LMIM rolls out Australian income fund to UK

LM Investment Management has launched a Luxembourg domiciled version of its Australian Income fund.

The Luxembourg-domiciled fund, which has a sterling share class, provides UK investors with access to the LM Australian Income fund.

The Australian domiciled fund, launched two years ago, invests in mortgages in commercial, residential and industrial property sites, as well as buying into vacant land and cash.

The fund will loan money in the form of mortgages to commercial developers with the number of mortgages in the fund increasing as it grows in size.

Peter Drake, LM Investment Management founder and chief executive, says the fund offered investors diversification away from traditional markets.

He says: "Many European investors are looking further afield for growth and returns and Australia is the logical choice.

"The Australian property market is one of the world's best performers where markets continue to be driven by demand."

The fund is targeting a 5.25% return per annum, and has a minimum investment of £5,000 and an AMC of 1.5%.