ING Real Estate Select has launched its Global Osiris Property Fund – one of its first fund of funds to come to the market – and secured the London Pensions Fund Authority as a seed investor with £150m of equity.

The global multi-manager said it would be an open-ended, core balanced fund and was open to institutional investors with a minimum investment of €7.5m (£5.9m). The fund is targeting a net return of between 8% and 10% and will invest across the global real estate markets in funds the unlisted sector and ‘boutique managers who are specialists in their niche markets’.

Nick Cooper, global chief executive at ING Real Estate Select, said: ‘This product is the ideal route to enable London Pensions Fund Authority to achieve the global property exposure that it requires.

‘I believe we have created a fund which will appeal to investors seeking to diversify out of their domestic real estate markets through a tax efficient structure which minimises investor administration and filing requirements.

'With countries around the world at different stages of their property market cycles, we are now well placed to offer investors the benefits of entering these various markets, which is something we have until now only been able to offer our clients in a segregated account format which requires a larger amount of capital.'

Vanessa James, investment director at the LPFA, said: ‘We believe global property offers the opportunity of a good return which is not highly correlated with global equity markets. It is a complex asset to invest in and Global Osiris provides the ideal vehicle.’

ING Real Estate Select a number of existing funds including its UK Fund, Osiris and its pan-European Eurosiris fund. It has also been structuring and managing discretionary global mandates for clients on a segregated account basis since 2005.