A German institutional client has awarded UBS Asset Management’s (UBS-AM) real estate and private markets arm a €225m multi-manager mandate.
UBS-AM Real Estate & Private Markets (REPM) said the unnamed client has hired its multi-managers real estate (MM-RE) division to invest in unlisted property funds in developed real estate markets worldwide in primarily core strategies.
MM-RE, which was established in 2007, offers investors access to a global portfolio of actively managed funds and other types of indirect investments across the risk spectrum.
This latest mandate win increases total assets under management, including commitments, by the MM-RE team to over $17bn (€15.2bn), the manager said.
Joerg Sihler, head of corporate clients of UBS Deutschland, said: “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.”