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TWUSUPER awards bond mandate

The $6.3 billion industry fund has handed down a global bond mandate as it aligns its investments to the objectives of the Your Future, Your Super regime.

TWUSUPER awarded the mandate to J.P. Morgan Asset Management for investment in its new JPMorgan Global Bond Fund, launched this month.

The fund is a high conviction, diversified portfolio investing in global investment grade bonds and focused on income, diversification, and volatility management.

TWUSUPER chief investment officer Edward Smith said the fund is refreshing its investment strategy and working to manage costs and tracking error while enhancing returns.

J.P. Morgan Asset Management chief executive, Australia and New Zealand Andrew Creber said the fund was developed on the back of client demand, ensuring it is "well positioned to navigate this changing landscape, that is focused to deliver diversified fixed income exposure with multiple levers for generating performance with a risk-controlled approach."

"We believe this solution meets the needs of our investors, particularly in light of the market environment and research we undertook with NMG Consulting around the impact of YFYS reforms on super funds," he added.

"With investors facing new challenges from slowing economic growth momentum and persistent inflation, the rise in bond yields has created value in bond markets and re-invigorated their role as diversifier in portfolios."

This fund launch follows that of the JPMorgan Income Fund in March.

Read more: J.P. Morgan Asset ManagementYFYSEdward SmithJPMorgan Global Bond FundJPMorgan Income FundAndrew CreberNMG Consulting