F&C Commercial Property Trust Ltd

Property

Rated Fund 2013, 2017-2018. A reliable source of monthly income

This trust is the largest in the direct property investment trust sector at £1.4 billion, and has one of the most experienced management teams led by Richard Kirby. It has recently been weak, but has a strong long-term record, having outperformed the UK property market in most years since launch in 2005.

It is attractive for income investors and pays a steady monthly dividend, with dividend cover of 80 per cent, according to its 2017 interim report.

The quality and diversity of the properties in the trust's portfolio stands it in good stead in current market conditions. Its relatively low level of gearing is seen as another plus point.

The trust's investment policy contains various rules on how the portfolio is managed that help to maintain diversification and reduce risk. For example, no single property can account for more than 15 per cent of gross assets at acquisition.

Narrative and ratings content all as of 01 January 2018.

See all Money Observer rated funds
Name
F&C Commercial Property Trust Ltd
Manager
F&C Asset Management PLC
Type
Closed Ended Investment Company
ISIN
GG00B4ZPCJ00
Sector
Property Direct - UK
Launched
17/03/2005
OCF
1.22 %
3 Year Sharpe
0.37
Yield
4.2 %
Benchmark
IPD UK All Property
Fund Size
£ 1.1 billion
NAV
143
Gearing
120
Discount Premium
-2
The Company's investment objective is to provide the Ordinary Shareholders with an attractive level of income together with the potential for capital and income growth from investing in a diversified UK commercial property portfolio. It is intended that the Group will hold a diversified portfolio of freehold and predominantly long leasehold (over 60 years remaining) UK commercial properties. The Group will principally invest in three commercial property sectors: office, retail and industrial. The Group will be permitted to invest up to 15% of its Total Assets in indirect property funds but will not invest in other listed investment companies.
Name
F&C Asset Management PLC
Address
EC2A 2NY, London, United Kingdom
Legal Structure
Closed Ended Investment Company

Managers

Richard Kirby
Joined 03/17/2005

Data provided by Morningstar.

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