IOOF Sheds Further Light on Its Growth Strategy; Our Thesis Is Unchanged

IOOF adopts a multibrand business model. This helps it appeal to a broader set of clients and was effective in alleviating the Royal Commission reputational damage. Immediate priorities include setting a higher bar for advice quality, with restructuring the adviser network a longer term goal. Tighter compliance and education requirements are enforced to ensure high operating standards. IOOF also intends to increase the proportion of salaried advisers within its network, as this helps the firm extract higher gross margins.