Liquid Property Strategy

GLOBAL PROPERTY EXPOSURE WITH LIQUIDITY AND INCOME

“ DON’T WAIT TO BUY REAL ESTATE, BUY REAL ESTATE AND WAIT.” – T. HARV EKER

The Harvest Liquid Property Strategy aims to provide investors with an alternative to direct property investment. The Strategy offers global property exposure combining the ability to trade freely with the availability of a reliable stream of income.

It is Harvest’s view that property represents both an appropriate and highly attractive asset class for long term investment purposes, whether for pension funds or for other forms of long-term savings. Over the long term, global property prices tend to move ahead of inflation while also offering investors a strong and reliable source of income.

The Harvest Liquid Property Strategy

HOW THE FUNDS WERE SELECTED

Our Investment Department surveyed more than 200 funds across different international markets and, based on the criteria listed below, selected three property related funds.

Criteria for Selection

1. Daily Liquidity
2. Income Distribution of at least 3% per annum
3. Fund Gearing of 30% or less
4. Track Record of three years minimum
5. Funds supported by broad international expertise
6. Euro denominated / underlying assets in Euro
7. Exposure to Irish, European and Global Real Estate (one from each category)

Selected Funds
The proposed strategy comprises equal weightings to three funds, one with exposure to the Irish property market, one offering European exposure and one global property fund.
The three funds selected, while offering different regional exposures, are all supported by strong international expertise and by fund management houses with strong balance sheets. Each of the funds satisfies all the criteria listed above and all are tradeable daily.

Breakdown of Assets by Region and by Asset Type

Assuming an equal weighting to the three funds the Liquid Property Strategy offers diversification through exposure to different regions and sectors.

Liquid Property Strategy

The strategy involves taking an equal position across the three recommended funds. By doing so, the investors achieve exposure to total assets in the region of €1 billion as well as gaining a combination of Irish, European and Global real estate exposure.

The average distribution yield from these funds is expected to be c.4% initially but should grow over time. In addition, while property as an asset class is notoriously cyclical, we would anticipate steady capital growth from these funds over the coming years.

To find out more about the Harvest Liquid Property Strategy and to determine if it is suitable and appropriate for your portfolio please speak to your Client Advisor, call us on 01 237 5500 or email justask@harvestfinancial.ie.

Property as an Investment Asset Class

How does Property Fit in to your Portfolio?

This marketing information has been provided for discussion purposes only. It is not advice, it is provided for general information purposes only and does not fully take into account your financial position, investment needs and objectives, attitude to risk, liquidity needs, capital security needs, capacity for loss, etc. It should therefore not be relied upon to make investment decisions. Prior to any formal investments taking place you will be provided with a detailed suitability letter taking into account all the above and outlining why the investment(s) are (not) suitable for you.

Warnings: The figures refer to the past. Past performance is not a reliable indicator of future results. The value of investment(s) in the selected fund(s) may go down as well as up. If you invest in the selected fund(s) you may lose some or all of the money you invest. Past performance is not a reliable guide to future performance. Income may fluctuate in accordance with market conditions & taxation arrangements.