In a wide-ranging meeting,O’Malley also reiterated the bank’s support for the Voice,which has included a $2 million donation to the Yes campaign,saying the position was consistent with CBA’s long-standing goals.
CBA is Australia’s biggest mortgage player,accounting for about one in four home loans. But the latest official figures,published late last month,show its home loan book contracted in July and August,as Westpac and ANZ Bank expanded.
Responding to a shareholder asking how it would respond,O’Malley said this was a question that was also on the board’s mind,as he emphasised theintensity of mortgage competition.
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“I’m actually going to get Matt to elaborate on the competitive response,noting that the board is also asking that question because it’s important that we maintain share,” O’Malley said.
“But it’s also very important that we do it economically,and understand that it’s important that we deliver the right return on capital for using shareholders’ money as we actually price and compete for mortgages.
“Perhaps getting that balance right is not always easy,but the loss of share I think was done for the right reasons – it was to make sure that we were appropriately using shareholders’ money.”