Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

TwentyFour's debut trust raises £150m

TwentyFour's debut trust raises £150m

The closed-end TwentyFour Income fund has raised £150 million ahead of its float on London's main market.

Offered by TwentyFour Asset Management, the trust aims to generate a net total return of between 7% and 10% by investing in the lower-rated, less liquid tranches of European asset backed securities (ABS), and the vehicle will target a dividend of 5% in its first financial year.

Its launch was revealed by Wealth Manager in January, when investors and analysts tipped the fund to raise up to £200 million at its initial public offering.

Ben Hayward, partner and portfolio manager at TwentyFour, said that as unconventional policy measures have stripped yield from a number of sectors, including fixed income, investors have been quick to consider new strategies.

'European ABS is one of the few remaining areas that offer the potential for attractive risk-adjusted returns,' continued Hayward, adding that TwentyFour's latest launch will give investors access to a part of the market previously the domain of banks and institutional players.

The TwentyFour Income fund will begin trading on the London Stock Exchange today.

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 Dispelling the sustainable investing myths

Dispelling the sustainable investing myths

There's a bit of a buzz around sustainable investing at the moment. We speak to three wealth managers to find out what they think.

Play Inside ETFs: positioning for the Fed rate rise

Inside ETFs: positioning for the Fed rate rise

Natalie Fast discusses how investors are using ETFs to position for a rate rise with guests Irene Bauer from Twenty20  Investments and Markit's Simon Colvin.

Play Wealth Manager Retreat: video highlights

Wealth Manager Retreat: video highlights

The UK's leading wealth management talent gathered at our annual event at the Grove celebrate the best in private client portfolio management.

Wealth Manager on Twitter