CareSuper, an A$8 billion (US$7.6 billion) industry superannuation fund, hired Neuberger Berman to manage A$65 million in emerging markets equities, confirmed Greg Nolan, the Melbourne-based fund's general manager-investments.
Neuberger's investment style should prove complementary to the fund's existing emerging markets equity manager, Colonial First State, said Mr. Nolan, in a telephone interview.
In a separate telephone interview, Nick Hoar, Neuberger Berman's Hong Kong-based CEO-Asia Pacific, said the focus of his firm's emerging markets equity strategy on domestic-demand-driven, midcap companies has helped it garner broad interest from institutional clients with more mainstream exposure to strategies focused on large-cap, export-driven companies. He said Neuberger's emerging markets equity strategy currently has close to US$4 billion in assets under management.
While declining to give precise details on CareSuper's total allocations to emerging markets equities, Mr. Nolan said the Neuberger mandate should prove more of a marginal increase than a significant rise in exposure to that asset segment, in line with the portfolio's growth following CareSuper's merger in October with Asset Super.
That merger brought together CareSuper's assets of more than A$4.9 billion and Asset Super's more than A$1.6 billion at the time. The combined entity since has grown to about A$8 billion, Mr. Nolan said.
According to CareSuper's website, it is the largest industry superannuation fund in Australia “for people engaged in professional, managerial, administrative and service occupations.”