The ethical wealth group has set the ambitious goal of becoming one of Australia’s largest investment managers by the end of the decade, as it is looks to shake up its asset allocation and technology capabilities.
Australian Ethical has signalled an incoming revamp to its asset management, to result from an external review, as it has also hired a new head for the division.
John Woods has jumped ship from MLC, where he was a portfolio manager, to take the role of head of asset allocation at Australian Ethical. The new job will see him take responsibility for the group’s balanced fund and overall strategic allocation process.
Mr Woods’ appointment has followed the recent promotion of former equity analyst Mike Murray to head of domestic equities.
The group also recently enlisted start-up asset manager Alpha Vista, to conduct a review of its asset allocation governance framework.
The review, to be spearheaded by Alpha Vista director and investment consultant Ashby Monk, will aim to design a new approach to asset allocation.
Australian Ethical chief investment officer David Macri commented the group is investing in “future-focused talent and technology” to help it maintain its strong returns.
“This year, we are investing in our growth and setting the ambitious target of becoming one of Australia’s largest investment managers by 2030,” Mr Macri said.
“As interest in responsible investing increases, we’re future proofing our process, procedures, technology and people to safeguard our position as Australia’s leading responsible investor.”
Australian Ethical will also gain access to Alpha Vista’s artificial intelligence platform, which Mr Macri said will enable the group to “more accurately manage risk” and boost its performance.
The group now looks after more than $5 billion in funds under management.
It reported a $5.2 million net profit for the half-year to December, a 17 per cent rise year-on-year.
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].
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