F&C Real Estate fund enters IMA Property sector in retail push

The F&C Real Estate Securities fund, managed by Alban Lhonneur, has entered into the IMA Property sector and is immediately first quartile over one and three years, and first quartile since its launch in April 2010.  

The £60m fund, which is often considered as the open-ended version of Marcus Phayre Mudge’s £1bn TR Property Trust, has not been marketed to retail investors in the past so did not sit in the IMA sector.  

Rob Thorpe, head of UK sales, retail and wholesale, says: “The F&C Real Estate Securities fund was launched at Thames River and is managed by the team behind TR Property Trust. At Thames River it was primarily marketed to wholesale buyers and so was never put forward for the IMA Property Sector. The result of this is the fund has been hidden from much of the market.

“We have been working with the IMA and that has now changed. The fund and its record has move in to the IMA Property Sector and will start to appear on research tools from now.”

One of the main differences between the open-ended fund and TR Property Trust is that the open-ended fund has the ability to hold up to 10 per cent of its portfolio in short positions. At present it holds 5 per cent in shorts.        

According to Lipper over one year to 31 July 2014 the fund has returned 15.08 per cent ranking it fifth in the IMA Property sector, while over three years it is up 34.31 per cent, ranking it third. Since launch the fund has risen 65.6 per cent, which is first in its universe.