ANZ Banking Group considers complete divestment of wealth and life insurance units

ANZ Banking Group is considering a complete divestment of its wealth and life insurance units for up to $6bn. The development comes as the bank attempts to move towards a simplified approach, selling its online broking arm and a range of minority stakes throughout Asia. ANZ is reportedly not seeking to maintain any minority shares of the units and, instead, will seek a clean break from its wealth management arm after finalising its review in August.

ANZ Banking Group's preferred exit option, if it pulls the trigger, is understood to be a complete divestment of its wealth and life insurance operations.

The bank is immersed in a review of its wealth division but sources told Street Talk the lender was leaning toward a clean exit rather than following in the footsteps of National Australia Bank's life deal.

If ANZ were to opt out of wealth and life insurance the local market would digest a hefty $5 billion to $6 billion deal.

ANZ is assessing options for its wealth and life insurance operations. Erin Jonasson

Last year, NAB sold 80 per cent of its life business to Japan's Nippon Life although has thus far left its broader wealth operations untouched. ANZ is said to be looking at entering distribution arrangements without maintaining minority stakes.

Firm decisions at ANZ, are however, yet to be made ahead of the wealth review being wrapped up in August.