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Japan REITs

Japanese REITs are listed real estate investments that pay high dividends and pass through their rental income to investors. They can be viewed as a hybrid between equities and bonds as they must pay out most of the income received.

Strategy Description

“Buy land, they’re not making it anymore.” Japanese REITs are listed real estate investments that pay high dividends and pass through their rental income to investors. They can be viewed as a hybrid between equities and bonds as they must pay out most of the income received.

Real estate, by its very nature of being a physical and limited asset provides potential inflation protection for investors.  REITs benefit from inflation in 2 ways:

  • Capital appreciation the value of properties and land owned increases
  • Rent increases regularly negotiated leases can be increased in line with inflation

The portfolio targets Japanese exposure offering a wide variety of sub sectors in real estate.

We score ~1,000 real estate names on Value, Quality, Safety, Payout, Technical and Sentiment characteristics to build a portfolio that targets a yield upwards of 3% per year. This robust quantitative scoring process ensures lesser-known but still excellent real estate companies are included.

International investors can also access this strategy in a Global Exposure and a US Exposure

PrintFact Sheet

Portfolio Performance

20182019202020212022YTD
Portfolio (%)-12.9231.47-12.0817.16-7.210.97
Annualized ReturnStandard DeviationDividend Yield
Portfolio11.48%23.09%3.9%

Allocation Breakdown

Asset Class


Equity99.51%
Fixed Income0
Commodities0
Cash0.49%

Geo


Japan100%

Sector


Diversified REITs50.3%
Industrial REITs37.94%
Residential REITs11.27%

Top Holdings

Asset ClassWeight (%)
1. Daiwa Securities Living Investments Corp11.24%
2. Daiwa House Industry Co Ltd10.80%
3. Mori Trust Reit Inc10.71%
4. Daito Trust Construction Co Ltd10.28%
5. Tokyu REIT Inc10.08%
6. Mitsubishi Estate Logistics REIT Investment Corp9.68%
7. LaSalle Logiport REIT9.62%
8. Mitsui Fudosan Logistics Park Inc9.52%
9. GLP J-Reit9.15%
10. NIPPON REIT Investment Corp8.43%