News

It may just be a bit of fun from the New York Times but, in the paper’s usual fashion, a lot of evidence is presented to support its thesis. Venture capital managers are increasingly interested in investing in the ‘mystical services market’. That’s astrology to you and me. According to a New York Times report…

by Greg Bright It may take 20 years but the millennial generation may pose the biggest challenge yet to large profit-for-member super funds. Citing anecdotal evidence from his family and other observations, Nick Sherry says the penchant for new technologies and demand for low-cost services by millennials could be the main driver of super in…

Northern Trust, the big global custodian bank and fund manager, has launched in Australia what it calls an ‘integrated trading solution’. The firm has produced a white paper which discusses the trading issues. It’s better to outsource, they say. The paper makes the case for outsourcing securities trading, as well as other aspects of value-add…

Alpha is a zero-sum game and beta is uncertain, according to Steve Merlicek, the famous CIO, now in semi-retirement and, these days, as much a farmer as investment professional. So, what do you do? Merlicek was speaking on the panel session at the Northern Trust seminar in Melbourne (see separate reports) earlier this month. He…

For the global real estate-backed manager, Heitman Capital Management, investing back into Australia and New Zealand adds value across the client base because it gives the firm a better understanding of the local market, too. And real estate debt strategies are a good place to be right now. David Maki, Heitman’s co-head of private real…

Sean Fenton, the highly regarded long/short manager at Tribeca Investment Partners, has left the firm and is talking to potential partners to set up on his own. He sold his shares in Tribeca last year. Fenton, who launched Tribeca’s ‘alpha plus’ (130:30 or 120:20 long/short) fund in 2006, has been replaced by his co-portfolio manager,…

Australia’s administration, trustee and software companies have a great track record in international expansion, unlike many other Australian companies in other industries. With the rapid growth in our super industry, that’s a good thing. It’s good to have Australians looking after Australian assets. We’re probably not smarter than anyone else, on average, and we may…

As the European property market starts to look a bit more interesting, compared with the US anyway, Clarion Partners, a Legg Mason affiliate manager, has spread its wings with the acquisition of Gramercy Europe, another property specialist manager. Clarion is a leading US real estate investment management business with US$50 billion under management, and Gramercy…

by Norman Tweeboom* The Royal Commission and Productivity Commission have sparked a ‘New Age of Transparency’ for Australia’s superannuation industry, joining it in the global march towards better retirement saving outcomes and experiences. How successful it will be relative to other global retirement systems depends on how well the superannuation ecosystem can future proof their…

NZ Super has extended its ESG exclusions policy, ridding itself of any investments in companies involved in the manufacture or distribution of automatic and semi-automatic firearms and parts, which are now prohibited under New Zealand law. Seven international stocks have been excluded from its portfolio. The NZ$41 billion (A$38.7 billion) fund has always had a…

by Greg Bright The trustee board of the $4.5 billion BUSSQ industry fund last Monday, April 1, terminated its long-standing CIO, bypassing the fund’s chief executive in the decision-making process. It was no April Fools’ Day joke. Officially, David O’Sullivan, the CIO of BUSSQ and former chief executive, is “on leave”, according to Linda Vickers,…

Maple-Brown Abbott has rationalised its securities servicing arrangements, which previously included two custodians – RBC Investor Services and NAB Asset Servicing – by replacing them both with a new provider. Maple-Brown, which manages about A$10 billion, is understood to have appointed Northern Trust as its sole securities services provider. It should be pointed out, however,…