Russell loses out as AMP moves in-house
Russell Investment Group will hand over the administration of one of Australia’s oldest corporate superannuation funds in April next year after AMP declared it was transferring its employee fund to its own in-house SingatureSuper master trust.
But AMP director of advice based distribution Steve Helmich said the decision to sever ties between Russell and the AMP Officer’s Provident Fund (OPF) was not due to poor performance.
Russell previously administered the OPF - which has 3,500 active members and 3,500 deferred or pensioner members - and also provided actuarial advice, with JANA Investment Advisers acting as asset consultants for the fund.
“The performance of Russell and JANA Investment Advisers over the past few years was exemplary,” Helmich, who is also chairman of the OPF, said.
“Russell will continue to work with AMP, providing actuarial services to the AMP employees’ plan in SignatureSuper,” Helmich said.
The decision to wind up the fund and transfer it into the AMP master trust comes after consultants Chant West conducted an independent review of the $763 million fund, which has been in operation since 1889.
“Members will have access to many of the same services they had in the past, plus some new ones that come with the SignatureSuper offer,” Helmich said.
Meanwhile, its not all bad news for Russell, who last month won a $180 million mandate with Australian Financial Services (AFS) as part of AFS new strategy to outsource investments to established multi-manager providers.
Russell also chalked up two other contracts in November, being appointed by both the Nestle and George Weston Foods Superannuation Funds, which manage $350 and $180 million respectively.
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