Cbus Super strengthens internal investment to deliver for members
Members of Cbus Super, the $67 billion industry super fund for the building, construction and allied industries, continue to benefit from its investments internalisation program, as the percentage of assets managed in-house including hybrid strategies heads towards 40%.
Cbus Super Chief Investment Officer Kristian Fok said the fund’s strategy to bring investments in-house and to build out a strong investment capability internally had exceeded expectations, “Since 2017, our investment costs have reduced by 41%, which has provided a cumulative benefit to members of $410 million over the last four years.
In the last financial year (FY21) we saved members $170 million in investment costs and our investment fees are now sitting at 51 basis points, a 9.2% drop from the previous year. These reductions have been driven by a range of sources such as internal strategies, renegotiating fees with external managers, and changes in asset class strategies to reduce costs while maintaining strong performance.”
Mr Fok said the benefits of establishing a broad internal investment capability spread far beyond the cost savings for members, “We see a whole range of benefits including greater insights for our asset allocation process, sharpening our external manager selection, highly efficient liquidity and exposure management, extensive incorporation of responsible investing principles to drive long-term sustainable returns, and more granular risk and performance analytics. All of this combines to continue to deliver strong returns to our members.”
Senior appointments made to investments team
As Cbus’ investment team continues to grow, we want to announce a key promotion, senior appointments and also farewell a long-term member of our team.
Grant Harrison, Head of Private Markets, will retire in January 2022 after nine years with the Fund.
Kristian Fok said, “I’d like to acknowledge Grant’s exceptional career in funds management and superannuation and his commitment to delivering great outcomes for Cbus members. We wish him all the best in retirement.”
In preparation for Grant’s retirement, current Head of Infrastructure Alexandra Campbell has been appointed to the new role of Head of Private Markets & Infrastructure, reporting to Deputy CIO Brett Chatfield.
Alexandra will be responsible for managing the private markets portion of Cbus’ investment portfolio, supporting the infrastructure, property and private equity teams in the development of portfolio strategies and investment opportunities. Alexandra will also continue to lead the infrastructure portfolio.
Lisa Cuman has been appointed to the role of Head of Investment Legal & Governance. Lisa was previously Head of Legal, Institutional Clients Group at Citigroup Australia & NZ; and was a senior lawyer with major legal firms King & Wood Mallesons and Herbert Smith Freehills.
Steward Tan is the new Head of Markets, Asset Allocation at Cbus. Steward joins the Fund from Victorian Funds Manager Corporation (VFMC) where he was the Senior Portfolio Manager. Steward has the responsibility for input into the formulation of investment strategy at the asset allocation level for Cbus diversified investment options, as well as driving enhancements to the Fund’s dynamic asset allocation process.
Ash Chandra has been appointed to the new role of Research Director Global Quality Equities. Ash was previously an Executive Director – Emerging Companies Analyst at Goldman Sachs. Ash's primary responsibilities are to research global large cap companies to assess their suitability for investment by the Global Quality Equities (GQE) team.
Kristian Fok said, “We are delighted to welcome these key appointments to our experienced and dynamic team. The roles support our internalisation and total portfolio approach, which are central to our continued outperformance and to maximising the retirement savings of our members.”
Gerry Costigan, 0418 512 087 or email@example.com
United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 as Trustee for the Construction and Building Unions Superannuation Fund ABN 75 493 363 262 (Cbus and /or Cbus Super). Refer to Cbus Product Disclosure Statement, Target Market Determination and Financial Services Guide for more information.
Cbus is the leading Industry Super Fund for the building, construction and allied industries. As one of Australia’s largest super funds, we provide superannuation and income stream accounts to more than 778,000 members and we manage over $67 billion of our members’ money (as at 31 October 2021). Our members include workers and retirees, their families and employers.