State Super has announced it has awarded a large Australian equity income mandate to Omega Global Investors’ Smart Beta plus-based strategy.
The move would be expected to help offer a commercially attractive core equity portfolio with enhanced income and downside protection.
State Super’s senior investments manager, Andrew Huang, said the fund worked closely with Omega to help meet the needs of its large base of members approaching retirement age.
“Omega worked with us to design a well-integrated strategy that combines factor investing and an option overlay in a transparent way,” he said.
According to Omega’s portfolio manager, Andrew Gruskin, the key aspects of his firm’s approach included:
“Our strategy development required not only taking a holistic view of investable markets, but carefully interrogating the underlying factors that drive the stated investment outcomes for the benefit pf investors,” Gruskin said.
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.
Pension funds in Australia and the UK are embracing recent developments that will facilitate the deployment of superannuation capital toward the energy transition in both countries.
With the Goldman Sachs’ S&P 500 long-term outlook occupying headlines over recent days, an Aussie economist has weighed in, noting that, while difficult to time, the US market is poised for a downturn.