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Solaris breaks ground with ‘performance fee only’ option

07/02/201905/05/2009 by Staff Writer

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Solaris Investment Management, the
boutique created by Suncorp’s former Australian equities team, has taken the unusual
step of offering investors a ‘performance fee only’ option for both of its
funds. The Brisbane-based manager, which has amassed $1.1 billion since its
January 2008 inception, has thus far charged retail investors a 90 bps management
fee for its flagship Core Australian Equity Fund. However the separate performance-only
class of units, which are set to have the Australian Wealth Management dealer
group as an early adopter, will charge a base management fee of just 10 bps. It
will then levy a performance fee of 30 per cent of any returns above its
benchmark, the S&P/ASX200 Accumulation Index, subject to a high water mark
with no re-set.

Solaris breaks ground with ‘performance fee only’ option

07/02/201905/05/2009 by Staff Writer

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Pages: 1 2

Shorting not the only risk for funds in sec lending

07/02/201905/05/2009 by Staff Writer

The government ban and new disclosure regime for short-selling are misguided and had exacerbated sharemarket volatility, while the opacity of securities lending covered up risks for super funds, the Risk- Metrics Governance conference was told in late March. The “two-tiered market” resulting from the ban, in which financials and selected other companies could not be shorted had caused “uncertainty, declining valuations and increased volatility,” said Tim McGowen, the outgoing chief executive of hedge fund Fortitude Capital.

Shorting not the only risk for funds in sec lending

07/02/201905/05/2009 by Staff Writer

Normal 0 false false false MicrosoftInternetExplorer4 /* Style Definitions */ table.MsoNormalTable {mso-style-name:”Table Normal”; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-parent:””; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin:0cm; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:”Times New Roman”; mso-ansi-language:#0400; mso-fareast-language:#0400; mso-bidi-language:#0400;} The government ban and new disclosure regime for short-selling are misguided and had exacerbated sharemarket volatility, while the opacity of securities lending covered up risks for super funds, the Risk- Metrics Governance conference was told in late March. The “two-tiered market” resulting from the ban, in which financials and selected other companies could not be shorted had caused “uncertainty, declining valuations and increased volatility,” said Tim McGowen, the outgoing chief executive of hedge fund Fortitude Capital.

Pages: 1 2

JPMorgan WSS next to take up SWIFT Funds

07/02/201905/05/2009 by Staff Writer

In a global roll-out, JPMorgan Worldwide Securities Services ( JPMorgan WSS) will go live with automated managed fund transactions through the SWIFT network in the second half of the year, joining HSBC Securities Services, RBC Dexia and Vanguard Investments, who became cornerstone users of the technology in Australia last month. The transactions cover applications, redemptions, confirmations, status reports and reporting, which are sent using SWIFT Funds ISO20022- compliant messages across the SWIFT network.

JPMorgan WSS next to take up SWIFT Funds

07/02/201905/05/2009 by Staff Writer

Pages: 1 2

Super funds coy on backing National Broadband Network

07/02/201905/05/2009 by Staff Writer

Super funds are eyeing the Rudd Government’s $43 billion National Broadband Network as a potential investment opportunity, but say it must be competitive on risk and return grounds. Last month, the Government announced the establishment of a new company to build and operate the network, to be funded through the Building Australia Fund and the issuance of Aussie Infrastructure Bonds (AIBs).

Super funds coy on backing National Broadband Network

07/02/201905/05/2009 by Staff Writer

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Performance surveys skewed by big DTA differences

07/02/201905/05/2009 by Staff Writer

High levels of deferred tax assets (DTAs) in super fund portfolios are corrupting performance surveys, because funds have markedly different policies on valuing the DTAs within their unit prices or crediting rates. Having incurred big losses across most asset classes over the past 18 months, funds are able to reflect the future income tax benefits of the losses in their unit prices today, but only to the extent they are confident they can generate gains against which to offset the losses within a reasonable period of time.

Performance surveys skewed by big DTA differences

07/02/201905/05/2009 by Staff Writer

Normal 0 false false false MicrosoftInternetExplorer4 st1:*{behavior:url(#ieooui) } /* Style Definitions */ table.MsoNormalTable {mso-style-name:”Table Normal”; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-parent:””; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin:0cm; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:”Times New Roman”; mso-ansi-language:#0400; mso-fareast-language:#0400; mso-bidi-language:#0400;} High levels of deferred tax assets (DTAs) in super fund portfolios are corrupting performance surveys, because funds have markedly different policies on valuing the DTAs within their unit prices or crediting rates. Having incurred big losses across most asset classes over the past 18 months, funds are able to reflect the future income tax benefits of the losses in their unit prices today, but only to the extent they are confident they can generate gains against which to offset the losses within a reasonable period of time.

Pages: 1 2

HESTA finds new investment analyst

04/05/2009 by Staff Writer

The $13 billion HESTA industry fund has found a new investments analyst following the departure of Beth Bisso in February.

Future Fund piles into debt

04/05/2009 by Staff Writer

The Future Fund has significantly upweighted its exposure to debt securities over the last quarter, with other highlights including the construction of a mandate with a Baltimore-based investor in venture capital funds and direct projects, and the debuting of active Australian equities.

Solaris breaks ground with ‘performance fee only’ option

Solaris breaks ground with ‘performance fee only’ option

Shorting not the only risk for funds in sec lending

Shorting not the only risk for funds in sec lending

JPMorgan WSS next to take up SWIFT Funds

JPMorgan WSS next to take up SWIFT Funds

Super funds coy on backing National Broadband Network

Super funds coy on backing National Broadband Network

Performance surveys skewed by big DTA differences

Performance surveys skewed by big DTA differences

HESTA finds new investment analyst

Future Fund piles into debt

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