Fisher Funds has kept on seven Kiwi Wealth investment specialists as the complex integration of the two businesses continues apace.
Kiwi Wealth survivors include Daniel Collett, head of portfolio management and Greg Hayton, fixed income portfolio manager but no equities managers have made the Fisher investment team, headed by Ashley Gardyne.
The cull has seen several long-time Kiwi Wealth investment staff such as head of fixed income, Diana Gordon, and NZ equities portfolio manager, Frank Braden, exit.
Last month Fisher confirmed most of the Kiwi Wealth top ranks would leave the combined business with both chief executive, Rhiannon McKinnon, and chief investment officer, Steffan Berridge, among the corporate casualties.
In a statement, Fisher chief, Bruce McLachlan, said the group had been “working hard to integrate the two businesses” since spending $310 million on Kiwi Wealth last year.
“Fisher Funds now has one of the largest, most experienced, and most knowledgeable teams in New Zealand. We are ready to capitalise on this and enhance our investments across our portfolios,” McLachlan said.
“While the newly expanded team brings new knowledge and expertise, our DNA remains the same. Our core investment philosophies haven’t changed, and we remain committed to great investment outcomes for our clients.”
Both Fisher and Kiwi Wealth favoured active management strategies, albeit with different twists. For the time-being, Fisher will retain the Kiwi Wealth brand and product suite as is, including the roughly $500 million KiwiSaver default fund.
Fisher has told Kiwi Wealth clients: “Right now there are no immediate changes for our customers.
“The two businesses are now working through a process of integration to combine them into one market-leading wealth management business.”
All told, Fisher now runs about $22 billion across the combined business compared to about $15 billion on the eve of the Kiwi Wealth deal last November. The Takapuna-headquartered firm now ranks about par with ASB as the second-largest retail fund manager in NZ.
With Kiwi Wealth, Fisher also gains a bigger footprint in Wellington where the formerly government-owned business is based.
According to a spokesperson for the group, Fisher is still consulting on the final staff numbers but it intends to “retain a significant number of the Kiwi Wealth team and expects to continue to have a meaningful Wellington presence”.
Prior to the Fisher deal Kiwi Wealth had about 200 staff including a number of contractors.
Aside from Collett and Hayton, the five other Kiwi Wealth employees joining the Fisher investment crew include:
- Steve Rivers, senior project manager;
- Sam Shaw – junior trader;
- Jaron Wilson – wholesale client execution and reporting manager;
- Ben Wilton – fixed income analyst; and,
- Di Zhu – cash portfolio risk and analytics manager.
Fisher now has about 30 members on the investment team.
Meanwhile, Morne Redgard, the former Kiwi Wealth chief customer officer also cut loose by Fisher, has quickly resurfaced as head of the SBS-owned investment and advice house, Funds Administration NZ (FANZ).
Set to assume the role in May, Redgard will replace long-standing FANZ chief, Graham Duston, who steps down in July after more than 20 years leading the South Island institution.
FANZ reported about $1.5 billion under management at the end of 2021 across its model portfolio and Lifestages fund range that includes a now $500 million or so KiwiSaver scheme.
An industry veteran, Duston is the latest NZ investment business leaders to depart (or announce an exit) this year following on the back of: Smartshares chief, Hugh Stevens; Nikko Asset Management head, George Carter; Milford chief, Mark Ryland; James Lee at Jarden; and, Kiwi Wealth’s McKinnon.