POWERED BY MOMENTUM MEDIA
AustSafe Super adopts AB overlay strategy
Adopting AllianceBernstein's (AB's) equity risk-management overlay strategy will boost risk-adjusted returns for AustSafe Super members, the fund's chief executive, Craig Stevens believes.
The industry fund announced the decision to use the AB Factor Risk Completion strategy, to improve risk-adjusted returns without reducing the potential to generate alpha.
"By allocating a proportion of our international equities exposure to this overlay strategy, we believe we can improve the management of our equity portfolio without diluting conviction in the underlying investment managers or reducing the return sources we wish to target," Stevens said.
AB chief executive, Australia, Jen Driscoll, said the service applies a disciplined quantitative process combining AB's proprietary risk and alpha models, aiming to reduce the impact of unintended common exposures and asset crowding, and to improve the balance of pay-offs across time-horizons by diversifying risk in a capital-efficient way.
AUTHOR
Nicholas O'Donoghue
Nicholas is a journalist for Money Management and Super Review. Nicholas has several years experience as a journalist, reporting and managing websites for various news publications covering the medical and pharmaceuticals sector.
Recommended for you
In this latest edition, Anna Shelley, CIO at AMP, shares the fund’s approach to current market conditions and where it continues to uncover key opportunities.
The mega fund has announced a $2.2 billion investment in a leading data centre platform, bringing its global real assets portfolio to nearly $60 billion.
In this latest edition, Australian Retirement Trust’s head of global real assets Michael Weaver explains the fund’s approach to finding new opportunities as it surpasses $300 billion in funds under management.
Fund managers remain hopeful for a Chinese revival story despite the “disappointing” stimulus package announced this week.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
61.07 3 y p.a(%)
2
Spire Oaktree Opportunities XI First Close USD
59.21 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
32.57 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
32.09 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
27.42 3 y p.a(%)
