Hi I’m Amy Waite from the TelstraSuper investments team and today we’re going to look at some of our investments in Private Equity.
Private Equity is investments in private companies that are not listed on a public exchange. The money is used for things like funding entrepreneurs starting a new business or existing businesses wanting to grow.
I like to think it’s one of the more interesting areas of investment because not everyone can do it – you usually need millions of dollars as a minimum investment and there’s more private companies than listed companies to choose from. You can also influence company strategy which can help generate higher returns.
You might be familiar with Zap, Jetts, Fitness First or Goodlife – these are all part of a private equity investment called Fitness & Lifestyle Group that you, as a TelstraSuper member, may be invested in if you’re in the Growth, Balanced or Defined Benefit option.
We expect significant growth in fitness memberships in the coming years as Australia heads towards U.S membership levels. This investment also has a positive social impact as it profits from changing lives in a positive way.
Our investment in Fitness & Lifestyle Group has helped improve the business.
Recently, the Group collaborated with Apple to roll-out GymKit technology to send data from gym equipment straight to your Apple Watch within the Fitness First locations. These innovations make Fitness & Lifestyle Group a more desirable company which ultimately leads to higher returns for TelstraSuper members.
TelstraSuper invests in a range of companies in Australia and all over the world. In fact, it’s highly likely that you encounter companies that your super is invested in everyday! We look forward to sharing more with you.