State Street to take over super fund’s passive investments

SSGA – which already manages over $5 trillion in financial assets – will manage the super fund’s passive strategies in Australian and international shares, as well as emerging markets, Australian and global listed property and Australian and global fixed income.

Sunsuper’s head of public markets Greg Barnes said the appointment was made after extensive due diligence and SSGA’s impressive history in managing index portfolios.

“Sunsuper has a strong history with SSGA in both listed equities and fixed income and cash. State Street have also been a long-serving transition manager and custodian for Sunsuper,” Mr Barnes said.

“SSGA has a comprehensive approach to ESG investing and integration supported by a well-resourced ESG and stewardship team.

“We believe that SSGA will offer world leading capability, flexibility and alignment that should enhance overall investment outcomes for our members in the future.”

Mr Barnes added that the move won’t change any of Sunsuper’s passively managed investment options, including asset allocations and fees.

The news comes after SSGA announced Kathleen Gallagher as its new Australian head of SPDR ETFs in September.

“The Australian ETF market has grown five-fold in the last five years to hit AUD 122.78 billion, with even conservative estimates putting it on track to double again by 2024,” Ms Gallagher said at the time.

“We are committed to strengthening our relationships with clients and continuing to grow our SPDR ETFs business in Australia, and indeed the entire Asia-Pacific, and leveraging our local know-how and global capabilities to provide investors with a comprehensive suite of investment solutions that meet their evolving needs.”

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

Neil is also the host of the ifa show podcast.