CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

Why the AMP share price surged on Thursday

The AMP share price rose firmly on Thursday after the company revealed that Francesco De Ferrari would be stepping down from his role as CEO.


Following significant media speculation last week, AMP Ltd (ticker: AMP) on Thursday officially announced that its current CEO – Francesco De Ferrari – would be stepping down from his role.

This comes after the beleaguered wealth management firm spent much of last week denying rumours of its CEO’s resignation. On March 25, the firm said:

'AMP Limited notes the media reports today and confirms that Francesco De Ferrari remains as Chief Executive Officer of the group.'

And then again on March 26, the firm said:

‘AMP confirms there has been no change to the CEO's position and that MR De Ferrari has not resigned.'

However this time, AMP added that the Board and Mr Ferrari were 'constructively discussing the future strategy and leadership of the group.'

This constructive discussion has apparently resulted in Mr Ferrari’s retirement.

In his place, Alexis George is set to take up the reigns as the new group CEO. Ms George previously worked at ANZ, most recently holding the role of Deputy Chief Executive Officer. Before that, she spent a decade at ING and is also a member of the Institute of Charted Accountants.

Including super, Ms George is expected to net an annual salary of $1.715 million, in addition to a number of other perks, including a sign-on equity focused award valued at $4.091 million

She is set to take on the CEO role in the fourth quarter of 2021, assuming no regulatory issues arise.

AMP share price ↑

The AMP share price was up significantly on this news, rising 5.14% to $1.33 per share by 12:41PM.

This takes us to our next point.

Between the handover, Mr Ferrari will continue to lead AMP. In particular, he will continue to work closely with the Board on a number of the firm's key strategic priorities, including the potential sale of AMP’s private markets business to Ares Management.

That sale has been a key point of interest to the market in recent months, as the two companies grapple with amenable terms of a possible sale.

In late February, AMP announced it had entered into a non-binding agreement to sell a 60% stake in its private markets business to Ares. Under the joint venture AMP would retain 40% of the business.

'AMP and Ares will enter into a 30-day period of exclusivity, to work towards a binding transaction.'

On Monday, AMP told the market that the period of exclusivity had ended, but that the companies were still working towards a potential deal.

'Ares has expressed interest in acquiring 100 per cent of the private markets businesses,’ the company flagged, a material departure from the joint venture partnership described in late February.

This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Friday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.