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ASX announces mFund Foundation Members - who's in and who's out?

Last week's article on the ASX's new managed fund service was not only widely read, but received many comments. They are worth reading to give the perspective of others in the industry.

One comment suggested the range of fund managers would be modest, and "does not seem like there will be critical mass of unlisted funds or brokers supporting it".

ASX has been able to counter this. It released a statement on mFunds, but more important, provided for the first time the list of Foundation Members, linked here.

It's an intriguing list, as much for who's out as in. As well as major platform providers such as AMP and Macquarie, there's an impressive list of established fund managers such as PIMCO, Schroders, UBS, Zurich and Tyndall, as well as many boutiques.

Equally notable, who is not there. BT, Colonial First State and Perpetual are obvious omissions, as well as boutiques such as Magellan and PM Capital. Some of these are conscious decisions to 'wait and see', while others are still working on the technology solutions.

At the media launch, the ASX made it clear their primary target was SMSFs, describing them as the 'biggest opportunity'. "For every single fund manager that we’re dealing with, it’s number one out of their five top things to do in the next couple of years," said Marcus Christoe, Senior Manager at the ASX. The 60 Foundation Members are estimated to make up about one-third of the retail funds management market.

 

  •   7 February 2014
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