GERMANY – Independent German asset manager Dr. Jens Ehrhardt (DJE) is launching its funds in the UK, targeting institutional investors such as pension funds.
Company principal Jens Ehrhardt told journalists the firm has met potential investors in the UK. The team had met “quite good names”- such as Fidelity, AXA, GAM and Mercer he said.
“If were not presented here we’re missing a lot,” he said at a presentation in London this week. “I think this a great place to get money.” The firm was targeting segregated mandates. It doesn’t have any immediate plans to open a London office.
“I am pleasantly surprised by the interest of large consultants and institutions who want to meet us during our visit.”
The company, which was set up 32 years ago, already has some €6.3bn in assets under management for German pension funds, churches and banks. Assets under management are split 33% institutional, 44% retail and 23% discretionary portfolio management.
The investment approach involves fundamental analysis, monetary research and market timing, he explained. The focus is in on Europe, particularly Germany.
He said: “Germany is a very special story that is still underestimated. Germany is not that old fashioned economy any more.”
He also pointed out that private equity funds were taking advantage of the potential of the German real estate market.
He said they were buying packages of condos at a unit cost of around €35,000 where yields are high. There was no risk of a bursting real estate bubble - Germany builds only 200,000 dwellings a year, compared to Spain’s 600,000.
“Sooner or later there will be some shortage,” Ehrhardt added. “I think demand and supply is getting better. There’s some hidden growth stories.”