REAL ESTATE - Pensions provider Cordares says it’s considering setting up direct real estate pooled funds with pension funds abroad as a way to diversify risks.
At the moment, the €23bn pensions and asset manager, is discussing a cooperation with a Danish pension fund, with which it would like to share local expertise, Cordares real estate director Geert de Nekker said.
It will be more attractive if local pension funds acquire and maintain pooled properties, he added.
"Initially, we will also target the German and Belgian markets, because of their vicinity and similar culture," de Nekker explained. So far, Cordares has mainly invested in real estate in The Netherlands.
Cordares has already taken steps to get a foothold in the Italian market for consultancy and asset management.
Meanwhile, Cordares has started pooling of indirect real estate, aimed at the smaller pension funds. "They can achieve a considerable spread of risk in a relatively small pool, as well as save costs," the director real estate said.
"Moreover, participants can indicate their preference for the set-up of the pool, in which they want to invest."
According to de Nekker, existing clients have already pooled a total of €250m in Europe, the US and Asia so far. "Our aim is to have this amount doubled within a year. We have noticed a lot of interest for this initiative, so our expectations are quite high."