KBC buys UK £462m fund
One of Ireland's leading investment management operations, KBC Asset management, has bought a €462m UK commercial fund along with its management team.
KBC will transfer the trust and its management team to its KBC UK subsidiary.
Chief executive Sean Hawkshaw was quoted in The Irish Times today as saying: "The duty in Ireland is quite severe and is effectively a tax on pension funds."
He said that the UK property market currently offered a higher yield to investors and it benefits from a lower rate of stamp duty - 4% - compared to 9% on similar investments in Ireland.
KBC Asset Management was formed in July 2000 when KBC bank and Insurance group NV, Belgium, completed the acquisition of Ulster Bank Investment Managers in Ireland.
Today KBC is the fourth largest Irish asset manager with €7.1bn in funds under management.
Lothbury is a sub-fund of an offshore Umbrella Unit Trust and is capable of receiving investments from companies and private individuals as well as pension funds and charities.
