UBS Clarion Global Property
Securities Fund

Investment objective
The Fund aims to provide investors with a total return (after management costs) in excess of the Global Real Estate Investors Net Return Index ($A hedged) (Benchmark) when measured over rolling three year periods.

Investor suitability
The Fund is best suited to investors who seek a well diversified portfolio of global property securities with an investment horizon of at least five years.

The significant benefits of investing in the Fund are:

Research resources: The Portfolio Manager has a large team dedicated to the management of global real estate stock portfolios. The Portfolio Manager’s global research team located in offices in the United States, the United Kingdom, Hong Kong, Japan and Australia provides a comprehensive world view through their in-depth analysis of local listed and direct real estate market trends and conditions.

Regional asset allocation: The global portfolio’s top-down regional and sector allocation is established following a systematic review of local market economic conditions, capital markets and real estate market trends. The investment team places an emphasis on the regions and property sectors believed to have the strongest fundamentals and risk-adjusted return potential.

Security selection: The Portfolio Manager’s bottom-up approach integrates both quantitative and qualitative research in an effort to identify individual securities where the real estate is undervalued and represents the most compelling investment opportunities within markets believed to be the most attractive.

The securities research process incorporates several factors including:

  • Property visits – the Portfolio Manager utilises their local presence to gauge the quality and location of the real estate, assessing properties and capital expenditure needs at the property level. 
  • Management meetings – the Portfolio Manager assesses the management’s alignment with shareholders; determines the depth and experience of the team; and judges their ability to articulate and execute their strategy.
  • Modeling – the Portfolio Manager generates cash flow earnings projections; performs net asset value analysis; and analyses the capital structure.
  • Currency management – The Fund is managed against a fully-hedged benchmark. We implement currency hedging after the construction of the portfolio by the Portfolio Manager.