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| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | The Fund will invest in a number of global listed real estate companies, groups or funds. The investment strategy is to make investments in real estate securities at a price that will deliver a real, after inflation, total return of 5% per annum (before costs and fees), inclusive of distributions over a longer-term period. The Investment Strategy is indifferent to the constraints of any index benchmarks and is relatively concentrated in its number of investments. The Fund is expected to own between 20 and 40 securities, and from time to time up to 20% of the portfolio maybe invested in cash. The Fund is $A un-hedged. |
| Manager Comments | Over the year, the Funds best performing investees were all located in the UK and Europe. Safestore (European Storage), Unite Group (UK Student Accommodation), LEG Immobilien (Herman Housing) and Hispania (Spanish Hotels) benefited from stronger local currencies, but also very solid underlying fundamentals. Detractors were all US stocks including Brixmor (Retail), EDR (Student Accommodation), ACC (Student Accommodation) and Ventas (Health). The Manager believes the underlying fundamentals of their US exposures are robust. The Manager sees the two biggest risks for real estate to be recession and supply, rather than rising interest rates. They note that, despite long cycles of rising rents and asset prices, development feasibilities are now falling short because construction costs are rising at an even quicker pace than rents. Their view is that falling development yields at a time of rising interest rates shuts-down funding for new projects and therefore supply pretty quickly. They also noted that, despite recent challenges, they remain confident the global real estate market offers enough opportunities that allow them to meet their medium-term total return objective of CPI +5%. |
| More Information |
