APN takes property global
APN Funds Management has launched a global version of its Property For Income fund to be managed by New York-based The Fiduciary Fund.
Fiduciary now invests almost entirely in global listed property trusts (LPTs) according to senior vice president Jack Foster.
“Five years ago LPTs were found only in Australia, the US, Netherlands and Belgium, now there is more than a dozen countries with LPT structures and Finland is just introducing them,” Foster said.
The new fund has about 350 stocks from around the world with the bulk of investment channelled into the US, with a 26 per cent allocation and the Netherlands and Japan comprising of 17 and 16 per cent respectively.
The fund has been tested in the US for a couple of months and has generated returns of 10 per cent on $2 million invested.
The plan is to grow the fund to $500 million in the next two years, he said. As the fund grows, APN will consider appointing further specialist managers in Europe and Asia.
Initially the fund has been launched as a wholesale vehicle with a minimum investment of $250,000, but it will be available to retail customers through master trusts and wraps.
The MER has been capped at 0.75 per cent. Advisers will be paid up to 4 per cent.
APN Funds Management is a specialist property funds manager established in 1998 and is a wholly owned subsidiary of Australian Property Network.
Recommended for you
Natixis Investment Managers has hired a distribution director to specifically focus on the firm’s work with research firms and consultants.
The use of total portfolio approaches by asset allocators is putting pressure on fund managers with outperformance being “no longer sufficient” when it comes to fund development.
With evergreen funds being used by financial advisers for their liquidity benefits, Harbourvest is forecasting they are set to grow by around 20 per cent a year to surpass US$1 trillion by 2029.
Total monthly ETF inflows declined by 28 per cent from highs in November with Vanguard’s $21bn Australian Shares ETF faring worst in outflows.
