This article is from the Australian Property Journal archive
AUSTRALIANSUPER has made a raft of changes in its senior ranks as part of the merger of its infrastructure and property teams, as the nation’s largest superannuation fund looks to double the size of its mid risk portfolio by 2030 to more than $150 billion.
Nik Kemp will be the new head of global real assets, and be responsible for the fund’s new real assets team, which will take in infrastructure and property and operate under the leadership of head of mid risk, Jason Peasley.
Kemp joined AustralianSuper more than 10 years ago and has spent the past six years as Head of Infrastructure.
“The bringing together of the property and infrastructure teams is recognition of the increasingly close relationship of the two asset classes, the need to drive global economies of scale, and harness complimentary expertise across the real assets value chain,” AustralianSuper said.
In addition to Kemp’s appointment, the head of European property, Paul Clark, will become head of European real assets, while the head of American infrastructure, Derek Chu, will become acting head of American real assets pending finalisation of the property component of the real assets strategy in North America.
The fund will also go to market to recruit a new head of Australian real assets.
In other changes, senior investment director (infrastructure), Monica Ryu, has been appointed head of asset management in the new real assets team, with a focus on driving value creation in ownership.
A new head of strategic opportunities role has also been created, to provide strategic leadership in the pursuit of compelling global investment opportunities and to work alongside the fund’s current real assets investment strategies. This role will also go to market shortly.
AustralianSuper is forecast to more than double member assets by 2030, from the $300 billion it invests in on behalf of members today to more than $700 billion over the next seven years.
Around half of the $300 billion is invested outside Australia, with around $85 billion invested in the United States and almost $40 billion invested in the United Kingdom and Europe. Last year it took a 50% share of the Canada Water Masterplan in central London from British Land in £290 million deal, while last month it signed a deal with DigitalBridge Group to invest $2.5 billion into Vantage Data Centers Europe, Middle East and Africa.
“As we continue to invest members’ retirement savings at increasing scale, we need to reconsider our approach to ensure we can deliver strong long-term returns not just today but for decades to come,” Peasley said.
“Aligned to our growing size, we need to find ways to simultaneously invest with a global portfolio mindset and empower our experienced teams in local markets to be agile in pursuit of the best global investment opportunities for members.”
“Over recent years, we have seen the importance of sector selection in driving performance across both property and infrastructure as well as a blurring of investment opportunity classification across the two asset classes, which we expect to only increase in the future.
Kemp said, “By bringing the expertise and knowledge of the two asset classes together, we can maximise the best of both to support global deal origination and continue to drive value creation in ownership for fund members.
“By combining the teams, we can take a more research and sector-led approach to investing, aligned to our broader one portfolio approach.”
AustralianSuper appointed Damian Moloney as the its deputy chief investment officer in June.
