Analysis

A lively session on the IMCA program last Friday in Sydney looked at the AIST proposal for managers to pay for the operational due diligence to be performed on them by ‘third-party’ assessors. Not everyone is happy with the proposal. IMCA (the Investment Management Consultants Association), an educational body for investment professionals, organised the discussion…

by Greg Bright  Link Group, which entered the managed funds administration business late last year with the acquisition of White Outsourcing, looks likely to shake up this disaggregated part of the industry following a re-branding exercise to be announced today (June 19). White Outsourcing is the main competitor for what is the only “full-service” managed…

International events of the past 12 months have certainly breathed life into global financial markets, as well as providing investors with new challenges. Heena Chakravorti* of Bloomberg puts the position for Australian investors in a global perspective. The Australian economy has started to rebound following the commodities rally, and continues to do so. However, while…

There are not too many free kicks in the investment game and while the increasingly popular factor investing or smart beta strategies can be one, it is not always the case. Investors need to do their homework when embarking on a factor investment program. ‘Factor investing’, which is a term often used interchangeably, but probably…

The probability of a US recession over the next five years is around 70 per cent, according to PIMCO’s latest analysis. So it’s worth speculating on the causes and contours of the “next recession”. In the report, called ‘Pivot Points’, PIMCO poses two scenarios: The economy bumps along until a major external shock hits. The…

by Greg Bright The strong demographic trend to retirement, coupled with structural changes within funds management, is prompting a rethink in the way big super funds handle portfolio risks around the older – and richer – segments of their membership base. FIS Global held discussion groups last week. At breakfast meetings in Sydney and Melbourne,…

It is amazing that a debate continues between passive and active management, nearly 40 years after its emergence in Australia with the arrival of State Street and Russell Investments to these shores in the mid-1980s. Nevertheless, it does. The really odd thing is, in emerging markets at least, the debate is still worth listening to….

ASIC has fast-tracked licensing for 33 fintech entities under its two-year old ‘Innovation Hub’ program, a report issued last week reveals. But there is still only one player actually in the ‘sandbox’. According to the ASIC report, the Innovation Hub – launched in March 2015 to streamline licensing for fintech firms – had dealt with…

Industry fund Sunsuper beat strong challenges from eight other big super funds – all not-for-profit funds – to take out the prestigious ‘Super Fund of the Year’ award at the annual Chant West awards evening in Sydney last week. At a sell-out dinner, Scott Hartley, Sunsuper’s chief executive, congratulated his staff, which is usual for…

Forget ‘big data’. That is so last year. The latest developments in technology to improve both efficiencies from operations and returns from investment strategies are mostly to do with artificial intelligence. Philippe Denis and Philippe Benoit, both from BNP Paribas, spell out the world into which we are heading. BNP Paribas Securities Services last year…

State Street Global Advisors published its annual “Stewardship Report” last week. It is worth a read to help get a better understanding about the ESG tsunami washing over our industry. There is now no doubt: ESG management makes money. If you don’t have a strategy, please hand in your license. Most recently famous for coming…

The global growth story, which the world has been witnessing for the past few months, or maybe even a year, is not all good news. It poses challenges for fixed income investors, with likely rising rates and currencies. But, as always, there are opportunities. According to Brandywine Global Investment Management, the Legg Mason-affiliated specialist fixed…