A.M.P. SOCIETY

Wairarapa Times-Age, 29 April 1938, Page 3

A.M.P. SOCIETY

DIRECTORS’ ANNUAL REPORT. Following is the annual report of he directors of the A.M.P. Society for the year 1937, to be presented at the annual meeting in Sydney on May 6:—

The new business completed in the Ordinary Department, including reassurances of £326,331, comprised 62,652 policies, assuring £24,176,655, and 171 annuities for £44,508 16s 7d per annum. In the Industrial Department 123,928 new policies were issued assuring £7,551,044 15s. These sums assured represent an increase over the corresponding sums assured for 1936, of £2,300,631 in the Ordinary Department and of £1,447,648 13s in the Industrial Department. Claims by death in the Ordinary Department amounted to £2,807,623 12s Bd, including £1,068,793 2s 4d for bonus additions, after deduction of amounts which had been re-assured. Endowment and endowment assurance policies matured amounting to £1,623,464 3s including £513,993 8s for bonus additions. Policies assuring £5,099,219 3s and annuities amounting to £7,880 8s lOd became void from other causes. Claims by death and maturity in the Industrial Department amounted to £1,101,513 3s 9d.

The total of. the accumulated funds of the Ordinary and Industrial Departments has been increased by £5,225,625 3s 4d, and now amounts to £108,411,880 Is Bd, which includes £12,873 17s Id in the Claims Investment Account and £12,262 5s 7d in the Disability Fund. The directors decided to release a sum of £50,000 from the Investment and Contingencies Reserve Funds, which now amount to £2,102,503 3s sd, and to utilise the amount to write down the book values of the office premises. In addition, provision has been made for accrued taxation amounting to £lOO,OOO. The society’s investments in various loans to the Commonwealth and States of Australia, to New Zealand and other Dominions, to Great-Britain and to local government and other public bodies in Australia, New Zealand and other dominions amount in all to £64,412,328 2s Bd. The Actuary’s report, a copy of which will be supplied to any member oh application, shows a surplus of funds over liabilities in the Ordinary Department of £3,054,782 4s 3d, out of which £109,899 5s 7d is to be carried forward and £2,944,882 18s 8d is to be allotted for distribution among the participating policy-holders. This will provide reversionary bonuses of about £5,076,000. The surplus in the Industrial Department, which is to be distributed among participating policy-holders, is £327,884 12s 9d, providing reversionary bonuses amounting to about £435,000. The rate of interest realised on the mean funds (including the Fidelity

Guarantee Fund, the Investment and Contingencies Reserve Funds and the provision for accrued taxation) was £4 7s 5d per cent. In the Ordinary Department, commission, expenses of management, and taxes absorbed respectively 6.47, 7.64, and 3.82 (a total of 17.93) per cent of the premium receipts, excluding purchase money for annuities, the corresponding percentages for 1936 being 6.17, 7.85, and 3.62 (a total of 17.64). In the Industrial Department, commission, expenses of management, and taxes absorbed respectively 18.87, 10.99, and 1.69 (a total of 31.55) per cent of the premium receipts, excluding purchase money for annuities, the corresponding percentages for 1936 being respectively 18.16, 10.08, and 1.79 (a total of 30.03). It will be observed that taxation paid during the year in the two departments combined amounted to £306,217 7s lOd.

A special meeting of the society was held on March 5, 1937, to consider certain proposals for the amendment of the by-laws. These proposals were recommended by the directors and were carried by a very large majority. The directors retiring in terms of by-law 15 are Dr George Henry Abbott and Mr William Aberdein Mackay, both of whom are eligible for reelection and have given notice of candidature. Mr John Edward Garvan has also given notice that he is a candidate for one of the two vacant seats. Mr E. S. Wolfenden, A.1.A., F.C.A. (Aust.), auditor, retires in terms of by-law 29, but is eligible for re-elec-tion and has given the requisite notice.