Personal Trading by Fund Managers – A Conflict and Distraction

We started Blackwattle Investment Partners in an attempt to elevate Funds Management for our clients, investors, staff, and our communities.

But it’s not just about us – our entire industry can, and should, do better.

Too many fund managers have drifted away from their core fiduciary responsibility to their clients.

One glaring issue stands out: Personal Trading (‘PA Trading’) by fund managers.

PA Trading is an undeniable conflict of interest, and serves as a significant distraction.

It compromises the integrity of the investment management industry and can ultimately harm investment returns.

It is clearly not aligned with a client’s best interest.

The solution is: Eliminate it. Ban it. Abolish it.

An Industry Call to Action

The funds management industry must acknowledge the inherent risks, conflicts, and the distraction posed by Personal Trading.

By eliminating this practice, we can build trust and better align ourselves with the best interests of our clients.

At Blackwattle, we have already implemented a strict no-personal-trading policy, reinforcing our commitment to always act in our clients’ best interests.

In fact, we have committed over $15,000,000 of our own personal capital, alongside our clients, into the Blackwattle Funds.

We call on regulators, industry bodies, and fellow fund managers to join us in banning the practice of PA Trading.

Setting high ethical standards is our responsibility.

To Our Clients

Whether you’re a large superannuation fund, or an individual investor, we encourage you to demand accountability.

Personal trading has no place in fund management.

Together, let’s push the industry to put the clients’ interest first.

Letter to industry click here
AFR Article click here