Natixis Investment Management firm Flexstone Partners has secured a US$100 million ($138.5 million) private equity mandate from Hostplus.
The private investments firm has promised Hostplus members direct exposure to more than 40 co-investments in mid-market US and European private companies.
Under the mandate, the $50 billion industry super fund will also invest in Flexstone’s new Global Opportunities IV strategy.
Louise Watson, managing director and head of distribution, Australia and New Zealand, for Natixis said the company was happy to partner with Hostplus in the new investment.
Flexstone managing partner Eric Deram commented: “This mandate will allow Hostplus members to benefit from the crucial buffer that private equity investors enjoy but isn’t always available to other investors.”
“This is especially important during COVID-19, with the goal for Hostplus members to ride out an extended period of global market dislocations.”
Flexstone and Hostplus have had an ongoing working relationship since 2014 with its predecessor firm Caspian. Natixis private equity affiliates Europe-PE and Eagle Asia merged with Caspian to form Flexstone in 2019.
Hostplus also invested in Flexstone’s US private equity emerging managers program.
Sam Sicilia, chief investment officer at Hostplus reported the fund’s investment in private equity had provided it with some of its most attractive risk-adjusted opportunities in 2020.
“This investment will play an important role in contributing to our quest to identify and secure appropriately diverse sources of return,” Mr Sicilia said.
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.
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