Three Dutch pension funds hired DMFCO to run a combined €1.7 billion ($1.8 billion) in a residential Dutch mortgage strategy, a spokesman for APG Asset Management, in-house manager of the plans, confirmed.
Stichting Pensioenfonds ABP, Heerlen, Netherlands, allocated an additional €1 billion to its Dutch mortgages allocation, bringing its exposure to a total €4 billion. ABP has €476 billion in assets.
BpfBOUW, Amsterdam, added €500 million to its existing €1.5 billion allocation to Dutch mortgages. BpfBOUW has €50 billion in assets.
Stichting Pensioenfonds voor de Woningcorporaties, Amsterdam, added €235 million to its allocation, bringing its exposure to €1 billion. SPW has €14 billion in assets.
"For our clients, mortgages continue to offer added value in the investment portfolio. There are two main advantages: they provide a solid investment in the Dutch housing market with a stable return while assuring Dutch homeowners of a good mortgage with fair conditions," Kay Mennen, senior portfolio manager at APG, said in a news release Wednesday.
APG made previous allocations on behalf of the plans through a mix of providers including Rabobank.
The allocations are funded from fixed-income assets.
