Pension fund giant mandates Fidelity

The $2 trillion Japanese pension fund has appointed Fidelity's asset management arm to manage passive domestic equities.

The Government Pension Investment Fund (GPIF) appointed FIL Investments Japan and Resona Bank on December 26.

Both will manage passive strategies to invest in Japanese equities, benchmarked to the TOPIX.

Fidelity declined to comment on the mandate's amount.

The GPIF has held the top rank Willis Tower Watson's list of the world's largest pension funds since 2002. It had US$1.4 trillion in 2017, making it 36% larger than the second fund in the rankings, the Norwegian government's pension fund.

The Japanese pension fund returned 6.90% in during FY17. Its domestic equities holdings returned 15.56%.

Last year, Fidelity's Australian business launched its first ETF and dropped the fees on two of its funds. It does not offer purely passive strategies for institutional investors in Australia.

Fidelity manages nearly $420 billion globally.

Read more: FidelityAustraliaGPIFFIL Investments JapanGovernment Pension Investment FundResona BankTOPIXWillis Tower Watson
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