AMP Ltd (ASX: AMP) shares have had a tough year. The Aussie wealth manager’s value has slumped 31.7% in 2021 to a market capitalisation of $3.5 billion. With the August reporting season kicking off next week, here are a few things to watch as an AMP investor.
What to watch in August if you own AMP shares
AMP is currently undergoing a significant period of change. The 2018 Financial Services Royal Commission, a number of scandals, and significant structural change have meant there’s a lot happening for the Aussie financial services group right now.
One of the first things investors will be watching is AMP’s own half-year results update on 12 August. Earnings have been mixed in recent years and this August could provide some insight into AMP’s future strategy. AMP Capital has long been AMP’s most consistently profitable entity and a mooted private markets business spin-off means investors will be keeping an eye on performance.
AMP shares are under the pump right now, but could a change of leader mean a change in fortunes? Former Australia and New Zealand Banking Group Ltd (ASX: ANZ) deputy CEO Alexis George is set to join AMP as CEO on Monday. George will take over the reins with a big task ahead to turn around AMP’s profitability and share price.
Shareholders will also likely be watching AMP’s FY2022 outlook for any insightful commentary. There has been a flurry of rumoured and actual portfolio sales in recent months. That means with so much happening at AMP and its re-shaping of the business for the future, the August reporting season is worth watching.
Aside from AMP’s own results, it might also pay to keep an eye on what others in the market are doing. Investors will likely be watching out for other Aussie wealth managers like IOOF Holdings Limited (ASX: IFL) and even Macquarie Group Ltd (ASX: MQG). Following what AMP’s peers and rivals are doing can provide useful industry context in evaluating how much AMP shares are worth.
AMP shares remain under the pump heading into the August reporting season. These are just a few things shareholders might be watching as they hope the new CEO can right the ship in 2021 and beyond.