Investment management insourcing carries risk

23 March 2017
| By Mike |
image
image image
expand image

Superannuation funds will continue to insource investment management, particularly if they have sufficient scale but they need to be aware of the risks.

Insight Investment Multi-Asset Strategy Geouo portfolio manager, Steve Waddington told the Conference of Major Super Funds (CMSF) that scale was a key determinant for organisations looking to insource asset management but they needed to measure their capability.

He said organisations had to consider how much they could bring in house and how long they could hope to be successful in challenging markets.

Answering a question from the floor during a session on investment strategy through a period of lower returns for longer, Waddington said the key was likely to be having the necessary expertise to manage investments through challenging periods.

However he said he believed the insourcing trend would continue with the risk for funds being the ability to retain the right people to continue to succeed.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

1 year 7 months ago
Kevin Gorman

Super director remuneration ...

1 year 7 months ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

1 year 7 months ago

Here are three big ideas.We all know that we are standing at the edge of a profound transformation in how financial advice is delivered, accessed, and experienced in Aust...

2 days 8 hours ago

Infrastructure well-positioned to hedge against global uncertainty, says investment chief....

2 days 3 hours ago

The two funds have announced the signing of a non-binding MOU to explore a potential merger. ...

2 days 6 hours ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
3