OLD Mutual Asset Managers have the largest book of assets standing at $993 billion as at June 30, a Comarton survey of five pension fund investment managers has revealed.
The other four are ABC, Datvest, Imara and Tetrad with $328 billion, $645 billion, $556 billion and $49 billion funds under management respectively.
ABC Asset Managers ruled the roost proving its resilience in a difficult operating environment.
It achieved 9 520% growth for the period running from January 1, 2002 to June 30 this year.
Datvest, which is now in the CBZ fold, recorded an impressive 8 226% for the same period.
Imara Capital and Tetrad posted 6 650% and 4 810% respectively, while the performance of Old Mutual was not compiled but achieved 2 103% since June 30, 2002.
Old Mutual’s performance lagged behind other managers except that of newcomer Tetrad for the period under review but investors were not worried, saying what mattered was the security provided by Old Mutual investments.
Going forward, these performance results are not likely to be sustainable. Funds under management are gross assets including profits, money market instruments, bonds and previously high-performing equities.
Given the impasse on the ZSE and new prescribed asset ratios based on market value, portfolios are going to witness a decline in values.
Money market instruments are not so profitable to beat inflation in the long-term.
Fund managers are asking themselves the point in investing in non-performing money market instruments.
The pensioner is going to see few reviews of his pension and very little bonuses. Poverty is already knocking at the doorstep of every pensioner.