Fund manager AEW has announced the launch of its first, place-based impact investing strategy, the AEW UK Impact Fund, with a seed portfolio of £100 mln (€117 mln).
The open-ended fund is seeded with a diversified portfolio of UK assets comprising specialist supported living, key worker accommodation and care homes together with community and residential-led town centre regeneration projects that influence well-being.
The launch of UKIF follows the receipt of approval by the FCA and investors to transition the AEW Real Return Fund (RRF) into this new strategy using RRF’s existing portfolio of impact assets.
AEW is now looking to raise capital on behalf of UKIF, targeting a range of investors, from institutional capital and local government pension schemes to private wealth.
UKIF will adopt an active management, core-style strategy and seek to generate a sustainable income stream and return for investors.
Nick Winsley, head of AEW UK, said: 'The built environment has a huge influence on people’s everyday lives and the launch of our first impact fund provides investors with an opportunity to invest in a way that creates both a tangible positive social and environmental impact, whilst also achieving their return objectives. Seeded with a portfolio of strongly performing assets, the Fund is already delivering on its social value and cashflow objectives and we are excited to grow the Fund from here.'