South Africa's Murray & Roberts Retirement Fund has dropped Old Mutual due to "poor performance" and appointed SEI Investments.
Old Mutual previously had a R153m (£13.5m) equity mandate and Gensec had a R148m equity mandate. SEI’s new mandate of R250m is for global equities. Gensec has also been given a new R80m international bond mandate. The remaining R30m comes from growth within the fund.
This is the first mandate to be won by SEI’s South African office in 2001. SEI was chosen out of a shortlist of several asset managers, including Frank Russell, which came second in the final shortlist of two candidates.
According to Toy Otto, principal officer of the Murray & Roberts Retirement Fund, Old Mutual was dropped from the fund because of its “poor performance” over the past year.
“We were attracted to SEI because of their unique investment philosophy, competent research process as well as disciplined portfolio construction and maintenance process,” said Otto.
The Murray & Roberts Retirement Fund is worth R2.4bn and is advised by Fifth Quadrant. It has 3900 employees and over 4000 pensioners.
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