19 March 2017 By Oksana Patron
PIMCO has become a responsible entity (RE) for all its 12 funds available to Australian investors, in a move intended to be the next step of the firm’s strategy to strengthen its commitment to the Australian market.
According to the company, this would be one of the largest RE transitions in the local financial services market and would apply to some of the following funds:
- The Australian Bond Fund
- Australian Focus Fund
- Capital Securities Fund
- Diversified Fixed Interest Fund
- Global Bond Fund
- Global Credit Fund
- Income Fund
PIMCO said that the internalisation of the RE function would include a number of benefits for its clients such as end-to-end client management, risk and compliance controls, dedicated RE service and better corporate strength.
PIMCO’s head of Australia and New Zealand, Adrian Stewart, said: “Taking responsibility for the PIMCO funds (as RE) underscores PIMCO’s commitment to the Australian market and is a natural next step of PIMCO’s continued evolution as a complete provider of investment solutions”.
“As RE, we will now have the platform to continue to innovate and deliver contemporary investment solutions in response to the changing needs of clients.”
Additionally, PIMCO has established a statutory compliance committee for the governance of the funds which would consist of independent members and include:
- Robin Burns, former chief executive at EQT Holdings Limited;
- Christine Feldmanis, a non-executive director and an independent member of a number of committees across the financial services sector; and
- Penni James, a non-executive director and an independent member of a number of board, audit, risk and compliance committees in financial services and government.