Magellan Financial Group is an Australian investment manager focusing on global equities and global listed infrastructure.
MFG funds are available to retail and institutional clients in both Australian Securities Exchange-listed and unlisted forms. As of 31 December 2020, institutional clients held A$73.9 billion of assets under management, composing 73% of total.[1]
Alongside the dominant funds management business segment where the majority of operations are concentrated on the Group balance sheet includes a Principal Investments portfolio that has historically been composed of internal holdings in Magellan funds.[2]
In the second half of 2020, MFG commenced significantly expanding its Principal Investments segment to include an external portfolio, initially undertaking three investments:[1]
Sep 2020: A$156 million investment in Barrenjoey Capital Partners, a newly established full service investment bank start-up (40% non-dilutive economic interest, 5% voting interest);
Oct 2020: A$20 million investment in FinClear Holdings Limited, a provider of trading technology and infrastructure (16% shareholding);
Jan 2021: A$95.4 million investment in fast food restaurant chain Guzman y Gomez (11% shareholding).
MFG was co-founded in 2006 by Hamish Douglass and Chris Mackay off the back of careers in investment banking. The MFG entity was established through a complex recapitalisation deal where an existing listed vehicle—the underperforming Pengana HedgeFunds Group—was taken control of and renamed,[3] severing formal ties with the previous entity.[4][5]
Pengana had been founded in 2003 by Malcolm Turnbull, who was later to become Australian prime minister, and a merchant banking colleague, Russell Pillemar. The Turnbull family retained 20 per cent of the new company after the merger.[4]
Douglass and Mackay used their contacts to raise approximately A$100 million in initial working capital for Magellan and to seed the investment strategies. At the same time, A$378 million[6] was raised to establish the Magellan Flagship Fund in a closed-ended listed investment company structure (ASX code: MFF).[7][8]
In July 2007, MFG launched the Magellan Global Fund and Magellan Infrastructure Fund as unlisted trusts, providing A$15 million and A$5 million of seed capital respectively.[9] As at 31 December 2020, their direct successor funds have increased to about A$15.6 billion and A$2.5 billion respectively, though more broadly the underlying strategies have increased to A$75.1 billion in Global Equities and A$18.2 billion in Global Listed Infrastructure, across a number of investment vehicle variations.[1]
In December 2021, Brett Cairns resigned from his position as CEO.[10] In March 2022, co-founder Hamish Douglass resigned from the Magellan board and co-founder Chris Mackay took up the role of Chairman.[11] David George was appointed CEO in May 2022.[12]
A$101.3 billion 
