AMIST Balanced MySuper - All you can eat Unlisted Property
Of all the MySuper products in the country, the Australian Meat Industry Superannuation Trust aka AMIST appears to be far and away the most exposed to unlisted property, within their balanced option holding 20% in unlisted property.
This makes AMIST MySuper theoretically exposed to a downturn in property prices, specifically, a correction to commercial office properties.
AMIST is a rather niche fund, it’s comparatively small for an industry fund, with assets totalling $2,536,900,000 and total members of 62,719.
In my opinion, for a fund that is smaller than many, having 20% invested in unlisted property, spread across three managers, (17.63% spread across two managers) and alL in a balanced option is not prudent or best-in-class risk management.
Just because property is unlisted doesn’t mean that assets aren’t world-class or accurately valued, but it does bring additional risk and with the liquidity that a fund of their size, AMIST is not ideally suited to handle.
Here’s AMIST’s investments in property:
Now, it would be lovely to try to deduce what kind of stock they’re holding and ISPT does a reasonable job of disclaiming the properties they own (if you know which fund AMIST is invested in…) as do QIC, however, I can’t find a shred about FIFE outside of media reports of purchases sos couldn’t comment on the portfolio size.
But, we can comment on the AMIST portfolio as a whole. Here’s the long term allocations, displaying 20% to property.
Source: AMIST Annual Report at 30 June 2022.
Apparently, it increased from the 2021 Financial Year.
Source: AMIST Annual Report at 30 June 2022.
Here you can see the property managers, AMIST have what I would regard as rather large allocations with 9.10% to Fife Capital Management Pty Limited and 8.53% to ISPT Pty Ltd.
I’ve personally never come across or heard of Fife Capital Management Pty Limited, and I wasn’t able to deduce a great deal from their website or LinkedIn.
For a fund of that size and considering it’s an industry fund, a 9.10% allocation to a single fund like is rather unusual Fife Capital Management.
I would love to know how much of the holdings are classed as commercial. I know ISPT invest across Retail, Commercial and Industrial.
Based on media reporting I believe FIFE also invest in industrial and commercial property.
Source: AMIST Annual Report at 30 June 2022.
Only one more post on I think this office discussion is a topic worth discussing, next post will look at valuations by certain funds.
Then I’ll be back to writing what I think is most important, fees.
Thanks,
Andy
Some important disclaimers: This blog and its posts are written to educate Australians on their financials, anything in this post is solely general information and commentary. All of the information referenced and provided has been sourced from publicly available information and all attempts have been made to ensure everything is accurate. All information is current as of the publishing date of 6th of April 2023, and may change in the future, it is important readers conduct their own research and ensure that any figures below remain current at the time they read. There is every chance the fees displayed and discussed may change in the future.
