U.K. pension merges direct property portfolio into core fund
CBRE Global Investors has merged its CBRE U.K. Property Fund with the U.K. property portfolio of the Electricity Supply Pension Scheme, a U.K.-based pension fund, to create a £1.47 billion ($1.85 billion) fund. CBRE Global Investors has been the investment manager of the ESPS’ direct U.K. property portfolio since 2006. Electricity Pension Trustee, the scheme trustee of ESPS, had for some time been considering the long-term options for its U.K. property portfolio. The pension trustee’s investments adviser, Aon Hewitt, put forward a number of options and, after consideration, it was decided to merge the U.K. property portfolio with an existing core balanced fund. Following a process run by Aon Hewitt, the CBRE U.K. Property Fund was selected.