"The cost cutting – to be executed over three years – is more expansive than expected by the market, but as far as the advertised ‘transformation strategy’ goes, it's more a case of tweaking what's there already. Contrary to speculation Perpetual will continue to exist as three main divisions: Perpetual Investments, private wealth and the corporate trust (which was most favoured to be sold). 'The (corporate trust) business brings good annuity revenue to the business, which offsets our more volatile market focussed business,’ Lloyd says. Like most ‘strategy’ announcement the Perpetual announcement is vision-light. But to be fair, Lloyd was hired with the specific charter of aligning costs with the poor equities market.”
Business Spectator’s Stephen Bartholomeusz offers another perspective on the cost cutting.