FNB expands offering as competition in sector stiffens
The bank is investing in financial planning capabilities and plans to sell more comprehensive life insurance
FNB is repositioning itself as a diversified financial services company in anticipation of fee pressure as new banks enter the market. The bank, which already offers life insurance to about 3.7-million policyholders, has rolled out robo-advice tablets to 500 branches to allow its staff to sell comprehensive underwritten life cover and investment products. FNB retail CEO Raj Makanjee said the bank expects to have robo-advice at all branches by the end of 2019. “We want to move from being a bank to an integrated financial services organisation. The combination of being a leading transactional bank and being able to help our customers manage money through the lend, invest and insure pillars, we think will help us continue to sustain the strategy that made us successful,” said Makanjee. “To keep sustaining the returns and profit growth, we had no choice but to look at alternative revenue streams.” The new offering will see FNB start to compete with companies such as Discovery, which ha...
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