Swip changes pricing on Property Trust after inflows

Scottish Widows Investment Partnership (Swip) has changed the pricing structure on its £2.5bn Swip Property Trust following strong inflows.

The fund, which is managed by Gerry Ferguson, is now priced on its offer price rather than its mid price.

The difference between the two prices is 4 per cent.

Article continues after advert

The change does not mean new investors have to pay an initial charge but instead the price of each unit of the fund has gone up by 4 per cent.

The increase in the price per unit in the fund gives the manager flexibility to pay the extra fees associated with buying bricks and mortar property with the large inflows that have been coming into the fund recently.

The fund has grown by £280m in the past six months, according to figures from FE Analytics, and Swip said inflows in the six months to the end of October had been equivalent to 8.3 per cent of the fund’s assets.

The firm said, in a statement: “We have taken this action to help protect value for both current investors in the [fund] and those who may look to invest.

“We are closely monitoring the situation and will review the position should there be any change.”