Aussie managers make global top 100
The top 100 global alternative investment managers now manage in excess of $3 trillion, with 20 Australian managers making the list in Towers Watson's Global Alternatives Survey.
With combined assets of funds under management of US$254 billion, the 20 Australian alternative managers include:
- Macquarie Group
- AMP Capital Investors
- QIC
- Platinum Asset Management
- Industry Funds Management
- Colonial First State Global Asset Management, and
- MLC Investment Management.
However, only one-tenth of invested capital is in Asia Pacific, with North America continuing to be the largest destination for alternative capital for the top 100 managers (48 per cent).
One third is invested in Europe, while the remaining 5 per cent is invested in the rest of the world.
"The ongoing global economic instability has driven all types of institutional investors towards having more diversified investment portfolios, with investment managers offering significant alternatives capabilities being the clear beneficiaries," said Martin Goss, senior investment consultant for Towers Watson in Australia.
The continuing economic uncertainty is likely to encourage investors away from simply holding equities as their dominant growth asset and towards a greater use of alternative assets, Goss said.
Real estate managers have the largest share of assets ($1.1 trillion), followed by private equity managers ($696 billion) and hedge funds ($643 billion).
Recommended for you
Infrastructure assets are well-positioned to hedge against global uncertainty and can enhance the diversification of traditional portfolios with their evergreen characteristics, an investment chief believes.
Volatility in US markets means currency is becoming a critical decision factor in Australian investors’ ETF selection this year.
Clime Investment Management is overhauling the selection process for its APLs, with managing director Michael Baragwanath describing the threat of a product failure affecting clients as “pure nightmare fuel”.
Global X will expand its ETF range of exchange-traded funds next month with a low-cost Australian equity product as it chases ambitions of becoming a top issuer of ETFs in Australia.
