BT Funds Management (NZ) awards A$500 million mandate to Colchester Global Investors

Colchester Global Investors has been awarded a A$500 million global sovereign bond mandate by BT Funds Management (NZ) Limited (BTNZ).

After review of their $1.6 billion international fixed income portfolio, BTNZ has engaged Colchester to provide an active sovereign bond component to the lineup, citing Colchester’s combination of ‘defensiveness and alpha generation as a compelling choice’.

Matthew Goldsack, BTNZ Head of Investment Solutions, said: “we selected Colchester because we like the fact that they’re an active manager with a sovereign-only specialty that delivers defensiveness and liquidity”.

The portfolio will be managed using Colchester’s time-proven real yield approach which selects sovereign markets with high real yields and strong financial stability as well as attractive currencies based on real exchange rates and balance sheet strength.
Colchester has a demonstrated track record of comfortably exceeding its objectives over a 17-year period and has shown its defensive characteristics during periods of market stress over this time.

“Following an extensive global search, we’re pleased to be able to add Colchester to our stable. Colchester’s mandate has been designed with a wide degree of allocation flexibility to enable them to take advantage of opportunities within the sovereign universe. We believe this relationship has the potential to add real value to our customer portfolios over time”.

Paul Allen, Colchester Global Investors (Singapore) Managing Director, said: “the business is excited to grow its partnership with BTNZ. We are proud to manage just over A$5 billion of assets for Australian and New Zealand clients which is a fantastic milestone to achieve and we are very pleased to be part of the BTNZ portfolio and to deliver alpha for its members”.

Media Contact

Angela MacPherson
02 8599 2132
amacpherson@colchesterglobal.com

About Colchester Global Investors
Colchester Global Investors is a value oriented investment manager with a singular focus on managing global sovereign bonds and currency. Chairman and CIO Ian Sims founded the privately-owned asset management business in 1999. Colchester is based in London, with offices in New York, Singapore and Sydney. Colchester has funds under management of approximately A$50bn across four core strategies being global sovereign bonds, global inflation-linked, emerging market debt, and an alpha program.

Colchester enjoys a long-standing history of managing money for many prestigious Australian institutions, with assets under management of approximately A$5bn.

Colchester provides investment management services to Australian clients on a separate account basis for mandates over $75 million, and has launched wholesale funds for their global fixed income and emerging market capabilities.

 

“This communication is intended for professional use by Australian wholesale clients as defined in Section 761G of the Corporations Act 2001 (Cwlth). Neither Colchester Global Investors Limited ARBN 153 119 763 nor Colchester Global Investors (Singapore) Pte. Ltd ABN 58 159 947 583 holds an Australian financial services licence for the provision of financial services, and both entities are exempt from the requirement to hold an Australian financial services licence under the Corporations Act 2001 (Cwlth) in respect of the financial services Colchester provides to wholesale clients in Australia. Colchester Global Investors Limited is authorised and regulated by the Financial Conduct Authority under the laws of England and Wales, which differ from Australian laws. Colchester Global Investors (Singapore) Pte. Ltd is regulated by the Monetary Authority of Singapore under Singapore laws, which differ from Australian laws. Therefore, Australian wholesale clients are not necessarily subject to the same types of legal protections or remedies that they would enjoy if Colchester was directly subject to the Corporations Act. Colchester is entitled to offer its financial services in Australia pursuant to an exemption from the requirement to hold an Australian Financial Services Licence under the Corporations Act, on the basis, among other things, that the clients are “wholesale clients” within the meaning of the Corporations Act.”

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The Zenith Investment Partners (“Zenith”, holder of Australian Financial Services License No. 226872) rating (assigned March 2017) referred to in this document is limited to “General Advice” (as defined by the Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of, and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Zenith usually charges the product issuer, fund manager or a related party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available in the Product Assessment and at http://www.zenithpartners.com.au/RegulatoryGuidelines.

Equity Trustees Limited (ABN 46 004 031 298, AFSL 240975), a subsidiary of EQT Holdings Limited, a publicly listed company on the Australian Securities Exchange (ASX:EQT), is the Responsible Entity of the Colchester Global Government Bond Fund (ARSN 168 909 671) (the “fund”). This document is not intended to be securities or financial product advice and should not be relied upon as such. To obtain a copy of the Fund’s PDS please contact Colchester. The PDS should be considered in deciding whether to acquire, or continue to hold, an investment in the Fund. This information is of a general nature only and does not take into account the investment objectives, financial situation or particular needs of any investor and should not be taken as a securities or stock recommendation. These factors should be considered before any investment decision is made in relation to the Fund. The performance of the Fund is not guaranteed. Colchester, Equity Trustees Limited and their related parties, employees and directors make no representation (express or implied) and shall have no liability in any way arising from the provision of this document for any loss or damage, direct or indirect, arising from the use of this document.