Fidelity Global Property Fund W-Accumulation
Rated Fund 2017-19. Finds companies on attractive valuations worldwide
Fidelity Global Property was launched in 2006 and has been managed since 2013 by Dirk Philippa. It invests in the shares of property companies globally rather than directly in bricks and mortar.
Under Philippa, the fund’s performance has improved following his decision to give it a more concentrated portfolio of 30 to 40 shares and to focus more on larger companies with good dividend yields. The fund’s yield is modest at 1.8% and it pays income half-yearly.
When deciding where to invest globally and in which sectors, his main focus is on stock picking. However he also takes macroeconomic factors such as quantitative easing into account when choosing where to invest.
His core philosophy is to invest in property securities that are on attractive valuations. This is how he finds the majority of his investment ideas. He looks for valuation anomalies in companies relative to their own history, to peers or versus other regions. These are often property securities that have been through a period of underperformance, where little value is ascribed to their recovery potential and therefore there is strong relative upside potential.
The second type of company he looks for are those that represent quality at a reasonable price. These are companies which he believes can achieve superior growth due to good capital allocation decisions, with experienced managements that can generate superior shareholder returns and sustain growth longer than the market estimates.
At the end of 2018, the fund’s largest country weighting was to the US at more than 50%, followed by Hong Kong, Germany and Japan. In terms of sector exposure, it was heavily overweight residential property companies.
Narrative and ratings content all as of 01 January 2019.See all Money Observer rated funds
|Prologis Inc||6.66 %|
|Vonovia SE||5.23 %|
|Sun Hung Kai Properties Ltd||4.82 %|
|Mitsui Fudosan Co Ltd||4.72 %|
|Digital Realty Trust Inc||4.00 %|
|Deutsche Wohnen SE||3.91 %|
|American Campus Communities Inc||3.83 %|
|VEREIT Inc Class A||3.79 %|
|Hysan Development Co Ltd||3.55 %|
|American Homes 4 Rent Class A||3.40 %|
|United States||53.33 %|
|Asia - Developed||15.61 %|
|Real Estate||100.00 %|
Data provided by Morningstar.
The Content is only for your general information and use and is not intended to address your particular requirements. The Content does not constitute any form of advice, recommendation or arrangement by Money Observer and is not intended to be relied upon by you in making (or refraining from making) any specific investment or other decisions. Appropriate independent advice should be obtained before making any such decision.
This information is sourced from our partner Morningstar. We believe the data to be correct however you should take care in using any information.
You should be aware that prices may fall as well as rise and that the income derived can go down as well as up. When buying or selling any investment that fluctuates in price or value you may get back less than you invested. Past performance is not necessarily a guide to future performance.