The fund manager's 20 per cent value contrarian strategic weighting in the AOF was removed and Perpetual was hired to manage the same amount but in a concentrated value role.
"Russell has been researching Perpetual Investments for over 15 years and we have high conviction in both their investment process and team," Russell Investments chief investment officer for Australasia Symon Parish said.
Perpetual's bottom-up approach to stock selection and portfolio construction would put greater emphasis on stock selection as the key driver of the AOF's active return, Parish said.
Other changes to the AOF include a reduction in Arnhem Investment Management's (formerly Fortis Investment Partners) weighting to 12.5 per cent from 15 per cent.
Paradice Investment Management's 10 per cent mandate was boosted to 12.5 per cent.
