Mercer is understood to have acquired control of the circa $550 million ANZ Investments legacy superannuation fund business following a competitive tender.
ANZ put its vintage super fund assets on the market late last year after previously bailing out of the wholesale investment game.
Between them, the storied super schemes – a group comprising the property-heavy MFL Mutual Fund and two schemes offered under the SIL banner – reported about $550 million under management as at the end of June last year.
With over $380 million under management at the end of last year, MFL it’s the largest of the three followed by the SIL personal scheme (about $120 million) and the employer option ($40 million).
All three schemes closed to new members in 2016 but the one-time market-leading super suite still services a membership base of almost 16,500.
The SIL (for Superannuation Investment Limited) personal and employer schemes were established in 1959, a decade before the property-focused MFL launched.
Seminal NZ funds management house, Armstrong Jones, eventually took over the SIL/MFL schemes that in turn passed through successor brands OnePath then ANZ.
Despite holding a strong market position and support from advisers, the SIL/MFL products were ultimately swept aside by the launch of KiwiSaver in 2007 like most other traditional superannuation funds.
But while old-school super rides off into the sunset, competitors continue to hustle to secure management rights during the process.
Mercer was reportedly one of five bidders for the MFL/SIL book, for example.
Last year Mercer also won the contract to manage the ancient $125 million NZ Post retirement plan as another stand-alone employer scheme succumbed to the charms of a master trust.
ANZ also follows AMP to the legacy super exits after the latter manager offloaded three schemes to the Lifetime Income group over the last couple of years.
According to Reserve Bank of NZ data, the legacy super sector managed about $32.4 billion at the end of last year or about a quarter the amount in KiwiSaver.