TOKYO -- Australia's NAB Asset Management is preparing to bring a property- and infrastructure-focused investment product to the Japanese market, catering to demand from institutional investors and older individuals seeking stable income.
The National Australia Bank group company is now selecting outlets to sell the fund in Japan, starting sometime in the first half of 2018, Todd Canter, global portfolio strategist for the asset manager, said during a visit to Japan on Tuesday.
Global real estate will make up half of the fund's holdings, with shares in electric utilities, railroad operators and other infrastructure-related companies accounting for the rest. The latter holdings, which will include East Japan Railway and U.S. power group Duke Energy, will help offset the risks associated with property investment. The aim is to generate steadier returns than global real estate investment trusts.
Canter said the new fund could top out at $35 billion.