Challenger-owned Fidante has entered a joint venture with a US-based investment manager with integrated businesses across credit, private equity and real estate.
Fidante has made a joint venture with Ares Management Corporation to coordinate the marketing and investment management of retail and institutional investor capital from Australia and New Zealand for Ares’ various credit, private equity and real estate strategies, according to a statement.
To support the joint venture, the two companies have formed Ares Australia Management (AAM), which will act as the investment manager for new investment vehicles specifically structured for investors in Australia and New Zealand.
AAM will be governed by a board of directors consisting of representatives from Ares and Fidante and will be headquartered in Sydney.
Ares’ managing director and relationship manager based in Australia, Bill Entwistle, will continue as a senior member of the Ares and Fidante relationship management effort in Australia.
“As the Australian population continues to focus on growing and diversifying retirement assets in the country’s superannuation system, the corresponding increased demand for alternative investments with more stable income has created a tremendous opportunity for alternative asset managers,” said Ares partner David Sachs.
“We are pleased to enter into this strategic joint venture with Fidante, which will utilise its significant distribution expertise to meet the growing demand for higher returning investment products.”
Challenger Funds management chief executive Nick Hamilton said Ares is a leading alternative investment manager with global scale and a strong track record of delivering attractive returns for its investors.
“Fidante’s strategy includes providing its customers with excellent funds management solutions and today’s announcement is a great example of how Fidante works to bring exceptional fund managers with high-quality products to the Australian market,” Mr Hamilton said.
“Fidante’s joint venture with Ares will provide local investors access to additional investment expertise in credit, which will play an important role in delivering high-quality diversified returns for investor portfolios.”