Asia-Pacific

Despite static asset value and senior departures, the world’s biggest asset manager is eyeing aggressive expansion, with US value-add commingled funds one strategic target area.

The New Jersey-based manager intends to launch new products in the strategy on the back of two senior personnel moves.

Smaller investors risk being snubbed when assertive institutions step into commingled funds as cornerstones, a case in Asia this week suggests.

Marcus Sperber is the fourth senior executive to leave the New York-based asset management giant’s property business in the past two years.

The German insurer’s cornerstone investment in KaiLong’s commingled fund includes benefits such as input on investments, lower fees, and co-investment possibilities, says Asia-Pacific RE head Rushabh Desai.

Some of the poorly performing REITs in the region are ripe for takeovers by opportunistic managers, although the privatization process may be difficult to undertake.

A growing number of Singapore-based investors are diversifying into Europe and US markets to balance their heavy reliance on Asia markets.

Asian buyers accounted for 45% of all cross-border real estate investment in the 12 months ending June 2018, according to data published by Cushman & Wakefield.

Shinji Kawano, head of overseas investment at the insurance giant’s real estate investment arm, says it plans on committing capital to about 10 more managers by the end of next year.

The former president of BNK Financial Group, Hyo-Joon Ahn, took over the role Monday.