By Craig Phillips
ColonialFirst State (CFS) is seeking to expand its reach across the Asia-Pacific region by forming a series of alliances with fund managers in those countries to distribute a range of its Australian domiciled funds to investors.
“I wouldn’t say the market here is saturated, but for us to grow the business, we need to be looking at other markets and Asia-Pacific represents an opportunity in a region we have already proved we have some credentials,” CFS general manager distribution Richard Nunn says.
Nunn says the group is finalising two deals with large fund managers in Japan at present, but is unable to reveal details of the groups involved at this stage due to confidentiality issues.
CFS’s presence in the region to date has been primarily in terms of offering products that are local to each given country.
“We have a funds management business in Asia which promotes local products. We’re now talking about launching Australian products both via that business and also by striking alliances with local operators across Asia-Pacific to promote our fixed interest and credit products,” Nunn says.
According to the former IOOF retail funds management general manager, Nunn says there are a number of products the group has not been promoting as strongly as perhaps it could have, such as its hedge funds, global resources and global corporate debt offerings.
“We see it [expansion in Asia] as a significant growth opportunity without having to expand our resources… It won’t be retail, but rather wholesale business distributed through alliances with retail distribution in those countries,” Nunn says.
