Frontier provides institutional investors with the strategic insights, creative thinking and state-of-the-art technology they need to optimise the growth of their portfolios while meeting the challenges of governance and risk management.
Pure advice and technology is all we focus on. Our lack of product conflicts mean our clients know they have a true partnership model with Frontier and that our interests are aligned.
We believe asset allocation decisions have the greatest impact on portfolio outcomes and are key to achieving investment objectives.
Our strategic asset allocation process is tailored to every client and takes into account specific circumstances including the purpose of the assets, regulatory and competitive environment, liquidity requirements and tax status. We compliment this with a dynamic approach to positioning, that allows for the current market environment, to manage risk and add value. Frontier provides dynamic asset allocation advice across a range of asset classes and geographies. We are continuously researching and reviewing views and have a structured quarterly market outlook process and regular market updates.
Our process is also fully transparent, with our underlying modelling available through our Partners Platform technology to encourage active interaction and interrogation of the analysis for the ultimate aim of optimal outcomes for our clients.
Capital markets insights
Our Capital Markets and Asset Allocation Team is headed by Chris Trevillyan.
Frontier’s capital markets assessments power our advice across many areas. Our experienced team members visit major policy making institutions, central banks, fund managers, investment banks, research houses and key industry groups from around the globe, to test, refine and enhance opinions. We read extensively and undertake large amounts of quantitative analysis and proprietary modelling. Additionally, we harness the investment expertise of our GIRA partners to exchange ideas and insights.
Our Investment Governance Team provides bespoke analysis and recommendations on business strategy, investment governance and decision-making structures, inhousing and insourcing (including assurance reviews of internal teams) and risk reporting frameworks.
We provide tailored assistance in achieving clarity on the investment philosophy/process along with tailored design, establishing investment beliefs, implementation and review of investment governance models, including decision making, strategic issues and risk management. We are experienced at conducting trustee and executive workshops.
Our team is independent and has many years of experience dealing with and observing institutional investors of varying sizes and degrees of complexity. Our overarching philosophy is one of ‘fit for purpose’ to enable investors to succeed now and in the future.
Assisting clients review their investment objectives and policies sits at the core of the success we have helped our clients deliver over many years. Our experience has helped clients negotiate over twenty-five years of cycles, challenges and opportunities.
Well defined objectives are the critical first step in understanding what the investor wants to achieve. Once set, the investment objectives dictate the strategy, the key component of the portfolio’s return outcomes.
Risk is the other side of the return coin. And, under normal circumstances, investors need to take risk to earn return. The balancing act is delicate. We ensure clients understand how risk can manifest itself in the portfolio and the possible range of outcomes under a range of scenarios.
Both risk and return are critically important and clarity around each is paramount. Experience matters.
Investment manager research and selection is an area we have excelled at for over twenty-five years. We adhere strictly to well-established and disciplined processes to evaluate and review investment managers from around the globe. Our process is multi-staged, combines quantitative and qualitative analysis and is transparent to our clients to ensure they fully understand the rigour of our evaluation. In fact, we welcome client involvement.
Once rated, we meet incumbent managers frequently, to ensure the manager is maintaining its stated style and approach, to reassess whether relative strengths have persisted and to check whether areas of concern have deteriorated. There is no set and forget for managers at Frontier and the performance of our rated managers proves the worth of our process. We have invested in technology to increase the depth and breadth of manager research to deliver value for clients.
We also use our scale and experience to help our clients in fee and mandate schedule negotiations. We’ve established a reputation for negotiating hard for our clients, but respecting and recognising the importance of ensuring all parties arrive at a fair outcome.
Frontier believes environmental, social and governance (ESG) factors directly impact long-term investment performance. We actively incorporate responsible investment into our investment research, manager research and client advisory services. Frontier’s Responsible Investment Policy is available here .
As each investor’s responsible investment needs are unique, our approach to responsible investment service is modular and covers a range of factors to help us tailor flexible solutions.
Joey Alcock leads our Responsible Investment Group. The Group includes senior representatives from Frontier’s consulting, research, investment strategy and governance functions, reflecting the integrated nature of our responsible investment approach. ESG is not an adjunct or afterthought to our traditional consulting business, but a front-line consideration.
Our Portfolio Analytics technology includes a Climate Change Module which provides an understanding of the potential impacts of climate change on investment portfolio outcomes under different potential transition scenarios.
Frontier became an early signatory of the Principles of Responsible Investment (PRI) in 2006. In accordance with PRI requirements, Frontier reports publicly on its responsible investment activities each year including the disclosure of its PRI Transparency Report (our latest report available here ).
Frontier is a signatory to the Paris Pledge for Action which represents a public commitment to support the greenhouse gas reduction objectives of the Paris Agreement. Frontier is also a financial member of the Investor Group on Climate Change, supporting its efforts in helping investors to manage the impacts on their investments of the economic transition arising from climate change.
Our extensive research into retirement solutions, led by David Carruthers , means we can assist superannuation funds design products which better meet the needs of retirees. In understanding the risks and challenges members face, funds can take advantage of the opportunities this fundamental market shift offers.
Frontier can offer analysis and advice around member needs and behaviours; projections; product innovation and design; member engagement and communication; and aligning business objectives, evolving cash flows and investment strategy.
We believe integrating product and investment solutions will be the key for super funds to create differentiation.
Our sector research effort is headed by Paul Newfield . With dedicated research teams spanning a wide range of asset classes our thought leadership, looking at current and future risks and opportunities, and ongoing review programs help shape the portfolio construction advice we provide our clients. We complete extensive sector and configuration reviews and provide recommendations of new strategies and alternative configurations to help our clients achieve their investment objectives and find a competitive edge.
Our research teams are resourced with experienced specialists who are accessible to our clients. As well as our extensive sector specific research developed for Australian investors and spanning the globe, rather than off-the-shelf cookie-cutter ideas from offshore counterparts, we also complete bespoke research and analysis. You will never hear us dismiss an idea because it doesn’t suit our needs.
And of course, because we don’t sell our own products, we pass all of our best ideas and discovery on to our clients instead of keeping them for our own benefit.
Alternatives and Derivatives
Scott Pappas leads our Alternatives and Derivatives Team. With a thematic-based approach to identifying key areas of research within alternatives and derivatives, the Team provides innovative, responsive and quick-to-market research focused on identifying strong investment opportunities and strategies that address client issues. Within alternatives, the Team covers select absolute return strategies (e.g. CTAs, global macro), multi-asset strategies, opportunistic credit strategies, insurance linked securities strategies and derivatives strategies and a range of new or alternative investment strategies.
Debt and Currency
Andrew Kemp leads our Debt and Currency Team. The Team is responsible for debt related investment and manager research and integrates deep market experience with inputs from Frontier’s capital markets team to identify direct and externally managed opportunities for client portfolios. The Team covers a wide range of strategies including cash, core fixed income, credit driven strategies across the risk spectrum, macro fixed income and growth focused private debt segments of the market. Within the currency sector, we research active and passive currency overlay strategies. The Debt and Currency Team also has close interaction with other teams including the Real Assets Team, where infrastructure and property debt are jointly covered.
Fraser Murray leads our Equities Team. The Team is responsible for equities related investment and manager research across both domestic and international equities. The Team’s sector configurations incorporate our views on portfolio construction issues and developments within these asset classes. The Equities Team maintains an active research program for identifying new ideas for clients, with recent examples including climate-aligned passive equities, emerging market small caps and China A-shares research.
Frontier is renowned for our expertise in the unlisted asset space and many of our clients were among the first to enjoy the benefits of infrastructure investment in the Australian market as far back as 1994, when Frontier first offered advice.
The Real Assets Team encompasses specialists from diverse backgrounds, touching on areas such as real estate, infrastructure, private equity, timber, and agriculture with a blend of practical experience and technical knowledge.
Our RADIAS database provides subscribers with an unparalleled level of market data allowing strategic analysis of infrastructure portfolios.
Technology to deliver insight and power decision making
Our dedicated Technology Team develops tools and solutions built on the foundations of our investment know-how.
Our Partners Platform offers portfolio analytics, manager insights, transactions intel and governance solutions.