AMP Capital NZ will shift about $160 million from Swiss-based firm Vontobel to a US equities manager GQG Partners following a mandate change in its global shares funds.
In a note to clients last week, Rebekah Swan, AMP Capital NZ head of distribution, says the manager swap would apply to the group’s Core Global Shares, Core Hedged Global Shares, and Global Shares funds.
GQG was founded in June 2016 by former Vontobel co-CEO and chief investment officer, Rajiv Jain. Since launch GQG has grown to more than $10 billion under management and 37 staff (including 12 in the investment team).
AMP says Jain’s “alignment” with investors through his majority shareholding GQG was a factor in awarding the mandate. Australian-listed multi-boutique manager investor, Pacific Current Partners, also holds a small stake in GQG.
“We hold Rajiv Jain in high regard with high conviction in his investment capability to navigate the portfolio through a volatile market environment,” the AMP note says. “We believe Rajiv’s differentiated investment views, supported by a team of high calibre investment professionals, will be a good complement to the other managers in the Core Global Shares Fund.
Aside from GQG the AMP Capital Global Shares fund roster includes: Orbis, Hexavest, Arrowstreet, Schroders, State Street, Investec and Lazard.
According to the AMP Capital client note, the GQG switch from Vontobel should be complete by the end of this month for a cost of between 0.7-1.2 basis points across the various funds involved.
Vontobel has a strong presence in Australia and NZ through a relationship with ANZ. The Swiss firm is one of four managers responsible for running the global shares component of the approximately $12 billion ANZ KiwiSaver scheme and other funds. While Vontobel shares the ANZ stage with MFS, Franklin Templeton and LSV Asset Management, the Swiss group signed an agreement n November 2013 with the Australasian bank to provide global asset allocation and equity investing advisory services.
At the time Vontobel CEO, Zeno Staub, said: “The alliance with ANZ, which has initially been agreed upon for a period of five years, positions our company as an active wealth and asset manager with a high level of investment and product expertise in a region that is experiencing very dynamic growth.”