The Q2 2024 release of the Global IRR Index monitors a sample of 388 closed end funds across vintages from pre-2001 to 2022. All of these 388 funds follow a non-core strategy as defined by their managers and include 337 value added and 51 opportunistic funds.

Key highlights:

• This release of the Global IRR Index features 73 Asia Pacific funds, 145 European and 170 funds focused on the USA.

• The IRR of funds launched Post 2019 improved by 375 bps to -6.93%, from -10.67% in Q1.

• The two strongest vintage groups are represented by funds launched before 2001 and between 2011 and 2013. They posted average IRRs of 14.73% and 14.12%, respectively.

• The best performing vintage group continues to be the USA’s 2008-2010 cohort which has delivered an equally weighted IRR of 18.18%.

The Global Internal Rate of Return (IRR) Index is jointly produced by INREV, ANREV and NCREIF to measure the IRR performance of closed end non-listed real estate vehicles since inception on a global scale.

For any queries please contact Amélie Delaunay, Daisy Huang, or Eileen Chiu.

The ANREV Management fees and terms study explores fees and costs structures of Asia Pacific non-listed real estate funds with a focus on the Total Global Expense ratios (TGERs) and real estate expense ratios (REERs). This study includes 36 vehicles managed by 18 managers that submitted their 2023 TGERs representing a combined total GAV of US$75.6 billion. Of the 36 vehicles which provided data for their TGERs, 27 vehicles provided data on their 2023 REERs. Outliers were removed from the dataset.

The publication also includes the first release of global comparison of the Total Global Expense Ratio (TGER) featuring 46 funds out of the 49 funds included in the Global ODCE Index, representing a total gross asset value (GAV) of USD 359 billion (98% of the Global ODCE Index’s GAV) as of the end of 2023.

Key highlights include:

• The average TGER of all vehicles was 0.71% based on GAV and 1.30% based on NAV.
• Core and larger funds (average GAV larger than US$1 billion) registered lower TGERs.
• Single country strategy funds and lower geared funds reported lower TGERs.

The IRR Index measures the internal rate of return performance of Asia Pacific closed end non-listed real estate funds since the funds’ inception up to the end of the latest quarter. Performance is measured net of fees and costs and is computed on both a pooled return basis and an equally weighted basis (arithmetic mean).

The IRR Quarterly Index Q2 2024 includes 73 closed-end funds across vintages from pre-2005 to 2022.

For any questions or comments, please contact Daisy Huang or Eileen Chiu.

The Global Real Estate Fund Index (GREFI) shows the performance of non-listed real estate funds on a global basis and is jointly created by ANREV, INREV and NCREIF. This publication includes performance figures up to the end of Q2 2024. The GREFI is updated on a quarterly basis and is published 12 weeks after the quarter end.

The history of the Global Real Estate Fund Index (GREFI) has been extended to Q1 2005, now offering more than 15 years of performance across all regions.

Key highlights:

• The GREFI All Funds Index delivered a total return of -0.32% in Q2 2024 and was negative for the eighth consecutive quarter.
• Other than Asia Pacific, all regions recorded quarter-on-quarter increase in performance, with Europe outperforming the wider index.
• GREFI Core funds slightly underperformed their riskier non-core peers, with both strategies remaining in negative territory.

For any queries, please contact Amélie Delaunay, Daisy Huang or Eileen Chiu.

The Q2 2024 ANREV index included data contributions from 78 funds with a total gross asset value of US$139.4 billion.

Key highlights:

• ANREV’s All Funds Index posted a total return of -2.83% in Q2 2024, down 112 bps from -1.71% posted in Q1 2024.

• Core funds posted the only negative total returns of -3.48%, underperforming both opportunistic and value-added funds which reported 1.25% and 0.03% respectively.

• Closed-end funds with a total return of 0.22% outperformed their open-end counterparts which posted -3.50%.

Further details of the sub-indices which cover different fund styles and various geographies can be found in the full report.

We would like to thank all the funds that contributed data, and look forward to your continued support in the next round of data collection. If you have any questions about the index or wish to take part in this industry-led initiative, please contact Daisy Huang or Eileen Chiu.

The ANREV Australia Core Open End Fund Monthly Index (ACOE) saw a total return of 0.26% in August 2024. The ACOE includes 17 funds with a total GAV of AUD 114.18 billion.

The ACOE Index also reports data on geographic allocation by sector.

Please contact Daisy Huang or Donald Lam if you have any questions regarding the Index.

Around the Australia conference, KordaMentha hosted a round table in Melbourne on behalf of the ANREV Debt working group where institutional investors and investment managers shared views on the market from composition to trends and risks, regulation, investment opportunities and experiences on accessing the market in the current environment