Momentum Group (MTM) Investor Update summary

Strategic context and evolution

• Launched a new three-year Impact Strategy for F2025–F2027, evolving from prior cycles, with a focus on meaningful impact, growth, and resilience amid tough economic conditions.

• Adopted a federated operating model, leveraging business unit autonomy, collaboration, and efficiency, while simplifying the brand and structure as Momentum Group.

• Significant portfolio rationalization, exiting several African and non-core markets to focus on profitable growth and core strengths.

• Emphasis on advice-led growth, digital transformation, and building impactful client experiences.

• Empowering top-performing businesses and clear turnaround plans for underperformers are central to capital deployment.

Market dynamics and key considerations

• Low South African growth, changing client needs, and regulatory complexities drive the need for digitalization, cost optimization, and market expansion.

• Importance of advice, technology advancements, and untapped markets are key themes, balancing digital and face-to-face distribution.

• Scale challenges and operating model optimization are highlighted, with a focus on strengthening market-leading businesses.

Key strategic objectives

• Unlock full potential of top-performing businesses through targeted investment and clear turnaround plans for underperformers.

• Harness synergies of collaboration within the federated model to drive efficiency, reduce duplication, and unlock internal growth.

• Optimize cost base with a group-wide cost reduction target of ZAR 1 billion, focusing on IT, procurement, and process automation.

• Aggressively invest in advice-led growth, aiming to expand advisor footprint and leverage technology for consistent client service.

• Selectively expand addressable market via channel, segment, product, and geography, focusing on competitive advantage.