UniSuper has surpassed the $100 billion in funds under management (FUM) milestone as it opens to members outside the higher education sector on Monday.
Kevin O’Sullivan, UniSuper chief executive, said: “Today is a momentous occasion for the fund. Hitting $100 billion in FUM, including over $12 billion in our sustainable options, as we open our doors to all Australians, marks a significant milestone for UniSuper.
“The continued growth and popularity of our three sustainable investment strategies along with the exceptional investment returns of almost 50% from our unique Global Environmental Opportunities option have contributed to the fund hitting this key milestone.
“There has been a tremendous amount of work in the build-up to today, and we’re thrilled to finally bring our award-winning range of services and investments to a wider audience, while continuing to offer the same excellent service our existing members have come to expect.”
O’Sullivan said since announcing it would open to a wider market in early May, the response from existing members was positive.
“This is a real testament to our member focus, consistent strong performance and low fees,” O’Sullivan said.
“This powerful combination, and our growing scale, will be even more important as regulatory change and industry consolidation continue to reshape the super sector.
“It’s been a real honour to lead this wonderful organisation over the last eight years and I’m very proud of the many successes achieved.
“Opening the fund more broadly signifies an exciting new chapter for UniSuper, and this is just the beginning.”
Jim Chalmers has defended changes to the Future Fund’s mandate, referring to himself as a “big supporter” of the sovereign wealth fund, amid fierce opposition from the Coalition, which has pledged to reverse any changes if it wins next year’s election.
In a new review of the country’s largest fund, a research house says it’s well placed to deliver attractive returns despite challenges.
Chant West analysis suggests super could be well placed to deliver a double-digit result by the end of the calendar year.
Specific valuation decisions made by the $88 billion fund at the beginning of the pandemic were “not adequate for the deteriorating market conditions”, according to the prudential regulator.