Mercer to own BT’s $1.9bn portfolio management service
Following the acquisition of Advance Asset Management and the transfer of BT Super, BT’s Private Portfolio Management (PPM) business will transition to Mercer later this year.
According to Simon Eagleton, investments leader for Mercer in the Pacific region, PPM was “a strong business with a unique proposition, providing natural synergies with Mercer’s current investment services”.
The $1.9 billion business was an individually managed account service provided to wholesale clients only.
“Mercer is a well-established multi-manager in Australia, with a long history serving the needs of large endowments and foundations, and more recently individuals intermediated by financial advisers,” Eagleton said.
“The addition of PPM allows us to service the entire investor market — from our Mercer Super Trust members through to private clients and family offices — and support even more investors in achieving their wealth objectives”.
The transition was expected to occur in the fourth quarter of 2023, with PPM employees handling client service, relationship management, and operations support functions moving over to Mercer. They would join a global team of some 2,000 investment professionals.
Mercer had previously completed a merger with BT Super in early April that saw the combined fund reach $63 billion in funds under management and 850,000 members.
The transfer saw some 350 BT employees join Mercer, including the executive appointments of Andrew Wallace and Corrin Collocott to Mercer’s Pacific leadership team.
In its half-year results posted on 8 May, BT’s parent company Westpac reported a 22 per cent net profit jump with a net profit of $4.0 billion.
AUTHOR
Rhea Nath
Recommended for you
Zenith Investment Partners has appointed an experienced research executive as its new group head of research following the departure of Bronwen Moncrieff.
The financial services technology company has appointed two non-executive directors following its AGM earlier this year, where it flagged it would embark on a board renewal process.
Several wealth management companies have been selected as finalists at the inaugural awards, which champions those who have transformed the Australian economy with their AI solutions.
Money Management’s sister brand Super Review is pleased to reveal that over 120 finalists will compete for trophies at this year’s awards.
