New Star will open its international property fund to retail investors this month. The fund, which ...
New Star will open its international property fund to retail investors this month.
The fund, which will be available through international life com-pany platforms, will be the first to allow UK retail investors to hold international direct commercial property within an FSA authorised retail fund.
The fund will invest in commercial properties outside the UK, and aims to hold approximately 80% of its assets in direct commercial property, with the initial focus on Western Europe, Central Europe, Japan and the rest of Asia.
The fund will be managed by New Star's property team, headed by Roger Dossett, which manages £1.9bn of UK commercial property and almost $1bn of international commercial property.
John Duffield, chairman of New Star, said: "UK commercial property has emerged as a mainstream asset class in the retail investment market over the last five years. This has been largely due to the ability of direct commercial property to add diversification to investors' portfolios.
"Until now the only way that retail fund investors have been able to access commercial property outside of the UK has been through international property shares or Reits.
"These, of course, lack the low volatility and level of diversification that bricks and mortar funds can offer. Through the New Star International Property fund we are opening up a brand new investment area to UK investors."
Moves to overweight equities and fixed income
The Big Interview: Focus on ethical investment
View from the front row
'No control or oversight'
359 new customers in 2018