HSBC Investments will launch its multi-manager Open Global Property fund on 26 November.
Structured as a Non UCITS Retail Scheme, the fund will be managed by the seven strong HSBC multi-manager real estate team, led by Guy Morrell.
HSBC says the fund will be the first daily dealing fund of property funds available to UK investors, holding positions with physical property exposure as well as property-related securities funds.
It says the composition of the funds in the portfolio will fluctuate with the changing market environment and pricing movements.
The portfolio will contain ten underlying funds at launch and the fund is likely to have a strong focus on Continental Europe and Asia.
HSBC Investments UK wholesale managing director Andy Clark says advisers will enjoy access to the range of specialist property managers from across the globe.
“We believe that this fund offers the best of both worlds – the diversification benefits of commercial property investment, without sacrificing liquidity,” he says.
“It is likely to appeal to property investors wishing to diversify their exposure to individual managers and specific countries and who are willing to take advantage of the total return opportunities in markets outside the UK.”
Morrell added: “UK commercial property has been a highly popular asset class in recent years. However, we believe it is appropriate to take a global approach to property to provide investors with improved diversification and access to attractively-priced markets, wherever they may be based.”
The initial charge on the fund is 4% with an AMC of 1.25% and an estimated TER of 2.25%. Initial commission is 4% initial and 0.5% trail. The minimum investment is £1000 lump sum or £50 monthly and the fund is available for ISA investors.
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