Kernel's seed swelling

Kernel has made an appointment to its newly created senior relationship manager role to support wholesale investors and financial advisers.

Friday, October 8th 2021, 5:13PM

Raj Gooptu joins Kernel as Product and Relationship Manager, following a five year stint at Westpac. As Corporate and Institutional Dealer at Westpac Financial Markets, Gooptu advised clients on FX and interest rate risk management, FX options structuring and portfolio hedging.

Kernel chief executive Dean Anderson said Gooptu “is a fantastic addition to the team that will provide new market insights and experience”.

The manager's new Sustainable funds have been added to all wrap platforms following strong adviser and wholesale demand.

The three new funds, provide clients exposure to domestic and international markets with an Environmental, Social and Governance overlay, including the NZ 50 ESG Tilted Fund, which tracks the first New Zealand ESG index developed by S&P Dow Jones Indices.

The NZ ESG index fund offers more than simple exclusions; it up- and down-weights companies based on non-financial metrics including governance practices, sustainability scores, disclosure, fossil fuel exposure and workplace diversity.

Anderson says the evolution of ESG investing is reflective of the market demand.

“Investors are increasingly shifting their money into sustainable and ESG funds.” he says.

“The number of adviser groups now wanting to offer ESG strategies is on the rise. We’ve seen this with platform level data and the number of enquiries since the series launch.”

Anderson says the biggest element holding back wholesale and adviser ESG growth is product education, pointing out that flows into listed ESG investment funds in the US in 2020 reached $51.1 billion, which was more than double 2019 levels, according to Morningstar.

Anderson says Kernel has expanded its fund range from six to 11 funds this year and its the team has grown fourfold and funds under management doubling every four months.

Tags: Kernel