DeA Capital Real Estate, one of the leading pan-European investment managers for alternative investments, has launched the “DeA Global REITs Fund”, which follows an innovative and sustainable investment strategy with a special focus on generating a steady distribution to investors.
REITs (Real Estate Investment Trusts) as a hybrid of real estate and equities are the most liquid form of real estate investment and therefore the easiest and fastest way to invest in real estate risk. They have high liquidity, allow broad sectoral and geographic diversification and pay stable and predictable dividends.
The “DeA Global REITs Fund” invests exclusively in REITs listed on a stock exchange in a member state of the OECD. This means that the fund is eligible for real estate quotas within the meaning of section 3(5) in conjunction with section 2(1) no. 14 lit. b AnlV. The investment focus of the fund is in Europe.
“The “DeA Global REITs Fund” pursues a best-in-class approach to portfolio composition with the aim of long-term dividend stability while maintaining real estate quota eligibility. For this year, we expect a dividend yield of over 5% (gross), which is extremely attractive compared to other asset classes,” says Dr. Thorsten Schilling, Director Portfolio Management DeA Capital Real Estate Germany GmbH.
The most attractive stocks are filtered out of the global investment universe of around 900 REITs using a successful three-stage investment process based on quantitative and qualitative analyses and adding internal and external real estate expertise.
In addition, the Luxembourg-launched fund takes a sustainable approach into account and qualifies as a “light green” product under Article 8 of the Disclosure Regulation.
In addition to the strict ESG due diligence of the individual REITs, the special focus is on a sustainable and long-term income distribution of the various REITs to the fund. This income is then paid out to investors by way of dividend distribution without prior taxation and is only taxed at the investor level.
The “DeA Global REITs Fund” is aiming for a total fund volume of around EUR 400 million. The investment focus is particularly on attractive sectors such as logistics, light industrial and data centers. The target distribution yield is > 5% p.a. with a core plus risk profile and is aimed at institutional real estate investors. Investors can participate from a minimum subscription amount of EUR 1 million.
“We are thus offering real estate investors an alternative to traditional indirect real estate funds with significant advantages in terms of liquidity, time-to-market, available investment properties, diversification, risk-return profile, transparency and ease of implementation,” highlights Dr. Wolfgang Speckhahn, Managing Partner DeA Capital Real Estate Germany GmbH.
DeA Capital is a leading independent European investment manager in the field of alternative investments with total assets under management of approximately €26 billion. It is engaged in the management and development of real estate, private equity and debt investment funds as well as multi-asset/multi-manager solutions for institutional investors. The real estate division manages an investment portfolio of approximately 12 billion euros with an international team of approximately 150 employees, which is represented locally in Germany, France, Italy, Poland and Spain.
In Germany, the branches in Frankfurt and Munich provide investment solutions in the areas of listed REITs and indirect real estate funds with a global or pan-European, but also national focus.