Will Australian banks ditch their wealth management business?

They may do so without being forced.

A report from Bloomberg said Australian banks are likely to get out of their wealth-management businesses without the need for government to force divestment, according to the head of a parliamentary banking inquiry. 

“You will see over time banks will get out of their wealth management businesses because it is an area that has caused them problems and it’s a relatively small proportion of their business,” ruling Liberal Party lawmaker David Coleman told Sky News Australia Sunday. “I’m not sure I would support forced divestment.”

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