Threadneedle Investments and CBRE Financial have teamed up to launch a pooled European fund of funds
In response to demand from investors looking for diversified indirect exposure to Europe’s most attractive European property markets, Threadneedle and CBRE have set up the Threadneedle European Property Fund, with an expected launch date in March 2007.
Threadneedle will identify the key European markets that provide strong performance characteristics while CBRE will then create a short-list of funds from each. The fund is targeting a 10% annual return.
Don Jordison, fund manager of the Threadneedle European Property Fund, said:
‘We believe there is great opportunity to invest in European property markets and institutional investors continue to recognise the diversity of the underlying sectors and markets. Exposure to European real estate provides the investor with many opportunities over and above pure diversification. The exploitation of arbitrage between different interest rate environments and longer-term strategic plays, such as the potential developments of REIT structures are two good examples of the opportunities available to investors.’