POWERED BY MOMENTUM MEDIA
RBF awards fixed income mandate to FIIG
Retirement Benefits Fund (RBF) has awarded a $300 million term deposit mandate to fixed income specialist FIIG Securities.
The Tasmanian public sector fund approached FIIG for access to its network of more than 60 authorised deposit-taking institutions (ADIs) and has confirmed the mandate after due diligence.
RBF chose FIIG due to its proprietary fixed income and deposit portfolio optimisation systems, which can be tailored to individual investment needs and portfolio construction requirements, it said.
FIIG will be responsible for ongoing reporting, maintaining the transparency of data held with each bank, and communicating market intelligence.
RBF chief investment officer Ian Lundy said FIIG's expertise and information technology infrastructure were pivotal to the appointment.
"By awarding a mandate to FIIG we avoid the need for costly internal infrastructure and systems. This is much simpler and more cost effective than if we implemented their recommendations ourselves, and has clear benefits for our members," he said.
FIIG executive director Bill Keogh said the move was part of a larger trend by industry funds keen for passive cash holdings. The passive mandate would be invested in term deposits across several banks and ADIs, according to Keogh.
"An optimised portfolio of term deposits provides a much more effective return than actively managed cash portfolios at much lower costs, which in turn directly benefits investors and members," he said.
Keogh said FIIG had implemented the first stage of a major new Microsoft Dynamics-based infrastructure project to bolster its money market team and technology infrastructure.
RBF provides superannuation and financial advice services to more than 77,000 members and manages $4.1 billion in investments.
AUTHOR
Staff Writer
Money Management staff writers are writers who contribute to the website from time to time. If you would like to discuss the content contained within this article please contact us.
Recommended for you
Demand from institutional investors was the main driver of growth in Australia’s responsible investment (RI) market in 2023, as the industry continued to gain momentum.
Institutional investors have entered November with their largest pre-election equity allocation in two decades, according to new data.
The sovereign wealth fund remains cautious of the impact of high inflation as it announces a strong return in its latest update.
Australia is becoming increasingly recognised as an attractive investment opportunity against global counterparts, recent analysis has found.
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
31.56 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.06 3 y p.a(%)
5
DomaCom 4/27 Crombie Avenue Bundall QLD 4217 Australia
26.81 3 y p.a(%)
