Three Melbourne-based superannuation funds have allocated a total of more than $66 million to fund manager Pengana Capital’s Global Bond Fund in the past three months.
Combined Fund, Cuesuper and Pinnacle Superannuation Fund have allocated $28.3 million, $21.6 million and $16.3 million respectively to the diversified bond strategy.
Pengana’s Global Bond Fund has more than $186 million in funds under management.
The fund used a multi-manager approach and invested with fixed income managers such as Mariner Silvermine, Loomis Sayles, Alphabridge, TCW and Ashmore in a range of higher-yielding debt strategies, Pengana said.
Allocations to each of the underlying strategies are reviewed and revised according to prevailing market conditions and an ongoing assessment of market risk by Pengana fund manager and chief investment officer Nick Griffiths.
As a further risk control measure, the fund’s currency exposure was fully hedged back into Australian dollars at all times, Pengana said.
“One of the benefits of this particular strategy is that it gives smaller institutional investors the opportunity to allocate to a range of higher-performing fixed income strategies which are run by investment specialists in their respective classes,” Griffiths said.
