POWERED BY MOMENTUM MEDIA
Is scale needed for net zero outcomes?
Having scale is the best way to reach net zero outcomes, as larger funds have more influence over investment decisions, according to a panel.
Speaking at the Frontier conference, Sue Brake, Future Fund chief investment officer (CIO), said decarbonisation was a huge theme and not being part of it meant being an ineffective steward of assets.
“The way in which you can get thoughtful in the way you help the energy transition and how make sure capital is in the right place to make the change is something smaller funds would not have the same influence,” Brake said.
“I do think there’s an advantage, there’s some interesting ways in which we can help the transition and I’m not saying smaller funds can’t participate in that, but I can see some really interesting strategies we’re running and themes we’re looking at where you need a bit of capital and resources to be able to run.”
Kristian Fok, Cbus CIO, said there was more collaborative efforts on this particularly around private markets.
“When you can control capital decisions and reframe how you might choose between maybe on opportunity that is mindful around low discount rates, new technology or increasing sustainability… having scale capability and influence means you can do a lot more there,” Fok said.
“We’ve certainly seen that in the property space but now we’re seeing infrastructure assets being considered in the same way.”
Mark Delaney, AustralianSuper CIO and deputy CEO, said: “It really is a combination of good investment sense and good social sense so if we’re in a position to do something we should do it”.
Recommended for you
Governor Bullock took a more hawkish stance on Tuesday, raising concerns over Trump’s escalating tariffs, which sent economists in different directions with their predictions.
Equity Trustees has announced the appointment of Jocelyn Furlan to the Superannuation Limited (ETSL) and HTFS Nominees Pty Ltd (HTFS) boards, which have oversight of one of the companies’ fastest growing trustee services.
Following growing criticism of the superannuation industry’s influence on capital markets and its increasing exposure to private assets, as well as regulators’ concerns about potential risks to financial stability, ASFA has released new research pushing back on these narratives.
A US-based infrastructure specialist has welcomed the $93 billion fund as a cornerstone investor.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
Global X GlobalX FANG+ ETF
33.51 3 y p.a(%)
2
Spire Oaktree Opportunities XI Second Close
32.68 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.62 3 y p.a(%)
4
Spire Oaktree Opportunities XI First Close USD
31.36 3 y p.a(%)
5
Fidante Credit Suisse Global Private Equity
29.60 3 y p.a(%)
