Master custody for the two ACT Treasury funds, with combined funds under management of $3.2 billion, has come up for review.
The Treasury’s five-year contract with custodian JPMorgan Worldwide Securities Services has expired, and the fund is currently in the process of reviewing half-a-dozen potential custodians under the advice of Mercer Sentinel. Lucas Nicholls, assistant manager of the Superannuation Unit, Investments & Economics Division, said the review should be completed within two months. The Treasury manages two underlying funds, the $2.1 billion Super Provision Account – a standard fund with cash, domestic and international bonds and equities, indirect unlisted property, and the more conservative $1.1 billion General Government Portfolio, which is split between cash and indexed fixed interest. The fund is also in the final throes of a strategic asset allocation review with its asset consultant, Russell Investment Group.
Hedge Funds
China consumption story trumps US trade concerns
This year’s single-best trade was Chinese mid-cap semiconductor and tech stocks, according to UBS O’Connor's Kevin Russell. This illustrates how China’s domestic consumption economy allows it to combat any trade wars with the US.
Hedge Funds
Alternative strategies in the eye of the storm: Sunsuper’s Bruce Tomlinson
While Sunsuper's access to cash and public market meant its alternatives allocations weren't tapped for liquidity to facilitate early release payments, Tomlinson said he could take advantage of some more liquid ‘hedge fund-type’ investments during tumbling markets.
Hedge Funds
Consultants dial up transparency and culture assessment of alternatives
“Everyone loves to hear about culture now,” according to Willis Towers Watson's Sara Rejal, who noted during a panel discussion at the Absolute Returns Conference Digital 2020 conference on Wednesday that funds are interested in a broader due diligence particularly with its hedge fund and alternative strategy partners.
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