News Flash 26 November 2008
Commonwealth Bank of Australia (CBA) Performance
Despite current challenging market conditions worldwide, the underlying business performance of the Commonwealth Bank of Australia (”the Group”) remains strong.
The Group:
- Continues to hold an AA international credit rating – one of only 20 banks worldwide to do so
- Holds a very healthy AUD $66 billion in liquid assets
- Holds a 30% market share in household deposits, more than double its next Australian competitor
- Has had the strongest deposit balance growth during the past 12 months of all the Australian banks at 34%
- Has continued to increase its home loan market share in 18 consecutive months
- Has a tier 1 capital ratio of 7.5% (FSA equivalent of 11%), the highest of our Australian competitors and of most European banks
As reported in last week’s Annual General Meeting in Melbourne, half year results for 2008/2009 will be adversely impacted by significantly higher first half provisions. These are driven primarily by exposures to ’Lehman Brothers’, ’Allco Finance Group Limited’ and ’ABC Learning Centres Limited’.
There is no evidence of systemic credit issues, and overall credit quality in the Group’s consumer and commercial books remains sound.
The Group continues to maintain a cautious approach in the current environment, with emphasis on maintaining strong capital, funding and liquidity positions.
While the Australian economy has been relatively resilient, domestic economic activity is slowing, but despite the slowdown, CBA Chairman John Schubert has reassured the market that CBA is outperforming its major peers in financial performance and will continue to do so.
Commonwealth Life Corporate Update
Click on below file to see Commonwealth Life and Commonwealth Bank of Australia's strength and performance in facing the global economic condition.
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News Flash 13 Oktober 2008
Trading on Indonesia Stock Exhange (IDX) resumed today, 13 October 2008. Investra’s unit price for today, 13 October 2008, will be calculated on Tuesday, 14 October 2008 and will be published on Commonwealth Life’s website as well as in the media on Wednesday, 15 October 2008.
News Flash 9 Oktober 2008
Q&A IDX Trading Suspension and its effects to Commonwealth Life
- Why did Indonesia Stock Exchange (IDX) suspend its stock transactions?
On 8 October 2008, the IDX composite index fell more than 10%. Suspension of trading is allowed under IDX operational procedures in order to minimize stock price fallout in extreme situations. So basically, this intervention was positive for the current market.
- How long will this condition occur?
The suspension policy is subject to government decision. We will update you regularly regarding this condition which has occurred only once previously - when IDX was subject to terrorist attack in September 2000. Suspension is never expected to last for much more than a couple of days.
- As an Investra product owner, what should I do?
To know what you should do, please review your risk profile and investment goal. Because Investra is a long-term investment, it would be wise for you to consider maintaining your investment for the future.
- When trading has been suspended, can I still withdraw, redeem, switch, top up, redirect, or reinstate my policy?
When IDX has suspended trading, we are unable to process any of the above-mentioned requests. The simple reason for this is that there are no available unit prices. However, any such requests received will be processed as soon as trading resumes.
- If I buy Investra while trading is suspended, will I still be covered under the policy?
Your life cover will commence when your policy is issued, because basically your life cover and investment are separate matters.
- Under this condition, what should I do for my policy renewal?
Your policy renewal should not be affected by this situation because you need to renew your policy to keep your cover. The transactions involving unit prices will be processed after IDX has resumed trading.
Statement First State Investment 8 October 2008
Statement First State Investment 9 October 2008
Announcement Indonesia Stock Exchange