Schroder European Real Estate Investment Trust
Targeting growth regions in Continental EuropeOur approach
Launched on 9 December 2015, the Schroder European Real Estate Investment Trust targets growth regions in Continental Europe and aims to provide a regular and attractive level of income together with the potential for long-term income and capital growth. The Trust is managed by Jeff O'Dwyer, an experienced real estate investment manager, who is supported by nearly 180 real estate professionals located in key hubs across Europe, including London, Paris, Frankfurt and Zurich.
The Trust targets specific cities across the region with large, liquid real estate markets that offer superior growth potential. It invests in a range of real estate assets including offices and retail and leisure developments.
The Trust is listed on the market of the Johannesbug Stock Exchange, South Africa.
5 reasons to invest
1. Attractive income distribution with potential for long-term income and capital growth
Focus on investing in high quality, income producing real estate, targeting a dividend yield to investors of 5.5% p.a. and the potential for long term income and capital growth. Please note the dividend yield is a target yield and is not guaranteed.
2. Focus on the growth cities and regions of continental Europe
Targeting the most liquid markets in continental Europe, such as Paris and Berlin for example, where there is potential for GDP and rental growth above national averages
3. Investment sourcing and active asset management
Bottom up approach via local Schroder teams to identify undervalued locations that benefit from supply constraints, infrastructure changes, sustainable rents and competing demands for different uses. Local Schroder teams directly responsible for actively manage all assets to grow rents, extend leases and improve buildings to add value.
4. Investment expertise
Schroders has been managing real estate for over 40 years and currently has €14.5 billion of real estate assets under management (at 30 June 2018), with over 100 specialist real estate staff including investment, research and financing specialists based on the ground in the key European markets
5. Accretive debt finance and robust balance sheet
Positive yield gap between real estate yields and borrowing rates in Europe means modest borrowing can boost returns from the property portfolio. Gearing does also introduce risk in to the portfolio and gearing is capped at 35% of the gross assets of the company to mitigate this risk
Meet the manager
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Jeff O'Dwyer
Fund Manager, European Real Estate
Find out more
For more information on the trust or how to invest, contact your local sales representative
Risk considerations
- Past performance is not a guide to future performance and may not be repeated.
- The value of investments, and the income from them, can rise and fall and investors may not get back the amount originally invested.
- Companies which invest in a smaller number of assets carry more risk than those spread across a larger number of assets.
- The Company may invest solely in property located in one country or region. This can carry more risk than investments spread over a number of countries or regions.
- The Company may borrow money to invest in further investments, this is known as gearing. Gearing will increase returns if the value of the assets purchased increase in value by more than the cost of borrowing, or reduce returns if they fail to do so.
- The fund holds investments denominated in currencies other than sterling, changes in exchange rates will cause the value of these investments, and the income from them, to rise or fall.
- The dividend yield is an estimate and is not guaranteed.