Powered by MOMENTUM MEDIA
moneymanagement logo
 
 

IOOF partners with Invesco for passive mandates

IOOF/OnePath/Stanley-Yeo/

17 May 2021
| By Chris Dastoor |
image
image image
expand image

IOOF has partnered with Invesco to manage $23.1 billion in index investments within the former ANZ pensions and investments business, which was acquired by IOOF last year.

The 14 index mandates, which formed the OneAnswer index funds as well as Smart Choice and OnePath diversified funds, would transfer to Invesco by early June 2021.

The changes would occur at the underlying asset level of the funds so there would no change to fees, buy/sell spreads, investment objectives, asset allocation ranges, standard risk measures or distribution frequency, or tax.

Stanley Yeo, IOOF’s deputy chief investment officer and head of equities, led the Invesco move and said the firm reviewed several index managers as part of the due diligence process.

“Invesco was selected based on its high aggregate score across the following criteria: portfolio construction, implementation and risk management, business management, smart beta capabilities and environmental, social and governance (ESG) credentials,” Yeo said.

“Further, Invesco has the necessary skill, experience, resources and scale to deliver close tracking of indices.

“The scale of Invesco’s operations provides it with significant resources relative to smaller competitors.”

Invesco’s indexing business was worth over $388 billion which extended across equities, fixed income, and alternatives.

Andrew Lo, Invesco’s senior managing director and head of Asia pacific, said this partnership would deliver the firm’s indexing capabilities to IOOF’s nationwide adviser network and client base.

“We are proud to work with IOOF in providing this broad range of compelling investment offerings to Australian investors, and this agreement marks a major milestone for Invesco’s Australian business,” Lo said.

“We also look forward to supporting IOOF’s clients in meeting their financial goals.”

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

The succession dilemma is more than just a matter of commitments.This isn’t simply about younger vs. older advisers. It’...

1 week 1 day ago

Significant ethical issues there. If a relationship is in the process of breaking down then both parties are likely to b...

1 month ago

It's not licensees not putting them on, it's small businesses (that are licensed) that cannot afford to put them on. The...

1 month 1 week ago

ASIC has released the results of the latest adviser exam, with August’s pass mark improving on the sitting from a year ago. ...

1 week 3 days ago

The inquiry into the collapse of Dixon Advisory and broader wealth management companies by the Senate economics references committee will not be re-adopted. ...

2 weeks 4 days ago

While the profession continues to see consolidation at the top, Adviser Ratings has compared the business models of Insignia and Entireti and how they are shaping the pro...

2 weeks 5 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND