European Real Estate Debt

Investment approach

The Fiera European Real Estate Debt Strategy seeks to capitalise on the dislocation within the European commercial real estate debt market by providing bilaterally originated, senior secured real estate debt to institutional grade sponsors. The aim of the Strategy is to provide investors with attractive semi-annual dividends of >4% p.a. with capital preservation as the core overarching focus. This will be achieved by ensuring each senior debt investment benefits from first ranking security and tailored covenant packages with clearly defined pathways to exit.

The strategy is well positioned to capitalise on dislocation in the market, including the following factors:

Market Fundamentals: There is a growing funding gap in European real estate private credit as regulatory pressures restrict the mainstream capital providers.
Rising Interest Rates: An increased opportunity to lend on a core+ product, while still seeking target returns.
Wall of Refinancing: An increased opportunity to lend on a core+ product, while still seeking target returns.

Target returns are not guaranteed. Inherent in any investment is the potential for loss.

Key Characteristics

Fund Type: Open-ended
Geography: Pan-European
Target Return: 10%+ Net IRR
Sector: Agnostic
Stability: Fixed rate returns and a contractual income stream
Downside Protection: Senior secured debt at a 55% LTV
Real Asset Security: Benefits from mortgages over real assets
Diversity: Complimentary asset class to real estate equity with low correlation
ESG: Article 8 strategy that has a Net-Zero Carbon pathway target of 2035

Investment Team

Insights

Please read the simplified prospectus before investing. The amount of risk associated with any particular investment depends largely on your own personal circumstances including your time horizon, liquidity needs, portfolio size, income, investment knowledge and attitude toward price fluctuations. Investors should consult their financial advisor before making a decision as to whether this fund is a suitable investment for them.

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.

The rate of return or mathematical table shown is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of the mutual fund or returns on investment in the mutual fund. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns.