Kames Capital’s new indirect property management investment business has picked up its first discretionary mandate.
The £1bn Kelda Group Pension Plan, advised by Hymans Robertson, has transferred an £85m indirect property mandate from Aviva Investors to Kames.
Kames Capital set up its indirect offer in January 2012 when it hired an experienced former team from ING’s Select multi-manager arm, led by Mark Bunney.
Bunney, who will be the Kelda fund manager, working with colleagues Matt Day and Tony Yu, said the mandate was about 90% invested in the UK with the remainder in continental Europe.
“We are delighted that Kelda and its adviser liked our strategy for the portfolio. It is refreshing to see an investor putting its faith in a relatively boutique business,” said Bunney. Kelda Group is the parent company of Yorkshire Water.
Bunney, who reports to Kames Capital head of property Phil Clark, said one reason for establishing the new business was “that people wanted to see more competition”.