribution arrangements between Across administration and software services, SuperConcepts
Advice and the Australian wealth protection and mature businesses. supports 47,431 funds representing 8% of the SMSF market1.
AMP currently provides professional administration services to
BOLR 18,419 funds and software as a service to a further 29,012 funds.
AMP has contractual arrangements with financial advice Total assets under administration in FY 19 were A$19.7b, down 26%
businesses in its aligned advice network to purchase the servicing from FY 18 largely reflecting client attrition.
rights attached to AMP’s client registers at agreed values subject to
certain conditions being met. These buy-back arrangements include SuperConcepts revenue is reported as part of ‘Other’ revenue
arrangements known as Buyer of Last Resort (BOLR). and forms part of Australian wealth management’s consolidated
reporting. SuperConcepts contributed A$35m from business
The FY 19 results were impacted by impairments to owned client operations to ‘Other’ revenue in FY 19, down A$8m on FY 18.
registers, recognition of expected future impairments to servicing
rights and client registers where practices have submitted their Controllable costs
BOLR notice, and expected credit losses in relation to loans advanced Australian wealth management controllable costs increased
by AMP Bank to practices in the aligned AMP Advice network. These A$55m (12%) in FY 19 to A$517m. This was largely driven by higher
impacts were driven by the revaluation of client registers and are regulatory and compliance project costs, investment spend and CPI.
disclosed as a component of Group Office results.
Resolution Life transaction impacts

As outlined on page 1, Resolution Life assumes the risks and is
entitled to profit impacts from the AMP Life sale with effect from
1 July 2018. Operating earnings for 2H 18 included A$42m (post- tax)
which will be attributed for the benefit of Resolution Life when the
transaction settles. This is primarily due to the cessation of internal
distribution arrangements between Advice and the Australian
wealth protection and mature businesses and product revenues
transferring with the sale. The full year equivalent amount is
approximately A$85m (post-tax).
FY 19 tangible capital resources includes requirements relating to

the guaranteed investment options on corporate super products.
The associated revenue is no longer reported in Australian wealth
management and the capital requirements will cease once the
transaction is completed.
1 Self-managed Super Fund Quarterly Statistical Report, Australian Taxation Office, November 2019.
FY 19 cashflows
Cash inflows Cash outflows Net cashflows
Cashflows by product (A$m) FY 19 FY 18 % FY FY 19 FY 18 % FY FY 19 FY 18 % FY
North1 16,698 14,620 14.2 (12,804) (10,634) (20.4) 3,894 3,986 (2.3)
AMP Flexible Super2 1,783 2,467 (27.7) (4,224) (4,219) (0.1) (2,441) (1,752) (39.3)
Summit, Generations and iAccess3 588 701 (16.1) (2,481) (2,459) (0.9) (1,893) (1,758) (7.7)
Flexible Lifetime Super (superannuation and pension)4 1,411 1,574 (10.4) (4,118) (3,548) (16.1) (2,707) (1,974) (37.1)
Other retail investment and platforms5 105 233 (54.9) (400) (450) 11.1 (295) (217) (35.9)
Total retail on AMP platforms 20,585 19,595 5.1 (24,027) (21,310) (12.7) (3,442) (1,715) (100.7)
SignatureSuper and AMP Flexible Super – Employer 3,006 2,932 2.5 (3,296) (2,990) (10.2) (290) (58) (400.0)
Other corporate superannuation6 1,371 1,466 (6.5) (2,241) (2,214) (1.2) (870) (748) (16.3)
Total corporate superannuation 4,377 4,398 (0.5) (5,537) (5,204) (6.4) (1,160) (806) (43.9)
Total retail and corporate superannuation on
24,962 23,993 4.0 (29,564) (26,514) (11.5) (4,602) (2,521) (82.5)
AMP platforms
External platforms7 660 1,091 (39.5) (2,399) (2,538) 5.5 (1,739) (1,447) (20.2)
Total Australian wealth management 25,622 25,084 2.1 (31,963) (29,052) (10.0) (6,341) (3,968) (59.8)
Australian wealth management cash inflow composition (A$m)

Member contributions 3,258 3,518 (7.4)
Employer contributions 3,991 4,159 (4.0)
Total contributions 7,249 7,677 (5.6)
Transfers, rollovers in and other8 18,373 17,407 5.5
Total Australian wealth management 25,622 25,084 2.1
1 North is an award-winning fully functioning wrap platform which includes 5 Other retail investment and platforms include Flexible Lifetime – Investments
guaranteed and non-guaranteed options. and AMP Personalised Portfolio.
2 AMP Flexible Super is a flexible all in one superannuation and retirement 6 Other corporate superannuation comprises CustomSuper, SuperLeader and
account for individual retail business. Business Super.
3 Summit and Generations are owned and developed platforms. iAccess is 7 External platforms comprise Asgard, Macquarie, BT Wrap platforms and
ipac’s badge on Summit. Challenger annuities.
4 Flexible Lifetime Super (superannuation and pension) was closed to new 8 Transfers, rollovers in and other includes the transfer of accumulated member
business from 1 July 2010. A small component of corporate superannuation balances into AMP from both internal (eg retail superannuation to allocated
schemes are included. pension/annuities) and external products.
Cashflow overview Total retail AUM on AMP platforms increased A$9.3b (11%)
Australian wealth management net cash outflows were A$6.3b from FY 18 to A$95.0b in FY 19, largely driven by stronger
in FY 19, compared to net cash outflows of A$4.0b in FY 18. investment markets.
This included pension payments to clients of A$2.4b in FY 19 Net cashflows on AMP retail platforms fell by A$1.7b in FY 19 driven
in line with FY 18 and net cash outflows of A$0.1b related by lower member contributions and increasing outflows from AMP.
to PYS legislation changes.
North AUM increased A$9.7b (26%) to A$47.6b in FY 19, while AUM
Cashflows in FY 19 were impacted by weaker external inflows held in North’s capital guaranteed products remained steady at
and higher outflows reflecting a range of factors including A$1.8b in FY 19.
AMP’s appearance at the Royal Commission in 2018 and an
increasingly competitive environment. Pricing changes to MyNorth North net cashflows of A$3.9b were down A$0.1b (2%) on FY 18
from 1 May 2019 have driven a A$1.2b uplift in North net cashflow with net cashflows of A$2.5b in 2H 19 up A$1.0b (69%) on
in 2H 19 compared to 1H 19. 2H 18. Externally sourced inflows fell A$0.1b (3%) whilst external
outflows increased A$1.0b (25%). Inflows from External Financial
Internal inflows across wealth management products were Advisers increased by A$0.4b (44%) to A$1.2b driven by increasing
A$14.2b in FY 19 (A$13.0b in FY 18), representing 56% (52% in distribution focus on non-aligned channels.
FY 18) of total wealth management cash inflows.
AMP Flexible Super net cash outflows were A$2.4b in FY 19
Retail on AMP platforms reflecting an increasing preference for new and existing retirement
AMP’s retail platforms comprise platforms which are owned, clients to use North.
developed, and operated by AMP in contrast to external platforms Flexible Lifetime Super (superannuation and pension) was closed
which are administered by other platform providers. to new business from 1 July 2010. In FY 19, net cash outflows of
A$2.7b reflected a book that is in run-off.
FY 19 AUM
FY 19 net cashflows
FY 18 Super- Pension Other Invest- Total net Other FY 19
AUM (A$m) AUM annuation payments pension ment cashflows movements1 AUM2 % FY
North 37,882 2,097 (1,233) 2,540 490 3,894 5,811 47,587 25.6
AMP Flexible Super3 14,586 (875) (535) (1,031) - (2,441) 2,216 14,361 (1.5)
Summit, Generations and iAccess 9,372 (721) (255) (564) (353) (1,893) 1,413 8,892 (5.1)
Flexible Lifetime Super (superannuation and pension)4 21,619 (2,154) (178) (375) - (2,707) 2,954 21,866 1.1
Other retail investment and platforms 2,233 - - - (295) (295) 369 2,307 3.3
Total retail on AMP platforms 85,692 (1,653) (2,201) 570 (158) (3,442) 12,763 95,013 10.9
SignatureSuper and AMP Flexible Super – Employer5 17,864 (247) (39) (4) - (290) 2,327 19,901 11.4
Other corporate superannuation6 12,000 (870) - - - (870) 1,154 12,284 2.4
Total corporate superannuation 29,864 (1,117) (39) (4) - (1,160) 3,481 32,185 7.8
Total retail and corporate superannuation on AMP platforms 115,556 (2,770) (2,240) 566 (158) (4,602) 16,244 127,198 10.1
External platforms 7,659 (284) (144) (426) (885) (1,739) 1,343 7,263 (5.2)
Total Australian wealth management 123,215 (3,054) (2,384) 140 (1,043) (6,341) 17,587 134,461 9.1
Australian wealth management – SuperConcepts7
Assets under administration 26,682 (6,996) 19,686 (26.2)
Total AUM 149,897 (3,054) (2,384) 140 (1,043) (6,341) 10,591 154,147 2.8
Australian wealth management – AUM by asset class

Cash and fixed interest 30% 29%
Australian equities 29% 30%
International equities 28% 30%
Property 6% 6%
Other 7% 5%
Total 100% 100%
1 Other movements include fees, investment returns, distributions, taxes and foreign exchange movements.
2 AUM reflects a post separation view following the sale of Australian and New Zealand wealth protection and mature businesses to Resolution Life.
3 AMP Flexible Super includes A$0.4b in MySuper (FY 18 A$0.3b)
4 Flexible Lifetime Super (superannuation and pension) includes A$5.5b in MySuper (FY 18 A$5.0b).
5 SignatureSuper and AMP Flexible Super – Employer includes A$10.6b in MySuper (FY 18 A$9.2b)
6 Other corporate superannuation includes A$6.2b in MySuper (FY 18 A$5.6b).
7 SuperConcepts assets under administration includes AMP SMSF, Multiport, Cavendish, SuperIQ, yourSMSF, JustSuper, Ascend and SuperConcepts platforms, but
does not include Multiport Annual, SuperConcepts Accountants Outsource, SMSF Managers and MORE Superannuation.
Corporate superannuation External platforms

Total corporate superannuation AUM of A$32.2b in FY 19 increased External platforms represent superannuation, pension and
A$2.3b (8%) from FY 18, largely due to stronger investment markets. investment products on the Asgard, Macquarie, BT Wrap platforms
Net cash outflows of A$1.2b in FY 19 were up from A$0.8b in FY 18. and Challenger annuities.
There were no material outflows from loss of large corporate super In FY 19, external platform net cash outflows increased by A$0.3b
mandates in FY 19. There has been an increased level of employer mainly due to weaker inflows.
review of corporate super arrangements since AMP’s appearance at
the Royal Commission, with AMP retaining over 20 large mandates Total Australian wealth management AUM
at a value of A$1.7b. Outflows of approximately A$1.5b are Of the total Australian wealth management AUM of A$134.5b at
expected in FY 20 from a number of lost mandates. FY 19, 76% (74% at 1H 19) is ultimately externally managed, while
24% (26% at 1H 19) is internally managed.
AMP’s corporate offerings, SignatureSuper and AMP Flexible Super –
Employer, had net cash outflows of A$0.3b, compared with net cash
outflows of A$0.1b in FY 18.
Other corporate superannuation comprising CustomSuper,

SuperLeader and Business Super, experienced net cash outflows
of A$0.9b in FY 19, an increase of A$0.1b from FY 18. The decline in
performance was driven by weaker inflows since Q2 18.
AMP Australia | AMP Bank

Net interest income 387 195 192 388 (0.3)
Fee and other income1 21 11 10 13 61.5
Total revenue 408 206 202 401 1.7
Bank variable costs (83) (43) (40) (82) (1.2)
Loan impairment expense (10) (4) (6) (13) 23.1
Controllable costs2 (114) (59) (55) (95) (20.0)
Tax expense (60) (30) (30) (63) 4.8
Operating earnings after income tax2 141 70 71 148 (4.7)

Return on capital2 13.8% 13.4% 14.1% 15.0% n/a
Total capital resources (A$m)3 1,001 1,001 958 980 2.1
Capital Adequacy Ratio 17.0% 17.0% 16.5% 16.3% n/a
Common Equity Tier 1 capital ratio 10.7% 10.7% 11.1% 10.9% n/a
Net interest margin (over average interest earning assets) 1.69% 1.68% 1.70% 1.70% n/a
Total loans (A$m) 20,684 20,684 20,202 20,008 3.4
Residential mortgages (A$m) 20,207 20,207 19,690 19,460 3.8
Practice finance loans to AMP aligned advisers (A$m) 477 477 512 548 (13.0)
Mortgages – interest only as a proportion of total 24% 24% 27% 31% n/a
Mortgages – existing business weighted average loan to value ratio (LVR) 66% 66% 66% 66% n/a
Loan portfolio growth – AMP aligned channel (7%) (6%) (2%) 0% n/a
Total deposits (A$m) 14,414 14,414 13,868 13,304 8.3
Deposit to loan ratio 70% 70% 69% 66% n/a
Mortgages – 30+ days in arrears 1.17% 1.17% 1.25% 1.02% n/a
Mortgages – 90+ days in arrears 0.66% 0.66% 0.63% 0.47% n/a
Mortgage impairment expense to average mortgages4 0.05% 0.05% 0.06% 0.06% n/a
Total provisions for impairment losses (A$m)5 27 27 23 19 42.1
Total mortgages provisions to mortgages4 0.13% 0.13% 0.12% 0.10% n/a
Cost to income ratio2,6 35.1% 36.1% 34.0% 29.8% n/a
1 Fee and other income mainly comprises mortgage origination, servicing and 3 Total capital resources excludes A$240m of Additional Tier 1 capital and
discharge fees as well as profit on sale of invested assets. A$250m of Tier 2 capital. See page 25 for further details.
2 Regulatory and compliance costs relating to major projects are reported 4 Amounts restated to exclude Practice Finance balances as they are captured
within controllable costs from 2019. Excluding the impact of these costs, by AMP group.
FY 19 controllable costs would be A$100m (A$5m or 5% higher than FY 18), 5 Total provisions for impairment losses excludes A$105m relating to Practice
operating earnings would be A$151m (A$3m or 2% higher than FY 18), return Finance Loans (2H 19: A$85m, 1H 19: A$20m, FY 18: A$19m).
on capital would be 14.8% (0.2 percentage points lower than FY 18) and cost to
6 Amounts restated to exclude loan impairment expenses to align with
income ratio would be 30.8% (1 percentage point up from FY 18).
industry standard.
Deposits Deposits
(super and platform) (other)1 Loans
Movement in deposits and loans (A$m) FY 19 FY 18 FY 19 FY 18 FY 19 FY 18
Balance at beginning of period 5,698 5,178 7,606 7,205 20,008 19,445
Net movement (315) 520 1,425 401 676 563
Balance at end of period 5,383 5,698 9,031 7,606 20,684 20,008
% FY 19/FY 18 (5.5%) 18.7% 3.4%
1 Includes retail deposits, internal deposits, wholesale deposits and other deposits.
AMP Bank funding composition (A$b) 2H 19 1H 19 FY 18

Total deposits 14.4 61% 13.9 61% 13.3 59%
Securitisation 4.7 20% 4.7 21% 4.6 20%
Wholesale funding 2.8 12% 2.8 12% 3.4 15%
Subordinated debt 0.3 1% 0.3 1% 0.3 1%
Equity and reserves 1.3 6% 1.1 5% 1.1 5%
Total funding 23.5 100% 22.8 100% 22.7 100%
AMP Australia | AMP Bank cont’d
Operating earnings Variable and controllable costs

FY 19 operating earnings of A$141m decreased by A$7m (5%) from The Bank’s variable costs of A$83m is in line with FY 18 due to
FY 18 largely due to the recognition of regulatory and compliance comparable residential mortgage book new business.
costs of A$14m. The result also reflects residential mortgage book AMP Bank’s controllable costs increased by A$19m (20%) from
growth of 3.8% in FY 19, with largely stable margins and profit on FY 18 to A$114m in FY 19 predominantly due to changes in
sale of invested liquid assets, increased funding and deposit costs reporting of major regulatory and compliance project costs.
and the residual impact of conservative liquidity management Controllable cost growth excluding these costs was up A$5m
actions taken in 2H 18. (5%) from FY 18 reflecting AMP Bank’s continued investment in
Net interest margin was 1.69% in FY 19, which was 1 bp lower than technology and operating capability.
FY 18. Net interest margin is expected to remain under pressure
from the competitive lending environment and increased deposit Funding, liquidity and capital management
and other funding costs. The Bank maintains a diversified funding base and conservative
liquidity profile. AMP Bank’s total debt and equity funding was
AMP Bank’s return on capital for FY 19 was 13.8%, a decrease of
A$23.5b at FY 19 ($22.7b at FY 18).
1.2 percentage points from FY 18, impacted by the lower operating
earnings and higher levels of equity and reserves. Total deposits increased by A$1.1b (8%) over the year, mainly from
growth in term and at-call deposits. AMP Bank’s deposit to loan
Lending ratio is 70% at FY 19, compared with 66% at FY 18.
AMP Bank maintained a competitive lending position in FY 19,
AMP Bank maintains a diversified liquidity portfolio with adequate
with the total loan book growing by 3% in a weaker housing
high-quality liquid assets, in accordance with Basel III liquidity
lending market.
requirements. As at FY 19, AMP Bank’s liquidity coverage ratio was
Residential mortgage competition, particularly in the owner 145% (139% at FY 18) and the Net Stable Funding Ratio was 125%.
occupied principal and interest market, remained intense. Within Both remain above internal and regulatory requirements.
this environment, AMP Bank’s residential mortgage book grew to
The Capital Adequacy Ratio was 17.0% as at FY 19 (16.3% at
A$20.2b, with growth in principal and interest loans across both
FY 18). The Common Equity Tier 1 Capital Ratio (CET1) for FY 19
owner-occupied and investment lending. Interest only lending
was 10.7% (10.9% at FY 18). Both ratios remain above internal and
represents 24% of the total book, down from 31% at FY 18, the
regulatory requirements.
result of active management in response to the dynamic market
environment.
AMP Bank continues to target total lending growth at or above
system, subject to risk appetite, regulatory landscape, return on
capital hurdles and funding availability.
The practice finance loan portfolio declined from A$548m
at FY 18 to A$477m at FY 19 with loan repayments and
discharges exceeding new loans, in line with the reshape of
the advice network.
Credit quality, impairment provisions and loan

impairment expenses
Mortgages in arrears (90+ days) increased 0.19 percentage
points to 0.66% but compares favourably to peers. The majority
of AMP Bank’s loan book is based in New South Wales and
Victoria which have consistently had lower levels of arrears and
impairments than the other Australian states and territories.
An intragroup indemnity is in place covering any credit losses that
relate to practice finance loans. Accordingly, AMP Bank does not
report impairment charges for these loans and excludes related
expected credit losses from its portfolio loan provisioning.
The FY 19 loan impairment expense of A$10m is A$3m lower than
FY 18 as a consequence.
AMP Capital

Internal AUM based management fees 234 117 117 242 (3.3)
External AUM based management fees 352 177 175 309 13.9
Non-AUM based management fees 130 82 48 88 47.7
Performance and transaction fees 84 22 62 69 21.7
Fee income 800 398 402 708 13.0
Controllable costs (527) (288) (239) (453) (16.3)
Tax expense (57) (20) (37) (66) 13.6
Operating earnings before net seed pool income 216 90 126 189 14.3
Net seed and sponsor capital income 17 2 15 7 142.9
Operating earnings including minority interests 233 92 141 196 18.9
Minority interests in operating earnings (35) (14) (21) (29) (20.7)
Operating earnings 198 78 120 167 18.6
Underlying investment income 6 3 3 5 20.0
Underlying operating profit after income tax 204 81 123 172 18.6
Controllable costs
Employee related 386 218 168 309 24.9
Investment operations and other 120 58 62 133 (9.8)
Total operating costs 506 276 230 442 14.5
Project costs 21 12 9 11 90.9
Total controllable costs 527 288 239 453 16.3

Cost to income ratio 63.0% 70.8% 55.6% 62.3% n/a
Controllable costs to average AUM (bps)1,2 26.6 28.5 24.6 23.8 n/a
AMP Capital staff numbers3 1,382 1,382 1,327 1,242 11.3
AUM (A$b)2 203.1 203.1 199.6 187.2 8.5
Average AUM (A$b) – total1,2 198.1 202.0 194.2 190.2 4.2
Average AUM (A$b) – internal1 124.2 126.1 122.2 123.3 0.7
Average AUM (A$b) – external1,2 73.9 75.9 72.0 66.9 10.5
AUM based management fees to AUM (bps) – total1,2 29.6 28.9 30.3 29.0 n/a
AUM based management fees to AUM (bps) – internal1 18.8 18.4 19.3 19.6 n/a
AUM based management fees to AUM (bps) – external1,2 47.6 46.3 49.0 46.2 n/a
Performance and transaction fees to AUM (bps)1,2 4.2 2.1 6.4 3.6 n/a
End period tangible capital resources – after transfers (A$m)4 597 597 618 509 17.3
RoBUE 42.9% 33.0% 53.6% 50.2% n/a
1 Based on average of monthly average AUM. 3 FY 19 includes 321 FTEs (307 in FY 18), primarily in shopping centres,
2 FY 19 average AUM includes A$9.0b relating to joint ventures, including for which the costs are recharged.
AMP Capital’s 24.9% share of PCCP’s net asset value at FY 19 (average A$1.6b, 4 End period tangible capital resources are disclosed gross of
closing A$1.7b). minority interest.
Operational highlights –– achieving final close of the Global Infrastructure Fund II (GIF II),
Operational highlights during FY 19 include: successfully raising US$3.4b and drawing additional significant
–– strong momentum in AMP Capital’s infrastructure debt series co-investment commitments
and global infrastructure equity platform –– establishment of a Singapore-based investment and distribution
–– achieving US$6.2b across the Infrastructure Debt Fund IV team office to capitalise on Asian (excluding Japan and China)
(IDF IV) platform, including US$4.0b in IDF IV commitments opportunities
and a further US$2.2b of co-investment rights and separately –– strong further commitments into real asset capabilities with
managed accounts A$7.5b of uncalled committed capital at FY 19, with A$1.7b
–– investment of A$3.9b of real asset committed capital during earmarked for investment, and
FY 19, including a Scandanavian digital infrastructure business, –– continued expansion of AMP Capital’s global footprint, increasing
renewable asset in Asia, a US power company and 50% AUM managed on behalf of direct international institutional
acquisition of Macarthur Wind Farm in Victoria on behalf of clients to A$20.4b (from A$17.3b in FY 18).
infrastructure investors
AMP Capital cont’d
Operating earnings Controllable costs

AMP group’s 85% share of AMP Capital’s FY 19 operating earnings Controllable costs of A$527m in FY 19 increased A$74m (16%) from
was A$198m, up 19% from A$167m in FY 18. AMP Capital’s operating FY 18. The increase in costs was largely due to higher employee costs
earnings benefited from strong fee income growth of 13%, seed and reflecting variable remuneration aligned with performance outcomes
sponsor capital income of A$17m, partially offset by a 16% increase in and investment in growth initiatives, including the expansion of
controllable costs, largely reflecting investment in growth initiatives. AMP Capital’s international business and delivery of the domestic real
estate development program. Controllable costs also reflect additional
Fee income regulatory and compliance costs, as evidenced across the industry.
Fee income increased 13% in FY 19 to A$800m from A$708m in Controllable costs are increasingly influenced by foreign exchange
FY 18. This was driven by a A$35m (6%) increase in AUM based movements as the business grows internationally. Further investment
management fees, a A$42m (48%) increase in non-AUM based in the AMP Capital operating platform is anticipated in FY 20.
management fees, and a A$15m (22%) increase in performance and AMP Capital’s cost to income ratio increased 0.7 percentage points
transaction fees. to 63.0% in FY 19. AMP Capital continues to target a full year cost to
Average AUM increased 4% to A$198.1b from A$190.2b, driven by income ratio between 60% and 65%.
positive investment returns, investment of real asset committed
capital and positive external net cashflows. Total AUM based Tax expense
management fees to AUM were 29.6 bps in FY 19. The increase AMP Capital’s effective tax rate in FY 19 was 22.5%, down from 26.2%
from 29.0 bps in FY 18 reflects the ongoing portfolio shift to higher in FY 18. The effective tax rate is lower than the Australian corporate
margin real asset businesses. tax rate (30%), largely due to tax concessions on offshore activities,
Internal AUM based management fees decreased A$8m (3%) to the 1H 19 sale of AA REIT management rights (one-off) and joint
venture earnings which are recognised net of tax.
A$234m in FY 19. The average internal AUM margin was 18.8 bps,
compared to 19.6 bps in FY 18 and 19.3 bps in 1H 19, reflecting
Net seed and sponsor capital income
rebate provisioning in respect of current and prior years.
FY 19 total seed and sponsor capital holdings were A$306m.
External AUM based management fees increased A$43m (14%)
from A$309m in FY 18, driven by growth in average AUM from In 2019, AMP Capital divested its 10.26% stake in Singapore Exchange
the investment of committed capital. External AUM margins listed AIMS APAC REIT (AA REIT) and AA REIT management rights.
of 47.6 bps were higher than 46.2 bps in FY 18 and lower than The FY 19 net seed and sponsor capital income of A$17m is net
49.0 bps in 1H 19. The increase from FY 18 reflects the change in of debt funding costs. It reflects positive returns on investments,
asset mix towards higher margin real assets. particularly from infrastructure holdings, the divestment of the
Non-AUM based management fees mainly comprise infrastructure AA REIT stake and distribution income.
commitment fees and real estate management, development and Given the variable mix of short-term asset holdings and longer-term
leasing fees. Non-AUM based management fees were A$130m in cornerstone investments, as well as asset return fluctuations, income
FY 19, up A$42m (48%) from FY 18 reflecting fees on closed end from seed and sponsor capital will vary from period to period.
infrastructure fund committed capital; A$14m of these fees are
one-off in nature, the remainder will transition to the AUM-based Investment performance
management fee category as committed capital is invested. AMP Capital aims to be a trusted partner of its clients delivering
FY 19 performance and transaction fees were A$84m, up A$15m from consistent investment performance.
A$69m in FY 18. Infrastructure equity performance fees were A$9m As at December 2019, the proportion of AMP Capital’s AUM
lower than in FY 18. Whilst this revenue stream continues to reflect performing at or above defined client goals was 62% over three
active asset management, strong market demand for infrastructure years. AMP Capital’s internal target is 75% over three years.
assets and continued low bond yields, it is reducing as prior period
performance fees run off. Transaction fees of A$38m were A$21m Assessed on the more conventional metric of performance versus
higher than in FY 18. This includes one-off transaction revenue on market benchmarks, 72% of AUM has outperformed over a three year
the sale of the AA REIT management entities, infrastructure debt time period.
transactions and debt advisory revenues. 2019 was a more positive year for AMP Capital’s multi-asset funds.
Performance and transaction fees remain variable from period Performance reflected gains across most underlying asset classes,
to period and are typically materially lower in 2H as most with global equity allocations key contributors over the year.
infrastructure funds attract performance fees for annual periods Positively, peer relative performance continues to show signs of
ending 30 June. improvement as listed assets generally outperformed unlisted assets
over the period. AMP Capital’s multi-asset funds generally have a
AMP Capital’s Global Infrastructure Fund and Infrastructure Debt
lower exposure to unlisted assets relative to industry peers.
Fund series are closed end funds, meaning any carried interest will
be recognised towards the end of the fund’s lifetime rather than Investment performance across real estate, infrastructure equity and
throughout the lifetime of the fund. This is expected to increase debt capabilities continued to perform strongly.
earnings variability over coming years, commencing 2020.
The table on page 29 shows investment performance across all
asset classes over various timeframes to 31 December 2019.
Cashflows and AUM

Cash inflows Cash outflows Net cashflows
Cashflows by asset class (A$m) FY 19 FY 18 % FY FY 19 FY 18 % FY FY 19 FY 18 % FY
External
Australian equities 104 251 (58.6) (285) (162) (75.9) (181) 89 n/a
International equities 1,302 847 53.7 (1,084) (1,186) 8.6 218 (339) n/a
Fixed interest 4,951 3,997 23.9 (5,085) (4,163) (22.1) (134) (166) 19.3
Infrastructure 4,634 4,718 (1.8) (2,027) (1,170) (73.2) 2,607 3,548 (26.5)
Direct investments - - n/a - - n/a - - n/a
Real estate 3,342 3,558 (6.1) (3,164) (2,371) (33.4) 178 1,187 (85.0)
Alternative assets 17 72 (76.4) (179) (172) (4.1) (162) (100) (62.0)
Total external 14,350 13,443 6.7 (11,824) (9,224) (28.2) 2,526 4,219 (40.1)
Internal
Australian equities 2,062 6,606 (68.8) (4,394) (8,769) 49.9 (2,332) (2,163) (7.8)
International equities 2,946 4,655 (36.7) (5,136) (6,415) 19.9 (2,190) (1,760) (24.4)
Fixed interest 9,176 11,952 (23.2) (12,018) (14,601) 17.7 (2,842) (2,649) (7.3)
Infrastructure 333 267 24.7 (300) (459) 34.6 33 (192) n/a
Direct investments 10 15 (33.3) (76) (121) 37.2 (66) (106) 37.7
Real estate 212 193 9.8 (295) (360) 18.1 (83) (167) 50.3
Alternative assets 395 472 (16.3) (630) (426) (47.9) (235) 46 n/a
Total internal 15,134 24,160 (37.4) (22,849) (31,151) 26.7 (7,715) (6,991) (10.4)
Total 29,484 37,603 (21.6) (34,673) (40,375) 14.1 (5,189) (2,772) (87.2)
Net Net
cashflows cashflows Investment
AUM by asset class (A$m) FY 18 % 1H 19 2H 19 returns and other1 FY 19 %
External
Australian equities 957 1 (93) (88) 241 1,017 1
International equities 6,122 9 228 (10) 1,387 7,727 10
Fixed interest 19,633 28 (938) 804 733 20,232 26
Infrastructure 17,775 25 1,358 1,249 1,404 21,786 28
Direct investments 11 - - - (1) 10 -
Real estate2 25,859 37 371 (193) 263 26,300 34
Alternative assets3 481 - (108) (54) 4 323 1
Total external 70,838 100 818 1,708 4,031 77,395 100
Internal
Australian equities 25,843 22 (1,104) (1,228) 5,609 29,120 23
International equities 31,873 27 (657) (1,533) 7,179 36,862 29
Fixed interest 48,435 42 (1,557) (1,285) 2,732 48,325 38
Infrastructure 2,540 2 (22) 55 671 3,244 3
Direct investments 1,157 1 (26) (40) 312 1,403 1
Real estate2 3,476 3 (49) (34) 61 3,454 3
Alternative assets3 3,086 3 (27) (208) 441 3,292 3
Total internal 116,410 100 (3,442) (4,273) 17,005 125,700 100
Total
Australian equities 26,800 14 (1,197) (1,316) 5,850 30,137 15
International equities 37,995 20 (429) (1,543) 8,566 44,589 22
Fixed interest 68,068 36 (2,495) (481) 3,465 68,557 33
Infrastructure 20,315 11 1,336 1,304 2,075 25,030 12
Direct investments 1,168 1 (26) (40) 311 1,413 1
Real estate2 29,335 16 322 (227) 324 29,754 15
Alternative assets3 3,567 2 (135) (262) 445 3,615 2
Total 187,248 100 (2,624) (2,565) 21,036 203,095 100
AUM by source of client (A$m) FY 18 % FY 19 %
Australia 139,133 75 146,888 72
New Zealand 19,072 10 22,536 11
Asia (including Middle East) 17,698 9 19,372 10
Rest of world 11,345 6 14,299 7
Total 187,248 100 203,095 100
1 Investment returns and other includes fees, investment returns, distributions, taxes and foreign exchange movements. The external real estate category has reduced
by A$765m from the sale of the AA REIT management entities.
2 Real estate AUM comprises Australian (A$24.7b), NZ (A$3.1b) and Global (A$1.9b) managed assets. Australian real estate AUM is invested in office (45%), retail
(48%), industrial (5%) and other (2%).
3 Alternative assets refer to a range of investments that fall outside the traditional asset classes and includes investments in commodities and absolute return funds.
Assets under management (AUM) behalf of Chinese retail and institutional investors. This was up 17%
AUM increased by A$15.8b to A$203.1b in FY 19, driven by positive from A$41.7b at FY 18.
external net cashflows and the investment of real asset committed In FY 19, AMP Capital’s share of CLAMP net cashflows were A$0.9b,
capital, positive investment returns, partially offset by net cash up 80% from A$0.5b in FY 18. CLAMP continued to attract significant
outflows from internal sources. AMP Capital has A$7.5b of uncalled inflows into its fixed income and equities funds, while experiencing
committed real asset capital at FY 19. outflows from money market funds due to an unfavourable
macroeconomic environment.
External AUM and cashflows
External AUM increased by A$6.6b (9%) over FY 19 to A$77.4b, AMP Capital reports its 15% share of the joint venture’s AUM (A$7.3b)
with A$2.5b of net cashflows and A$4.0b net positive investment and cashflows within the ‘External’ AUM and cashflow disclosure.
returns and other movements. During FY 19, AMP Capital sold Japan
its 50 per cent shareholding in the management companies of
AMP Capital’s business alliance with MUFG: Trust Bank offers products
Singapore Exchange listed AIMS APAC REIT (AA REIT) to joint
covering balanced strategies, Australian and global fixed interest, global
venture partner AIMS Financial Group. As a result of this share
infrastructure as well as hedged and unhedged listed real estate.
sale, AMP Capital’s external real estate AUM reduced by A$765m
and AMP Capital recognised a gain on sale in 1H 19. At FY 19, AMP Capital’s business alliance with MUFG: Trust Bank
had nine retail funds and three institutional funds in market with a
Investment of committed capital drove strong external net
combined AUM of A$1.8b, up 50% from A$1.2b in FY 18.
cashflows in infrastructure during FY 19. Notable transactions
include a Scandanavian digital infrastructure business, renewable In addition, MUFG: Trust Bank has raised commitments of A$2.2b
asset in Asia and a US power company. across a large number of Japanese institutional clients since the
launch of AMP Capital’s Global Infrastructure Fund and Infrastructure
External net cashflows of A$2.5b were down from A$4.2b in FY 18,
Debt Fund series.
reflecting a lower level of infrastructure investments during the year.
AMP Capital also continues to raise and manage funds through
International partnerships with other Japanese distributors. AMP Capital manages
AMP Capital grew its number of direct international institutional A$6.5b AUM on behalf of all Japanese retail and institutional clients.
clients to 358 in FY 19, managing A$20.4b on their behalf (up 18%
from A$17.3b at FY 18). Approximately 44% (A$33.7b) of external
Internal AUM and cashflows
AUM is now managed on behalf of clients outside Australia and Internal AUM increased 8% in FY 19 to A$125.7b, reflecting net cash
New Zealand. Growth in FY 19 was assisted by strong international outflows (-A$7.7b) and investment returns (A$17.0b).
investor interest in AMP Capital’s infrastructure funds. Internal net cashflows include AMP group payments such as dividend
payments and net cashflows from wealth management and mature
China products including products in run-off. AMP Capital manages over
During FY 19, the CLAMP joint venture launched 28 new products, 90% of AMP mature business AUM. As part of AMP’s sale of AMP Life
including SMAs, diversified, equity and bond funds. At FY 19, the to Resolution Life, funds managed for AMP Life will be shown as
joint venture managed A$48.8b (RMB 238.9b) of total AUM on external AUM once the sale completes.
Movement in AUM by channel FY 18 to FY 191

205 21.0
203.1
200
195
2.1
190 1.5
185 187.2
(1.0)
A$b
(4.4)
180 (2.9) (0.4)
175
170
External flows Internal flows
165
160
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1 AMP Capital cash inflows reported net of fees and taxes.

New Zealand wealth management

Wealth management 26 13 13 37 (29.7)
Advice 18 9 9 16 12.5
Operating earnings after income tax2 44 22 22 53 (17.0)

RoBUE 41.0% 40.0% 42.1% 60.6% n/a
End period tangible capital resources – after transfers (A$m) 129 129 100 92 40.2
Net cashflows (A$m) (433) (183) (250) 83 n/a
AUM (A$m) 12,270 12,270 11,963 11,076 10.8
Average AUM (A$m) 11,972 11,961 11,749 11,145 7.4
Persistency 85.9% 86.7% 86.2% 88.9% n/a
Controllable costs (A$m) 34 16 18 33 3.0
Cost to income ratio3 35.4% 33.4% 36.9% 31.0% n/a
Controllable costs to AUM (bps) 28 26 30 30 n/a
Operating earnings to AUM (bps) 37 37 37 48 n/a
1 Operating earnings in FY 18 includes A$12m (post-tax) relating to product revenues reported in AMP Life operating earnings from 1 January 2019, of which A$6m
is for the benefit of Resolution Life when the transaction settles.
2 In NZ dollar terms, operating earnings in FY 19 were NZ$47m (FY 18 NZ$57m).
3 FY 18 cost to income ratio adjusted for the impact of product revenues transferred to AMP Life is 36.7%.
KiwiSaver Other1 Total

Cashflows and movements in AUM (A$m) FY 19 FY 18 FY 19 FY 18 FY 19 FY 18
AUM at beginning of period 4,883 4,623 6,193 6,264 11,076 10,887
Cash inflows 694 662 442 633 1,136 1,295
Cash outflows (584) (527) (985) (685) (1,569) (1,212)
Net cashflows2 110 135 (543) (52) (433) 83
Other movements in AUM 671 125 956 (19) 1,627 106
AUM at end of period 5,664 4,883 6,606 6,193 12,270 11,076
Composition of net cashflows by product

Superannuation 110 135 (83) 26 27 161
Investment - - (460) (78) (460) (78)
1 Other New Zealand wealth management cashflows and AUM includes non-KiwiSaver wealth management products.
2 FY 19 cashflows include circa A$94m of net cash outflows associated with the pro-active windup of two legacy products.
New Zealand wealth management cont’d
Operating earnings Controllable costs

Excluding the impact of product revenues transferring with the sale FY 19 controllable costs of A$34m (NZ$35m) were largely in line
of AMP Life (A$12m), FY 19 operating earnings would have increased with FY 18 due to tight expense management and sustainable cost
A$3m (7%) from FY 18 and remain resilient despite the industry savings. FY 19 cost to income ratio of 35.4% would have decreased
headwinds of regulation and increased competition. The ongoing 1.3 percentage points on FY 18 excluding the impact of product
performance of the wealth management business, responsible for revenues transferring with the sale of AMP Life (A$12m).
the manufacturing and sourcing business lines, has supported the
positive FY 19 result. Advice network restructure
In FY 19 AMP restructured its New Zealand advice distribution
Cashflows and AUM network by re-contracting 281 advisers previously part of its AMP
FY 19 AUM of A$12.3b increased by A$1.2b (11%) from FY 18, Financial Advice Network (AFAN) with standard IFA agreements.
largely due to stronger investment markets. These advisers are now responsible for their own advice and
compliance in preparation for the new financial advice legislation
Net cash outflows of A$433m for FY 19 were impacted by cash
that is expected to come into force in New Zealand on 29 June 2020.
withdrawals from retail investments, which were driven by a
New Zealand wealth management does not expect this to materially
mix of expected regular retirement withdrawals and increased
affect AUM it manages in connection with these advisers.
competition. Cashflows include the impact of the pro-active windup
of two legacy products resulting in A$94m cash outflows in 2H 19.
Resolution Life transaction impacts
KiwiSaver generated net cash inflows of A$110m for FY 19, while As outlined on page 1, Resolution Life assumes the risks and is entitled
net cash outflows on platforms and other investments amounted to profit impacts from the AMP Life sale with effect from 1 July 2018.
to A$543m. Operating earnings for FY 18 included A$12m (post-tax) which will
be attributed for the benefit of Resolution Life when the transaction
New Zealand wealth management is a large KiwiSaver provider
settles. This is primarily due to product perimeter changes between
with approximately 9%1 of the NZ$62.0b KiwiSaver market as at
the retained New Zealand wealth management business and the sold
30 September 2019.
New Zealand wealth protection and mature businesses.
1 Measured by AUM. Source: FundSource Limited September 2019.

AMP Life

Australian wealth protection 55 19 36 86 (36.0)
New Zealand wealth protection and mature 23 12 11 51 (54.9)
Australian mature 144 75 69 132 9.1
Total profit margins 222 106 116 269 (17.5)
AWP experience profits/(losses) (5) 8 (13) (65) 92.3
New Zealand experience profits/(losses) (2) 2 (4) - n/a
Australian mature experience profits/(losses) 10 8 2 2 n/a
Total experience profits/(losses) 3 18 (15) (63) n/a
Capitalised (losses)/reversals and other one-off experience items (246) (176) (70) (209) (17.7)
Operating earnings (21) (52) 31 (3) n/a
Underlying investment income 46 24 22 43 7.0
Underlying operating profit/(loss) after income tax 25 (28) 53 40 (37.5)

RoBUE 1.2% (2.9%) 5.4% 1.9% n/a
End period tangible capital resources – after transfers (A$m) 1,973 1,973 1,983 1,910 3.3
AWP and NZ total individual risk API (A$m) 1,587 1,587 1,711 1,786 (11.1)
AWP and NZ total group risk API (A$m) 253 253 289 304 (16.8)
AWP individual risk lapse rate 23.9% 30.6% 16.9% 16.2% n/a
NZ individual risk lapse rate 13.3% 13.6% 12.9% 11.9% n/a
Australian and NZ mature AUM (A$b) 26.4 26.4 27.5 24.6 7.3
Australian mature persistency 86.4% 84.1% 88.8% 89.4% n/a
Controllable costs (A$m) 170 74 96 214 (20.6)
Controllable costs/annual premium 9.2% 8.0% 9.7% 10.2% n/a
AMP Life cont’d
Businesses sold to Resolution Life Annual premium in-force (API)

On 8 August 2019, AMP announced a revised agreement with Australian and New Zealand wealth protection Individual risk API
Resolution Life, with updated terms, for the sale of AMP Life decreased by A$199m from FY 18 to A$1,587m at FY 19 due to
(the Australian and New Zealand wealth protection and mature higher lapses from implementation of PYS legislation, partly offset
businesses). by repricing, the annual benefit from Consumer Price Index (CPI)
and age premium increases on risk policies.
The revised agreement delivers consideration of A$3.0b, comprising:
–– A$2.5b cash, and Group risk API decreased A$51m to A$253m in FY 19 from FY 18,
–– A$500m equity interest (expected to be around 20%) in in part driven by the introduction of PYS legislation.
Resolution Life Australia, a new Australian-domiciled,
Resolution Life-controlled holding company that will become Mature AUM
the owner of AMP Life. FY 19 Australian and New Zealand mature AUM was A$26.4b,
up A$1.8b from A$24.6b in FY 18. Strong market movements
Resolution Life will be on risk for all experience and lapse losses
were partly offset by withdrawals as a result of implementing
from 1 July 2018 until completion and is entitled to all AMP Life net
PYS legislation.
earnings during that period.
The sale is expected to complete by 30 June 2020. AMP will Lapse rates
continue to report the results of AMP Life through to completion Australian wealth protection FY 19 lapse rates of 23.9% increased
of the transaction. 7.7 percentage points from FY 18 largely due to the impact of
implementing PYS legislation.
Profit margins
New Zealand wealth protection FY 19 lapse rates were 13.3%, up
FY 19 profit margins of A$222m decreased 18% from FY 18 largely
from 11.9% in FY 18.
due to the impact of implementing Protecting Your Super (PYS)
legislation, best estimate assumption changes in Australian
Controllable costs
wealth protection, implementation of New Zealand reinsurance
arrangements at 31 December 2018 and the impact of lower Controllable costs were A$170m in FY 19, down A$44m (21%) from
bond yields on the mature book. This was partially offset by the FY 18, reflecting a reduction in group allocated costs.
cessation of internal distribution arrangements between AMP Life
and Australian and New Zealand wealth management due to the
Resolution Life transaction.
Experience
Total experience profits of A$3m in FY 19 were driven primarily
by better than assumed retention of PYS impacted policies and
faster emergence of shareholder profit on the mature books, in
part offset by higher income protection and Total and Permanent
Disability (TPD) claims.
Capitalised (losses)/reversals and other one-off

Australian and New Zealand capitalised losses and other one-off
experience items of A$246m in FY 19 were mainly due to the
strengthening in best estimate assumptions driven by the
transition to a standalone business, along with immediate and
ongoing PYS legislation.
The accumulated capitalised loss position at 31 December 2019 was

A$646m which primarily relates to AMP’s income protection business.
20 Group Office and other items of profit and loss
Group Office
A$m FY 19 2H 19 1H 19 FY 18 % FY
Group Office costs not recovered from business units (128) (69) (59) (76) (68.4)
Underlying investment income on Group Office capital 48 24 24 35 37.1
Interest expense on corporate debt (65) (31) (34) (68) 4.4
Client remediation and related costs (153) (112) (41) (469) 67.4
Royal Commission - - - (32) n/a
Portfolio review - - - (29) n/a
Separation costs (183) (94) (89) (19) n/a
Risk management, governance and controls (33) (16) (17) (8) n/a
Transformation (28) (28) - - n/a
Other items 22 27 (5) (74) n/a
Impairments (2,407) (55) (2,352) - n/a
Amortisation of acquired intangible assets (96) (51) (45) (79) (21.5)
Market adjustment – investment income (47) (31) (16) (28) (67.9)
Market adjustment – annuity fair value (2) 3 (5) 12 n/a
Market adjustment – risk products (3) 23 (26) 24 n/a
Accounting mismatches (1) 4 (5) 50 n/a
Interest expense summary
Average volume of corporate debt 1,825 1,848 1,803 1,826
Weighted average cost of corporate debt 5.06% 4.78% 5.33% 5.03%
Tax rate 29% 29% 29% 26%
Interest expense on corporate debt1 65 31 34 68
Franking credits
AMP dividend franking credits at face value at end of period2 175 175 158 148
Staff numbers 998 998 1,111 1,033 (3.4)
1 Includes fees associated with undrawn liquidity facilities.

2 Balance of franking account adjusted for franking credits which will arise from the payment of income tax provided for in the financial statements.
Group Office costs not recovered from business units For further information on corporate debt, refer to page 25.
FY 19 Group Office costs not recovered from business units were Client remediation and related costs
A$128m, up from A$76m in FY 18. The increase from FY 18 is largely
FY 19 client remediation and related costs of A$153m relate primarily
due to the inclusion of major regulatory and compliance project costs in
to an additional provision for inactive advisers reflecting initial
controllable costs and increased professional indemnity insurance costs.
pilot outcomes and agreement with ASIC of the process and client
Most Group Office related synergies and ongoing business efficiency lost earnings.
benefits are passed on to the business units through lower overhead
allocations. Separation costs
Separation costs of A$183m relate to the execution of the sale of
Underlying investment income on Group Office capital AMP Life. Total separation costs of A$320m will increase to A$400m
Underlying investment income on Group Office capital was A$48m in reflecting the extended timeframe, additional simplification work
FY 19, up from A$35m in FY 18. and additional costs related to regulatory approvals.
Underlying investment income assumes post-tax returns of 2.5% on Risk management, governance and controls
Group Office capital. Any differences between this rate and what is
Costs relating to improving AMP’s risk management, governance
actually earned are reported as market adjustment – investment income.
and controls environment are expected to total A$100m pre-tax
Following the completion of AMP’s acquisition of 19.99% of China Life (A$70m post-tax) over a 24 month period. To date, AMP has incurred
Pension Company (CLPC) in January 2015, AMP’s equity accounted A$41m of post-tax costs relating to this program.
share of CLPC’s net profit is reported through underlying investment
income in Group Office capital. Transformation
Transformation costs of A$28m largely relate to realising cost
Interest expense on corporate debt improvements and program costs.
FY 19 interest expense on corporate debt was A$65m, down from
A$68m in FY 18. Other items
The average volume of corporate debt remained flat through FY 19 at Other items largely comprise the net of one-off and non-recurring
A$1,825m (A$1,826m in FY 18). revenues and costs including permanent tax benefits and gain on
sale of an investment, partly offset by ASIC investigation outcomes.
The weighted average cost of debt in FY 19 was 5.06%, up from 5.03%
In 2018 and prior years the cost of implementing significant
in FY 18. This was mainly due to a greater reliance on wholesale debt
regulatory and compliance changes was also included in other items.
in favour of loan facilities in FY 19.
Group Office and other items of profit and loss
Group Office cont’d
Impairments valued on a fair value basis. Therefore, in the absence of any defaults,
FY 19 impairments of A$2,407m have been impacted by the writedown changes in credit spreads and deterioration in the quality of individual
of goodwill and capitalised costs, a reduction in the carrying value assets can lead to timing differences.
of advice registers held by AMP, recognition of expected future As the assets are predominantly held to maturity, gains/losses due to
impairments to servicing rights and client registers where practices changes in credit spreads or credit deterioration should reverse over
have submitted their BOLR notice, and expected credit losses in relation time, to the extent that there are no asset defaults. In FY 19, there
to loans advanced by AMP Bank to practices in the aligned AMP Advice were no asset defaults.
network. These impacts were driven by the revaluation of client registers. The portfolio credit rating composition is AAA (41%), AA (19%),
Amortisation of acquired intangible assets A (27%) and BBB (13%). Corporate bond exposures are AAA (1%),
FY 19 amortisation of acquired intangible assets was A$96m. AA (13%), A (59%) and BBB (27%).
Amortisation of acquired intangibles for FY 20 is expected to be Market adjustment – risk products
approximately A$85m. FY 19 market adjustment – risk products was -A$3m (FY 18 A$24m)
The difference between the purchase consideration for AXA (A$4.3b) due to decreasing interest rates.
and AXA net tangible assets (A$0.8b) represents AXA intangible Market adjustment – risk products relates to the net impact of
assets (A$1.4b) and goodwill (A$2.1b). AXA intangible assets primarily changes in market economic assumptions (bond yields and CPI) on
comprise rights to future income. the valuation of risk insurance liabilities. Under Australian Accounting
AXA intangible assets are required to be amortised over their expected Standards, life insurance business is accounted for using Margin on
useful life; goodwill is not required to be amortised. The amortised Services (MoS).
balance of AXA acquired intangibles as at FY 19 was A$0.4b. Under MoS, the profits that are expected to be earned on life
In addition to the AXA acquired intangibles, amortisation of the Advice insurance contracts emerge over the life of the business as services
register purchases, PCCP and SuperConcepts business acquisitions are are provided and income received. MoS involves projecting future
included in this line item. cashflows (premiums, benefits and costs after allowing for inflation),
and discounting future cashflows to their present value using the
Market adjustment – investment income
appropriate risk-free discount rate. Changes to market related
Market adjustment – investment income represents the excess (or
economic assumptions affect policyholder liabilities and current year
shortfall) between underlying investment income and actual return
profit. The impact of movements in bond yields can vary from period
on shareholder assets invested in income producing assets.
to period depending on the level of claims reserves.
The FY 19 market adjustment – investment income was -A$47m
(FY 18 -A$28m), reflecting lower short-term interest rates relative to Accounting mismatches
the long-term assumed earning rate of 2.5% post-tax. Accounting mismatches represents the difference in the valuation
treatment of policyholder assets/liabilities in the financial statements
AMP uses interest rate derivatives to manage the impact of falling
and the impact of the introduction of AASB 9 Financial Instruments in
interest rates on its capital position experienced through the life
2018 to AMP’s syndicated loans which were repaid in 1H 19.
insurance business and defined benefit funds. The impact of these
derivatives was immaterial in FY 19. Under Australian Accounting Standards, some assets held on
behalf of policyholders (and related tax balances) are included in
Market adjustment – annuity fair value the financial statements at different values to the value used in the
FY 19 market adjustment – annuity fair value was -A$2m (FY 18 calculation of policyholder liabilities in respect of the same asset.
A$12m). Market adjustment – annuity fair value relates to the Movements in these policyholder assets flow through to shareholder
net impact of investment markets on AMP Life’s annuity portfolio. profit. These differences have no impact on the true economic profits
AMP Life’s annuity portfolio comprises fixed term and lifetime and losses of the AMP group.
annuity products, with Australian fixed term liabilities of A$0.1b and
The introduction of AASB 9 Financial Instruments in 2018, required
Australian lifetime annuity liabilities of A$1.0b. The Australian annuity
AMP to recognise a negotiated adjustment to the terms of a
portfolio is managed on a matched basis, with fixed interest assets
syndicated loan facility as a change in the carrying value of that
matched to expected annuity cash outflows. Equities are not used by
facility. This resulted in a gain on modification recognised directly in
AMP to match its Australian annuity book.
1 January 2018 opening retained earnings. The difference between
The assets that support AMP Life’s Australian annuity book comprise the unadjusted carrying value at 31 December 2017 and the adjusted
a mixture of government bonds and cash (12%), semi-government carrying value at 1 January 2018 would have been amortised over
bonds (36%) and corporate bonds and other (52%). These assets the remaining life of the facility and reflected as an increase in
are principally exposed to Australian credit markets. The asset mix finance costs. However, as the facility was repaid in early 2019, the
is managed to achieve close matching of assets to expected cash unamortised portion of the gain has been fully written off.
annuity outflows. Interest rate risk from any cashflow mismatch is
Mismatch items that may impact the profit and loss arise from the
managed by closely matching duration and convexity, but credit risk
following:
remains. The average duration of the portfolio is seven years.
–– treasury shares (AMP Limited shares held by the statutory funds
For fixed term annuities, accounting standards require the liabilities on behalf of policyholders) (FY 19 +A$6m, FY 18 +A$50m), and
and the assets that back them both to be valued consistently on a fair –– syndicated loan repayment gain on modification reversal
value basis. (FY 19 -A$7m, FY 18 nil).
For lifetime annuities, accounting standards require the liabilities to
be valued based on the risk-free rate of return and the assets to be
22 Capital, debt and liquidity
Regulatory capital requirements and capital management framework
Regulatory requirements AMP Limited, AMP Life and AMP Bank have Board approved
A number of the operating entities within the AMP group of minimum capital levels above APRA requirements, with additional
companies are regulated. These include an authorised deposit capital targets held above these amounts. Within AMP Life, the
taking institution (ADI), life insurance companies, superannuation capital targets above Board minimums have been set to a less
entities and a number of companies that hold Australian Financial than 10% probability of capital resources falling below the Board
Services Licences (AFSLs). These companies are regulated by APRA, minimum over a 12 month period. Capital targets are also set for
the Reserve Bank of New Zealand, the Financial Markets Authority AMP Capital to cover risk associated with seed and sponsor capital
New Zealand and/or the Australian Securities and Investments investments and operational risk. Other components of AMP
Commission (ASIC) and are required to hold minimum levels of group’s capital targets include amounts relating to Group Office
regulatory capital, as set by the relevant regulator. investments, defined benefit funds and other operational risks.
The main minimum regulatory capital requirements for AMP’s In addition, the participating business of AMP Life is managed
regulated businesses are determined as follows: to target a very high level of confidence that the business is
–– AMP Life – capital adequacy requirements as specified under the self-supporting and that there are sufficient assets to support
APRA Life Insurance Prudential Standards policyholder liabilities.
–– AMP Bank – capital requirements as specified under the APRA Level 3 eligible capital above MRR for regulated entities and the
ADI Prudential Standards AMP group may vary throughout the year due to a range of factors
–– AMP Superannuation Limited and N.M. Superannuation including profits, dividend payments, capital for business growth
Proprietary Limited – Operational Risk Financial Requirements and other one-off items, including market movements.
in accordance with APRA Superannuation Prudential Standards,
and
–– AMP Capital and other ASIC regulated businesses – capital
requirements under AFSL requirements and for risks relating
to North.
APRA announced the deferral of its proposed capital requirements

for conglomerate groups (Level 3 institutions) in March 2016. There
are no current plans to introduce these standards and APRA has
not yet started industry consultations. The transition arrangements
provided by APRA in 2013 allow the A$83m subordinated bond
maturing in 2022 to be recognised as Level 3 eligible capital until
the implementation of conglomerate capital standards.
Capital management framework

AMP holds capital to protect clients, creditors and shareholders
against unexpected losses. There are a number of ways AMP
assesses the adequacy of its capital position. Primarily, AMP aims to:
–– maintain a sufficient surplus above minimum regulatory capital
requirements (MRR) to reduce the risk of breaching MRR
–– hold sufficient liquidity to ensure that AMP has sufficient access
to liquid funds, even under stress situations, and
–– maintain the AMP group’s credit rating.
These factors are considered together with AMP’s appetite for

material risks (including financial risk, product and insurance risk
and operational risk), when setting a target surplus above MRR
which seeks to reduce the risk of breaching MRR.
Capital, debt and liquidity
Capital adequacy
AMP group capital adequacy calculation (A$m) 31 December 2019 31 December 2018
Shareholder equity1 4,910 6,683
Goodwill and other intangibles 2
(1,230) (3,560)
Other regulatory adjustments3 69 (129)
Subordinated bonds eligible as Level 3 capital 83 83
Level 3 eligible capital 3,832 3,077
Minimum regulatory requirements (MRR) 1,353 1,426
Level 3 eligible capital above MRR 2,479 1,651
AMP group capital resources by asset class (A$m) 31 December 2019 31 December 2018
International equities 70 51
Australian equities 66 76
Property 55 53
International fixed interest 36 130
Australian fixed interest 333 337
Cash 4
3,309 2,594
Implicit DAC 214 389
Total shareholder funds 4,083 3,630
Other5 1,736 1,342
Tangible capital resources 5,819 4,972
Other regulatory adjustments3 69 (129)
Subordinated and senior debt not eligible as regulatory capital6 (2,056) (1,766)
Level 3 eligible capital 3,832 3,077
1 Shareholder equity is statutory shareholder equity of A$4,860m adjusted for 5 Other includes tangible capital of AMP Bank of A$967m, corporate subordinated
accounting mismatches, cashflow hedge reserve and other adjustments (A$50m). debt on-lent to AMP Bank of A$240m, A$260m of seed and sponsor capital assets
2 Refer to page 31 for definition of intangibles. plus A$269m of other assets and liabilities.
3 For life insurers, other regulatory adjustments include policy liability 6 Refer to page 25 for debt overview. A$1,068m (FY 18 A$793m) of subordinated
adjustments and deferred tax assets. For AMP Bank, other regulatory debt is not recognised as Level 3 eligible capital. A$695m of this sub-debt is
adjustments relate to securitisation, deferred tax assets and other provisions. on-lent to AMP Life (A$555m) and AMP Bank (A$240m) and recognised as eligible
capital for those entities, subject to regulatory limits for Tier 1 and Tier 2 capital.
4 Cash includes cash balances held as bank deposits, short-term fixed interest
Consequently, this reduces the MRR for the AMP group.
securities and floating rate securities.
Implicit DAC The shareholder fixed interest portfolio is split 24% in government
The implicit DAC relates to the Australian and New Zealand wealth exposures and 76% in corporate exposures. Corporate exposures
protection businesses, and is similar to a loan from shareholder are invested in AAA (20%), AA (33%), A (31%), BBB (15%) and sub-
capital to the wealth protection business to fund the upfront costs investment grade and unrated (1%). At 31 December 2019, 3% of
associated with acquiring new risk insurance business. The implicit AMP shareholder funds were invested in equities.
DAC asset generates an investment return equivalent to a one year AMP uses interest rate derivatives in the shareholder funds to
government bond. manage its exposure to movements in long-term interest rates.
The impact of these derivatives on AMP’s profit and capital
Management of market risks in total shareholder funds sensitivities is shown in the profit sensitivities for investment
Total shareholder funds (A$4,083m) comprise direct shareholder income on page 26 and regulatory capital sensitivities on page 27.
funds (A$3,470m) where the shareholder can determine the asset
mix and co-mingled shareholder funds (A$613m) that are invested Nominal versus effective exposure
in the same asset mix as participating policyholder funds. The asset allocations set out above reflect the effective exposure
The investment of shareholder funds provides management of shareholder funds after consideration of the effects of equity
with the ability to manage the overall market risk within AMP. derivative positions. Interest rate derivatives are not converted
Changes are made to the asset mix of shareholder funds to achieve to effective exposure in the asset allocations. The exposure in
the desired level of overall market risk exposure across AMP. shareholder investments to movements in interest rates is shown
AMP continues to review the asset mix of shareholder funds in the profit sensitivities for investment income on page 26.
to maximise shareholder returns within the constraints of
AMP’s risk appetite.
24 Capital, debt and liquidity
Capital position, movements and dividends
Movement in AMP group capital FY 18 to FY 19
3500
3000 771
389
2500 (113)
464 (190) 2,479
2000
(96) (397)
1500 1,651
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1 In FY 19, net business usage related to capital deployed in the purchase of advice registers, capital required to support mortgage growth in AMP Bank, and capital
required to support AUM growth.
2 This capital impact excludes impairment of intangibles that are already deducted from shareholder equity in calculating eligible capital.
3 Includes separation costs, client remediation and related costs, risk management, governance and controls and other items.
4 Other capital movements includes the impact of best estimate assumption changes in AMP Life, as well as other impacts to AMP Life that relate to the application of
APRA’s capital standards for life insurers, impacts from markets, tax impacts and other miscellaneous items.
Capital position Impact of Resolution Life transaction

At 31 December 2019, Level 3 eligible capital above MRR was As outlined on pages 1 and 19, under the terms of the sale
A$2,479m (A$1,651m at 31 December 2018). The ratio of and purchase agreement with Resolution Life, AMP remains
Level 3 eligible capital to MRR is 2.8x (compared to 2.2x MRR responsible for the operations and capital management of
at 31 December 2018). At this level of capital, the group holds AMP Life until completion.
A$529m above target surplus requirements approved by the
Accordingly, AMP Life’s regulatory capital will continue to form part
AMP Limited Board.
of the consolidated AMP group regulatory capital until completion.
Level 3 eligible capital above MRR of A$2,479m includes A$985m As at 31 December 2019, A$1.4b of the A$2.5b of AMP group Level 3
of shareholder retained earnings related to the life insurance eligible capital above MRR related to AMP Life, including both
participating business. This will vary over time depending on the statutory and shareholder funds. Of the A$1.4b, A$985m relates to
risk exposures and strategies used in managing the participating life insurance participating business.
business and is consistent with the target of providing a very high
Upon completion, AMP has an obligation to deliver AMP Life to
level of confidence that the business is self-supporting and that
Resolution Life with an appropriate level of regulatory capital
there are sufficient assets to support policyholder liabilities.
(including target surplus). All of the A$985m capital above MRR
Policyholder retained profits continue to be resources supporting relating to the participating business will transfer with AMP Life
the participating business. The total policyholder retained profits on sale, as will any capital that was required to support AMP Life’s
of AMP Life were A$2,455m at 31 December 2019 (A$2,319m at balance sheet as at the 30 June 2018 sale date.
31 December 2018).
Capital supporting AMP’s retained superannuation business as
Final 2019 dividend well as any assets excluded from the sale will be transferred out of
To maintain balance sheet strength and prudent capital AMP Life prior to the sale.
management through a period of significant change the Board
has resolved not to declare a final dividend in FY 19. This position
will be reviewed after the completion of the AMP Life sale.
Capital, debt and liquidity
Debt and liquidity overview
31 December 2019 31 December 2018

Corporate Corporate
A$m debt AMP Bank1 Total debt AMP Bank1 Total
Subordinated bonds 83 - 83 83 - 83
AMP Notes 32 250 - 250 250 - 250
AMP Wholesale Capital Notes3 275 - 275 275 - 275
AMP Capital Notes 4
268 - 268 268 - 268
AMP Capital Notes 25 275 - 275 - - -
AMP Subordinated Notes6 - 250 250 - 250 250
Total subordinated debt 1,151 250 1,401 876 250 1,126
Commercial paper, NCDs and repos - 586 586 255 596 851
Medium-term notes (MTN) 988 2,241 3,229 218 2,846 3,064
Drawn syndicated loan - - - 500 - 500
Total senior debt 988 2,827 3,815 973 3,442 4,415
Deposits - 14,414 14,414 - 13,304 13,304
Total debt 2,139 17,491 19,630 1,849 16,996 18,845
Corporate gearing ratios
S&P gearing 20% 17%
Interest cover – underlying (times) 8.1 11.0
Interest cover – actual (times) - 1.4
Corporate debt by year of repayment7

A$m 0–1 year 1–2 years 2–5 years 5–10 years 10+ years Total
Total corporate debt at 31 December 2019 275 943 646 275 - 2,139
Total corporate debt at 31 December 2018 255 575 1,019 - - 1,849
1 This excludes A$100m of AMP Wholesale Capital Notes, A$40m of AMP 4 AMP Capital Notes are not recognised as Level 3 eligible capital of AMP group
Capital Notes and A$100m of AMP Capital Notes 2 on-lent to AMP Bank for APRA purposes and consequently on-lent to AMP Bank (A$40m) and
by AMP group and the AMP Bank debt held within securitisation vehicles AMP Life (A$130m), where they are recognised as Additional Tier 1 capital for
(see footnotes 3, 4 and 5 below). those businesses.
2 AMP Notes 3 are not recognised as Level 3 eligible capital of AMP group for 5 AMP Capital Notes 2 were issued in 2H 19, and are not recognised as Level 3
APRA purposes and are effectively on-lent to AMP Life and recognised as eligible capital of AMP group for APRA purposes. The notes have been on-lent
allowable Tier 2 capital for that business. At 31 December 2019, A$50m of to AMP Bank (A$100m). The remaining A$175m will be on-lent to AMP Life
the notes became ineligible as Tier 2 capital for AMP Life due to proximity to where they will be recognised as Additional Tier 1 capital after the redemption
the first call date of the notes. of the AMP Wholesale Capital Notes in March 2020.
3 AMP Wholesale Capital Notes are not recognised as Level 3 eligible capital 6 AMP Subordinated Notes are issued by AMP Limited and on-lent to AMP Bank,
of AMP group for APRA purposes and consequently on-lent to AMP Bank where they are recognised as allowable Tier 2 capital. The debt and interest
(A$100m) and AMP Life (A$175m), where they are recognised as Additional expense on these notes is included in AMP Bank’s balance sheet and operating
Tier 1 capital for those businesses. results and not in AMP corporate debt and interest expense.
7 Based on the earlier of the maturity date and the first call date.
Corporate debt AMP Bank

Corporate debt increased by A$290m during FY 19, due to the AMP Bank utilises a diverse range of funding sources (securitisation,
issuance of medium term notes, replacing maturing short term customer deposits, short and long-term wholesale borrowings), with
commercial paper and the repayment of the A$500m syndicated loan. its primary source of funding being A$14.4b of customer deposits.
In addition AMP recently issued A$275m of Additional Tier 1 notes
AMP Bank actively hedges its funding against movements in short-
in December 2019 – AMP Capital Notes 2. At 31 December 2019, all
term interest rates. However, the Bank remains exposed to negative
corporate debt was effectively at floating rates.
interest rates and increases in credit spreads to the extent it needs
All foreign currency denominated corporate debt is hedged back to replace funding eg the spread between wholesale interest rates
to AUD at the time of issuance for the life of the security. Foreign and the rate paid to customers.
currency denominated debt is reported above in AUD based on
The securitisation of mortgages via the issuance of residential
hedged face value.
mortgage backed securities (RMBS) is a source of funding and
At 31 December 2019, AMP’s liquidity comprised A$825m of capital relief for AMP Bank. As at 31 December 2019, total RMBS
group cash (including short-term investments) and undrawn funds were A$4.1b. AMP Bank has in place a A$1b warehouse
facilities of A$750m. facility with MUFG Bank Ltd.
26 Additional AMP group information
Sensitivities – profit and capital
FY 19 profit sensitivities – excluding AMP Life (A$m)

Operating earnings (post-tax)
AMP AMP Group Investment
WM Bank NZWM Capital Office Total income
Market variables
10% increase in Australian equities 7 - - 2 9 5
10% decrease in Australian equities (7) - - (2) (9) (6)
10% increase in international equities 7 - 1 3 11 6
10% decrease in international equities (7) - (1) (3) (11) (7)
10% increase in property1 1 - - 4 5 4
10% decrease in property1 (1) - - (4) (5) (4)
1% (100 bps) increase in 10 year bond yields (2) - (1) (1) (4) (30)
1% (100 bps) decrease in 10 year bond yields 2 - 1 1 4 29
1% increase in cash rate 1 - - - 1 25
1% decrease in cash rate (1) - - - (1) (25)
Business variables
5% increase in AUM 13 1 9 23
5% increase in (AMP Capital) external AUM 5 5
5% increase in (AMP Capital) internal AUM 4 4
5% increase in AMP Bank total mortgage balances 6 6
5% increase in sales volumes 1 1 - 2
1% increase in persistency 3 - - 3
1 bp increase in AMP Bank net interest margin - 2 - 2
5% reduction in controllable costs 18 4 1 16 6 45
1 AMP Bank has no direct property exposure.
All profit sensitivities above show a full year impact. Profit sensitivities
The profit and capital sensitivities are only indicative, because: The sensitivities set out above apply to FY 19 operating earnings and
–– they assume that the particular variable moves independently of investment income, assuming changes in a range of hypothetical
all others economic or business variables.
–– they are based on the FY 19 position, ie not ‘forward looking’,
and make no allowances for events subsequent to Important considerations when using these sensitivities
31 December 2019, and Operating earnings – investment linked business
–– in general, for profit sensitivities, they assume the movement For investment linked business, fee income is largely based on the level
occurs evenly over the year; for capital sensitivities, they assume of AUM, which in turn is directly impacted by investment markets.
the movement occurs at 31 December 2019.
For changes in market variables which impact AUM levels, it is
Other assumptions include: assumed that the change in the variable occurs evenly across the
–– parent company shareholders’ equity is fully invested, and entire year. That is, the analysis is point to point, assuming the
there are no adjustments for investments which are outside movement from one point (eg beginning of the year equity markets)
index weightings to another point (eg end of the year equity markets) occurs evenly
–– currency movements in investments in self-sustaining operations over the year. It is similar to assuming a one-off movement in the
do not impact profit variable halfway through the year. For large movements that do not
–– sales sensitivity assumes the same product mix as in underlying occur halfway through the year, the profit sensitivities need to be
sales during FY 19 extrapolated. For example, a 10% increase/decrease in equity markets
–– investment income sensitivity is based on the amount of at the start of the year would have double the impact on FY 19
investments held at 31 December 2019 operating earnings than set out in the table above.
–– property sensitivities relate to unlisted property; listed property
trusts are included in equities The sensitivities are based on the FY 19 position and are not forward
–– bond yield sensitivities relate to both government and corporate looking. If using the sensitivities as forward looking (eg applying
bond yields for both Australian and international bonds FY 19 profit sensitivities for FY 19 or FY 20), an allowance for changes
–– profit sensitivities exclude the impact of movements in credit in AUM levels and mix should be made. Refer to page 6 (Australian
spreads in corporate and semi-government debt wealth management) and page 12 (AMP Capital) for average AUM
–– AMP Bank net interest margin is assumed to be insensitive to levels that were applied in FY 19.
changes in cash rate, and The AMP Capital operating earning sensitivities are net of minority
–– AMP Bank’s increase in sales volume assumes a 5% change in total interests and assume no change to performance and transaction
loans growth with no change in net interest margin and costs. fees and do not include seed and sponsor capital investments.
Additional AMP group information
Sensitivities – profit and capital cont’d
Investment income The investment income sensitivities (refer to page 26 for details)
The analysis is based on a point in time and indicates the impact do not include any allowance for investment gains/losses on
a change in the market variable would have on AMP’s FY 19 total assets that back AMP’s annuity book or the impact of changes
investment income (ie underlying investment income plus market in economic variables (such as bond yields or CPI) on wealth
adjustment – investment income). protection products. The impacts of investment market variables
are not always symmetrical, as they are inclusive of the impacts of
The sensitivities are based on 31 December 2019 equity markets, long‑term and tactical protection strategies.
bond yields and property values and correspond to the disclosure in
the capital adequacy section (refer to page 23). The sensitivities assume that the guarantees on the North products
are effectively hedged under current hedging procedures.
Sensitivities include the profit/loss impact from changes in
investment market variables on total shareholder funds. Changes The investment income sensitivities to bond yields include the
in BU operating earnings are not reflected. use of derivatives to reduce the impact on regulatory capital
resources above MRR from bond yields movements. Gains and
The cash rate sensitivities show the full year impact of a different losses on these derivatives are reported in the market adjustment –
cash rate on total investment income. The impact assumes that the investment income.
change in the cash rate applies over the entire year.
AMP regulatory capital sensitivities

Capital sensitivities – regulatory capital resources above MRR (A$m)1 AMP Life AMP group2
Actual 31 December 2019 (ASX 200 @ 6,684; Australian bond yields @ 1.2%) 1,420 2,479
Equity sensitivity – 20% increase (ASX 200 @ 8,021) 65 80
– 10% increase (ASX 200 @ 7,352) 35 45
– 10% decrease (ASX 200 @ 6,016) (30) (45)
– 20% decrease (ASX 200 @ 5,347) (60) (85)
Australian bond yields sensitivity – 100 bps increase (Australian bond yields @ 2.2%) 55 90
– 50 bps increase (Australian bond yields @ 1.7%) 40 60
– 50 bps decrease (Australian bond yields @ 0.7%) (25) (40)
– 100 bps decrease (Australian bond yields @ 0.2%) (90) (125)
Property sensitivity3 – 10% increase in unlisted property values 15 15
– 10% decrease in unlisted property values (15) (15)
1 These sensitivities are based on a point in time and do not make any allowance for subsequent management actions.
2 AMP group sensitivities include AMP Life and impacts outside AMP Life.
3 Property sensitivity relates to unlisted property. Listed property is included in the equity sensitivity.
The sensitivities shown above reflect the impact of market AMP’s capital management policies include market related trigger
movements on AMP’s capital position. points at which management will take action to reduce the impact
of market movements on AMP’s capital position.
The analysis is a point in time view of the capital impact
of movements in equity markets, bond yields and property AMP actively manages both the asset mix and the associated
values on AMP’s capital position inclusive of long-term and capital. Market movements and trends are carefully monitored and
tactical protection. adjustments made accordingly.
The capital sensitivities for AMP Life include guaranteed products The sensitivities contained in the table above do not make any
(the majority of which are contained within the Australian mature allowance for management actions subsequent to 31 December
business), risk insurance products, unit linked products and 2019, which may have a significant impact on these sensitivities.
shareholders’ funds.
AMP group sensitivities are movements in AMP Life plus

movements in AMP group shareholder capital held outside the Life
companies, and include the effect on capital from defined benefit
funds and North guarantee products.
28 Additional AMP group information
Market share and channel analysis
Market share
September 2019 September 2018
Total Market Market Total Market Market
market position share market position share
size (rank) % size (rank) %
Market share – Australia (AUM) A$b
Superannuation including rollovers1,2 443.0 1 24.0 437.1 1 25.4
Corporate superannuation master funds3 173.6 2 18.6 165.1 2 20.0
Retirement income1 205.0 2 18.3 211.7 2 17.5
Unit trusts (excluding cash management trusts)1,2 313.8 5 5.2 285.4 5 5.7
Total retail managed funds (excluding cash management trusts)1,2 969.5 1 16.6 941.6 1 17.5
Market share – New Zealand wealth management (AUM) NZ$b

Retail superannuation4 3.0 1 38.8 3.2 1 41.6
Unit trusts4 44.9 15 1.5 40.3 13 2.1
KiwiSaver4 62.0 4 9.3 52.8 4 10.3
Total retail funds4 110.7 4 6.9 97.1 4 8.2
Corporate superannuation5 8.7 1 39.3 8.1 1 40.6
1 Source: Market Overview Retail Managed Funds – Marketer, Plan For Life, September 2019.
2 These figures include SuperConcepts products in the superannuation and unit trust categories.
3 Source: Australian Retail and Wholesale Investments, Market Share and Dynamics Report, Plan For Life, 30 September 2019.
4 Measured by AUM. Source: FundSource Limited September 2019 and September 2018.
5 Measured by AUM. Source: Eriksens Master Trust Survey September 2019 and September 2018.
Channel analysis
Adviser numbers Total AUM AUM per adviser1
Channel analysis (A$m) FY 19 FY 18 % FY/FY FY 19 FY 18 % FY/FY FY 19 FY 18 % FY/FY
AMP Advice2 181 233 (22.3) 14,207 13,788 3.0 78.5 59.2 32.6
AMP Financial Planning3 1,105 1,334 (17.2) 60,353 56,774 6.3 54.6 42.6 28.2
Charter Financial Planning4 570 687 (17.0) 22,488 20,742 8.4 39.5 30.2 30.8
Hillross 272 313 (13.1) 14,345 13,710 4.6 52.7 43.8 20.3
Total (core licensees) 2,128 2,567 (17.1) 111,393 105,014 6.1 52.3 40.9 27.9
Jigsaw Support Services5 52 137 (62.0) 1,009 1,089 (7.3) 19.4 7.9 145.6
Total (licensee services) 52 137 (62.0) 1,009 1,089 (7.3) 19.4 7.9 145.6
Corporate Super Direct 16,157 14,323 12.8
Third-party distributors and other 25,325 22,449 12.8
Total Australia6 2,180 2,704 (19.4) 153,884 142,875 7.7
New Zealand7 62 350 (82.3) 17,355 16,047 8.2
Total 2,242 3,054 (26.6) 171,239 158,922 7.8
1 Calculated by dividing total AUM with adviser numbers.

2 Includes AMP Advice employed, AMP Assist and AMP Advice self-employed advisers.
3 Excludes 44 AMP Advice self-employed advisers in FY 19.
4 Excludes 13 AMP Advice advisers in FY 19.
5 Excludes AMP Authorised Representatives.
6 AUM includes all Australian wealth management and mature products and excludes SuperConcepts.
7 New Zealand wealth management includes AMP employees and AdviceFirst. In FY 19 281 advisers have transitioned from AFAN and IFA QAN (Quality Advice
Network) to independent advisers.
Additional AMP group information
AMP Capital investment performance
1 Year 3 Year 5 Year

Absolute Excess Absolute Excess Absolute Excess
return1 return2 return1 return2 return1 return2
Fund/style name AUM (A$m) % % % % % %
Australian Equities
Small Caps 370 36.1 12.3 15.2 2.7 15.2 2.0
Enhanced Index 9,553 23.6 - 10.2 (0.3) 9.0 (0.3)
Future Directions Australian Equity Fund3 3,791 23.8 - 10.2 (0.1) 9.6 0.5
Global Equities
Global Companies Fund 220 35.8 - - - - -
Global Listed Real Estate4 6,137 27.2 5.3 9.7 1.0 7.9 (0.4)
Global Listed Infrastructure4 2,555 40.1 10.5 15.6 2.6 10.4 0.6
Specialist International Shares Fund3 2,021 24.1 (3.8) 13.4 (0.3) 12.9 0.8
Enhanced Index International Shares 12,991 27.4 (0.6) 13.8 - 12.5 0.2
Fixed interest
Wholesale Australian Bond Fund 2,326 8.0 0.2 5.6 (0.1) 4.6 (0.1)
Managed Treasury Fund 2,655 1.9 0.2 2.1 0.2 2.3 0.2
Real Estate (direct)5

Wholesale Office6 6,846 10.6 (0.5) 12.1 (1.1) 12.7 (1.2)
Shopping Centres6 4,172 (2.9) (1.2) 4.5 (0.5) 6.9 0.1
Diversified Property Fund6 5,878 4.4 (2.2) 8.2 (1.4) 8.7 (1.7)
Infrastructure (direct)
Diversified Infrastructure Trust 1,693 10.9 4.9 14.0 7.2 14.2 7.3
Australia Pacific Airports Fund7 464 10.6 (1.4) 14.9 2.9 16.9 4.9
Diversified
Balanced Growth Option8 5,591 18.0 Yes 9.1 Yes 8.0 Yes
Future Directions Balanced Fund8 4,908 16.1 Yes 8.4 No 8.0 No
MySuper 1970s9 6,116 18.3 (0.8) 9.5 (0.1) 8.9 0.5
Goal based10
Corporate Bond 1,238 3.7 0.2 3.4 (0.3) 3.5 (0.5)
Multi Asset Fund 877 10.2 3.1 5.0 (2.3) 5.5 (1.9)
Dynamic Markets Fund 656 11.1 5.0 2.8 (3.5) 3.1 (3.3)
Income Generator 1,736 13.5 (0.4) 6.4 (0.9) 6.4 -
Equity Income Generator 11
406 9.7 1.3 11.1 2.8 11.0 2.7
1 Absolute returns are annualised for periods greater than one year.
2 Excess return is measured against the client goal or market benchmark.
3 For this fund, two fund returns have been joined due to historical fund restructures.
4 AUM provided is the assets under management of the entire capability.
5 Calculated in accordance with the Mercer/IPD Pooled Property Fund Index methodology.
6 For this fund, AUM disclosed is the gross asset value.
7 Australia Pacific Airports Fund (APAF) is representative of the APAF fund range – it is disclosed as it is the initial fund in the APAF range.
8 For this fund, the client goal is to perform Q2 or better.
9 MySuper 1970s is representative of the MySuper range of funds – it is disclosed as it is the largest fund in the MySuper range.
10 Goal based funds aim to provide an investment outcome that meets client’s defined personal goals (rather than comparing to the market or a benchmark index).
11 For this fund, the client goal is an income yield measure.
30 Five year summary
Five year summary
FY 19 FY 18 FY 17 FY 16 FY 15
Earnings
Total operating earnings (A$m) 416 652 998 423 1,054
Underlying profit (A$m) 464 680 1,040 486 1,120
Profit/(loss) attributable to shareholders of AMP Limited (A$m) (2,467) 28 848 (344) 972
EPS – underlying (cps)1 14.8 23.3 35.5 16.4 37.9
EPS – actual (cps) (79.5) 1.0 29.3 (11.7) 33.3
RoE – underlying 8.2% 9.6% 14.3% 5.6% 13.2%
RoE – actual - 0.4% 11.7% (4.0%) 11.5%
Dividend2
Dividend per share (cps) - 14.0 29.0 28.0 28.0
Dividend payout ratio – underlying3 - 60% 81% 85% 74%
Franking rate4 - 90% 90% 90% 90%
Ordinary shares on issue (m) 1
3,437 2,937 2,918 2,958 2,958
Weighted average number of shares on issue (m) – basic1 3,127 2,923 2,930 2,958 2,958
– fully diluted1 3,156 2,942 2,952 2,976 2,978
– statutory 3,105 2,897 2,896 2,929 2,918
Share price for the period (A$) – low 1.60 2.27 4.75 4.42 5.30
– high 2.66 5.47 5.47 5.96 6.79
Margins
Australian wealth management investment related revenue to AUM (bps) 82 93 101 107 112
AMP Capital AUM based management fees to AUM (bps) – external 47.6 46.2 46.0 47.0 45.4
AMP Bank net interest margin (over average interest earning assets) 1.69% 1.70% 1.70% 1.67% 1.59%
Capital and corporate debt
AMP shareholder equity (A$m) 4,910 6,683 7,276 7,489 8,623
Corporate debt (excluding AMP Bank debt) (A$m) 2,139 1,849 1,681 1,562 1,801
S&P gearing 20% 17% 9% 9% 10%
Interest cover – underlying (times)5 8.1 11.0 20.6 9.2 20.0
Interest cover – actual (times)5,6 - 1.4 17.0 6.5 17.5
Cashflows and AUM
Australian wealth management net cashflows (A$m) (6,341) (3,968) 931 336 2,213
Australian wealth management persistency7 86.1% 88.3% 89.2% 90.2% 89.9%
Australian wealth management AUM (A$b)7 134.5 123.2 130.4 120.8 115.1
AMP Capital net cashflows – external (A$m) 2,526 4,219 5,477 967 4,434
AMP Capital AUM (A$b)8 203 187 188 165 160
Non-AMP Capital managed AUM (A$b) 69 71 69 75 66
Total AUM (A$b)9 272 258 257 240 226
Controllable costs (pre-tax) and cost ratios
Controllable costs (A$m) 1,544 1,366 1,361 1,393 1,329
Cost to income ratio 67.5% 55.8% 46.2% 63.7% 43.8%
Controllable costs to average AUM (bps) 57 52 55 62 59
Staff numbers
Total staff numbers10 6,519 6,189 5,697 5,464 5,420
1 Number of shares has not been adjusted to remove treasury shares. 6 Calculated on a rolling 12 month basis. FY 16 calculated excluding A$668m
2 The AMP Limited Board has resolved not to declare a final 2019 dividend. goodwill impairment incurred in 2H 16.
3 FY 16 calculated based on underlying profit excluding capitalised losses and 7 Excludes SuperConcepts assets under administration.
other one-off experience items. 8 FY 19 includes AMP Capital’s 24.9% share of PCCP. AUM measured at net
4 Full year franking rate is the franking applicable to the final dividend for asset value (A$1.7b).
that year. 9 Includes SuperConcepts assets under administration, refer to page 9.
5 Calculated on a rolling 12 month basis. FY 16 calculated including one-off 10 Excludes advisers.
experience losses of A$485m incurred in 2H 16.
Glossary of terms
Accounting treatment, definitions and exchange rates
Accounting mismatches – Refer to page 21. Dividend payout ratio – Calculated as dividend per share times
ordinary shares on issue at the time of dividend payment divided by
Additional Tier 1 capital – Includes components of capital for
underlying profit.
insurers and ADIs that are higher quality than Tier 2 capital, but do
not meet the requirements for Common Equity Tier 1 capital. EPS (actual) – Earnings per share calculated as profit attributable
to shareholders of AMP Limited divided by the statutory weighted
Capital Adequacy Ratio (AMP Bank) – Total regulatory capital divided
average number of ordinary shares.
by total risk weighted assets calculated using the standardised
approach. Total regulatory capital is comprised of Common Equity EPS (underlying) – Calculated as underlying profit divided by the
Tier 1 capital, Additional Tier 1 capital and Tier 2 capital. basic weighted average number of ordinary shares.
Common Equity Tier 1 capital – Comprises the highest quality External AUM (AMP Capital) – Assets managed by AMP Capital
components of capital that fully satisfy all of the following essential sourced from institutional clients (including corporate, public sector
characteristics: and industry superannuation funds, and large non-superannuation
a) provide a permanent and unrestricted commitment of funds funds), non-AMP dealer groups, private clients and international
b) are freely available to absorb losses clients and partnerships.
c) do not impose any unavoidable servicing charge against Group cash – Cash and cash equivalents held outside business units.
earnings, and
d) rank behind the claims of depositors, policyholders and other Group risk API – Contractual annual premiums payable on all
creditors in the event of winding up. in-force group risk policies.
Controllable costs – Include operational and project costs and Individual risk API – Contractual annual premiums payable on all
exclude variable costs, provision for bad and doubtful debts and in-force individual risk policies.
interest on corporate debt. Individual risk lapse rate – Calculated as annualised voluntary
cancellations as a percentage of average annual premium in-force
Controllable costs to AUM – Calculated as controllable costs divided
prior to cancellations. Policies expiring due to maturities, death or
by the average of monthly average AUM.
disablement and conversions are excluded from the calculation.
Corporate debt – Borrowings used to fund shareholder activities
Intangibles – Represents acquired goodwill, acquired identifiable
of the AMP group including the impact of any cross-currency
intangibles on merging with AXA, acquired asset management
swaps entered into to convert the debt into A$, but excluding
mandates, capitalised costs and associate equity investments in
limited recourse debt in investment entities controlled by AMP Life
financial institutions.
policyholder funds and debt used to fund AMP Bank activities. Refer
to page 25 for more detail. Interest cover (actual) – Calculated on a rolling 12 month post-tax
basis as profit attributable to shareholders of AMP Limited before
Cost to income ratio – Calculated as controllable costs divided by
interest expense on corporate debt for the year divided by interest
gross margin. Gross margin is calculated as total operating earnings
expense on corporate debt for the same period.
and underlying investment income before tax expense plus
controllable costs. Interest cover (underlying) – Calculated on a rolling 12 month
post-tax basis as underlying profit before interest expense on
Cost to income ratio (AMP Bank) – Calculated as controllable costs
corporate debt for the year divided by interest expense on corporate
divided by gross margin, excluding loan impairment expenses. Gross
debt for the same period.
margin is calculated as total operating earnings before tax expense
plus controllable costs. Internal AUM (AMP Capital) – Assets managed by AMP Capital
sourced from AMP’s business units.
Deferred acquisition costs (DAC) – Margin on Services (MoS) is the
financial reporting methodology developed to report life insurance Investment performance (AMP Capital) – The percentage of AUM
business in Australia. Under MoS, the profits that are expected meeting or exceeding their client goals.
to be earned on life insurance contracts emerge over the life of Level 3 eligible capital – Comprises the highest quality components
the business as services are provided and income received. Under of capital for AMP Limited as the head of a Level 3 group. Level 3
MoS, all costs associated with acquiring new business (including eligible capital has similar characteristics to Common Equity Tier 1
adviser payments, controllable costs and stamp duty) are allowed capital for insurers and ADIs.
for in determining profit margins and policy liabilities. For wealth
protection business, this normally results in negative policy Liquidity Coverage Ratio (LCR) – A requirement to maintain an
liabilities for new business. The amount of this negative policy adequate level of liquid assets to meet liquidity needs for a 30
liability is often referred to as DAC or implicit DAC. calendar day period under a stress scenario. Absent a situation of
financial stress, the value of the LCR may not be less than 100%.
Defined benefit fund – A scheme that provides a retirement
Market adjustment – annuity fair value – Refer to page 21.
benefit, usually based on salary and/or a predetermined formula
for calculating that benefit. Unlike an accumulation scheme, the Market adjustment – investment income – Refer to page 21.
retirement benefit and method of calculation is known to the Market adjustment – risk products – Refer to page 21.
member at all times.
Minimum regulatory capital requirements (MRR) – Refer to page 22.
32 Glossary of terms
Accounting treatment, definitions and exchange rates cont’d
Net interest margin (AMP Bank) – Net interest income over average S&P gearing – Senior debt plus non-allowable hybrids divided by
interest earning assets. economic capital available plus hybrids plus senior debt. Economic
capital available is as defined by Standard & Poor’s and includes
Net seed and sponsor capital income (AMP Capital) – Income
AMP shareholders’ equity (including goodwill and acquired AXA
on seed and sponsor capital assets, including normal valuation
intangibles, but excluding acquired asset management mandates
movements and net profit/loss on sales, offset by funding costs.
and capitalised costs).
Net Stable Funding Ratio (NSFR) – The Net Stable Funding Ratio
Tier 2 capital – Includes components of capital for insurers and
seeks to promote the stable funding of a bank’s balance sheet
ADIs that, to varying degrees, fall short of the quality of Common
based on the liquidity characteristics of its assets and off-balance
Equity Tier 1 capital and Additional Tier 1 capital but nonetheless
sheet activities over a one year time horizon. The measure aims to
contribute to the overall strength of an insurer or ADI.
ensure that long-term assets are financed with at least a minimum
amount of stable funding. Underlying investment income – The investment income on
shareholder assets invested in income producing investment assets
Operating earnings – Represent shareholder attributable profits
(as opposed to income producing operating assets) attributed to
or losses that relate to the performance of a business unit. The
the BUs (including Group Office) has been normalised in order to
principles of life insurance accounting are used in reporting
bring greater clarity to the results by eliminating the impact of
the results of AMP Life. Operating earnings exclude investment
short-term market volatility on underlying performance. The excess
earnings on shareholder capital and one-off items.
(or shortfall) between the underlying return and the actual return
Persistency – Calculated as opening AUM less cash outflows during is disclosed separately as market adjustment – investment income.
the period divided by opening AUM. Wealth management total Underlying returns are set based on long-term expected returns for
cash outflows are adjusted to exclude internal flows so as to reflect each asset class, except for a short-term return, equivalent to a one
external cash outflows only. year government bond, set annually for the implicit DAC component
of shareholder assets. The return on AMP Bank income producing
Practice finance loans – Business loans provided to AMP aligned
investment assets is included in AMP Bank operating earnings.
financial advisers, which are secured by a General Security
Agreement over the adviser’s business assets, including the client The underlying post-tax rate of return used for FY 19 is 2.5% pa
servicing rights, or other assets. Commercial lending credit policy, (unchanged from FY 18) and is based on the long-term target asset
process and rates apply to these loans. mix and assumed long-term rates of return. The investment return
equivalent to a one year government bond of 1.3% pa post-tax is
Return on capital (AMP Bank) – Return on capital is calculated
being applied to the implicit DAC for FY 19 (1.3% in 2018).
as operating earnings after income tax, less distributions on
Additional Tier 1 capital divided by average total capital resources Shareholder funds invested in income producing assets may
(for the purpose of this calculation, total capital resources is be higher or lower than BU capital due to the working capital
balance sheet equity, less Additional Tier 1 capital) for the period. requirements of the business unit.
RoBUE – Return on BU equity is calculated as BU underlying Underlying profit – AMP’s key measure of business profitability,
operating profit after income tax (including underlying investment as it normalises investment market volatility stemming from
income) divided by the BU’s average of monthly average tangible shareholder assets invested in investment markets and aims to
capital resources. No allowance is made for the benefit of gearing, reflect the trends in the underlying business performance of the
which occurs at the AMP group level. AMP group. Underlying profit excludes all items listed below the
‘underlying profit’ line on page 4. Other items largely comprise the
RoE (actual) – Calculated as annualised profit attributable to
net of one-off and non-recurring revenues and costs.
shareholders of AMP Limited divided by the average of the monthly
average shareholder equity for the period. Variable costs – Include costs that vary directly with the level of
related business (eg investment management fees and banking
RoE (underlying) – Calculated as annualised underlying profit
commissions and securitisation costs).
divided by the average of the monthly average shareholder equity
for the period.
Exchange rates AUD/NZD

2019 FY 19 – closing 1.0419
– average 1.0545
2H 19 – closing 1.0419
– average 1.0576
1H 19 – closing 1.0448
– average 1.0500
2018 FY 18 – closing 1.0499
– average 1.0807
Registered Office:
33 Alfred Street
SYDNEY NSW 2000
AUSTRALIA
amp.com.au
Website
For additional 2019 full year results information, visit AMP’s website at amp.com.au/shares
You will find:

– background information on AMP, business units, management and policies
– statutory reporting at the AMP Limited level (incorporating shareholder, policyholder and non-controlling interests)
– archived webcasts of presentations to investors and analysts
– archived ASX announcements and historical information
– definitions and details of assumptions.
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ASX Announcement

Manager Client and Market Services Team

AMP Limited (ASX/NZX: AMP)

Full Year Financial Results

Part One: Appendix 4E

Part Four: Investor report

AMP Limited Public Affairs

AMP group leadership team

Michael Vercoe Senior Institutional Investor Relations Manager

AMP Strategic and business overview 2

AMP business unit results AMP Australia

Group Office and other items of profit and loss 20

Additional AMP group information Sensitivities – profit and capital 26

Five year summary 30

Glossary of terms Accounting treatment, definitions and exchange rates 31

Important general notes

Resolution Life transaction

Strategic and business overview

–– AMP Bank’s total revenue increased 2% and the net interest

–– AMP Capital AUM increased A$15.8b (8%) to A$203.1b in FY 19

1 Includes SuperConcepts assets under administration, refer to page 9.

Dividend per share (cps) - - - 14.0

1 Number of shares has not been adjusted to remove treasury shares.

AMP Australia | Australian wealth management

Profit and loss (A$m) FY 19 2H 19 1H 19 FY 181 % FY

Ratios and other data

Operating earnings Investment related revenue to AUM

Resolution Life transaction impacts

FY 19 tangible capital resources includes requirements relating to

AMP Australia | Australian wealth management cont’d

Australian wealth management cash inflow composition (A$m)

Australian wealth management – AUM by asset class

Corporate superannuation External platforms

Other corporate superannuation comprising CustomSuper,

AMP Australia | AMP Bank

Profit and loss (A$m) FY 19 2H 19 1H 19 FY 18 % FY

Ratios and other data

AMP Bank funding composition (A$b) 2H 19 1H 19 FY 18

Operating earnings Variable and controllable costs

Credit quality, impairment provisions and loan

Profit and loss (A$m) FY 19 2H 19 1H 19 FY 18 % FY

Ratios and other data

Operating earnings Controllable costs

AMP Capital cont’d

Cashflows and AUM

Movement in AUM by channel FY 18 to FY 191

1 AMP Capital cash inflows reported net of fees and taxes.

New Zealand wealth management

Profit and loss (A$m) FY 19 2H 19 1H 19 FY 181 % FY

Ratios and other data

KiwiSaver Other1 Total

Composition of net cashflows by product

Operating earnings Controllable costs

1 Measured by AUM. Source: FundSource Limited September 2019.

Profit and loss (A$m) FY 19 2H 19 1H 19 FY 18 % FY

Ratios and other data

Businesses sold to Resolution Life Annual premium in-force (API)

Capitalised (losses)/reversals and other one-off

The accumulated capitalised loss position at 31 December 2019 was