• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
TR Property

TR Property

A UK based investment company, listed on the FTSE 250 index investing in Pan European property equities & UK direct property

Search for:
  • About
    • About us
    • Investment portfolio
    • Meet the team
    • Awards
  • Why invest?
    • Why invest?
    • Investment trusts explained
  • Investor centre
    • Overview
    • Results & presentations
    • RNS News
    • Governance
  • News
  • Contact
  • How to invest

January 2012

About TR Property

16th February 2012

Pan-European real estate equities rose 3.85% in the month. This is a modest total figure compared with the performance from the intra-month low point on 9 January to the end of January which was +8.6%. The wider European financials sector rose even more, 13.3% from 9 January whilst the broader equity market responded more modestly to this renewed ‘risk-on’ phase with EuroStoxx 600 rising ‘just’ 3.4%. The performance laggards of Q4, 2011 principally the share prices of the Continental financial institutions responded to the consensus view that the long-term refinancing operation programme providing effectively unlimited three-year liquidity by the ECB was a significant positive for the Eurozone banking system. Real estate, as a levered asset class predictably benefitted. Our view is that such liquidity is most welcome but it is only that – liquidity – and not the solution to the problems of bank and sovereign solvency.

The Fund reduced exposure slightly in the month, raising 1.5% of NAV through sales in the last few days. The Fund had relative outperformance in the month with the NAV with Income rising 4.7% exceeding the index which rose 3.8%. The relative overweight positions to the UK (which rose 5.4%), Italy (+7.6%) and Norway (+15.2%) helped, whilst our underweights to Austria (-7.5%) and Switzerland (-0.6%) also aided performance. In the UK, the Central London focused stocks performed well with Great Portland +11.5%, Shaftesbury +8.4% and Derwent London +7.2% whilst the large caps with London exposure, Land Securities +6.1% and British Land +7.1% also performed well.

The sales made reflected the strong performance of a number of stocks particularly our largest position, Unibail. The company announced good results on 1stFebruary but the share price had been driven to €150 per share and the year end NAV was reported at €137.5. The business is very well run, owns excellent assets and the share price performed comfortably ahead of its peer group in 2011. The Fund now has a market neutral position and the stock remains our largest absolute position.

Whilst the accommodative practices of the ECB are most welcome, we continue to see polarisation in physical property markets with a wide disparity of returns across sub-markets. GDP forecasts have begun to improve particularly in the core Continental European countries as well as in the UK and our focus remains on well financed businesses operating in the major centres – both commercial and retail in these countries.

Download factsheet

Previous post
Next post

Primary Sidebar

Real assets in a world of real inflation

13th June 2022

Whether you believe inflation is demand or supply driven, it is here and the central banks’ actions are adding to…

ii Podcast. Marcus Phayre-Mudge: The Richard Hunter Interview

2nd June 2021

Richard is joined by Marcus Phayre-Mudge, fund manager of the TR Property Investment Trust, to discuss investing in physical property, removing liquidity concerns, how the trust has managed during the last 12 months, and the changing environment.

Post-AGM Update

29th July 2020

As announced on 22nd June 2020, TRY held the AGM on 28th July 2020 as a closed meeting in order…

Footer

Sign up to our newsletter for the latest updates

enquiries@trproperty.co.uk

For questions regarding TR Property Investment Trust, you can email us directly.

LEGAL

Disclaimer and legal statement

Cookie policy

GENERAL FUND INFORMATION

Investors should be aware that past performance should not be considered a guide to future performance.

Copyright © TR Property
All rights reserved