Investment Process

Our investment philosophy is to be research-led, analytical and value-adding at each stage in the investment process.

Research-led

We are research-led, through the application of forecasts and analysis to portfolio construction, and to the selection of investment managers and products. Research provides a disciplined and consistent framework for the exercise of fund and asset managers’ individual skill and flair.

Analytical

We are analytical in the sense that all investments are thoroughly screened before and after investment, to assess their potential, both individually and as part of a wider portfolio. We understand property as a financial asset, and apply techniques used for other investment markets to understand property’s role in a multi-asset portfolio, to analyse risk, and to identify and exploit market mispricing. Investment strategy is formalised through portfolio investment plans, which are monitored and reviewed as market conditions evolve, and at least annually.

Value-adding

We strive to add value at each stage in the investment process. This is done ‘top down’ through an optimised asset allocation framework, which targets underpriced markets expected to maximise performance for a given level of risk, consistent with each fund’s investment objectives. The ‘bottom up’ contributions from good stock selection, deal sourcing, and active management are fundamental drivers of investment performance. Property investment is unusual in that value can be added after purchase, and we seek to maximise these opportunities.

Our process combines top down and bottom up initiatives into an integrated process, subdivided into three broad stages:

Property Investment Process