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 Assetz®
Fund Management Ltd is the property
investment adviser to a regulated fund manager for a series of new
and innovative
property investment funds (Property
Unit Trusts and Limited Partnerships). The first fund was launched late in
2005 and ready for
the expanding SIPP
market
in April 2006.
The wider property investment opportunities presented by diversified property
investment funds are of great
interest
to professional real-estate investors. In addition, now that
SIPP and SSAS pension funds can invest in residential property via property
funds, many professional investors will be setting
up a SIPP or investing further funds into existing ones to gain exposure
to this asset class.
 We believe
that significant poor-diversification risk exists for the average
pension fund in purchasing property directly due to the low borrowing (33%
LTV typically)
proposed under
the
A Day reforms and the typically low average value of most investors
pension fund. This is because it will be impossible for the average investor
to
buy a diversified portfolio of property with such limited lending.
Rather than invest in one or two properties directly, Assetz Fund
Management
believes
that a spread of investments via a number of diversified property funds
with an entry level from just £5000 each, provides the investor better
risk diversification, an expert
fund management team and the potential to invest a proportion of
assets into property as their financial adviser would suggest is prudent.
The key benefits that our funds will have over traditional funds available
are :
- Investment entry level from just £5000 for SIPP/
SSAS investors (£25,000
for private equity investors)
- Residential property funds are now available
as well as commercial property funds.
- Zero tax in most
cases for UK SIPP/ SSAS investors on UK property funds that are not deemed
to be trading (subject to change, please seek advice)
- Higher gearing levels similar to those that would be utilised by professional
property investors - unlike most funds where minimal gearing is permitted.
Higher
gearing increases risk but also increases the potential for large returns
as enjoyed in direct property investment
- Each fund has a panel of market leading professional advisers chosen
for their expertise in property investment and property management, and
their legal and financial skills
- Investment by some of the funds in more entrepreneurial property structures
and ventures delivering greater potential returns
along
with the
accompanying
risk - including developer funding, obtaining planning permission on
land and property development funding
- Risk management utilising the latest interest
rate hedging tools and
the latest property derivatives markets in selected funds
- Access to overseas property markets otherwise out of
reach to many investors for knowledge, finance or time reasons
- Performance related fees meaning that the funds have
unprecedentedly low fee structures unless they perform well - a strong
incentive for Assetz
Fund Management, the fund advisers, to buy well and manage well
These funds, for which Assetz Fund Management
is the property adviser and strategy designer, are designed to satisfy the
needs of property investors recognising the value, and associated risk, of
geared
property
investment.
Unlike normal Authorised Unit Trusts with little or no borrowing, Assetz
has designed a number of geared funds that emulate direct property investment
in terms
of borrowing but combined with sophisticated strategies for risk management,
a highly experienced team of property consultants and,
of course, a large and diversified portfolio.
"What you would invest in directly, if only you had the time"
The funds have also been designed to attract zero taxation for tax exempt
investors such as SIPPs and SSASs, where possible, and are also attractively
wrapped as a
Limited Partnership for private equity and corporate onshore and offshore
investors.
Should the funds be confirmed as suitable for your investment needs by a
regulated adviser, they would be of interest to existing buy-to-let investors
looking for diversification, high-net-worth or sophisticated investors (and
their wealth managers) looking for hands-off property investments and institutional
investors seeking more entrepreneurial funds as part of their investment
strategy.
Please visit the following pages regarding the different types of funds,
collective investments and syndicates offered by the Assetz group of companies,
or its partners:
Assetz Fund Management Limited (A sister company of Assetz
plc)
23 Berkeley
Square
London
W1J 6HE
Funds operated and managed by an FSA regulated investment manager.
Readers of the contents of this section
of the web site should note that it is provided for general information
purposes only
and is not intended to form the basis of a decision to invest. Any investment
decision must be based on terms of business and a prospectus which may
be supplied by the fund manager, to appropriate categories of recipient
only. Unregulated Property Unit Trusts are unregulated collective investment
schemes for the purposes of the Financial Services and Markets Act 2000
and consequently there are restrictions on their marketing and distribution
and acceptance of investors. Further information is available to Authorised
Persons and appropriately certified sophisticated investors upon application
to the fund manager via enquiry forms on this site. This is not
an offer to subscribe for any investments. |
