New Star fund open for business

Fund manager, New Star, has announced that its International Property Fund is now open to retail investors.

The New Star International Property Fund is the UK's first authorised, open-ended international direct commercial property fund and will offer a diversified portfolio of properties from launch.

The fund - set to target established international property markets with attractive rental growth potential not yet reflected in the price primarily in Continental Europe, Asia and the Pacific Rim - will have a 1% discount on the initial charge for all lump-sum investments during the three-week retail offer period from May 14th to June 4th. Units will be at a fixed price of 50p per unit during this period, with daily pricing from June 4th.

Initial portfolio breakdown is expected to be: 80% physical property, 10%-15% international property securities/REITs, 5%-10% cash.

Estimated gross starting yield is 4%, based on a model portfolio at launch. This may vary and is not guaranteed. Investment objective meanwhile is long-term capital growth and income.

Minimum investment is £1,000 regular savings £100 per month - charges set at 5% initial, 1.75% annual.

The fund may be used for ISA or ISA & PEP transfer purposes.

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2007-05-15 10:00:15 © Moneyextra.com