DC master trust Nest has appointed BTG Pactual Timberland as it expands its timberland allocation
Nest, which invests some £45bn in behalf of more than 13 million members has announced the second manager for its timberland allocation, committing an initial £550m to BTG Pactual Timberland Investment Group, a US manager which offers exposure to sustainably managed timberland across the Americas.
The appointment marks Nest’s second mandate since launching its procurement two years ago. Last year, it appointed Campbell Global, J.P. Morgan Asset Management’s timberland investment advisory company to manage the initial £550m of its timberland allocation. Over time, it plans to invest 2% of its total AUM.
Stephen O’Neill, head of Infrastructure & Natural Capital at Nest, said: “With two timberland fund managers now in place, this will help further diversify Nest’s portfolio, supporting our broader goal of delivering strong, risk-adjusted returns to our 13 million members.”
The timberland allocations are currently part of Nest’s default fund, it aims to achieve an internal rate of return around 8%.
