POWERED BY MOMENTUM MEDIA
Call for super funds to centralise portfolio management
It’s time for super funds looking for new ways to value-add with their multi-manager active equity programs to get serious about using a centralised portfolio management (CPM) approach, according to a global implementation specialist.
A CPM would ideally separate the idea-generation function of each active equity manager in a fund’s system from the implementation function, as well as separating the latter.
The approach could also see funds get a whole-of-equities risk dashboard, centralise proxy voting, and minimise tax leakage on Australian and global equity portfolios, the chief executive of the specialist’s, Parametric, Australian arm, Chris Briant, said.
He also said that current market conditions invited a CPM approach, with “market volatility, over-priced equities, scarce alpha and frugal fee budgets creating a perfect storm for super funds with multi-manager active equity programs”.
“In this investment environment, the logical response is to reconsider how the multi-manager equity ‘jigsaw’ fits together and can be implemented using CPM,” Briant added.
Recommended for you
The Federal Court has ordered AustralianSuper to pay $27 million for failures to address multiple member accounts.
The country’s fourth-largest fund is targeting the “missing middle” of members with a new digital advice service in partnership with Ignition Advice.
The prudential regulator confirmed it is considering BUSSQ’s Federal Court appeal.
The Albanese government has put forward a bold proposal to tackle the challenges of Australia’s swelling retirement pool, in an effort to allow superannuation funds to play a more active role in shaping members’ retirement outcomes.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
2
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.78 3 y p.a(%)
3
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
30.80 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
28.31 3 y p.a(%)
