Schroders wins fund manager of the year

Christine St Anne | 27 Feb 2012

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Christine St Anne is Morningstar's online editor.


Global investment manager Schroders has scooped the top award in the Australian Morningstar Awards, winning the fund manager of the year.

The firm has also taken the top honour in the multi-sector category.

Morningstar co-head of research Tim Murphy said Schroders has consistently performed well across a number of asset classes over a number of years.

"Schroders' achievement was a testament to the quality of the firm's processes and people, and the consistent results the fund manager had produced for investors in its funds," he said.

Murphy said while fund managers had to perform last year against difficult markets, the selection criteria was no different to previous years.

"We applied the same processes as in previous years. It was also about understanding how and why fund managers performed," Murphy said.

For example, fund managers who were overweight in defensive stocks last year performed better given the markets favoured consumer staples and the utilities sectors.

Morningstar uses qualitative research and quantitative analysis of risk-adjusted performance when determining the winners and finalists in the awards.

The winner is the fund manager that maintained the highest overall level of funds management excellence.


And the winners are ...

Australian fund manager of the year 2012 - Schroders

Schroders' talented staff, disciplined processes, insightful research and eye on valuation have all helped the firm navigate its investors successfully through another difficult and volatile year.

Shrewd asset allocation decision-making contributed to the firm winning the multi-sector category, while its nominations for the fixed-interest and domestic equities category awards helped deliver Schroders the ultimate award as the fund manager with the highest level of overall funds management excellence.

Multi-sector category, Australia 2012 - Schroders

Strategic and target asset allocations are critical to the performance of Schroders' multi-sector funds, and the team also pays great attention to understanding, managing, and allocating risks.

Astute asset allocation generated considerable value for investors in 2011, and superior stock-picking was also a major contributor to performance.

Schroders' rigorous process and the depth and experience of its investment personnel continue to translate into impressive results for investors, making Schroders the deserving winner of this award.

Fixed-interest category, Australia 2012 - Vanguard Investments

In a year when most fund managers were positioned for a rise in interest rates, index managers such as Vanguard were the relative winners when the opposite occurred.

This index specialist continues to deliver what it does best - a simple, well-executed, low-cost approach - making Vanguard truly worthy of the fixed-interest accolade.

Domestic equities category, Australia 2012 - Investors Mutual

Anton Tagliaferro and his team continue to display multiple strengths, delivering Australian investors an outstanding offering.

The firm's value-oriented stock-picking process, skilfully executed quality filters, and careful identification of companies with credible management and competitive advantages all add up to Investors Mutual being the standout contender in a highly competitive field.

Domestic equities - small caps category, Australia 2012 - Hyperion Asset Management

Hyperion's team continues to produce great outcomes for their investors by deploying quantitative screening and undertaking meticulous analysis, seeking out quality stocks with robust long-term growth potential.

The concentrated number of stockholdings shows their conviction in their views translates effectively into the portfolio investors receive, an important ingredient in what has helped make Hyperion one of the premier small-cap fund managers.

International equities category, Australia 2012 - Magellan Asset Management

Magellan has more than proven itself since launch in 2007.

Co-founders Hamish Douglass and Chris Mackay deploy their wealth of investment banking experience to implement a carefully crafted strategy driven by both quantitative tools and qualitative judgments, delivering a peer-beating solution for investors and making Magellan the standout winner in the international equities category.

Listed property category, Australia 2012 - ING Global Property Securities

Ritson Ferguson's skills and expertise, a successful combination of top-down regional allocation and bottom-up security selection, the firm's wider insights into regional trends and valuations, and an outstanding track record since inception in 2005 all make ING Global Property Securities the worthy winner of the award for the listed property category.

Emerging manager category, Australia 2012 - Bennelong ex-20 Australian Equities

Bennelong's innovative approach to investing in quality but underappreciated stocks outside the 20 largest companies has provided impressive initial performance, skillfully steered by seasoned investors Mark East and Paul Cuddy.

This niche offering has promising long-term future potential.

Murphy said many of the former winners in this category have gone on to becoming finalists and winners in the mainstream categories.

This report appeared on 2018 Morningstar Australasia Pty Limited

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