AMP Ltd (ASX: AMP) shares closed 1.74% higher at $1.755 per share on Thursday.
Yesterday, AMP stood out among its peers in the ASX 200 financials sector.
The S&P/ASX 200 Financials Index (ASX: XFJ) fell 0.07% on Thursday while the benchmark S&P/ASX 200 Index (ASX: XJO) lifted 0.3%.
So, what happened with AMP shares yesterday?
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Final distribution on capital notes announced
There was no price-sensitive news out of AMP today to explain its outperformance.
However, the wealth manager did announce plans to redeem some capital notes.
AMP announced that it would redeem the five-year AMP Capital Notes 2 (ASX: AMPPB) issued on 23 December 2019.
AMP will redeem the notes on 16 December and all holders on the register on 8 December will receive $100 for each note.
The company will also pay a final distribution of $1.8508 per capital note with 20% franking for the final three-month period.
The capital notes will cease trading at the market close on 4 December.
AMP said it will not accept off-market transfers after 8 December.
What else is news with AMP of late?
AMP released its third quarter update on 16 October, revealing a 3.6% increase in total assets under management (AUM) to $159.5 billion.
The growth was largely due to its platforms business, with net cashflows increasing by a substantial 61.6%.
The superannuation & investments division experienced a net cash outflow of $214 million, which was smaller than the $334 million lost in the prior corresponding period.
AUM in the superannuation & investments division increased 3.4% to $60.5 billion.
AMP Bank reported its total loan book increased by 1.3% to $23.8 billion, and total deposits of $20.8 billion.
The wealth manager did not issue any guidance for the rest of the financial year.
Should you buy AMP shares?
The AMP share price has risen 18% over the past 12 months.
AMP shares hit a five-year high of $2.01 last month.
Macquarie has a neutral rating on AMP with a 12-month share price target of $1.92.
The broker said: "To become more bullish we need to see a live walk-through of the "best in class technology platform".
Macquarie noted that APRA had released its monthly Authorised Deposit-taking Institution Statistics for September.
The broker said:
AMP's Gross Loan and Acceptance (GLAA) balance was +2.3% from Dec '24 vs market at +5.2%.
GLAAs are ~45bps below closing balances expected by MRE at Dec '25 and ~84bps below VA expectations.
