Folkestone Maxim is pleased to announce that the Folkestone Maxim A-REIT Securities Fund has been awarded a 4-Star – Superior Rating from SQM Research.

According to SQM Research, the Fund was able “to outperform the peer group on a one-year, three-year, five-year basis to 30 June 2015 … and is the only Fund reviewed that delivered positive excess return [see note 1] on a one year and three-year basis.” The high conviction, benchmark unaware strategy has underpinned the results.

“The rating awarded was on the back of an experienced investment team and improving investment process. The Fund is able to capitalise on resources across the broader Folkestone Group, following the change in the ownership structure in April 2014” said SQM Research.

Mr Winston Sammut, Managing Director of Folkestone Maxim Asset Management said “we are pleased with the positive rating from SQM Research. It confirms our view that a high conviction, active manager of A-REIT securities can add value.”

“A-REITs have performed strongly in recent years driven by falling bond yields and investor’s strong appetite for yield. As a value-oriented investor we believe given concerns about the future direction of bond yields it will certainly be a stock picker’s market.  As a result, our portfolio will favour listed real estate securities with good management, high quality assets, sustainable earnings and distribution growth and appropriate capital structures.”

The Folkestone Maxim A-REIT Securities Fund is a high conviction fund providing access to a diversified portfolio of quality ASX listed real estate securities which own office, retail and industrial, residential and real estate related social infrastructure assets. The Fund’s investment style follows an active management style coupled with a disciplined approach focusing on a top down/bottom-up process. Securities are selected on a concentrated portfolio basis built on individual merit and not benchmark weights.

Note 1: Relative to the S&P/ASX 300 AREIT Accumulation Index

Source: Folkestone

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