Allocation Strategy

Germany’s biggest public pension fund manager said on the sidelines of this year’s EXPO REAL conference that it also plans to increase its Asia exposure to 25 percent of its indirect real estate assets.

City neighborhoods, not central business districts, are a good bet for investment stability, said industry executives.

A changing financing market dynamic in China’s real estate market will lead to consolidation among its biggest players and opportunities for newcomers, argues Rong Ren, the former CEO of Hong Kong-based private equity real estate firm, Harvest Capital Partners.

Germany’s biggest public pension fund manager has plotted separate accounts with pan-regional investment managers Alpha Investment Partners, CBRE Global Investment Partners and Arch Capital in a strategic move to more than double its real estate AUM in the region.

The state oil fund of Azerbaijan has acquired a retail property in a prime Tokyo district in only its second private real estate investment in Asia.   

The largest US pension plan’s new fiscal-year allocation to real estate includes commitments to managers such CommonWealth Partners and ARA Asset Management.

The C$60.8 billion pension plan plans to significantly expand its US property portfolio over the next five years.

Despite new policy measures, China’s economic slowdown will continue to adversely impact the property sector, particularly the retail sector and local developers, according to industry reports.  

The $91.2 billion pension plan is investing deeper in the capital stack while also pursuing more development and redevelopment opportunities.

For the second time in six months, the $191.2 billion pension system has made a quarterly allocation of more than $1 billion to real estate.