AustralianSuper’s appointment of a new deputy CIO with the lion’s share of responsibility for its overseas investments demonstrates the growing importance of international diversification for the country’s biggest funds.
Australia’s sovereign wealth fund and New Zealand Super have topped this year’s Global SWF governance, sustainability and resilience rankings, while institutions the world over are rethinking their investment strategies amidst market ructions.
While making it through recent market events is an “accomplishment”, asset managers need to shake things up in order to survive. They’re doubling down on what worked in the past instead.
Even with the market-shaking events of 2022 mostly in the rearview and most of the valuation pressure now played out, equities won’t be moving much higher unless something big changes.
The $70 billion super fund has appointed WTW as asset consultant to its board and board investment committee as it internalises a substantial chunk of its funds under management.
Australia’s largest super funds are casting a close eye over their property and infrastructure allocations amidst challenging market conditions, according to new research from J.P Morgan. And while investment internalisation continues to gather pace, not all funds are sold on its worth.
Even the fund has been caught off-guard by demand for its new index and socially conscious high-growth options, which were rolled out in response to members wanting more choice – but not so much that they were overwhelmed.
The amount of investment required for the energy transition will likely prove to have an inflationary impact. But doing nothing will make the inflation surge of the post-Covid years seem paltry in comparison.
Treasury is fine-tuning the Your Future, Your Super performance test ahead of its next iteration in August. While the updates could pave the way for a better test, its extension to trustee-directed products is cause for consternation.
Good news from other emerging market countries has been overshadowed by spotty data and a sluggish recovery in China. But the recovery is gathering pace, and there’s good news on the geopolitical front too.
