Clicky

Parametric wins tax-managed mandate

Global specialist implementation manager, Parametric has been awarded a $200 million custom global equities mandate by a large Australian superannuation fund which requested anonymity.

Under the terms of the deal, Parametric would create for a fund a portfolio, factoring in exposures to particular risk factors in global equity markets and address concerns.

The super fund also asked Parametric to manage real-world implementation frictions, including tax.

Related News:

Chief executive of Parametric Australia, Chris Briant, described the deal as a breakthrough in the industry.

“In our discussions with super funds, we’ve seen interest in after-tax investing and factor investing as separate themes growing, so it was only a matter of time before they came together as a powerful solution,” he said.

 “We’ve seen huge growth in the US for factor approaches and now around USD4 billion of our total USD230 billion in funds under management globally are in portfolios that reflect our clients’ preferences around factor exposures.”

Briant also said he was positive about winning similar future mandates.

“Super funds and their advisers have their own smart ideas about what kinds of portfolios they want.  Sometimes a traditional manager will be best to make these ideas real.  But sometimes, like here, what the fund will really need is a specialist implementation manager that can maximise transparency and minimise the costs of translating good ideas into a real-world portfolio.”

 

 

 

 




Related Content

Industry identifies glitches in Govt’s super legislation

The Federal Government has been warned that superannuation fund members risk being treated unequally because of the speed with which it has proceeded ...Read more

PC chose politics over member best interest

The Productivity Commission (PC) has been accused of developing a report aimed at addressing political issues but totally disregarding the best intere...Read more

Planner’s actions no excuse for super fund member’s insurance lapse

The fact that a financial planner filled in a superannuation fund application form and associated insurance documentation on behalf of a client did no...Read more

Author

Comments

Add new comment