Super funds could face high risk of failure under ‘Your Future, Your Super’ performance test

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As many as 20% of superannuation funds may fail their ‘Your Future, Your Super’ performance’ test in any given year and if a fund fails the test once there is a probability of around two thirds that it will fail it again the following year, according to modelling by leading implementation manager Parametric Portfolio Associates

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When it comes to ‘Your Future, Your Super’, focus on the basics: pay less tax and reduce fees

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Superannuation fund trustees facing the prospect of an annual performance test under the Government’s proposed Your Future, Your Super changes face a very difficult choice when selecting fund managers, says Whitlam Zhang, manager research and strategy at Parametric. “Active managers will have to substantially reduce their risk budgets, compared with the way things work now.

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Parametric Appoints New Manager of Research and Strategy, Australia and New Zealand

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Parametric Portfolio Associates LLC (Parametric), an affiliate of Eaton Vance Corp. , has announced the appointment of Whitlam Zhang, CFA, as Manager of Research and Strategy, Australia and New Zealand, based in Sydney. Mr  Zhang reports to Chris Briant, Head of Australia and New Zealand, Eaton Vance Management (International) Limited and Paul Bouchey, Global Head

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Super fund mergers need to deliver investment rationalisation wins

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Centralised Portfolio Management (CPM) can play a pivotal role in the mass consolidation of the superannuation industry that will define its future for the next 10 years, says global implementation manager Parametric Portfolio, an affiliate of Eaton Vance (NYSE: EV). “With the APRA-regulated superannuation funds on the cusp of horizontal integration, it is vital that

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Super funds can benefit with the adoption Responsible Investing goals with an after-tax investment focus: Parametric Research

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Superannuation funds should implement responsible investing in a tax-managed way according to a new research paper by the global implementation specialist manager Parametric. The paper presents a hypothetical tax-managed Responsible Investing portfolio that adds a quarter of a percent in after-tax returns each year over a non-tax-managed version. Raewyn Williams, Head of Research (Australia) and Analyst Josh McKenzie at

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Income-targeting retirement portfolios could struggle to measure ‘success’ wel

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The Retirement Income Panel’s work over the past year should give superannuation funds all the motivation they need to decide what ‘success’ in funding pensions really means, according to a research note by the global implementation specialist manager Parametric. Raewyn Williams, Head of Research (Australia) and Analyst Josh McKenzie, in a ResearchBite titled “Income-Targeting in a Retirement Portfolio:

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Super tax changes will cost retirees

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The possibility for government to increase superannuation taxes in response to the ballooning budget deficit caused by COVID-19 could severely hurt member balances at retirement, according to a research note by the global implementation specialist manager Parametric. Raewyn Williams, Head of Research (Australia) and Analyst Josh McKenzie, in a short paper titled “Will retirees pay the

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Parametric launches ’Equity Agility Platform’ for Australian super funds to manage moving targets around returns, fees and costs

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Super funds will increasingly need investment partners that offer ‘equity agility’ as a core feature to help navigate the mounting pressure to improve returns and lower investment fees, other costs and taxes. The complex task of meeting these goals, says global implementation specialist manager Parametric, is made harder by the fact that they are becoming

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Unlocked: A framework for superannuation equity portfolio evolution in a taxable environment

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All sectors of the superannuation industry agree that successful equity investing entails some short-term pain to enjoy long-term gain. Superannuation funds and investment managers who embrace an active management philosophy can feel this acutely when their style does not pay off in a certain stage of the market cycle or there is a regime shift

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New Parametric research reveals transition management’s blind spot

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Superannuation funds readjusting their investment portfolios need to carefully consider all the tax implications and not focus solely on timing and transaction costs, says global implementation specialist manager Parametric. In a research paper titled “The Sting in the Transition Tail”, Parametric Managing Director of Research (Australia) Raewyn Williams and Analyst Joshua McKenzie use a modest

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