KFIM, the investment management arm of Knight Frank, has raised £300m (€389m) in a first close for its new open-ended fund. 

Pension funds advised by Willis Towers Watson backed the vehicle.

KFIM said the vehicle has a low-risk approach and would seek a long-term income return, targeting well-let assets with strong underlying property fundamentals.

Kevin Aitchison, chief executive at KFIM, said: “Launching our first fund is an important step in the ongoing development of the KFIM business.�

The equity was, Aitchison said, provided by pension funds looking for “innovative secure income investment solutions with attractive fund terms, as well as structures that align interestsâ€�.

He added: “We have already identified a good pipeline of potential opportunities – the focus will now be on ensuring we invest the money as quickly and efficiently as possible.�

Matthew McDonald was recruited from CBREGI last year as fund manager for the vehicle.