In a statement to the stock exchange, it said it expected to report an underlying profit for retained businesses – Australian wealth management, AMP Bank, AMP Capital and New Zealand wealth management – of A$140 million to A$150 million.

A year ago it reported a first-half profit of A$309 million.

The results had been affected by a range of factors including market volatility and a credit loss provision in AMP Bank.

AMP said it had prioritised servicing clients throughout this period, including temporarily increasing resources, as well as maintaining business resilience, which has resulted in additional costs.

The pandemic had also impacted the pace of investment spend, including the cost reduction programme, though AMP was committed to delivering A$300 million of annual run-rate cost savings and its transformation investment of A$1 billion to A$1.3 billion.

AMP chief executive Francesco De Ferrari said: “AMP has taken decisive action to support clients and employees and maintain a strong and resilient business, as Covid-19 continues to impact investment markets and the broader economy.

“Our strong capital position and liquidity have positioned us well to respond, though our first half results have been impacted by the market volatility.

“The pandemic has presented many challenges but has not distracted us from our mission to transform AMP into a simpler, client-led, growth orientated business.

“In the first half, we have made significant progress in delivering our strategy including completing the highly complex sale of AMP Life which simplifies our portfolio and sets us up well for the future.”