Latest news with #MTF
Scoop
2 days ago
- Business
- Scoop
Built To Endure: MTF's Long-Term Strategy Delivers Growth In Tough Times
Press Release – MTF While many businesses are trimming budgets, MTF is increasing its investment in its people, brand, and technology to deliver long-term value to its shareholders and customers. Releasing its FY25 half-year report, Chair Mark Darrow commented: 'We're pleased to share our Half Year Report, highlighting continued growth and investment in our people, technology, brand, and local communities. At a time when rising costs and economic uncertainty are prompting many businesses to scale back, MTF is charting a different course; one built on resilience, values, and long-term thinking.' Backed by a unique business model and powered by strategic investment in brand and technology, MTF is showing that it is possible to grow responsibly without compromising affordability for customers. 'Now more than ever, Kiwis need financial partners who are local, and on their side,' says CEO Chris Lamers. 'We are not chasing short-term gains; we are building a business that stands the test of time and helps communities thrive. Looking ahead, we're focused on what matters most -delivering exceptional customer satisfaction, growing our market share, driving total shareholder return, and building for the future through continued investment in business technology and transformation.' Holding firm while others retreat In the face of economic pressure, MTF has: Grown revenue – while reducing administration overheads by 12 percent through disciplined cost management Reduced key customer fees – including establishment, maintenance, and settlement fees – while choosing not to pass on rising costs to borrowers, protecting affordability at a time of increasing financial strain Increased market share in personal lending – with year-on-year growth of more than 20 percent, as reported by Centrix Continued investment in a new technology platform – laying the foundation for long-term efficiency, scalability, and customer experience improvements. The programme achieved a significant milestone in the first half, with the ability to process loans now live. Grown total assets up to $1.23b Refreshed the brand and increased marketing investment – driving greater awareness and preference in both vehicle and personal lending categories Achieved record originator earnings of $48.1m, up 9 percent on last six months Increased dividend by 43 percent to six cents per share At the heart of MTF's approach is its franchise & approved dealer model, with 54 locally owned franchises and 164 active dealers embedded in communities across the country. As shareholders in the business, MTF's Originators bring an ownership mindset to everything they do – driving accountability, agility, and a deep understanding of local needs – enabling MTF to remain close to its customers while scaling effectively. 'Our Originators aren't just writing loans – they are local businesspeople supporting their communities,' says Lamers. 'That model gives us strength, and more importantly, it gives us purpose.' 'In the past 12 months, MTF has increased its investment in technology and will be rolling out a new platform over the coming year. At the same time, a refreshed brand and increased marketing investment is driving greater awareness and preference for the business, showcasing the focus on small business and non-vehicle loans. 'The investment in a new platform is an investment in both technology and people, ensuring we can leverage new systems to deliver on enhanced analytics, using artificial intelligence to create better experiences for our team and our customers, as well as launch new products and continue evolving existing ones.' Lamers is frank about the pressures but remains optimistic: 'It's a competitive space, and we are realistic about the challenges. But our focus is on long-term, sustainable growth – where our customers and our shareholders have a great outcome, rather than chasing short-term wins at the cost of long-term performance.' Four years ago, MTF's Board set in place a new strategy – and that direction continues to deliver. 'The ongoing, consistent investment in business transformation and product diversification have played a key role in positioning the business to weather economic uncertainty while staying connected to customers and ready to adapt,' says Darrow. MTF's strategy stands in contrast to much of the industry – investing in future capability rather than scaling back, and choosing to grow with intention, not pressure. 'That why we will keep making lending about people – and why we'll continue to earn their trust in a changing world,' says Lamers. About MTF: MTF is 100 per cent New Zealand owned, and our history dates back to 1970. We provide innovative finance solutions to New Zealanders through our 54-strong franchise network, vehicle dealers and partners such as AMI. This has helped us grow into a business with assets of more than $1.23b. We are launching new products and partnerships while staying true to our core – that we are people helping people, powered by a world-class funding system. MTF has been recognised and rewarded as the top-rated finance company in New Zealand, in 2024 the company was awarded Reader's Digest Top Trusted Brand award in the car loan provider category and rated the top finance company on Trustpilot. MTF is listed on the NZDX.
Scoop
2 days ago
- Automotive
- Scoop
Built To Endure: MTF's Long-Term Strategy Delivers Growth In Tough Times
Releasing its FY25 half-year report, Chair Mark Darrow commented: 'We're pleased to share our Half Year Report, highlighting continued growth and investment in our people, technology, brand, and local communities. At a time when rising costs and economic uncertainty are prompting many businesses to scale back, MTF is charting a different course; one built on resilience, values, and long-term thinking.' Backed by a unique business model and powered by strategic investment in brand and technology, MTF is showing that it is possible to grow responsibly without compromising affordability for customers. 'Now more than ever, Kiwis need financial partners who are local, and on their side,' says CEO Chris Lamers. 'We are not chasing short-term gains; we are building a business that stands the test of time and helps communities thrive. Looking ahead, we're focused on what matters most -delivering exceptional customer satisfaction, growing our market share, driving total shareholder return, and building for the future through continued investment in business technology and transformation.' Holding firm while others retreat In the face of economic pressure, MTF has: Grown revenue - while reducing administration overheads by 12 percent through disciplined cost management Reduced key customer fees - including establishment, maintenance, and settlement fees - while choosing not to pass on rising costs to borrowers, protecting affordability at a time of increasing financial strain Increased market share in personal lending - with year-on-year growth of more than 20 percent, as reported by Centrix Continued investment in a new technology platform - laying the foundation for long-term efficiency, scalability, and customer experience improvements. The programme achieved a significant milestone in the first half, with the ability to process loans now live. Grown total assets up to $1.23b Refreshed the brand and increased marketing investment - driving greater awareness and preference in both vehicle and personal lending categories Achieved record originator earnings of $48.1m, up 9 percent on last six months Increased dividend by 43 percent to six cents per share At the heart of MTF's approach is its franchise & approved dealer model, with 54 locally owned franchises and 164 active dealers embedded in communities across the country. As shareholders in the business, MTF's Originators bring an ownership mindset to everything they do - driving accountability, agility, and a deep understanding of local needs - enabling MTF to remain close to its customers while scaling effectively. 'Our Originators aren't just writing loans - they are local businesspeople supporting their communities,' says Lamers. 'That model gives us strength, and more importantly, it gives us purpose.' 'In the past 12 months, MTF has increased its investment in technology and will be rolling out a new platform over the coming year. At the same time, a refreshed brand and increased marketing investment is driving greater awareness and preference for the business, showcasing the focus on small business and non-vehicle loans. 'The investment in a new platform is an investment in both technology and people, ensuring we can leverage new systems to deliver on enhanced analytics, using artificial intelligence to create better experiences for our team and our customers, as well as launch new products and continue evolving existing ones.' Lamers is frank about the pressures but remains optimistic: 'It's a competitive space, and we are realistic about the challenges. But our focus is on long-term, sustainable growth - where our customers and our shareholders have a great outcome, rather than chasing short-term wins at the cost of long-term performance.' Four years ago, MTF's Board set in place a new strategy – and that direction continues to deliver. 'The ongoing, consistent investment in business transformation and product diversification have played a key role in positioning the business to weather economic uncertainty while staying connected to customers and ready to adapt,' says Darrow. MTF's strategy stands in contrast to much of the industry - investing in future capability rather than scaling back, and choosing to grow with intention, not pressure. 'That why we will keep making lending about people - and why we'll continue to earn their trust in a changing world,' says Lamers. MTF is 100 per cent New Zealand owned, and our history dates back to 1970. We provide innovative finance solutions to New Zealanders through our 54-strong franchise network, vehicle dealers and partners such as AMI. This has helped us grow into a business with assets of more than $1.23b. We are launching new products and partnerships while staying true to our core - that we are people helping people, powered by a world-class funding system. MTF has been recognised and rewarded as the top-rated finance company in New Zealand, in 2024 the company was awarded Reader's Digest Top Trusted Brand award in the car loan provider category and rated the top finance company on Trustpilot. MTF is listed on the NZDX.
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Business Standard
22-05-2025
- Business
- Business Standard
Groww to hike minimum brokerage, DP and MTF charges from June 21
Groww India, the largest brokerage in terms of active clients, is planning to raise its minimum brokerage from late next month. In an email to its clients, the broking firm said that from 21 June onwards, it will raise its minimum broking charges from ₹2 to ₹5. Currently, the firm charges a brokerage of ₹20 or 0.1 per cent of the executed order, whichever is lower, but with a minimum charge of ₹2. The minimum charge will be raised to ₹5 from 21 June. The company also revised the interest rate it charges for the margin trading facility (MTF) to 14.95 per cent per annum for the funded amount. Groww charges 15.75 per cent per annum as MTF interest for funding amounts less than ₹25 lakh and 9.75 per cent for ₹25 lakh and above. MTF is a product that allows brokers' clients to buy stocks by paying only part of the total value. The broker funds the remaining amount and charges interest on this loan. Depository Participant (DP) charges for clients will also go up—from ₹18.5 per day per stock regardless of the number of sale transactions—to ₹20 per sale transaction. DP charges are mandatory fees applicable to every sale transaction. These charges are only applied when an investor sells stocks and are levied by the depository. They also include additional fees charged by the broker for facilitating the transaction. 'While the depository charged Groww for every sell transaction, Groww covered those charges for you. With the revised pricing, DP charges for each sell transaction will now be applicable to you,' the brokerage said in the email. Prakarsh Gagdani, CEO of Torus Financial Market, said the cost of doing broking business is forcing brokerages to hike rates. 'Technology is a big cost. Secondly, because of the regulatory changes, the revenues that came earlier are being reduced. The changes in referrals, true to label norm, in funds being parked with brokers, and the interest brokers used to get, as well as an increase in the lot size of derivatives, impacted revenue. On one hand, the cost is increasing, and because of the changes, revenues are getting hit. The only way in front of brokers is to increase the charges,' Gagdani said.
Economic Times
22-05-2025
- Business
- Economic Times
Why is Groww raising brokerage fees by 150% for small trades?
The new rules allow brokers to levy transaction charges on clients that they would pay the Market Infrastructure Institutions (MIIs) - stock exchanges, clearing corporations, and depositories. Synopsis Groww, a major Indian brokerage firm, will increase its minimum equity brokerage charges. The increase is from ₹2 to ₹5 per order. This change impacts smaller equity trades. The new fee structure will be effective from June 21. Other brokers like Angel One previously raised their fees. These changes follow regulations impacting brokerage profits. Mumbai: Groww, India's largest broker in active clients, is set to increase its fees by 150% for low-ticket transactions as the profitability of discount broking firms has come under pressure in the face of tighter regulations. ADVERTISEMENT The firm, in a communication to clients, said it will hike the minimum equity brokerage charges to ₹5 per order from ₹2, for equity trades from June 21. The move is expected to increase the trading costs of smaller transactions. The IPO-bound firm with about 13 million active clients will charge brokerage fees in the range of ₹5 to ₹20 per trade against ₹2 to ₹20, currently. Other larger brokers, like Angel One, also had increased their brokerage charges from 0 to ₹20 on equity trades late last year, after the Securities and Exchange Board of India's 'true-to-label' norms announced in July last year squeezed brokerages' profits. The new rules allow brokers to levy transaction charges on clients that they would pay the Market Infrastructure Institutions (MIIs) - stock exchanges, clearing corporations, and depositories. This has eliminated the hidden markup, which has hit brokers' profitability. 'Following the regulatory changes introduced last year, we've seen a notable decline in derivative volumes across Indian markets, which has had a significant impact on broker revenues,' said Ashish Nanda, President and Digital Business Head at Kotak Securities. 'Sebi's 'True to Label' circular further removed the rebates that previously contributed 10 to 50% of brokers' income.' Equity derivatives turnover on NSE declined 27% to Rs 39.5 lakh crore in March from Rs 54.4 lakh crore in September, according to NSE. Nanda said due to these pressures, many firms have resorted to price hikes as a way to offset the financial hit. After the regulatory tightening, Zerodha founder Nithin Kamath said on X: 'With the new circular, we will, in all likelihood, have to let go of the zero brokerage structure and/or increase brokerage for F&O trades. Brokers across the industry will also have to tweak their pricing.' Groww also revised the interest rates for the MTF (Margin Trading Facility) — a system that allows investors to borrow to buy shares they cannot afford —at 14.95% per annum. Currently, the broking firm charges 15.75% per annum as MTF interest for funding amounts less than Rs 25 lakh and 9.75% for Rs 25 lakh and above. ADVERTISEMENT This decision will make it more expensive for the high-volume users of the MTF facility. Groww said the Depository Participant (DP) charges for clients will also go up from Rs 18.5 per day per stock (irrespective of the number of sale transactions in a stock) to Rs 20 per sale transaction 'Earlier, you were charged DP charges once per stock (ISIN) per day,' said the firm in the client communication. 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The Star
18-05-2025
- Automotive
- The Star
‘Let us have access to e-vetting system'
Sharing his views: Wong speaking during the seminar in Kuala Lumpur. — YAP CHEE HONG/The Star KUALA LUMPUR: With accidents involving trucks continuing to make headlines in recent weeks, a logistics industry leader is urging the government to expand access to an e-vetting system that will allow employers to screen potential lorry drivers for criminal or drug-related offences. Malaysia Trucking Federation (MTF) president Datuk Ng Koong Sinn said that currently, only lorry drivers operating at ports are subject to e-vetting, leaving other sectors, such as companies transporting sand or stone, unable to properly vet their drivers before hiring them. 'They should consider expanding e-vetting for all lorry services and provide us access to the system so we can better screen for possible bad apples before hiring,' he said before an MTF seminar on current logistics industry challenges yesterday. He encouraged all MTF members and other industry players to consider conducting regular drug and urine tests on their drivers as a preventive measure. Meanwhile, Association of Logistics Entrepreneurs Malaysia president Puvaneaish Subramaniam highlighted the issue of substandard lorry spare parts in the market. She said the widespread availability of cheap, low-quality parts is compromising road safety, especially among smaller operators struggling to survive in a highly competitive, low-margin industry. 'These parts should not even be allowed into the country in the first place, which is why the government needs to crack down and regulate the market to protect competitiveness and overall road safety,' she said. Malaysian Institute of Road Safety Research chairman Prof Dr Wong Shaw Voon said industry players need to integrate road safety into their occupational health and safety business management systems. 'Adopting long-trusted safety management systems such as ISO 39001 or ISO 45001 would help embed road safety responsibility across their entire value chain. 'This would not only increase road transport safety awareness among the implementing company and its stakeholders but also allow for consistent measurement of the company's road safety performance,' Wong said in his speech at the seminar.
