Russell wins AFS multi-manager mandate
Multi-manager Russell Investment Group has struck a deal worth an initial $180 million with financial planning dealership Australian Financial Services (AFS) to manage its superannuation investment arrangements.
Under the new alliance Russell will take over the management of the 7,500 clients invested in AFS Strategy Multi-Manager program. The Strategy range of products are administered by Oasis Asset Management, with AFS currently the largest client on the books of the platform provider, having maintained an alliance since 2000.
Russell’s director of redistribution Chris Corneil says the multi-style investment process is designed to reduce the need for clients to switch between managed funds as the market favours or punishes various investment styles.
AFS chief executive Peter Daly says the deal with Russell will convert into lower fees for investors, as a result of Russell’s wholesale multi-manager fund arrangements, and says AFS no longer has to worry about consequences of changing style or underperforming managers.
“We don’t need to rebalance the diversified funds,” Daly says.
The signing of the multi-manager mandate with Russell marks Daly’s first foray into fulfilling his mandate set back in March this year when was appointed as AFS managing director following a full strategic review of the group.
Prior to joining AFS, Daly held the position of insurance group OAMPS Financial Management chief executive.
Recommended for you
Two law firms have highlighted licensees’ responsibility to ensure they have sufficient cyber security measures in light of the enforcement action against Fortnum Private Wealth.
A former director has pleaded guilty to providing financial product advice without holding an AFSL which saw almost $2 million transferred to him.
Commonwealth Private Limited, a subsidiary of Commonwealth Bank of Australia, has launched a wholesale offering with the help of JPMAM.
Shaw and Partners’ new national head of private wealth believes the biggest challenge for financial advisers right now is being able to deliver efficient advice delivery amid a complex regulatory environment and growing investment universe.
