Hansa sets up own private equity vehicle

ESTONIA - Hansa Investment Funds, the asset manager that also runs Estonia's largest private pension fund, is looking to create a special vehicle of "Eastern European orientated" private equity fund of funds.

Robert Kitt, chief executive of Hansa Investment Funds, told IPE in an interview "this is now under construction" and Hansa plans to launch the new investment in the summer.

"We are planning to take either 10% of our overall portfolio to invest in the fund of funds, or we will take 20% from our equity allocation," said Kitt.

He added Hansa is gradually increasing pension funds' private equity exposure to 10%, as the firm managers around €240m for these investors.

"The additional idea we have is to provide other customers with exposure to the diversified Central and Eastern European private equity, he said, adding: "The point is, that many of local high-net-worth individuals are looking for such exposure, but their amounts are too small to go and commit into individual funds."

Hansa announced last month Massimiliano Guttadauro, from Banesto Bolsa in Madrid, has relocated to Estonia to become Hansa's new head of equity research. This role was previously one of the responsibilities of Mihkel Õim, who resigned as chief executive last year.