Deutsche Bank is to hold on to its real estate investment management arm following a strategic review of its asset management business.
RREEF, which has around €47bn in assets under management, and four other businesses that the German bank tried to sell off earlier this year, will be integrated into one money management division.
The decision ends a period of uncertainty for the real estate division following its aborted sale to US investment firm Guggenheim Partners, although some market watchers still speculate the firm could lose clients as a result of the turmoil.
A number of staff have recently left the business, including its former head of UK asset management, Steven Faber, who has joined Internos Real Investors to devise and implement a UK fund strategy.
RREEF’s UK division is still on track to merge its flagship £400m open-ended UK Core Property Fund with the £2.1bn Blackrock UK Property Fund. The merger will be voted on early in the fourth quarter.
bridget.o’connell@estatesgazette.com
