UBS Asset Management’s (UBS-AM) Real Estate & Private Markets (REPM) business announces that its Multi-Managers Real Estate (MM-RE) business area has been awarded a EUR 225 million mandate by a major German institutional client to invest in unlisted property funds in developed real estate markets worldwide. This latest mandate win increases total assets under management, including commitments, by the MM-RE team to over USD 17 billion.
MM-RE has provided its new client with a tailor-made investment solution designed to meet the institutional pension plan’s return targets, whilst abiding by specific regulatory requirements. The mandate will invest internationally in primarily core strategies selected from a broad universe of real estate fund managers with whom the MM-RE team has longstanding relationships.
The award-winning MM-RE business, which has a market-leading presence globally with more than 50 employees located across eight locations, forms an integral part of the REPM platform. MM-RE was established in 2007 to offer discerning investors access to a global portfolio of actively managed funds and other types of indirect investments across the risk spectrum, providing multiple layers of diversification.
Joerg Sihler, Head of Corporate Clients of UBS Deutschland AG, commented: “This is an excellent result and illustrates the extent to which our MM-RE product has gained further traction in the German market, having attracted the attention of one of the country’s leading institutions. There is a growing awareness of real estate as a convincing indirect investment proposition on account of the attractive uncorrelated returns it can offer, in addition to the possible income upside in the current low interest rate environment.”
Eric Byrne, Head of REPM’s Multi-Managers business at UBS Asset Management, added: “This significant mandate win is testament to MM-RE’s proven concept and sustained track record of performance, as well as our ability to deliver a bespoke investment solution that aligns with the needs of this specific client. Our investment approach is clearly recognized as a compelling route for investors to gain access to the benefits of a globally diversified institutional quality portfolio, removing concentration risk and thereby reducing volatility.”
Source : Company