There’s “nothing sinister” about funds taking advantage of government incentives to enhance returns for members, according to IFM. And when it comes to those funds heading offshore, “culture eats strategy”.
There’s too many associations around, and the proposed tie-up between the AIST and ISA could bring super closer to a single voice at a time when it needs it more than ever. The problem is what that voice might say.
Your Future Your Super makes ESG investing a fraught proposition for super funds. But decarbonising benchmarks doesn’t have to generate (that much) tracking error – if you do it right.
While funds have backed affordable housing as an asset class, nation-building initiatives like the Housing Australia Future Fund (HAFF) still need tweaks to create certainty for institutional investors.
Super funds are sticking with the ‘best endeavours’ approach to the Superannuation Data Transformation program. But in giving less information, they’re going to get less back.
Systemic risk is difficult for investors to grasp because it’s no big deal – until it is. And unless investors adopt a “vastly different” mindset about pricing, it’s going to get a lot worse.
APRA’s “utopian ambition” for organic super fund consolidation might not be realised, leaving a long tail of small funds. More drastic measures could be needed.
Farming out sustainable investing to passive or low cost options isn’t “for the faint of heart”. In a new world where the winners aren’t as obvious, active management should thrive.
Private market managers aren’t entirely insulated against falls in the public markets, which have resulted in diminished fundraising activity. But private assets aren’t going to stop outperforming anytime soon.
Political polarization in the United States and new regulations affecting the labelling of products and funds means boutique ESG managers are back in the spotlight.
