Melbourne-based boutique property fund manager SG Hiscock has launched a domestic equities investment division and hired former HSBC Asset Management head of Australian equities Robert Hook to manage the new business unit.
Hook, who departed HSBC in early August, will be responsible for managing a concentrated portfolio of 20 Australian equity stocks in the new division, with the new arm set to launching an initial fund in the wholesale and investor directed portfolio service (IDPS).
The new fund will seek to raise funds to invest by the end of the year, and will be followed at a later date by a retail version.
Hook has previously worked with the principals of SG Hiscock for 2 years when he worked with National Asset Management, before joining HSBC Asset Management in 2001 where he stepped into the role of Australian equities head in 2003.
Assirt Research deemed Hook’s departure from HSBC last month as “illogical” and resulted in it placing all funds previously under his administration on hold.
“We have little confidence in an investment manager that has parted with an individual that promoted a collegial style, delivered investment performance that many large competitors would, frankly, give their right arm for and, to boot, supported important cultural development at HSBC,” Assirt said.
Equity Trustees will act as responsible entity to the new funds, with the news following yesterdays announcement SG Hiscock would be re-opening its small companies fund to retail investors following an 18 per cent growth in the S&P/ASX Small Ordinaries Accumulation Index since the fund closed in October 2003.
The offering was closed in line with a commitment by SG Hiscock, which manages the fund, to maximise returns by capping the fund at less than 1 per cent of market capitalisation of the index.
