It’s not so much the scale as the speed of Australian Retirement Trust’s growth that makes investing tough. A big allocation today might be a tiny slice of the pie tomorrow.
As Australian superannuation assets approach A$4 trillion, politicians on both sides of the divide will be tempted to dip into this massive nest egg to meet their fiscal needs, writes Rob Prugue.
Burgess, Debelle join ART
Former Future Fund managing director Mark Burgess (pictured) will join Australian Retirement Trust as a director of its board and a member of the investment committee in mid-2023. He currently chairs the investment committee of HESTA and will join after his term concludes.
Also joining as a director is Linda Apelt, formerly the agent-general for Queensland in the United Kingdom and Northern Ireland and investment commissioner for Queensland in Europe and Sub-Sahara Africa. Guy Debelle, the former deputy governor of the Reserve Bank of Australia, will also join ART as an external adviser. He was previously chief financial officer of Fortescue Future Industries and remains a director, and also chair the climate change working group of the Australian Council of Financial Regulators.
“As we seek to invest more than $240 billion on behalf of 2.2 million members who trust us with their retirement savings, these new appointments bring a wealth of experience in investment markets, and in critical areas of focus and opportunity,” said ART chair Andrew Fraser.
“The collective national and international experience and insight of our new appointees will benefit the fund as we seek returns in Australia and abroad. We look forward to the contribution of these high-calibre leaders in helping ART deliver on our vision to be Australia’s most chosen and trusted retirement partner.”
Burgess’ departure from the HESTA board was announced just hours prior to his appointment at ART. At HESTA, Burgess helped oversee the fund’s creation of internal investment capabilities for Australian equities, fixed income and cash.
“When Mark joined us, we were appointing a new CIO and were embarking on a bold and exciting vision for the future of investments at HESTA,” said HESTA CEO Debby Blakey. “Mark has been a much-valued source of insight and guidance over many years that’s supported us to keep building the capacity of our investment team to deliver strong, long-term investment performance for our more than one million members in the years ahead.”
Burgess also oversaw “landmark investment decisions”, including the development of HESTA’s first climate change transition plan. The fund has since lifted its interim target for emission reductions to 50 per cent from 33 per cent by 2030.
“As the inaugural Chair of HESTA’s Investment Committee, Mark has helped guide the realisation of our investment strategy that’s seen us continue as a leading global investor delivering strong, competitive, long-term returns for members,” said HESTA chair Nicola Roxon. “I’d like to thank Mark for his contribution that’s continued to build on the Fund’s focus on investment excellence with impact and strong track record of performance.”
