Tactical Listed and Private
The strategy is designed to tactically allocate to both listed real estate securities and core private real estate in a single portfolio allocation.
WHY COHEN & STEERS and IDR
Cohen & Steers
- Pioneer in listed real estate investing
- 40+ year track record
- $62.6 billion real estate AUM
- 20+ dedicated investment professionals
IDR Investment Management
- First and only U.S. patent to index private real estate
- 13-year track record
- $8.5 billion firm AUM
- 11 dedicated professionals
Established investment capabilities
The strategy leverages the breadth of capabilities of listed and private real estate industry pioneers.
WHY TACTICAL REAL ESTATE
Enhanced risk-adjusted returns
Combining REITs and core private index replication strategy offers potential for better total returns and lower drawdown risk
Improved liquidity compared to direct private investments
Innovative blend of listed real estate and core private index replication offers potentially greater portfolio liquidity for tactical allocations and LP flexibility with subscriptions/redemptions
Greater sector and property diversification
Exposure to next-generation REIT sectors and traditional core/ODCE sectors results in better diversification and positioning for potential future growth
For core real estate allocations, institutional investors have traditionally favored private real estate investments while relegating listed real estate to a satellite bucket or avoiding the asset class altogether.
While private real estate plays an important role in core allocations, we believe this approach ignores several key benefits of blending listed and private real estate.
The Cohen & Steers Tactical Real Estate Strategy, developed in partnership with IDR Investment Management, is designed to tactically allocate to both listed real estate securities and core private real estate in a single portfolio. Blending listed and private real estate allocations can lead to higher returns, reduced risk and lower drawdowns over a full cycle when compared to core private real estate.
WHY INVEST WITH US:
Delivering value to our clients
Cohen & Steers has been at the forefront of real estate investing for 40+ years. As one of the first investment advisors to focus on real estate securities, with a long-standing commitment to the asset class, our top priority is to deliver strong investment performance through our industry-leading real estate securities platform. Our dedication and drive for excellence have allowed us to build a foundation designed to provide sustainable outperformance relative to our peers.
IDR has provided private equity real estate investment management services for over 15 years to institutional investors. IDR developed a patented process to replicate the NCREIF Fund Index — Open End Diversified Core Equity (the “NFI-ODCE Index”).
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INVESTMENT COMMITTEE
An experienced team
We believe that a lead-lag relationship exists between listed and private real estate markets, and that this dynamic can present the potential for attractive opportunities for investors. By combining listed and private real estate within a single strategy, we aim to help investors take advantage of these valuation discrepancies, potentially enhancing total returns while improving portfolio liquidity.
APPROACH
Our investment process
The Tactical Real Estate Strategy is designed to tactically allocate to both listed real estate securities and core private real estate in a single portfolio.
Listed Real Estate
Cohen & Steers’ flagship core U.S. listed real estate portfolio
High conviction active management
Private Real Estate
Core U.S. private real estate allocation via IDR
Access the return and diversification potential of private real estate
Tactical Asset Allocation
Seeks to capitalize on the lead/lag relationship between listed and private real estate markets
Allocation decisions made at least quarterly by the Investment Committee
Driven by proprietary framework which considers valuation, macro and risk appetite indicators
For use by pre-qualified institutional or professional investors and their advisors only. Not for redistribution without the express written consent of Cohen & Steers.
Data quoted represents past performance, which is no guarantee of future results. There is no guarantee that any historical trend illustrated above will be repeated in the future, and there is no way to predict precisely when such a trend will begin. The information presented above does not represent the performance of any fund or other account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance listed above.
There is no guarantee that actively managed investment strategies will outperform the broader market index. This material should not be relied upon as investment advice, does not constitute a recommendation to buy or sell a security or other investment and is not intended to predict or depict performance of any investment. This material is not being provided in a fiduciary capacity and is not intended to recommend any investment policy or investment strategy or take into account the specific objectives or circumstances of any investor. Please consult with your investment, tax or legal professional regarding your individual circumstances prior to investing. Cohen & Steers does not provide tax advice.
Important Risk Considerations: Investing involves risk, including entire loss of capital invested. There can be no assurance that the investment strategy will meet its investment objectives. An investor should only invest as part of an overall investment strategy, and only if the investor is able to withstand a total loss of their investment.