legalsuper has continued its investment manager downsizing with further changes and terminations over recent months.
A $20 million global equity mandate with Alliance Bernstein, $4 million with the Aberdeen Listed Property Trust, and a $38 million fixed interest mandate with BlackRock are among the funds to be withdrawn.
legalsuper added $50 million to its existing mandate with MFS Investment Management and invested $4 million in the Dexus Wholesale Property Trust, and a new $30 million structured credit mandate was established with Babson Capital.
The changes continued a rationalisation process to reduce investment fees for members following last year’s mergers with the $142 million Victorian Bar Superannuation Fund and the Blake Dawson Partners Superannuation Fund, Andrew Proebstl, legalsuper chief executive said.
The changes were aimed at re-engineering the manager line-up to position the fund for the future, and sharpening the manager line-up overall, he said.
Following a competitive tender and extensive due diligence process the legalsuper board resolved to reappoint JANA Investment Advisers as legalsuper’s asset consultant, and a review of the fund’s custodian is now in progress, Proebstl said.
legalsuper culled 18 investment managers in the last financial year, from 52 at 30 June, 2009 down to 34 at 30 June, 2010, he added.
Proebstl would not rule out the possibility of further manager changes and terminations in the coming months.
