Kames Capital, a part of the Aegon Group of companies, is set to launch a Property Authorised Investment Fund (PAIF) for retail investors in the first quarter of 2014.
The new fund will be co-managed by David Wise and Alex Walker, who are part of a team that already manages a number of institutional funds, including the Kames UK Active Value Property fund.
PAIF will invest the majority of its assets in direct property, with 50% managed using the team’s active value style and 30% in core assets yielding 5.5%-6.5%.
The remaining 20% will be invested in indirect property and equities including property companies, real estate investment trusts (REITs) and specialist property funds as well as cash.
The investment strategy for the new fund will use the property team’s active value expertise by focusing on properties that offer asset management opportunities in the £2 million to £10 million price bracket.
Phil Clark, head of property investment, said: "This fund builds on the investment track record we have developed in this strategy over nearly four years, and for which we are well known in the institutional market."