Pengana grows to $2b FUM in three years
Australian fund manager, Pengana Capital has doubled its funds under management (FUM) in the last three years, reaching $2 billion in FUM this month on the back of demand for active benchmark-unaware strategies.
Pengana managed six actively managed equity strategies, with one of their funds, the Pengana emerging companies fund producing 16.45 per cent per annum over the last five years, according to Money Management's Investment Centre (MMIC).
Penganga also partnered with Leah Zell's Chicago-based small cap specialist manager, Lizard Investors in 2015 and also joined forces with Boston-based global quant manager PanaAgora Asset Management.
Pengana's chief executive, Russel Pillemer, said advisers and investors were increasingly looking for ways to achieve portfolio outcomes, despite the uncertainty and volatility in markets.
"Overall, our focus on active benchmark-unaware strategies strikes a chord with investors and advisers. It reduces an investor's exposure to market sensitivity and volatility and can deliver critical returns in these unpredictable markets we all face," Pillemer said.
"Each of our portfolio managers has a distinct and disciplined approach. For example, they don't buy stocks when it doesn't make sense and they have the courage to invest in great deals when the market is depressed."
"In this low-growth, low-yield environment, skilled active management continues to add significant value," Pillemer said.
Their six funds (Australian shares, Australian small caps, global small caps, international shares, Asian event-driven and global equity market neutral), were all available through 15 platforms and approved for distributions by over 100 Australian dealer groups.
Recommended for you
Domestic equity managers are lagging the ASX 200 in the first half of the year, according to S&P, with almost three-quarters of Australian equity funds underperforming over the six-month period.
ETFs saw almost $5 billion of inflows during August, with international equities gaining double those of fixed income funds, as total assets close in on $300 billion.
GSFM has formed a distribution partnership with Auscap Asset Management to distribute its equities funds in Australia and New Zealand, its 10th distribution partner.
For overseas fund managers coming to Australia, a focus on platforms is critical for achieving growth, according to IMAP chair Toby Potter, flagging iCapital’s partnership with Netwealth as a firm which is succeeding in this goal.
