The A$2 billion (US$1.7 billion) TWUSUPER, Melbourne, Australia, favored stock pickers in the latest restructuring of its Australian equities portfolio.
The industry fund and consultant JANA Investment Advisers dialed down its weighting toward quantitative managers BlackRock and BGI by A$20 million, while the A$105 million mandate with Perennial Value Management was terminated and the assets split evenly between Perpetual and Integrity Investment Management.
Cooper Investors picked up the capital taken from BlackRock and BGI, bringing its mandate with TWUSUPER to A$145 million.
BlackRock and BGI now both manage $65 million and $90 million, respectively, for the fund.
Andrew Killen, TWUSUPER’s CIO, said the investment decisions were driven by JANA. “They are of the clear view that now is the time for stock pickers.”
In Australian equities, TWUSUPER now allocates 55% of the portfolio to stock pickers, 35% to quantitative managers and 10% to small-cap managers.
Mercer Sentinel will perform the transitions for the Perpetual and Integrity mandates, Mr. Killen said, which would be followed by a further A$60 million in funding from cash flows.
Simon Mumme is a reporter with Investment & Technology newspaper in Australia.
