New fund to tap into European e-commerce logistics market

The asset management arm of Standard Life Aberdeen will next month launch a Uk-listed investment trust that taps into the e-commerce boom.

Aberdeen Standard European Logistics Income plc is being established to invest specifically in European logistic properties such as large “big box” warehouses and local “last mile” distribution centres.

Outlining details of the launch, Aberdeen Standard Investments said occupier demand for such property was strengthening. It sees the assets benefiting from longterm continuous leases which are annually inflation linked, thereby providing “solid rental income alongside the poten- tial for capital growth”. While the company will invest directly in property, it will qualify as a closed-ended investment trust listed on the London Stock Exchange, offering investors liquidity through the secondary market.

Andrew Allen, global head of real estate investment research at Aberdeen Standard Investments, said: “The European logistics market is already sizable but developing fast as e-commerce expands over the next three years, outpacing the UK and creating demand for new large distribution warehouses across the region.

“Europe will also benefit from on-going progress in global trade and an evolution in the way goods are manufactured, sold and distributed in a more integrated way.” 0 The firm is to launch a Uk-listed investment trust