Lucy Scott
DTZ Investment Management will launch a European fund of funds in March, the first of its own products, and is planning to set up an Asian fund of funds later in the year.
Aurora Europe Property Fund will start with a seed portfolio of €40m (£26.9m) and €20m of commitments but expects to raise a further €200m in equity before the second closing in May. It’s likely that a further €200m of equity will be raised before the end of the year.
The seed portfolio comprises investments in five funds with value-added strategies in core and emerging markets, including ING’s European Industrial Fund and Pradera’s Central and Eastern European Fund.
DTZ Investment Management, which plans to invest in a further seven funds, will target those with exposure across Europe. It will seek returns of 8-10% pa (net of fees).
Paul Parker, fund manager at DTZ Investment Management, which will lead Aurora, said: “We have the flexibility to invest in the UK but won’t target funds that predominantly invest here.
“Many investors want to diversify out of UK property. The European markets have matured and there are areas that offer opportunities that don’t exist at the moment in the UK.”
asia pacific team
DTZ has revealed its new management team for its Asia Pacific division. Edmund Tie (l) has been named vice-chairman and David Steventon (c) chief executive. Chairman CY Leung (r) was appointed in December. DTZ has also appointed Yoshiki Kaneko as chief executive of its Japanese office.
