Lanyon Asset Management backs University of Adelaide program

A local investment firm believes Adelaide is perfectly placed to grow its funds management sector, and is backing local talent to help make it happen.

By Giuseppe Tauriello, The Advertiser

The head of Adelaide firm Lanyon Asset Management believes South Australia is perfectly placed to develop its funds management sector – and is backing local talent to help make it happen.

Lanyon has partnered with the University of Adelaide in a new program supporting students interested in pursuing a career in financial services.

The investment management firm has become a major sponsor of the university’s Financial Markets Lab, which gives students real-world experience of working in financial markets.

Located in the university’s Nexus 10 building on North Terrace, the lab offers students access to industry-standard financial databases and statistical analytic software, providing in-depth information and tools to analyse companies and investments.

As well as its “significant financial contribution” to the lab, Lanyon will offer a series of seminars to students on value investing, and will also host an annual competition where students will compete for a cash prize by undertaking in real-life equity analysis.

Lanyon managing director David Prescott said the initiatives were aimed at nurturing the pool of local talent and ultimately boosting the state’s funds management sector.

“We have a talent pool that can support a bigger industry sector and firmly believe that SA is an optimal location to manage capital,” he said.

“This is not about growing an industry for the sake of it. We are actively losing out from an economic perspective.

“SA has over $50bn of local superannuation capital and it’s been estimated that more than $110m per annum is paid in fees to interstate and international specialist fund managers. These fees effectively leave SA’s capital stock every year.”

Mr Prescott said modern tech­nology was bridging geographical divides, and pointed to cities such as Boston and Edinburgh, which were challenging the dominance of New York, London, Hong Kong and other traditional financial capitals.

“We believe that success in the investment management industry is driven by participants’ ability to read extensively, to think deeply and to make informed decisions in what is a highly competitive local and global capital market,” he said. “Adelaide, outside of the noise of a financial market centre, provides an ideal location for clear decision-making.”

Lanyon recently appointed three university graduates as analysts with the firm. Analyst Alex Grosset, 26, said he was grateful to be given the opportunity to pursue a career in the profession from Adelaide.

“I grew up in the Clare Valley and my Dad got me interested in investing in equities at a young age,” he said.

“After I completed my studies at the University of Adelaide, I had resolved myself to having to relocate to Sydney, Melbourne or even an international destination if I wanted to pursue a career in fund management. I am glad that I have had the opportunity and I believe future graduates should be afforded the same choice.”UoA graduate and Analyst Alex Grosset

Article extracted from Business Journal,The Advertiser, Tuesday 13 April 2021. The original article appeared here.