ANZ smaller but better, CEO tells shareholders

Sydney

AUSTRALIA and New Zealand Banking Group (ANZ) said on Tuesday that its strategy of selling non-core business units would help it increase shareholder returns in the face of difficult trading conditions.

Chief executive Shayne Elliott said banks were facing about 3 per cent lower returns on equity due to rapidly changing technology, higher capital and liquidity requirements as well as a new government levy on the sector introduced this year.

"The good news is that we are doing something about it and managing our costs heavily and we are being ruthless about the way we allocate our capital (into higher…