PRESS RELEASE, 25 October 2018
FOR IMMEDIATE RELEASE
Brunel Pension Partnership commits circa £340m for Clients to Long-Lease Property Funds
Brunel Pension Partnership (Brunel) is pleased to announce the first two investments of its Secured Income Portfolio, one of the five Private Market portfolios Brunel has developed to meet its Clients’ needs.
Secured Income is an outcome-focused portfolio developed by Brunel working in partnership with its LGPS Clients and their investment consultants to deliver UK inflation-linked income returns. Long-lease property is the cornerstone asset class of this portfolio.
After a thorough search and evaluation process by the Private Markets Team, Brunel has chosen the M&G Secured Property Income Fund and the Aberdeen Standard Long Lease Property Fund.
On behalf of the three Clients that have made commitments to Brunel’s Secured Income Portfolio, £169m in aggregate will be invested in each Fund to achieve scale fee discounts, delivering cost savings.
“We are very happy with the outcome of this process which clearly shows the benefits of LPGS Pooling in action,” says Richard Fanshawe, Head of Private Markets at Brunel (pictured top and centre above). “The M&G and ASI long-lease property funds were selected for their individual merits and the strength of the overall combination. Together, they offer broad immediate diversification, strong long-term performance track records and sector-leading sustainability credentials (in particular, GRESB scores and BREEAM ratings), metrics which their teams and strategies are looking to improve over time. All of the above were key factors that guided us in our decision-making process.”
“We are delighted that the Brunel Pension Partnership has chosen the M&G Secured Property Income Fund to deliver long term inflation linked income secured against high quality real estate across the UK,” says Andrew Swan, Director, Fixed Income at M&G. “It has been a pleasure working with Vanessa Jacka and the Brunel team throughout the selection process and we are looking forward to a long-term partnership that will help secure their members’ benefits for many years to come.”
“High-quality, original research is essential in a competitive real estate market. We are therefore delighted to be partnering with Brunel, sharing our insights and helping to deliver performance for their investors,” says Euan Baird, Client Director at Aberdeen Standard Investments. “As an industry leading real estate manager, we are able to provide a deep understanding of local market conditions and use our experience of managing assets across different market cycles to meet clients’ needs. Working with Brunel, we are confident our Long Lease Property Fund will deliver a compelling real estate solution for their underlying clients.”
About Brunel Pension Partnership
Brunel Pension Partnership (Brunel) brings together circa £30 billion investments of 10 likeminded Local Government Pension Scheme funds. We believe in making long term sustainable investments supported by robust and transparent process. We are here to protect the interests of our clients and their members. In collaboration with all our stakeholders we are forging better futures by investing for a world worth living in.
Brunel is one of eight national pooled funds and will manage the investment of the pension assets for the funds of Avon, Buckinghamshire, Cornwall, Devon, Dorset, Environment Agency, Gloucestershire, Oxfordshire, Somerset, and Wiltshire. Find out more at www.brunelpensionpartnership.org
About M&G Investments
M&G Investments is one of the UK’s largest and longest established investment houses, with more than 80 years’ experience. The company manages the long-term savings of millions of people across Europe, Asia and the Americas, and looks for the best opportunities to invest, across a wide range of assets, on behalf of people who care how their money is invested.
M&G currently manages £285.8 billion of customer assets (as of 30 June 2018) in investments, including bonds, equities, infrastructure, property, alternatives and cash. www.mandg.co.uk
About Aberdeen Standard Investments
Aberdeen Standard Investments is a leading global asset manager dedicated to creating long-term value for clients. With over 1,000 investment professionals, they manage £557 billion of assets worldwide as at 30 June 2018. They have clients in 80 countries supported by 50 relationship offices. This ensures they are close to their clients and the markets in which they invest. They are high-conviction, long-term investors who believe teamwork and collaboration are the key to delivering repeatable, superior investment performance. www.aberdeenstandard.com
For more information or high-resolution images, please contact [email protected]. The photo shows top left to right: Gillian De Candole, Investment Principal, Richard Fanshawe, Head of Private Markets, Vanessa Jacka, Investment Principal; bottom left to right: Sofia Deambrosi, Investment Officers, Christian Porter, Investment Officer. Photographs are available of Euan Baird at Aberdeen Standard Investments and Andrew Swan at M&G.