Macquarie Bank tests waters with new product

By Andrea Lavigne | 03 Feb 2010

Macquarie Bank Limited is testing out a new product through select broker groups.

The lender revealed it started trialling the Macquarie Bank Mortgage Solutions product, which is bundled with a credit card and insurance, through AFG and Vow Financial brokers in December.

According to a Macquarie spokesperson the product has received good feedback from brokers, but it is too early to determine if it will released through the wider market.

Macquarie owns a 10% stake in AFG and 20% in the recently launched Vow Financial aggregation group.

Vow Financial was unveiled to the market yesterday and is headed by CEO Jeff Zulman.

This is not Macquarie's first foray into third party distribution. Macquarie Mortgages, which relied on securitisation, was crippled during the credit crisis and quickly wound down.

Related stories:

Macquarie-backed aggregator finally unveiled - The curtains have finally been opened on the new aggregator body backed by Macquarie Bank Limited.

Back

Latest comments

Start a new discussion

Commented by: SteveL at 03 Feb 2010 10:24 AM
If they can get back to where they were in terms of Service and support to the broker channel, they could send a rocket up the majors.....and they are probably the only ones capable of doing such. bring it on!

Commented by: Peter at 03 Feb 2010 12:52 PM

Macquarie must be encouraged for two reasons. If the banks are to have competition it will only come from the likes of Macquarie who actually have the clout to make it happen. Secondly Macquarie is very fickle in that if there aren't instant good returns they will withdraw which would suit the other lenders agenda. If brokers get behind them and they get a good return Macquarie may stick at it which would be good for brokers.

Commented by: BBB at 03 Feb 2010 01:03 PM
What assurance have any of us that macquarie will stay in the game the next time the going gets tough? Others did,can macquarie with their so called size and balance sheet strenght assure us of their committment to the broker market. One would hope they can assure the broker market that they are in for better or worse !!!- No fair weather sailors please!!!!!!!

Commented by: Guru at 03 Feb 2010 03:36 PM

BBB, your mind along with many other brokers is simplistic. Any wholesale or distribution business needs to make decisions as to how they sell their product, method of distribution and who they sell to. It will always be under review dependent on market forces regardless whether you sell cardboard boxes or money... Why do brokers like you want re-assurances that the lenders will provide money but then cry foul when they ask you to commit to a quantity or quality level? Grow up! You’re a middle man – get use to it!

Commented by: sniffer at 03 Feb 2010 05:20 PM
After what we've seen in the past two years I dont see how a lender can truthfully state how long they will be in the market. AS long as when they are not lending they support their existing clients. We need lenders like Mac Bank so we can take the fight to the banks and get custoemrs better deals

Commented by: Moot at 03 Feb 2010 07:03 PM
Spot on BBB! Guru wake up to yourself.

Commented by: Mike R at 03 Feb 2010 11:55 PM
Whilst Macquarie would be good for brokers and increase competition, I am not going to send clients Macquarie's way, until I know they are here for the long term. I have been burnt once already. First, "Show me the money, and your here for the long haul".

Commented by: Tony H at 04 Feb 2010 08:42 AM

Guru makes a good point, we are middle man. Unfortunately, in the case of Macquarie that made our clients the "meat in the Sandwich". When they decided to exit the market last time and save their own butts, they callously and significantly raised interest rates for the clients we had promoted to them. You know something smells when all it takes is a phone call to get the interest rate reduced over half a percent. You have shat in your own nest Macquarie- not for me.

Leave your comment

Start a new discussion

Broker news forum is the place for positive industry interaction and welcomes your professional and informed opinion.

You must login with your Broker news username and password to leave a comment. If you are not already a member, sign up now!

Post your comment below or
E-mail the editor with your viewpoint

Post a comment
Broker news welcomes your contribution. Your IP address is recorded in the event of a complaint.

Name *

Comment *

You are about to submit your comment. Is it:

Professional

In your own name or pseudonym, not impersonating someone else

Free from rude language

Free from advertising

If you prefer not to post but are still keen to get your viewpoint across, you can always e-mail the editor.