Vanguard expansion to target advisers
By Craig Phillips
Melbourne-based index fund manager Vanguard Investments Australia is expanding its operations with the opening of a Sydney office to service advisers and build on inflows of $800 million sourced from this market sector over the 2003/04 financial year.
According to group head of retail, Robin Bowerman, the development is fuelled by a growth in planner support for index-styled management.
Vanguard national sales manager George Vassos will relocate from Melbourne to head up the new office in Sydney.
Vassos says he is looking forward to working closely with key platforms, researchers and dealer groups in New South Wales to grow the firm’s inflows from advisers, which to date amounts to $2.5 billion in funds.
“It is an exciting challenge to be establishing the first branch office for Vanguard, and this further highlights our commitment to the financial advisory market in Australia,” Vassos says.
The firm, which recently launched the Vanguard High Yield Australian Shares Fund, is also actively recruiting for a senior business development manager to take on responsibility for its platform and research relationships.
The high yield fund, which was rolled out to the wholesale sector at the beginning of the month, was made available to retail investors last Thursday.
Vanguard’s Melbourne office has now grown to a staff of 105 and has $25 billion under management.
The fund targets Australian companies paying higher than average dividends and franking credits, and aims to deliver an annual grossed-up yield (measuring both cash dividends and franking credits) 1 per cent higher than the broader Australian sharemarket.
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