Mercer Global Investments has hired BlackRock to manage a $1 billion Australian equities portfolio.
The quantitative long-only equities mandate will be managed on an after-tax basis.
"The appointment is recognition of our market leadership when it comes to managing portfolios on an after-tax basis, which is the performance our clients are really interested in," BlackRock managing director Maurice O'Shannassy said
The investment manager has been strengthening is quantitative capability locally and globally, according to O'Shannassy.
In April, its Australian quantitative equity team announced it will no longer take long/short mandates after reaching capacity with mandates it had won over the past couple of months.
BlackRock's Australian quantitative equity team won a $470 million Australian equity active-extension mandate from the Local Government Superannuation Scheme (LGSS) and an $80 million 150/50 long/short mandate from the industry superannuation fund Tasplan.
"We have built a very strong team in Australia over the past four years. It is inspiring to see that the market is recognising the value of our offering," O'Shannassy said.
