- published on 29/09/2014
“You really should visit our offices in Rhodes”. In a sector renowned for thinning profit margins and risky, expensive product development, the ebullience ... [more]
John Stratton, who oversees $11.9 billion as chief investment officer of Insurance Australia Group (IAG), will leave the company in late April to join Brit Insurance in a similar role.
Stratton will be the London-based chief investment officer of Brit Insurance and report to chief executive Mark Cloutier, according to an IAG spokesman and a Brit Insurance statement.
Stratton has been CIO at Sydney-based IAG since 2003. IAG is assessing investment professionals within the company and at other businesses as it seeks to replace Stratton, the spokesman says.
Stratton was responsible for portfolios that invested IAG’s insurance reserves and excess operational capital. Both provided a return of 5.9 per cent for the financial year ending July 2011 but invested different amounts of capital in fixed income, cash, stocks and alternative assets, the company’s report to investors, issued on August 25, 2011, shows.
Ninety-nine per cent of IAG’s $8.3 billion in so-called technical reserves, or funds used to back outstanding insurance liabilities, was invested in fixed interest and cash securities. They helped earn income of $489 million. The remaining 1 per cent was invested in alternative assets.
Fixed income and cash securities were 58.9 per cent of the $3.6 billion of so-called shareholders’ funds, which represent shareholder equity not used in day-to-day business. The securities helped earn $213 million of income. Australian stocks were 18.1 per cent of the portfolio and international stocks 5.4 per cent. Alternative assets were 17.6 per cent.
Stratton oversaw an increase in IAG’s investments in “growth” assets. Since July 2009, the proportion of its investments in stocks and alternative assets grew from less than 22 per cent to 41.1 per cent.
How institutional investors manage money
The work of investment committee chairs at superannuation funds
Selling investment strategies
Servicing institutional investor assets and customers
Public policy and superannuation
Institutional investment news
Sponsored articles focusing on institutional investment
Whitehelm Capital, formerly Access Capital Advisors, has reopened for business after several years of being closed to new clients. It is publicising this ... [more]
The $31 billion QBE investment portfolio is to place $100m in social impact bonds in the belief that opportunities for such investments will ... [more]
The standard of governance among listed Australian companies leads the world, states the Australian Council of Superannuation Investors’ (ACSI), after it unveiled progress ... [more]
Sunsuper is to expand on its success in partnering with distressed debt and private equity managers by seeking partnerships with listed equity managers ... [more]
Many thought Alice Springs was an odd choice for last week’s AIST ASI conference. Perhaps the rationale was not explained well, but CEO ... [more]
An alternative set of proposals for reducing costs and boosting competition to those in the Grattan Institute Super Sting report, were presented by ... [more]
A combined $4 billion Tasplan and Quadrant Super is to reassess all global equity managers on their willingness to screen out tobacco stocks. ... [more]
“It is clear…. that the banking system is considerably less competitive than the superannuation system, is systemically more risky and extracts a greater ... [more]
There is a global pension underfunding crisis and yet Australians are set to lose $128 billion in savings because the Federal Government has ... [more]
Superannuation funds can offer retirement accounts that easily exceed the income from annuities, believes Rice Warner. Michael Rice, chief executive of the actuarial ... [more]
The Grattan Institute report, Super sting: how to stop Australians paying too much for superannuation, has caused much consternation in superannuation. Some have ... [more]
Superannuation funds are winning their efforts to make Australian companies adopt long term thinking, according to Andrew Gray, investment manager, governance at AustralianSuper. ... [more]
The Governance Institute of Australia has launched Principles and Guidelines for the interaction between institutional investors and ASX listed companies. At the launch ... [more]
This week marks the two year anniversary of Qantas Super becoming the first Australian superannuation fund to implement tax managed centralised portfolio management. ... [more]
Unisuper would consider benchmarking its returns after fees with a diversified passively run portfolio to justify the use of active management. The proposal ... [more]
REST Super scooped Super Fund of the Year, in large part due to pioneering a new insurance offering for members said Damian Hill. ... [more]
Greg Sword the outgoing chief executive of LUCRF has revealed how his fund is arguably the best prepared in the industry to take ... [more]
Met Life has scaled back its variable business in Australia, ending its nascent deal with Local Government Super, but staying committed to its ... [more]
One of the world’s leading financial services litigation lawyers is to make a keynote address at the IMCA annual conference in Sydney (on ... [more]