Russell Global Property Fund 1 has final close following robust investor interest
Russell also expands real estate manager selection capabilities in Asia Pacific with appointment of industry veteran Martin Lamb
30 September 2008 –The Russell Global Property Fund I (GPF I or the Fund) had its final
close on 19 September 2008 with USD $240 million. GPF I is a global opportunistic property "fund of
funds", open to Australian wholesale superannuation funds. The Fund was designed exclusively for
compliant superannuation funds and allows investors to complement their traditional 'income orientated'
property exposure with total return driven and higher return property investments.
The Fund provides investors with access to a set of specialist global strategies that seek to extract value
from the property markets of the Americas, Europe and Asia ex-Australia. The Fund's objective is to
achieve a 13 per cent net (to investors) internal rate of return over a 10 year term, beginning at the end of
a three-year investment period.
Russell's Ed Garcia, portfolio manager of the Fund said: "GPF I enables local investors to access some
of the world's best fund managers and private equity real estate investments. The Fund is very
complementary to Australian clients who have existing property exposures in Australia and global listed
property securities."
To achieve attractive returns for GPF I, Russell selects fund managers that creatively access private
property assets, generate returns primarily from buy and value add strategies, and are conscious of
controlling risk. GPF I, which began its investment program in November 2007, has already committed 83
per cent of the Fund's capital to underlying funds across all three major regions. "We are seeing several
compelling opportunities in the current investment environment to extract value from managers with
unique access to certain local property markets across the globe. Given GPF I's successful closing and
investment pace we're already considering the launch of a second fund in 2009," Garcia said.
Real Estate team expands
Russell Investments is also pleased to announce the appointment of Martin Lamb as head of property,
Asia Pacific. Based in Singapore, Lamb is responsible for private real estate fund manager research in
the Asia Pacific region. He will be the lead person in the region for researching and selecting attractive
private property managers and opportunities. Lamb will report directly to US-based Carol Broad, Director
of Russell's real estate private equity unit.
Lamb brings more than 20 years experience in the commercial real estate industry, including investment
experience at The Morgan Stanley Real Estate Funds, AIG Global Real Estate Group, and The O'Connor
Group. Prior to joining Russell, Lamb served as Senior Vice President of Gerrity International, a retail
shopping center developer in China. In that role, Lamb founded and managed the firm's Shanghai office,
and was active in the firm's initiatives in India and Mexico.
Russell's US-based Managing Director of Real Estate, Karl Smith said: "Martin's expertise, insight and
direct investment experience in Asia strengthens our global team and bolsters our research capabilities."
"Investors throughout the world are increasingly looking to global real estate to enhance returns and to
diversify their portfolios. Russell has been at the forefront of this trend, researching real estate funds
around the world for many years and helping clients better understand and effectively invest in this asset
class," Smith added.
With more than 30 years of experience advising clients on real estate investing, Russell is an industry
leader in providing innovative real estate solutions. Russell has more than 20 real estate associates
located in Tacoma, San Diego, London, New York, Singapore and Sydney, and its research covers
market trends, investment strategies and public and private investment products.
Issued by Russell Investment Management Ltd ABN 53 068 338 974, AFS Licence 247185 (“RIM”). This document provides general information only and has not been prepared having regard to your objectives, financial situation or needs. Before making an investment decision, you need to consider whether this information is appropriate to your objectives, financial situation and needs. This information has been compiled from sources considered to be reliable, but is not guaranteed. Past performance is not a reliable indicator of future performance. Any potential investor should consider the latest Product Disclosure Statement (“PDS”) in deciding whether to acquire, or to continue to hold, an investment in any Russell product. The PDS can be obtained by visiting www.russell.com.au or by phoning (02) 9229 5111. RIM is part of the Russell Investment Group (“Russell”). Russell or its associates, officers or employees may have interests in the financial products referred to in this information by acting in various roles including broker or adviser, and may receive fees, brokerage or commissions for acting in these capacities. In addition, Russell or its associates, officers or employees may buy or sell the financial products as principal or agent. *AUM Is current as at 31/3/07 MKT/1761/0608