2020 CEO Survey: Rob Adams, Perpetual

Never underestimate the importance of authentic communication, says Perpetual chief Rob Adams.

What are the three enduring lessons or changes to flow from COVID-19?

COVID has taught us never to underestimate the importance of regular and authentic communication and how critical it is to “double down” on communication during uncertain and volatile times.

The record rate at which necessity has brought about new ways of doing things or adopting new technology has been remarkable and has underscored the importance of adaptability as an organisation. There will be clear, permanent learnings for us all from this year.

On a related note, the future of work and the workplace are fundamentally and forever changed — the remote working productivity we have witnessed has been the validation that people should work where they work best. This flexible approach helps with employee satisfaction and can be a source of competitive advantage, particularly in terms of attracting and retaining people.

How would you rate the shape of the Australian economy as we head into the new year?

Relative to other economies, Australia is in an enviable position and there is certainly clear cause for optimism.

Our relative position will enable us to be a big beneficiary as we move to a more traditional cycle.

While our response to COVID-19 has been helped by our position as an isolated island, as a nation we are still very dependent upon events that occur outside of our borders and therefore still need be cautious.

What three reforms are needed to sustainably grow the economy?

Energy reform is an obvious one — more competitively priced energy benefits the entire economy — and we have the natural advantages to achieve it.

The shape, form and terms of our trading relationships are also going to be key to sustainably growing the national economy in the future.

Whatever big-ticket reform item is on the agenda — be it energy, trade, super or tax – it must be addressed through a long-term lens. This is particularly important as short-term stimulus measures come to an end.

Fiscal stimulus will continue to be key with interest rates at historic lows and it needs to be deployed with a long-term view.

What are the three best growth opportunities for your company in 2021?

Our focus is on bedding down our two recent US acquisitions — Trillium and Barrow Hanley — investing in our distribution team to expand globally, given our range of world-class investment capabilities.

Continuing to always put our clients first — meeting their needs and exceeding their expectations in terms of new products and services.

We are also focused on taking advantage of the dislocation in the Australian wealth management sector in our Perpetual Private business. Our brand is strong and trusted, and this provides us with a key competitive advantage.

The early signs of a shift from growth to value as investors are starting to rotate into cyclical stocks represents an opportunity that would support our future growth.

What impact will digital transformation have on your company?

Digital transformation has changed the way we interact and engage with our clients and the activities that support that. We are now providing digital webinars to clients, digital brochureware, one to one meetings virtually, and most of our documents are electronic with an electronic signature process. These services will now be a permanent part of our engagement.

Similarly, in data and analytics where “data is the new oil”.

We have changed the way we access and use data, and it is helping us find new, better solutions for our clients and opening up new revenue streams.

How would you rate business, state and federal government performance this year?

In the context of an unprecedented global health crisis which has had enormous implications for the world economy, governments have performed pretty well.

The National Cabinet has been largely effective — short-term stimulus has been deployed rapidly by government which has been key.

Business has also played its part, working flexibly, closely and collaboratively with all levels of government.