Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Henderson begins Paif conversion of £2.1 billion Property fund

Henderson begins Paif conversion of £2.1 billion Property fund

Henderson Global Investors has been gained unitholder approval to convert its UK Property unit trust into an Oeic.

This group said this will pave the way for it to become a tax-friendly property authorised investment fund (Paif).

The motion was passed with 99.7% approval, meaning the £2.1 billion unit trust will merge into a specially created open-ended investment company structure at the end of August. It will be renamed the Henderson UK Property OEIC.

A Paif can be more tax efficient for certain groups, such as charities, UK pension funds, and investors using Sipps and Isas, but can only take the form of an Oeic. Henderson will pay all of the administrative costs of the conversion.

The group joins fellow asset managers Ignis, Standard Life Investments, Kames Capital and Legal & General which have all moved to a Paif structure in recent years.

The conversion also means the property fund will give quarterly instead of bi-annual payouts.

‘We believe a move to more frequent income payments will be beneficial to those investors who rely on income from the fund,’ said Martyn Bailey, head of client services at Henderson.

The Henderson UK Property fund is co-managed by Marcus Langlands Pearse and Ainslie McLennan (pictured).

It has returned 10.6% in the year to the end of July, ranking it 21st out of 29 funds in the Citywire UK Physical property sector. In three years it has returned 21.9%, making it fourth best performer out of 22 funds in the Citywire sector.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Navigating geopolitical risk with ETFs

Navigating geopolitical risk with ETFs

ETFGI’s Deborah Fuhr on how investors can use exchange-traded funds to position their portfolio.

Play Sarasin’s Boucher: why I like salmon with chocolate

Sarasin’s Boucher: why I like salmon with chocolate

Henry Boucher, manager of the £129 million Sarasin Food & Agriculture Opportunities fund, explains why he is gobbling up salmon and chocolate stocks.

Play Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Libby Ashby and leading wealth managers analyse what the Alibaba IPO hype means for Chinese equities, slowing growth of the UK economy and whether there’s anything left to play for in the European sovereign bond market.

Your Business: Cover Star Club

Profile: How David Esfandi is shaping Canaccord Genuity WM

Profile: How David Esfandi is shaping Canaccord Genuity WM

After six months as chief executive of Canaccord Genuity David Esfandi's ambitions are taking shape

Wealth Manager on Twitter