Fresh from having his Qantas obstinacy endorsed by the airline’s surging share price, former UBS Asset Management boss Paul Fiani has further stuck it up his old employer by registering the name Integrity Investment Management for his new boutique fund.
Trade magazine Investment and Technology News broke the story this morning and it seems Fiani will be opening for business in about two months along with his former UBS deputy Shawn Burns.
The UBS gag is no more as Fiani revealed he’ll be starting a “long-only and valuation based” fund, meaning he’ll be no hedge fund player like Kerr Neilson’s Platinum Asset Management.
“I’ve spent the last eleven years working for someone else so it’s time to do something on my own,” Fiani told the trade mag after attending the first concert by The Police in 23 years at Vancouver’s GM Place.
Get Crikey FREE to your inbox every weekday morning with the Crikey Worm.
The likes of Anton Tagliaferro, Robert Maple-Brown and Andrew Sisson will go rocketing up the BRW Rich List when it comes out on Thursday, so Fiani will just be the latest getting on the boutique bandwagon which numbers about 140.
The valuation on Kerr Neilson’s Platinum Asset Management has fundamentally blown the lid on the huge earner that Paul Keating created with compulsory super.
Whilst the equity valuations are emerging, the public still doesn’t know the true picture of fund manager wealth because of a ridiculous exemption that doesn’t require their pay packets to be disclosed.
This is the same exemption that keeps the likes of Alan Jones and Ray Martin out of top 10 pay lists because they are not classified as “executives”.
John Sevior is the single most important employee at Perpetual and he has made many millions from the company, but this has not been properly disclosed.
Whilst Kevin Rudd and Wayne Swan embrace the funds management industry with cuts in withholding taxes, it is time to close this loophole.
There really is something bizarre about the people who control the voting on remuneration reports for all listed companies not having to reveal their own often excessive pay packets.
Veteran journalist Brian Toohey even launched an attack on excessive share trading on Insiders last week, claiming that entrepreneurs like Therese Rein add a lot more to Australia than these paper shufflers.
He’s right to a degree, although the likes of Platinum have made billions for their Australian clients.