Why Listed Property Trusts are an important part of your portfolio

The recent reporting season results showed why this sector (Listed Property Trusts) is an important component of your portfolio. We access this sector by investing in a managed fund called the APN AREIT fund. This fund usually represents about 10% of portfolios.

The recent seasons’ highlights of the sector include:

• The AREIT Index recently outperformed the broader equities market
• The Industrial sector was up 7.8% over the month due to the strong performance of Goodman Group (GMG)
• The Retail sector was up 4.8% with Westfield Group (WDC) (up 6.3%) and Westfield Retail Trust (WRT) (up 2.7%) the two significant drivers over the month.

The goals of this fund are to provide our clients with a high level of income, provide income which has a tax effective component, and ensure that capital growth matches increases in CPI over a 5-7 year time horizon whilst enjoying a lower level of market volatility.

This fund is suited to our clients who seek an impressive level of income and who desire that income to include a degree of tax effectiveness.

Over the past year this fund has currently produced an impressive annualised yield of 9.57% after all fees and expenses.

This is for information purposes only and does not constitute specific advice. Contact us to speak with one of our financial advisors to discuss your particular circumstances prior to taking any action.

You are also very welcome to book a free, no-obligation consultation with a 5 Financial adviser who will make an initial appraisal of your situation, and let you know if and how we are able to assist you in making improvements. Schedule an appointment today.