The BNZ investment arm has ended an eight-year asset consulting arrangement with Australian firm, JANA, following its rehousing to Harbour Asset Management under the FirstCape consortium.
In a statement, a FirstCape spokesperson confirmed the now Harbour-managed BNZ KiwiSaver and funds division “has internalised the services provided by JANA”.
“As FirstCape’s approach to asset management continues to evolve, we remain open to future engagements with JANA on key initiatives,” the spokesperson said.
BNZ was a cornerstone early client for JANA as it grew this side of the Tasman, later picking up a raft of consulting wins here including Foundation North and Trust South. Until 2019, the BNZ KiwiSaver scheme also used a JANA implemented portfolio for a portion of its global equities exposure.
The Australian consulting business was previously part-owned by BNZ parent, the National Australia Bank, before moving back to a staff-owned entity almost two years ago.
In March this year just prior to the formal FirstCape restructure, Harbour took over as underlying manager for all of the local asset classes in the BNZ KiwiSaver and other fund offerings.
And in the latest change, the BNZ-marketed private wealth series of funds now include Harbour-fronted portfolio investment entity versions of global share strategies managed by T Rowe Price and Epoch, respectively.
“The new manager line-up aims to enhance diversification, improve risk-return outcomes, and optimise style balance. T. Rowe Price, with its holding of 150-200 growth stocks, will provide a core exposure to the global equity market, while Epoch’s focus on mid-cap quality stocks should improve the product’s exposure to style factors,” the FirstCape spokesperson said.
Under the product revamp, the BNZ private wealth funds no longer offer Intermede as an international shares manager while other incumbent global equities options – Antipodes Partners and C WorldWide Asset Management Fondsmaeglerselskab – remain on the menu.
Intermede is part of the former NAB-owned MLC Investments group, which is now part of the ASX-listed Insignia (itself a rebrand of IOOF).
However, the BNZ KiwiSaver and YouWealth products continue to use State Street exclusively for global shares in a passive mandate.
Harbour, now co-headed by Andrew Bascand and Chris Wilson, manages $12 billion across a wide range of asset classes.
Also last week, Pie Funds committed $10 million from its KiwiSaver growth strategy to a local venture capital vehicle.
Pie will tip the KiwiSaver money into the $100 million Icehouse Ventures Growth Fund II – a strategy targeting ‘late-stage’ capital investments in 20 local technology companies.
Mike Taylor, Pie chief investment officer and founder, said in a release that the Icehouse exposure would “give our investors a mechanism for tapping into the deal flow of New Zealand’s most active venture investor”.
“We are confident this fund aligns with our long-term investment objectives and provides real value for our KiwiSaver members,” Taylor said.
Morningstar data shows the Pie KiwiSaver growth fund held more than $516 million as at the end of June – or about a quarter of the boutique’s total $2.2 billion under management.
The Pie move follows a $20 million allocation to the same Icehouse fund by fellow NZ-owned KiwiSaver provider, Generate, last year.
Simplicity was also an early KiwiSaver investor in Icehouse venture funds.