Fund Rationale: Janus Henderson Horizon Global Property Equities Fund

Janus Henderson Horizon Global Property Equities Fund (the “Fund”)
SGD Class A3Q Distribution Shares (ISIN: LU1316542866)
Fund Manager Page
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Endowus has selected the Fund as it offers:

  • Clearly articulated investment philosophy and process that is focused on alpha generation with active share of more than 70%;
  • Focus on capturing structural growth and future opportunities in the global real estate market by tapping into newer and emerging names beyond core sectors and the benchmark;
  • Strong performance compared to the benchmark and its peers; and
  • Retail share class with 100% trailer fee rebated back to Endowus investors to achieve lower cost of access.

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Key Information

Fund Objective: The Fund aims to provide capital growth over the long term by investing primarily in a concentrated portfolio of equities of real estate investment trusts ("REITs") and companies of any size, in any country which will derive the main part of their revenue from owning, developing and managing real estate.

Suitability: Investors who seek capital growth over the long term, and are comfortable with the volatility and risks of a global property equity fund.

Cost:
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  1. Total Fund-level Fees include fund management fee of 1.20%.
  2. This is a retail share class with 100% trailer fee rebated back to Endowus investors to lower the cost of access.
  3. Endowus do not charge a preliminary sales charge or any other additional fees, other than the all-in Endowus Access Fee.
  4. The Hurdle Rate is the benchmark performance from the start of the performance period. The current daily NAV must outperform both the High Water Mark (the NAV at the start of the performance period) and the benchmark performance for the same period in order to accrue a performance fee.

Fund Characteristics

Fund Inception: 03 January 2005
Share Class Inception: 24 March 2016
Benchmark: FTSE EPRA Nareit Developed Index

Fund AUM: SGD 2.25bn
Source: MorningStar as of  24 June 2021. Please refer to the FMC page for the most updated AUM.

Regional Allocation:

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Sector Allocation:

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Source: MorningStar as of 31 May 2021. Allocation data indicate actual exposure as a percentage of the Fund's total Net Asset Value. Please refer to the Fund Manager Page for the most updated information on Fund Holdings and Breakdown. 

Selection Criteria

Endowus has selected the Janus Henderson Horizon Global Property Income Fund as it has a clearly-articulated investment philosophy and process that is focused on alpha generation. The Fund maintains an active share of more than 70% to exploit the relative value opportunities in the real estate sector. The team believes that short term equity market volatility provides opportunity for active managers to add material value when investing in a long duration asset class such as real estate. In addition, the team believes that the real estate industry, like most others, is evolving as a result of technological and demographic change, and they aim to actively identify real estate securities driving the future of the sector.

The investment process is structured and risk-aware. The team focuses on the total expected return of each security that is derived from bottom-up fundamental research and valuations models. It limits its top down macro bet within defined risk budgets.

The Fund is managed by Guy Barnard, Tim Gibson and Greg Kuhl, who lead the European team, Asian team and US team respectively. They have on average 18 years of industry experience and their team provides local insights to form the high conviction global portfolio that holds 50-60 names on average. 

The majority of the Fund’s allocation would be to REITs companies, with the remaining in non-REITS names like property developers. The split is typically 75% in REITs and 25% in non-REITS. The Fund has delivered strong performance compared to the benchmark and its peers.

This Fund is interesting for investors who may typically only focus on the local REITs market as the Fund will help broaden exposure instead of solely having a home bias in real estate. Nonetheless, investors should note that investing solely in the property market involves taking on concentrated sectoral risk. Therefore when selecting the Fund, you should consider diversifying your portfolio with allocations to other sectors and asset classes.

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Updated by Endowus: June 2021

** Disclaimer: Past performance should not be taken as an indication or guarantee of future performance and no representation or warranty, express or implied, is made regarding future performance. Any opinions expressed reflect a judgment at the original date of publication by us and are subject to change without notice.
The prospectus, profile statement, product highlight sheet, fund factsheet or other offer or product documents may contain references about the expected risk tolerance of their target investors. These are in no way indicative of how we at Endowus have assessed your risk tolerance based on your stated objectives and financial situation. Endowus accepts no responsibility for investment decisions made in response to the expected risk tolerance levels mentioned in the product or offer documents.