Schroder Property Maximiser to launch with bias to US

Schroders' Global Property Income Maximiser will launch on 17 February with a heavy overweight to the North American real estate sector, which the manager expects to benefit from regulation.

The vehicle will hold 55% in North America, a 10% overweight position versus its benchmark, as the group looks to benefit from regulatory changes in the US which may see REITs face statutory requirements to raise dividends in line with cashflow. The group's third yield enhancing Income Maximiser unit trust will be managed by EII's Jim Rehlaender and Al Otero, while Schroders' head of structured funds Thomas See will run the covered call overlay. The fund has a target yield of 7%, with 4% obtained from dividend growth in the portfolio's 60-80 property securities, while 2.5%-4% will be ...