Statewide Super has announced it has awarded $180 million US asset-backed securities mandate to Natixis Investment Managers’ affiliate, Loomis, Sayles and Company.
Under the terms of the deal, members of the $10.8 billion superannuation fund would have access to the strategy that was specifically built to reflect the current, low rate, environment.
“We are so pleased to manage this mandate for Statewide Super, and believe that Loomis Sayles’ proven expertise in securitized credit investing is an excellent fit for their investment needs. We look forward to a long and productive partnership between Statewide Super, Loomis Sayles and Natixis Investment Managers,” Alessandro Pagani, head of the mortgage and structured finance team at Loomis Sayles said.
Statewide Super’s chief investment officer, Con Michalakis, said that Loomis Sayles had been appointed following a review of the firm’s defensive alternatives asset class at the end of last year.
“Cash gets you nothing and developed market sovereign bond yields remain low so by investing in this strategy I can get some yield pick-up,” he added.
The Statewide Super-customised mandate would target returns of cash plus 2% to 3%, the firm said.