"Unrelenting" investment to follow bumper financial year for IFM Investors

"Unrelenting" investment to follow bumper financial year for IFM Investors

Global funds manager IFM Investors has promised "unrelenting" investment on behalf of its shareholders following a record full-year result.

The firm which has become a major global player finished the year with $107 billion of funds under management, an increase of 15 per cent on the prior year.

The fund is now valued independently at $869.5 million, representing an increase of 20.2 per cent per annum over the last five years.

Brett Himbury, the chief executive of IFM, says the unique ownership model of the business has set it apart from its competitors.

"The combination of our uniquely aligned ownership model, our like-minded long-term institutional investor clients, and wonderful global team, has delivered excellent returns to our investors and strong growth across the board," says Himbury.

"We've delivered a comprehensive set of results, but this is as a result of our unique ownership model. It drives us to be focused on investors and investor returns."

"We now have a strong, resilient global business that is exceptionally resourced to invest further in capabilities and add even more to our investors' returns. We are proud of these results, yet completely focussed on how we might leverage our privileged position to improve net returns to the tens of millions of working people we serve globally."

"We finished in a strong shape from a performance and profit perspective and as a result we will be unrelenting in our desire to invest more in people, products, and capabilities."

At the end of FY18, IFM had 312 institutional investors in 19 different countries, focused on the OECD region.

Across its asset classes, the $107 billion of funds under management includes $48 billion of infrastructure equity, $34 billion of global assets and $13 billion of Australian-based assets.

Listed equities comprises $27 billion of the funds under management while $2 billion is in private investments, and $30 billion in debt.

Himbury, in a conference call to the press on Monday morning, says the company's position as a longer-term investor puts it at an advantage considering the unpredictable nature of markets in 2018.

"The increase of nationalisation and tariffs that are being applied around the world are of great concern," says Himbury.

"But this environment is creating opportunities for long-term investments for people like us, when some shorter term investors won't take that risk."

As for trends, Himbury says to expect a focus on unlisted markets.

"Longer term, the OECD pension index indicates that institutional investors globally are continuing to allocate more to unlisted markets that is a global trend," says Himbury.

"There is clearly an increased appetite for unlisted investments that provide a higher degree of confidence than you're likely to receive from underlying assets."

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