KVS Financial Management is preparing to suffer a “financial catastrophe” if the Queensland Government does not implement a financial management plan, the company has said.
Key points:Key points :The KVS group has about $8.7 billion in cash on hand and the company is one of the country’s largest asset managersThe plan will see KVS sell off its vast portfolio of mortgage and other assets in the event of a financial crisis, it saysKVS is one the countrys largest asset management companies and its shares are up about 11 per cent on the last trading day of trading on the ASXSource: KVS The company, which has about 4,000 employees and a $8 billion portfolio, has about 1,000 clients across the country, according to a statement.KVS’ statement also warned that if the Government does implement a plan, it would cause “significant damage” to the business.
“If implemented, the plan will cause significant damage to the KVS financial management portfolio,” the statement said.”KVS expects significant damage if implemented, and its business will suffer significant disruption in the short to medium term.”
While we will work with the Queensland government to address the impact on our financial management and the Kvs portfolio, KVS would not hesitate to initiate a liquidation of the assets it has in the face of a disruption in business, or if the plans are not implemented in a timely manner.
“Mr Andrews said the plan was still in development.”
The plan is still in the process of being put together, but it will be very soon released, I would expect, as part of the Queensland National Financial Review,” he said.
Mr Andrews also promised a full review of the Australian Taxation Office’s review of KVS.”
That will be announced at a later date,” he told ABC Radio.KNV Financial Management’s portfolio of debt includes a number of credit card companies and an energy and gas company.KOV Capital has a $1 billion portfolio in Australian property and real estate, while the company also owns about $3 billion in foreign exchange.
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