The transition of MasterKey and Plum MLC registries, and associated applications, from NAB to Insignia Financial is one of the largest wealth management separations in Australian financial services history, the company said in a statement on Tuesday .
As part of the separation, the company said it successfully migrated more than 700,000 MasterKey and Plum accounts, 55 systems and applications and more than 100 terabytes of data, allowing the company to completely transition systems and NAB technology.
Additionally, employees now operate entirely within the Insignia Financial environment, serving clients, employers and advisors independently.
“The separation of MLC and NAB was the most significant initiative we had to implement as an organization in FY25, and I am pleased to announce this important separation step,” said Insignia CEO Scott Hartley.
“Following the migration of MLC Wrap, MLC Navigator and associated offerings to the MLC Expand platform in April, this separation once again demonstrates our ability to deliver large-scale, complex transformation projects. This is also the second successful execution of a major exit from a bank’s retirement business, the first being Insignia Financial’s spin-off of ANZ’s retirement and investment businesses in 2022. he added.
Hartley acknowledged that while work remains to be completed before Insignia fully exits the Transition Services Agreement (TSA) in May 2025, reaching this milestone allows the company to streamline its Master Trust capabilities and focus during the 2025-2026 financial year towards accelerated and sustainable growth. supported by a constant commitment to its customers.
“This separation will simplify and streamline processes and generate significant cost savings with the TSA exit. These savings are included in the FY25 net cost reduction of $60 million to $65 million and the BAU’s net operating expense reduction target of approximately $200 million over FY26 to FY30. , as announced at our recent investor day,” he said.
As part of Insignia Financial’s transition, the company said it also moved the company’s general ledger and MLC to Workday, upgraded its infrastructure and applications, improved system performance and strengthened security and surveillance to make its environment safer for its members.
At the same time, Insignia Financial introduced operational enhancements for technology teams to improve system and infrastructure management and moved some applications, including MLC’s main ledger system, to the cloud.
