SYDNEY, Sept 19 Reuters The next 18 months is an ideal time for unlisted asset deals, said the head of one of Australia39;s largest pension funds, as meaty returns for oncelow yielding investments like bonds or cash force private dealmakers to offer buyers better terms.

Dealmakers had bargaining power during years of low interest rates when investors would bid aggressively for any chance at yield, according to John Pearce, chief investment officer of UniSuper, which manages more than A120 billion 77 billion.

But when UniSuper can get a return of almost 7 from relatively safe subordinated major Australian bank debt, groups pitching for investment are now forced to offer buyers better prices, lower fees and more governance rights, he said.

At times we39;re the only one across the table … you39;re agreeing a price without having to get into a bidding war, Pearce told Reuters in an interview.

If you39;re got cash to deploy in debt markets or private equity, you should be able to do some smart deals.

UniSuper in May paid A1 billion for a 5 stake in newly privatised European telecom masts business Vantage Towers, a deal Peace said would not have happened even two years ago.

The fund, set up in 1982 for university workers, will focus its direct equity investments in Australia but is in talks to team up with a partner for overseas private debt deals, said Pearce.

UniSuper returned 10.3 in its primary investment vehicle in the financial year ended June 30….