Why pension plans are straying from equities and bonds and moving into homes and highways
In a previous post, I examined how to assess the liquidity requirements of a pension fund at the total fund level. In this post and the next one, I’ll explore two different methods for managing the liquidity risk of a fund of direct (less liquid) investments.
In today’s macro environment fraught with confusing cross-currents, real estate has continued to show investors its flexibility and mettle. In particular, mezzanine debt, global real estate investment trusts (REITs) and build-to-core strategies hold great potential.
The continued strength in Canada's real estate industry, along with the expectation of low interest rates in the medium term, should provide added appeal for investors looking for income-producing commercial real estate properties, according to a new report from BMO Economics.
The real estate investment trust (REIT) market in Canada continues to grow and develop. Does this signify an investment opportunity for institutional investors? A REIT is an investment vehicle structured to enable trust income to flow through to investors in the form of dividends and return of capital without incurring taxes at the trust level. […]
The CPP Investment Board is investing $572.4 million in the ProLogis European Fund II(PEPF II), which focuses on acquiring and managing a diversified portfolio of core institutional-quality distribution facilities in Europe. Its investment represents approximately 17% of the total fund. Denver-based ProLogis is the leading global developer and operator of distribution facilities in Europe with […]
Public Sector Pension Investment Board(PSPIB)has extended its takeover bid for Retirement Residences Real Estate Investment Trust. So far, 89.3% of the trust’s units have been tendered to the offer. The bid, which was set to expire yesterday, has been extended until January 26. PSPIB made the $2.8 billion offer for the REIT in October 2006. […]
A major Canadian pension fund and Morguard Real Estate Investment Trust have agreed to acquire a 600,000 square foot Class A office portfolio in downtown Ottawa. The total acquisition cost is expected to be $210 million and closing of the transaction is scheduled for mid December 2006. Tim Walker, Morguard REIT’s chief financial officer, tells […]