A $200 million Lifetime Master Trust (LMT) replaced most of the underlying managers and cut some investment options after review.
In a change announced last week, the former Aon Master Trust dropped ANZ, Nikko and Russell Investments from its lineup, leaving Milford Asset Management in place.
Beyond Milford, the revamped LMT manager list now includes Fisher Funds, Kernel, Mercer and Simplicity.
The new LMT investment menu is also consistent with the recently appointed manager of a similarly sized Superannuation Master Trust. Inherited from AMP this January.
Lifetime paid Fisher about $3.2 million to Aon’s master trust last July and hired consulting firm EriksensGlobal shortly after to review the investment arrangement. Fisher said he runs a $550 million employer superannuation master trust, but in late 2021 he won a $32 million combo deal, while retaining Aon KiwiSaver assets. have chosen to offload the
last August, fisher bulk shift Members of Aon KiwiSaver transferred to internal funds from their former underlying managers (reflecting managers of their employer’s super scheme).
As part of LMT’s reformation, the scheme will close five single asset class funds to new members and allow investors to invest in three diversification strategies, three target date funds, a cash fund (managed by Fisher) and an active growth fund ( Milford) is now available. .
Mercer manages global fixed income, international equities and Australian equities, while Fisher manages cash and New Zealand bonds in the Diversified and Target Date funds.
Simplicity, meanwhile, has filled spots in NZ stocks, and Kernel operates a local listed real estate portfolio.
Most LMT members are likely to see cost savings under the revised product set, with diversified target-date funds priced at around 1.4% compared to more than 2% on Aon’s day. Even the LMT Milford version is slightly cheaper at an estimated 2.05% versus the previous 2.10%, and the Fisher-managed cash fund costs 1.37%, saving 20-30 basis points with the Aon option. increase.
Founded by Ralph Stewart, Lifetime currently manages approximately $600 million across two super schemes: Retirement Income Products and UK Pension Transfer Funds.
https://investmentnews.co.nz/investment-news/lifetime-clears-out-ex-aon-master-trust-managers/?utm_source=rss&utm_medium=rss&utm_campaign=lifetime-clears-out-ex-aon-master-trust-managers Lifetime wipes out former Aon master trust manager