AustralianSuper doubles PE holdings, explores VC, expands overseas

Waterfront in Brisbane, Aus. Photo: Yoann Laheurte/unsplash

Australia’s largest pension fund has a cash flow problem — too much of it coming in.

AustralianSuper Pty. saw inflows of A$16 billion ($11 billion) last year, fueled by people switching to non-profit pension funds as misconduct scandals trashed the reputations of for-profit peers. That posed a “real challenge,” said Shaun Manuell, a senior portfolio manager at the A$185 billion fund.

“We did a good job last year because we had spent the past five or six years getting our buckets right, working out where we want to place the money,” he said at a conference in Sydney Wednesday. “But the problem is just getting more difficult.”

Australia’s A$2.95 trillion pension industry, which sees 9.5% of a worker’s gross salary paid into a retirement fund each month, is growing exponentially. Firms that have typically favored stocks and government bonds are turning to riskier assets such as venture capital and private credit or investing offshore to meet return targets.

AustralianSuper is doubling its private equity holdings, exploring venture capital and expanding in New York and London as it sends more money offshore.

“Those overseas offices are going to be important just to sort of build those relationships for other opportunities,” Manuell said. “There is only so much money we can invest in the domestic market so that marginal dollar is increasingly heading offshore.”

Having the capability to invest in listed and unlisted assets gives the fund added flexibility, he said.

Bloomberg

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.