Industry funds-owned fund manager, IFM is continuing to be pressed about its operations by the chair of the House of Representatives Standing Committee on Economics, Tim Wilson, despite pointing out that it is the only fund manager to be called before the committee.
IFM’s global head of external relations is the former chief executive of Industry Super Australia, David Whiteley who in April noted that the company was the only fund manager to be called before the committee when most other organisations called before it were superannuation funds.
However, that did not stop Wilson writing to IFM Investors less than a fortnight later to ask: “Are any remuneration practices – salaries, bonuses or fees – covered by a ‘deed’ or ‘special deed’ or equivalent instrument for employees at IFM Investors?”
Wilson and the committee received IFM Investor’s reply late last week stating: “Remuneration practices – salaries, bonuses or fees – are not covered by deeds, special deeds or equivalent instruments for employees at IFM Investors”.
“However, as is normal commercial practice for employers and employees when a separation of employment occurs, from time-to-time IFM enters into arrangements covered by a deed,” the fund manager’s response said.
In his April response to the committee, Whitely stated: “IFM has co-operated with the committee since 2019, appearing at its request on two occasions, and responding to over 100 Questions on Notice and many more during hearings”.
“To provide commercially sensitive information to the committee, which its global peers and competitors are not required to do, would place IFM at a competitive disadvantage and could risk the investment returns to members. Further, in some cases, disclosure would constitute a breach of a commercial contract.”