Macquarie posts ‘record quarter’, mortgage book grows

Investment giant Macquarie has posted another record-breaking quarter in profits, driven by favourable market conditions and buoyed by a rapidly growing mortgage book.

Macquarie reported its assets under management grew by 2 per cent in the three months to December 31 to $750.1 billion, caused largely by positive market impacts and strong returns from green energy, business services and technology investments.

Macquarie Group CEO, Shemara Wikramanayake described the results as a “record quarter” but added the team remained cautious with a conservative approach to capital.Credit:AFR

Maquarie also gained market share in the lucrative home loan market, with mortgages growing by 8 per cent to $82.8 billion, as the investment bank harnesses technology to reduce approval times as majors struggle with legacy systems.

Macquarie chief executive Shemara Wikramanayake described the results as a “record quarter” but added the team remained cautious with a conservative approach to capital. The group has a capital surplus of $11.5 billion.

“We continue to maintain a cautious stance, with a conservative approach to capital, funding and liquidity that positions us well to respond to the current environment.

“More broadly, we remain well positioned over the medium term, based on our deep expertise in major markets, a diversified and adaptable mix of strong businesses, an ongoing program to identify cost-saving initiatives and efficiency, a strong and conservative balance sheet and a proven risk management framework and culture.”

More to come

The Market Recap newsletter is a wrap of the day’s trading. Get it each weekday afternoon.

Most Viewed in Business

Source: Read Full Article