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.

Investec expands aviation fund fleet with $500m launch

Investec expands aviation fund fleet with $500m launch

Investec has launched its second aircraft fund, a vehicle aims to plough $500 million into fuel efficient planes to lease out.

Announcing the launch of Investec Aircraft Syndicate Limited, Investec Aviation Finance said it plans to rent aircraft to a number of leading, global airlines.

The fund's main aims are to produce a high, single digit cash yield from contracted fixed cashflows locked in for five years.

Today's launch is the second in Investec's aircraft fund fleet, with its previous offering, the Investec Global Aircraft fund, managing close to two dozen plans with an acquisition cost of around $1 billion.

Ramki Sundaram and David Phillips, managers of Investec's Aviation Finance division, said institutional investors such as pension funds and insurance companies have been quick to back the new offering.

'We see an increasing demand for investment in this alternative real asset class, primarily due to the combination of good US dollar cash yields, stable and uncorrelated returns. Investc Aircraft Syndicate aims to satisfy all these requirements,' the pair added.

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 Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the FED

Winter market warmers, the post QE world and timing the FED

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Wealth Manager on Twitter