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Financial Times,Tuesday July 17 2007-08-20

Australians whet their appetite

This recent article, written by Daniel Thomas, draws attention to the growing interest shown by Australian investors in European Commercial property.

Essentially the article explains that Australians have spent considerable amounts in the US already and that Australian property funds had invested £3bn in Europe in 2006. The reason for this is primarily the glut of pension money that needs to be invested.

The catalyst for this is found in the Australian statutory superannuation schemes which sees a mandatory 9% of an individuals salary funnelled into pension funds. This has led to a shortage of available domestic investment opportunities and therefore attention has turned to international markets with attractive yields.

It was against this that Credo was mentioned, in particular the recent joint venture between Pengana Capital, National Australia Bank and Credo, in terms of which Credo will acquire and manage European properties on behalf of Australian investors.

(due to copyright restrictions the full article has not been reproduced)