Super’s biggest problem likely lies within funds themselves, with many using legacy operational infrastructure ill-suited to the needs of the major financial organisations they’ve become.
The race to the bottom on low cost, benchmark aware solutions for a post-YFYS world has pretty much been run. But while the perception of value currently sits on price, that might not be where it ends up, according to Fidelity’s Simon Glazier.
Cbus finds a new infrastructure chief
Jordan Kraiten joins Cbus after leading the infrastructure portfolio at Hostplus for 11 years, prior to which he worked at Macquarie Bank. The hire follows the appointment of Alexandra Campbell, the previous infra head, to the role of deputy CIO and head of private markets.
“Jordan is highly respected across the infrastructure sector having built a diversified portfolio of quality assets that have delivered strong results for Hostplus members throughout his tenure,” Campbell said. “With around $85 billion in FUM, Cbus is a leading super fund for infrastructure investment in Australia. It’s an exciting time at Cbus following the release of our new five-year investment strategy, which continues to focus on driving strong long-term performance.”
That five-year strategy will see the fund try to internalise up to 50 per cent of its assets (up from around 40 per cent today) as well as eschewing overseas offices in favour of partnering with international managers and doubling down on internalisation where it feels it can build effective capabilities. Mainstream asset classes like debt and equities have been easier to bring in-house, but the fund anticipates that it will continue to partner with overseas managers for big private markets deals.
“With the strategic aim of managing over 50 per cent of our assets internally, Jordan’s appointment provides a dedicated resource to lead our high calibre infrastructure team as we optimise the portfolio and drive greater value from both new and existing assets, both locally and globally,” Campbell said.
