Welsh pension looks for RE fund of funds manager

The Cardiff and Vale of Glamorgan Pension Fund, which has around £760m of assets, wants to find a real estate fund of funds manager to invest globally.

The Cardiff and Vale of Glamorgan Pension Fund wants to put some of its capital into private equity real estate via a global fund of funds.

According to reports by both IPE.com and Pensions & Investment magazine, the Welsh pension scheme wants to put £25 million (€29 million; $38 million) to work in the strategy. The fund was unavailable for comment to PERE at press time.

According to its 2008/2009 annual report, the Cardiff and Vale of Glamorgan Pension Fund has £760 million of assets.

The annual report states that property unit trust investment managers it has entrusted are RREEF, BlackRock, Schroders, Standard Life and UBS and that the portfolio return for UK commercial property during 2008-2009 was -29 percent. That made it the third worst asset performer after UK and European equities which declined 31 percent.

Its investments in property unit trusts were valued at £50 million 2008, but slumped to £34 million by the end of 2009.