Home / News / FEAL conference to dissect ‘measuring what matters most’

FEAL conference to dissect ‘measuring what matters most’


(Pictured: Don Ezra)

As super funds move away from traditional approaches to measuring their investment success, or otherwise, and the members increasingly focus on expected outcomes, the Fund Executives Association Ltd national conference next month will dissect the topic: “Measuring What Matters Most”.

A keynote speaker will be Don Ezra, the Russell Investments global director emeritus, investment strategy, who proposes that funds move beyond time-weighted historical returns and instead employ an array of metrics and services.

  • Ezra says that traditional benchmarks were designed to measure alpha. This may suit the fund but not necessarily the member. But in the wake of the global financial crisis super funds are looking to provide more certainty for their members’ retirement and several big managers have introduced investment strategies designed with an outcome in mind.

    Ezra said the new emphasis was on “real goals” rather than benchmarks. He proposed several techniques, such as:

    *       optimising investment strategy over time

    *       tax effectiveness

    *       cash-flow management

    *       impact of longevity and sequencing risks.

    Russell has also launched an outcomes-orientated strategy for Australian investors, called the “Multi-Asset Growth Strategy” (MAGS). Russell’s UK version has been run for more than three years, delivering equity-like returns with a significantly lower level of volatility.

    Ezra said: “The focus for funds should be on measuring how they are tracking in reaching the members’ long-term end game rather than short-term performance measures.”

    The FEAL national conference, at the Park Hyatt in Melbourne on August 8, is the association’s only annual event which is open to all industry participants, not only members.

    Other speakers include: Michele Levine, the CEO of Morgan Research; Darrell Ludowyke, CEO of Empirics and Greg Joffe, principal of the Nous Group; Jane Perry, CEO of Qantas Super; Bruce Watson and Melissa Wells, both from AUSCOAL; and Dr Bronwyn King, radiation oncologist at the Peter MacCallum Cancer Centre and Epworth Healthcare, who is campaigning for all super funds to divest their investments in tobacco stocks.

    Information: www.feal.asn.au or phone (02) 9229 6648.

    Print Article

    ’60/40 is being resuscitated’: fixed income down but not out

    Year-to-date, fixed income markets are about as bad as equities. But Michael Leithead, fixed income and senior portfolio manager at EFG Asset Management (EFGAM), is more positive than he’s been “in a long time.” “We’re at a point now where the market has priced in quite a lot of global policy tightening, and that restores…

    Lachlan Maddock | 24th Jun 2022 | More
    ‘It’s a business about character’: Kudu hunts deals Down Under

    New York-based Kudu Investment Management has returned to Australia in hopes of pulling off a repeat of its 2020 deal with Channel Capital. “The asset management business is an absolutely beautiful business, to the mind of anybody involved in it. It’s rock solid; it has high margins; and the people are interesting,” says Charlie Ruffel,…

    Lachlan Maddock | 24th Jun 2022 | More
    APRA grows concerned on consolidation, flags new standards

    The wave of consolidation racing through the superannuation industry is now raising eyebrows at the prudential regulator. With the massive amounts of FUM being devoured, some funds are suffering indigestion. “This may manifest at the industry level at the point of transfer in a SFT, for example where an administrator has a backlog of transfers…

    Lachlan Maddock | 24th Jun 2022 | More
    News and OneVue go live with brightday
    Investor Strategy News | 11th Jan 2015 | More
    Perrignon off to HK with Credit Suisse
    Investor Strategy News | 22nd Dec 2013 | More
    Sports betting as a new asset class
    Investor Strategy News | 3rd Jul 2016 | More
    BlackRock ahead of consensus with bullish view
    Investor Strategy News | 14th Jan 2017 | More
    HSBC talks re-open old NAB wound
    Lachlan Maddock | 9th Mar 2022 | More
    Statewide seeds bespoke Apostle fund
    Lachlan Maddock | 23rd Mar 2022 | More