MIM partners AMEX

Macquarie Investment Management (MIM) is looking to beef up Austra-lia's largest retail fund in the wake of stiff competition in the marketplace.

Macquarie Investment Management (MIM) is looking to beef up Austra-lia's largest retail fund in the wake of stiff competition in the marketplace.

The $6.2 billion Macquarie Cash Management Trust (CMT) is being transformed into an all-in-one investment transaction fund under a new joint-venture agreement signed with American Express.

Under the terms of the deal, clients of the CMT will be able to pay such things as electricity and shopping bills at the checkout while also accessing the fund at ATMs using a jointly branded credit card.

Macquarie is seeking leverage off AMEX's back office administration and front office service by bolting the AMEX gold card to the CMT.

The move comes as a number of new players enter the CMT market and the big four banks seek to win back support for cash accounts by of-fering competitive rates. It will also encroach on the banks' strong-hold on the transaction and credit card markets.

Head of retail at MIM, Tim Farrelly, says the joint venture project gives financial planners the opportunity to offer clients a product that will get them financially organised.

"Advisers are realising that their advice does not stop at a client's investments. Planners are looking to add value by helping to arrange a client's total finances," he says.