Pendal has managed diversified funds for more than 40 years
Our diversified funds provide investors with a variety of traditional and alternative asset classes and strategies.
These include Australian and international shares, Australian and international property securities, Australian and international fixed interest and cash investments and alternatives.
In March 2024, Perpetual Group brought together the Pendal and Perpetual multi-asset teams under the leadership of Michael O’Dea.
The newly expanded nine-strong team will manage more than $6 billion in AUM and create a platform with the scale and resources to deliver leading multi-asset solutions for clients.
Michael is a highly experienced investor with more than 23 years industry experience, including almost a decade leading the team at Perpetual.
Perpetual’s multi asset team has been recognised externally and won numerous industry awards in 2023.
While there are some minor changes to the investment approach for Pendal’s multi-asset funds, the Perpetual and Pendal brand and product names will remain, along with Pendal’s highly regarded approach to sustainable solutions.
Our leadership position in sustainability is enhanced with Pendal portfolio manager Alan Polley appointed senior sustainable investments lead and additional resources brought into Regnan.
View the Multi Asset Strategies Team
More resources, better client support
Pendal clients will benefit from the newly combined team with greater resources and client support.
The combined team leverages the collective capabilities of Perpetual and Pendal across applied quantitative research, asset allocation techniques, liquid alternatives and sustainability .
Pendal funds will benefit from the proven and highly rated Perpetual Asset Allocation approach and the collective skills and experience of the Perpetual team.
Investment Philosophy
Our investment philosophy drives our investment decisions. Specific principles guide the way that we seek to identify opportunities and manage our Multi Asset portfolios:
- Markets are semi-efficient and have a tendency to overshoot and undershoot fair value
- Future investment returns are primarily driven by the price you pay, so valuations are critical.
- We believe that a focus on buying quality investments at attractive prices and diversification across a range of markets, sectors, strategies and sources of returns helps protect our portfolios from losses
- An active asset allocation approach may benefit investors because the manager is able to reduce (or exit) exposure to an asset when its fundamentals are poor or raise exposure when conditions are favourable
- A highly active asset allocation approach requires skill, experience and discipline.
We actively manage the asset allocation of our Multi Asset portfolios. In doing so, we seek to reduce the risk of losing capital and capture the rewards of being invested in the right place at the right time.
Our approach
The investment process is anchored to an SAA-centric framework. Comprising a mix of ‘core’ and ‘value add’ exposures, the SAA is deemed the key driver of longer-term portfolio outcomes, accounting for approximately 85% of total returns. Core positions represent investments where the Multi-Asset team seek to gain broad-based market exposure and investment vehicles that have a proven track record in generating excess returns.
With an emphasis on downside risk management and diversification, Perpetual believes portfolio outcomes can be further enhanced through the application of Active Asset Allocation. This is a process that incorporates an assessment of the economic cycle, valuations and momentum factors, to assist in the timing of entering or exiting positions.
Our products include:
- Pendal Active Conservative Fund
- Pendal Active Balanced Fund
- Pendal Active Growth Fund Fund
- Pendal Active High Growth Fund
- Pendal Active Moderate Fund
- Pendal Sustainable Balanced Fund and Pendal Sustainable Conservative Fund, where the investment process for Australian shares is managed by Pendal’s Australian Equities team and has the addition of sustainability screens
- Pendal Sustainable Multi Asset Portfolio
The investment team is highly experienced and has a complimentary set of skills including multi asset portfolio management, manager research, quantitative equity, global macro hedge fund, macro-economic and financial modelling skills.
The team also draws upon the breath of Perpetual Groups investment resources to deliver client outcomes in line with expectations. This includes dedicated investment teams across Australian equities, Global Equities, Fixed income, credit and cash.