AMP Capital has sold its high-performing global active equities fund to a Canadian boutique investment firm for an undisclosed price in the first phase of a planned exit from listed market products.
In a release this morning, AMP Capital said the Montreal-based Fiera Capital would buy its recently created US$500 million Global Companies Fund (GCF).
As reported recently, AMP Capital is looking to restructure its Global Equities and Fixed Income (GEFI) arm – including a sale or partnership – after inking a deal with Ares Management in February create a joint venture for infrastructure and real asset funds.
Simon Warner, AMP Capital global head of public markets, said in the statement: “This agreement delivers on AMP Capital’s strategy to find the best opportunities for our GEFI capabilities to achieve scale and accelerate growth. After being established in 2017, GCF has delivered great returns for our clients and I have no doubt that this will continue under new leadership.”
Headed by the London-based Simon Steele, the GCF has established solid support in Australia and NZ following strong performance of the concentrated global shares portfolio.
Steele said in a Fiera release: “We are excited to join Fiera Capital and share in the Company’s impeccable reputation and commitment to a culture of investment excellence. The team has delivered exceptional returns since inception and is just weeks away from completing its fourth-year track record.”
“We look forward to welcoming our clients and working alongside our new colleagues while contributing to the vision of making Fiera Capital a top tier global asset manager, recognized for its best-in-class solutions offering and trusted investment partnerships.”
Under the deal, the AMP Capital European-domiciled (UCITS) GCF funds will also transfer to Fiera, pending regulatory sign-off.
“In the coming weeks, AMP Capital and Fiera Capital will formalise the long-term distribution and management arrangements to best support the AMP Capital Global Companies Fund in Australia and New Zealand,” the AMP Capital release says.
According to the Melville Jessup Weaver (MJW) December quarter investment survey, the GCF has been the top-performing global shares growth fund over the three-year period, returning an annualised 26 per cent.
AMP Capital said the GCF sales price was “not material”.