Meeting Date: Friday, 8 August 2025
Our latest Investment Committee meeting brought together the PPAM team to review recent business progress, client initiatives, and portfolio research.
Key Discussion Highlights
Business & Strategic Updates
- Growth Outlook: Revenue on track to double by 2026 despite higher operating costs (+25–30%).
- Compliance: Actions underway to finalise the superannuation component for our AFSL, enabling broader advisory capabilities with Macquarie Bank.
Client Acquisition & Partnerships
- Pipeline Growth: Strong momentum from Macquarie superannuation referrals and partnerships with UBS, Citi, and JP Morgan.
- Focus Shift: Transition from building infrastructure to active client acquisition, supported by refined branding and thought leadership content.
Wealth Management & Platform Strategy
- Preference for Net Wealth for smaller clients; evaluating platform fit based on functionality, cost, and usability.
- Platform migration to Dash is 80% complete, with two-factor authentication implemented.
- Ongoing discussions with platform providers to optimise reporting and portfolio management tools.
Research & Manager Due Diligence
- High Conviction Manager (HCL) List: Targeting 60 top managers across 20 asset allocation sleeves by March 2026. Proprietary research expands beyond Lonsec, incorporating exclusions, investment minimums, redemption periods, and small-cap portfolio composition.
- Qualitative Assessment: Focus on alignment, incentives, and transparency, with 5-year track records considered sufficient for evaluation.
- Hyperion Review: Long-term outperformance with strong alpha despite high tracking error; suitable for investors with a 5–10 year horizon.
Performance & Fee Analysis
- Chester delivering +400bps outperformance over the past year.
- Fee-to-alpha tolerance set at 30%, with potential for negotiated discounts based on scale and relationships.
Next Steps & Action Items
- Finalise superannuation licensing requirements.
- Progress client engagement strategy.
- Continue Dash migration and platform optimisation.
- Expand HCL research and standardise reporting format.
- Monthly podcast coming soon.
Our Commitment:
At PPAM, our investment committee meetings are a critical forum for aligning strategy, research, and client objectives. By combining disciplined portfolio oversight with proactive business development, we continue to strengthen our ability to deliver tailored investment solutions for our clients.