Own Real Estate in a Different Way

Own. Innovate. Diversify.

Renovate your portfolio. Enhance your income with global perspectives
and a diversified real estate approach

Why global property equities?

Protection Against Inflation

Attractive REITs Income

Continued Market Investments

Diversification & Liquidity

Protection Against Inflation

1. Real estate offers inflation protection

A recovering economy typically leads to rising rental income and increases the value of underlying real estate assets. Rental contracts are often linked to inflation through annual uplifts or are reset when they expire.

Rental contracts often have fixed or inflation linked annual uplifts

US 10-year Breakeven Inflation vs FTSE EPRA NAREIT Developed Index

us 10-year Breakeven inflation

Source: Janus Henderson Investors, FactSet, as at 30 June 2022.
Note: Chart shows YoY change from 2004 using weekly data, index performance in USD.

Attractive REITs Income

2. REIT income remains attractive

Attractive and sustainable yields at a premium to those of general equities and bonds. Reinvested dividends have comprised ~60% of long-term total return in the listed real estate sector.

Dividend yield spread elevated vs history, especially relative to corportate and high yield bonds

REIT Dividend Yield Spreads vs Equities

REIT Dividend Yield Spreads

Source: Janus Henderson Investors, as at 30 June 2022.
Note: Benchmark: FTSE EPRA NAREIT Global Developed Index, MSCI World Index, Bloomberg US Corporate Total Return Value Unhedged USD, Bloomberg US High Yield ex Energy Total Return Index Value Unhedged USD. Past performance is not a guide to future performance.

Continued Market Investments

3. Real estate allocations continue to grow

Whilst REITs are still a relatively young asset class, they have evolved into one which is very much relevant today and beyond. Institutional allocations to real estate continue to grow, supporting underlying real estate asset pricing, particularly in the more structurally supported sectors. These sectors offer highly visible long-term compounding return potential, driven by permanent and powerful secular tailwinds such as e-commerce, mobile data, cloud computing, 5G, changing demographics and sustainability.

Investment market volumes recovered sharply in 2021

real estate Allocations continue to grow

Source: Hodes Weill, Janus Henderson Investors Analysis, as at 31 December 2021.
Note: Data after December 2021 are forecasted. Forecasts are subject to change without notice.

Diversification & Liquidity

4. Portfolio diversification and liquidity

Global property equities offer a low cost, liquid and transparent way to gain exposure to a wide range of property sectors across geographies. Historically, REITs have shown a low correlation to bonds and equities, making them an efficient way to diversify portfolios and potentially help enhance risk-adjusted returns.¹

Adding Property Equities may potentially increase returns and decrease risk

Adding Property Equities may potentially increase returns and decrease risk

Source: Janus Henderson Investors, EPRA, as at 30 June 2022.
Note: The efficient frontier shows the minimum variance portfolio (or least risky portfolio) for a given rate of return. The resulting line shows the most efficient portfolio for any given combination of risk and return. Rational investors will construct portfolios that have risk-return profiles that are located on this frontier. The efficient frontiers are calculated using data from a rolling 10-year period.

"Property equities offer investors a liquid, diversified and low-cost way of accessing the global property market."

- Tim Gibson,

Co-Head of Global Property Equities

Why Janus Henderson for property equities?

5-star Morningstar rating ² and numerous fund awards won by our property equities funds in the past five years. ³

Morningstar ²

Capture powerful secular themes

Focus on areas of structural growth such as industrial/logistics, rental residential, technology focused real estate assets with little exposure to more challenged sectors.

Actively managed by experienced experts with local expertise

Janus Henderson has managed listed real estate assets since 1997, with strong expertise and regional “on-the ground” teams in Asia, Europe and North America.

Various distribution options to suit your needs

Our property equities funds offer monthly and quarterly distribution share classes and a wide range of currencies. Aims to pay dividend* on monthly basis (A4m USD) / quarterly basis (A3q USD).⁴

*Dividend amount or dividend rate is not guaranteed. Positive dividend does not mean positive return. Distributions may be paid out of capital.

A time-tested, integrated approach to ESG

Our active management approach allows the integration of ESG into portfolio construction that can lead to meaningfully better performance.

Explore our suite of property equities funds

Global

Pan European

Asia-Pacific