Edinburgh investment giant Abrdn has listed its first ETF (exchange-traded fund) on the London Stock Exchange.
Abrdn, which has around £500 billion in assets under management, has listed the Abrdn Future Real Estate UCITS ETF (Ticker: AREG).
“The exchange-traded fund (ETF) is a low-cost, active strategy that offers investors the opportunity to invest directly in the highest-conviction global real estate calls, as identified by Abrdn’s Global Real Estate Research team,” said the London Stock Exchange.
“It is a thematic proposition that is positioned with a view to the future, targeting areas of the market that are expected to be underpinned by long-term structural drivers of demand: supply chain reconfiguration, changing demographics and digitalisation.
“It aims to achieve this by leveraging Abrdn Investments proprietary Global Real Estate HouseView, which researches 28 markets globally and ranks more than 280 market segments based on their projected returns.
“The ETF dynamically rebalances on a quarterly basis, to account for HouseView changes, with the aim of unlocking through-the-cycle returns for investors. The strategy is managed around an ESG-focused investment framework that is SFDR Article 8 compliant.
“The Abrdn Future Real Estate UCITS ETF is Abrdn Investments’ first ETF launched in EMEA, with further active thematic equity ETFs set to be launched in the coming months.
“Abrdn Investments already manages a range of specialist commodity ETFs in the US, with around $8 billion in ETF assets under management across eight products.”
Svitlana Gubriy, Head of Indirect Real Assets at Abrdn Investments, said: “We are excited to list the Abrdn Future Real Estate UCITS ETF on the London Stock Exchange.
“This fund provides UK investors with direct access to our highest-conviction global real estate calls in a low-cost, liquid wrapper. By adopting a research-based approach and investing in the real estate of the future, we believe we can add value for investors.
“We target those areas of the market that are expected to benefit from real estate thematic trends. An active approach should also be beneficial, given the ongoing polarisation in performance across the real estate market.”
Yassar Ali, Global Head of Product Strategy at Abrdn Investments, said: “I am delighted that abrdn Investments is listing its first ETF on the London Stock Exchange.
“This will provide UK and global clients with access to the first product in its thematic range. When we were considering our ETF platform, we aimed to leverage our capabilities and meet the wholesale demand for thematic products, offering more choice for investors.
“We aspire to create a family of thematic ETFs (and individual ETFs) that we think are relevant, and in themes where we have strong investment conviction. The Abrdn Future Real Estate UCITS ETF offers clients access to a traditionally illiquid asset class and blends our fundamental active and quantitative capabilities.”