Compenswiss, the public institution managing Switzerland’s first-pillar social security funds AHV, IV and EO, is tendering a mandate for core+ investments in real estate in North America.
The pension fund is looking to invest $100-200m in pooled open-end or closed-end funds pursuing a multi-sector strategy.
Compenswiss is seeking to invest in this asset class to further diversify its global real estate portfolio, and it will not consider offers from already invested funds, it said in a note.
It will also avoid investments in single sector fund or listed REITS.
The scheme plans to diversify its real estate exposure, following initial investments in real estate in US/North America in 2021 after receiving the status of Qualified Foreign Pension Fund (QFPF), it said in a statement to IPE.
It started to invest in real estate in Europe in 2014, and in Asia 2015, it added.
Compenswiss has CHF36.52bn of assets invested, out of a total of CHF39.81bn, including CHF4.82bn allocated to real estate, as of March this year. So far this year, investments in real estate have returned -0.52%, according to the figures published by the scheme.
The largest of the three funds under management, the AHV, has returned 2.59% year-to-date, the IV 2.59% and the EO 2.62%.
It targets 13% of its assets to real estate, 5% to loans, 14% to bonds denominated in Swiss francs, 39% to bonds denominated in foreign currency, 26% to equities, and 3% to gold, according to the scheme’s strategic asset allocation.
Compenswiss lists among its real estate asset managers BCV Asset Management to invest in listed real estate assets in Switzerland, Swiss private bank Maerki Baumann & Co for Swiss listed real estate investments, and UBS for listed global real estate excluding Switzerland.
It manages in-house non-listed real estate investments in Asia, in Europe, and in North America, and direct real estate investments in Switzerland.
The scheme is also expanding its private debt programme, looking for managers to invest in Europe and the US, after having invested in the asset class in Switzerland for several years.
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