Kempen (Lux) Global Property Fund - Class J
Market developments per 2020-04-30
The Kempen Global Property Fund posted a positive return during April but underperformed the benchmark. Previously outperforming clusters such as US Hotels and US retail experienced reversal during the month. The underperformance was broad based during the month with fourteen out of the nineteen clusters underperforming. In times of temporary market exuberance we can expect our overweight in stronger balance sheets to explain part of this underperformance. The largest laggards were Hufvudstaden, a prime Stockholm exposed Swedish real estate which experienced sizeable outperformance in March, as well as Hudson Pacific Properties, a high quality US West-Coast office owner. We expect that as earnings season accelerates and more company data hits the news ticker, the stock prices will revert closer to the fundamental values that we estimate and are thus vigilant to take advantage of more any further mis-pricings. We see the month of April as a healthy reversal of a perhaps overdone initial pandemic reaction in March. We continuously review our model assumptions but remain confident in our initial assessments as we enter earnings season.
The month of April saw a partial rebound in real estate after a 23% fall in March. After the initial panic and near total shutdown of the real economy it appears that general acceptance has been achieved in what may be a prolonged new normal way of working and living. As various global governments began talks of how a re-opening of the economy might look like, the markets reacted favorably. This was particularly felt in areas which had experienced either structural issues or higher leverage. For example, the best performing cluster during April was US Retail which returned 22% during the month (after dropping 47% in March). No stimulus package or quick re-opening can fix the long-standing issues of physical retail but perhaps a quicker return to some kind of normal can extend lifelines to these companies in terms of precious time to improve balance sheets and invest in the assets. Within this cluster we assign the highest long-term net operating income (NOI) growth rate to grocery anchored strip centers (overweight basic necessity, consumer staple based products). We assign the highest management scores to management teams that we deem to be best prepared for the physical retail challenges with enough cash on the balance sheet to invest in evolving their shopping centers. As mentioned previously, we have entirely exited the US Malls space for the time being.
After most companies provided investors with early indications of the pandemic back in March with a focus on short term financing and liquidity management, April saw the beginning of the quarterly earnings season. The focus at these updates has been threefold: 1) how much rent was collected in April or Q2 and what discounts are being offered; 2) how the rest of the year looks and 3) what are the long term implications on the business. The most severe rental impact has been seen in tenants operating in the retail (restaurant, gyms and theatres), hotels as well as office co-working or any office tenant related to the leisure industry. Our coverage universe in the office sectors have very limited exposure to those. The residential cluster saw virtually 100% rent collection in Germany as the country has strong government support and the companies have affordable monthly rental averages (e.g. €500/month average cold rents). In the UK, residential owner Grainger saw 95% of its rents collected with very few cases requiring some sort of agreement on rent deferrals. The long-term prospects in this cluster appear to be favoring regulated residential exposure as free-market rents (US, UK, parts of Canada) are sure to be adversely impacted by the recession. Retail is expected to continue to suffer as tenants are operating on thin margins. Intu Properties reported that only 40% of Q2 rents had been collected and we suspect that things will get worse before they get better and EPR Properties (experiential retail asset owner with high exposure to movie theatres) in the US saw only 15% of its April rents come in. Global logistics has reported well over 90% of rents received as many warehouses have had to work overtime to deal with the essential flow of goods (e.g. STAG Industrial in the US, owner of B- and C quality industrial properties reported 90% of April rents collected). However, we believe that there will be polarization in this sector too as still the large majority of warehouses service traditional retailers whose business models will be suffering further from the recession. And not all logistics buildings are well located. This is here our proprietary property database allows us the edge to select the companies with the exposure to the best long-term locations at the right price.
The month of April saw a partial rebound in real estate after a 23% fall in March. After the initial panic and near total shutdown of the real economy it appears that general acceptance has been achieved in what may be a prolonged new normal way of working and living. As various global governments began talks of how a re-opening of the economy might look like, the markets reacted favorably. This was particularly felt in areas which had experienced either structural issues or higher leverage. For example, the best performing cluster during April was US Retail which returned 22% during the month (after dropping 47% in March). No stimulus package or quick re-opening can fix the long-standing issues of physical retail but perhaps a quicker return to some kind of normal can extend lifelines to these companies in terms of precious time to improve balance sheets and invest in the assets. Within this cluster we assign the highest long-term net operating income (NOI) growth rate to grocery anchored strip centers (overweight basic necessity, consumer staple based products). We assign the highest management scores to management teams that we deem to be best prepared for the physical retail challenges with enough cash on the balance sheet to invest in evolving their shopping centers. As mentioned previously, we have entirely exited the US Malls space for the time being.
After most companies provided investors with early indications of the pandemic back in March with a focus on short term financing and liquidity management, April saw the beginning of the quarterly earnings season. The focus at these updates has been threefold: 1) how much rent was collected in April or Q2 and what discounts are being offered; 2) how the rest of the year looks and 3) what are the long term implications on the business. The most severe rental impact has been seen in tenants operating in the retail (restaurant, gyms and theatres), hotels as well as office co-working or any office tenant related to the leisure industry. Our coverage universe in the office sectors have very limited exposure to those. The residential cluster saw virtually 100% rent collection in Germany as the country has strong government support and the companies have affordable monthly rental averages (e.g. €500/month average cold rents). In the UK, residential owner Grainger saw 95% of its rents collected with very few cases requiring some sort of agreement on rent deferrals. The long-term prospects in this cluster appear to be favoring regulated residential exposure as free-market rents (US, UK, parts of Canada) are sure to be adversely impacted by the recession. Retail is expected to continue to suffer as tenants are operating on thin margins. Intu Properties reported that only 40% of Q2 rents had been collected and we suspect that things will get worse before they get better and EPR Properties (experiential retail asset owner with high exposure to movie theatres) in the US saw only 15% of its April rents come in. Global logistics has reported well over 90% of rents received as many warehouses have had to work overtime to deal with the essential flow of goods (e.g. STAG Industrial in the US, owner of B- and C quality industrial properties reported 90% of April rents collected). However, we believe that there will be polarization in this sector too as still the large majority of warehouses service traditional retailers whose business models will be suffering further from the recession. And not all logistics buildings are well located. This is here our proprietary property database allows us the edge to select the companies with the exposure to the best long-term locations at the right price.
Portfolio developments per 2020-04-30
The Kempen real estate investment strategy strikes the balance between qualitative and quantitative analysis. Through application of data-analysis technology our Real Estate Team collects over 20 million relevant data points for 200,000 real estate buildings around the globe, processing this quantitative data in our data infrastructure and turning it into valuable fundamental investment information. The continuous increase in available data helps us make better assessments of the quality, value and risk of each real estate investment. This leads to better investment decisions and results in higher investment returns at lower risk for our clients.
Next to the quantitative approach the investment strategy contains three key qualitative parameters that determine the warranted valuation: management added value, balance sheet strength and ESG. The portfolio managers score each company covered on these three parameters. Companies that excel in ESG for example will be assigned a higher score and hence the warranted valuation for an investment increases.
Portfolio construction of the Strategy is based on cluster neutrality. The Global portfolio has 19 clusters defined as homogeneous groups of real estate companies with similar underlying currency exposure. Examples are Australia, US Offices and Switzerland. The portfolio weight of each cluster is approximately equal to the cluster’s benchmark weight. This ensures a diversified portfolio and neutralizes currency and macroeconomic exposure versus the benchmark. The Fund assigns its risk budget on the real estate portfolio level only.
ESG is of a high importance to our investment process. During the month we are proud to announce that based on our engagement with Norwegian office real estate owner Entra, the board of directors has followed our recommendation to amend its long-term compensation scheme and extend its vesting period such as to provide the management team further incentives to remain at the helm through a full property cycle.
April saw somewhat of a reversal from the lows of March as governments began hypothetical talks of reopening based on the flattening of the Covid-19 infection curve. Once again we remained active and disciplined in our portfolio rotation within all clusters. In the European offices cluster we rotated Gecina into Alstria and Shurgard (self-storage) as we see Germany to be relatively very well positioned to deal with the pandemic and thus the level of panic amongst office tenants is minimal. Self-storage is also a business with minimal impact and Shurgard has smartly held onto large amounts of cash (despite heavy criticism last year) and is greatly positioned to take advantage of the opportunities that this crisis will undoubtedly bring. In the US Triple Net cluster we have sold National Retail Properties in favor of adding to our position to Realty Income (high exposure to necessity based retail and investment grade tenants) as well as building a position in Stag Industrial (US-wide warehouses). We remain confident in our positioning ahead of the earnings season and will continue to amend our models as new fundamental information enters the equation and provides us an edge in better fine-tuning our long-term estimates of intrinsic value.
Next to the quantitative approach the investment strategy contains three key qualitative parameters that determine the warranted valuation: management added value, balance sheet strength and ESG. The portfolio managers score each company covered on these three parameters. Companies that excel in ESG for example will be assigned a higher score and hence the warranted valuation for an investment increases.
Portfolio construction of the Strategy is based on cluster neutrality. The Global portfolio has 19 clusters defined as homogeneous groups of real estate companies with similar underlying currency exposure. Examples are Australia, US Offices and Switzerland. The portfolio weight of each cluster is approximately equal to the cluster’s benchmark weight. This ensures a diversified portfolio and neutralizes currency and macroeconomic exposure versus the benchmark. The Fund assigns its risk budget on the real estate portfolio level only.
ESG is of a high importance to our investment process. During the month we are proud to announce that based on our engagement with Norwegian office real estate owner Entra, the board of directors has followed our recommendation to amend its long-term compensation scheme and extend its vesting period such as to provide the management team further incentives to remain at the helm through a full property cycle.
April saw somewhat of a reversal from the lows of March as governments began hypothetical talks of reopening based on the flattening of the Covid-19 infection curve. Once again we remained active and disciplined in our portfolio rotation within all clusters. In the European offices cluster we rotated Gecina into Alstria and Shurgard (self-storage) as we see Germany to be relatively very well positioned to deal with the pandemic and thus the level of panic amongst office tenants is minimal. Self-storage is also a business with minimal impact and Shurgard has smartly held onto large amounts of cash (despite heavy criticism last year) and is greatly positioned to take advantage of the opportunities that this crisis will undoubtedly bring. In the US Triple Net cluster we have sold National Retail Properties in favor of adding to our position to Realty Income (high exposure to necessity based retail and investment grade tenants) as well as building a position in Stag Industrial (US-wide warehouses). We remain confident in our positioning ahead of the earnings season and will continue to amend our models as new fundamental information enters the equation and provides us an edge in better fine-tuning our long-term estimates of intrinsic value.
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Performance per 2020-04-30 (rebased)
Performance per 2020-04-30
| Fund | Benchmark | |
|---|---|---|
| 1 month | 5.5 % | 7.3 % |
| 3 months | -23.7 % | -23.2 % |
| This year | -22.6 % | -21.6 % |
| 2017 | 0.3 % | -3.1 % |
| 2018 | -2.0 % | -0.9 % |
| 2019 | 27.8 % | 24.2 % |
| 1 year (on annual basis) | -15.9 % | -15.6 % |
| 3 years (on annual basis) i | -0.8 % | -2.2 % |
| 5 years (on annual basis) i | 1.6 % | 0.1 % |
| Since inception (on annual basis) i | 5.7 % | 4.0 % |
Performance is shown after deduction of ongoing charges and including the reinvestment of dividend that has been paid out. The value of your investments may fluctuate. Past performance provides no guarantee for the future.
As of 30 June 2018 a deviating Net Asset Value (NAV) is used for the calculation of the performance figures. This NAV is calculated based on closing prices of the Fund investments thereby deviating from the NAV which was originally issued and partly calculated based on snapshots (Asia & Pacific investments). The deviating NAV is used to make a better comparison with the benchmark, which is also solely based on closing prices of the investments.
Dividends
| Distributing | Yes |
| Last dividend | EUR 43.30 |
| Ex-date last dividend | 2020-01-16 |
| Dividend calendar |
Risk analysis (ex post) per 2020-04-30
| 3 years | Since inception | |
|---|---|---|
| Maximum drawdown i | -27.70 % | -27.70 % |
| Tracking error i | 2.10 % | 1.93 % |
| Information ratio i | 0.63 | 0.90 |
| Beta i | 0.97 |
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Top 5 contribution (2020-04-30)
| Contribution i | Performance i | |
|---|---|---|
| Prologis | 0.50 % | 10.81 % |
| Avalonbay Communities | 0.44 % | 10.90 % |
| Realty Income | 0.42 % | 9.77 % |
| Invitation Homes | 0.40 % | 11.40 % |
| Federal Realty Investment Trust | 0.37 % | 12.24 % |
Bottom 5 contribution (2020-04-30)
| Contribution i | Performance i | |
|---|---|---|
| National Retail Properties | -0.17 % | -4.11 % |
| CubeSmart | -0.16 % | -5.46 % |
| Orix Jreit | -0.15 % | -7.33 % |
| Empire State Realty Trust | -0.14 % | -6.32 % |
| Hufvudstaden | -0.11 % | -5.02 % |
Geographic allocation (2020-04-30)
53.8 %
United States
11.8 %
Japan
6.9 %
Hong Kong
5.0 %
United Kingdom
4.6 %
Germany
3.6 %
France
3.2 %
Singapore
3.1 %
Australia
2.6 %
Canada
2.2 %
Nordics
1.5 %
Ireland
1.3 %
Switzerland
0.4 %
Other
Total
100 %
On basis of country of exchange of the investments.
The cash position is included in ‘Other’.
Top 10 holdings (2020-04-30)
4.6 %
Prologis
4.3 %
Avalonbay Communities
4.1 %
Realty Income
3.7 %
Invitation Homes
3.5 %
Equity Residential
3.2 %
Mitsubishi Estate
3.1 %
Federal Realty Investment Trust
3.0 %
Hudson Pacific Properties
2.9 %
CubeSmart
2.9 %
Wharf Real Estate
Total
35.2 %
Sector allocation (2020-04-30)
27.2 %
Residential
26.1 %
Offices
19.0 %
Industrials
16.1 %
Other
11.6 %
Retail
Total
100 %
On basis of 'look through' data.
The cash position is not included.
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Ongoing charges
| Management fee i | 0.70 % |
| Service fee i | 0.20 % |
| Taxe d'abonnement i | 0.01 % |
| Expected ongoing charges i | 0,91 % |
Other costs
| Downward swing factor i | 0.15 % |
As of 2 March 2020 the swing factor has been adjusted from 0.25%/0.20% to 0.25%/0.15%.
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Share class details
| Share class | J |
| Investor type | Institutional |
| Distributing | Yes |
| Benchmark i | FTSE EPRA/NAREIT Developed Index |
| Investment category | Real Estate |
| Universum | Global real estate equities |
| Inception date | 2015-11-12 |
| Domicile | Luxembourg |
| May be offered to professional investors only in | Finland, Germany, Luxembourg, Switzerland, The Netherlands, United Kingdom |
| UCITS status i | Yes |
| Status | Open-end i |
| Base currency | EUR |
| Share class currency | EUR |
| Management company | Kempen Capital Management NV |
| Depositary and custodian | J.P. Morgan Bank Luxembourg S.A. |
| Morningstar rating â„¢ | |
Tradability
| Minimum subscription | Initial subscription: €50,000, additional subscriptions: €10,000 |
| Listed | no |
| Subscription/Redemption Frequency | Daily |
| ISIN i | LU1127955455 |
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Factsheets
Annual Reports
Key Investor Information
ESG Publications
Voting records
Formal documents other
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Kempen's vision & mission
Kempen Capital Management is an asset manager that believes in stewardship and investment focusing on the long-term for the benefit of all stakeholders. Value creation is at the heart of the services we provide to our clients. We believe that being an engaged shareholder on environmental, social and governance (ESG) issues and retaining a long-term focus, is critical to helping our clients to preserve and create sustainable wealth that has positive real world impact and economic returns.
Kempen wide approach to responsible investment
We are committed to create sustainable alpha. The four pillars of our ESG-policy are:
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ESG integration: Ensuring sustainability risks and opportunities are adequately considered in our investment analysis and processes.
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Exclusion & avoidance: Not investing in companies involved in controversial activities or conduct.
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Active ownership: Being responsible stewards of our clients’ capital and using our influence through engagement and voting to improve corporate behaviour on specific ESG issues and achieve positive change
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Positive impact: Investing with an objective to achieve positive real world outcomes and impact, such as contributing to the UN Sustainable Development Goals.Â
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To put our mission and vision into practice we engage with our investee companies on a wide array of strategic, financial, and ESG topics. As an active owner we use our influence to improve our investee companies’ ESG performance. This helps us address some of the most pressing and important sustainability issues facing business and the world. Our focus themes for engagement are: human rights, labour rights, climate change and governance.Â
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Through collaboration with other investors and industry think tanks we contribute to the development of principles and standards of corporate responsibility both at sector levels, as well as investee company level.
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Our full voting records are available here.
OUR FUND APPROACH TO RESPONSIBLE INVESTMENT
At Kempen, we manage several funds and mandates invested in listed Real Estate companies including the Global Property Fund[1] and the European Property Fund.
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Kempen’s ESG policy is implemented in our fund’s investment process by the following pillars: ESG Integration and Active ownership.
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Exclusion & Avoidance
In line with the general Kempen policy, the Global Property Fund and the European Property Fund excludes all companies on the KCM Exclusion- or Avoidance list.
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Companies that ‘Fail’ or are on ‘Watchlist’ marked against the criteria of the United Nations Global Compact are excluded.
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ESG integration
We believe financial and sustainability returns are indivisible and that those companies that can find the right balance between all stakeholders will drive value. Our ESG analysis for listed real estate companies includes:
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Implementing our ESG quality score into the company score of each Real Estate company we model;
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Monitoring the global investment universe on Real Estate companies that exhibit negative excesses, such as environmental pollution measured by CO2 emission levels to initiate engagement;
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Benchmarking Real Estate companies against each other and visualising these results for our investment process and our clients in order to identify leaders and laggards;
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Entering into dialogue with companies we invest in, to improve their ESG policies and practices;
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Translating information of Real Estate company portfolios with lower sustainability scores into higher maintenance capex assumptions in our Kempen valuation models;
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Offering product customisation to our clients who (for example) want to invest in lower CO2 emission Real Estate portfolios only.
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In our investment framework there are three key aspects we look at in determining the warranted valuation: management value add, balance sheet and ESG. We are willing to pay up for those companies that excel in ESG. This believe is underpinned by academic literature.
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The figure 'How ESG is integrated in our investment process' shows how ESG is incorporated into the investment process. Note that we do not only invest in the ESG leaders but also in the laggards as the potential value to be unlocked by providing capital to those who need it the most is massive.
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Active ownership
As an active investor, the Real Estate funds also actively engage with companies on their strategic, financial and social responsibilities.
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Our engagements focus on those companies where we believe substantial value can be unlocked. Engagement can take place on a wide array of topics including:
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Reducing CO2 intensity levels;
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Reducing energy and water consumption;
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Improving waste recycling;
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Improving working conditions and human rights;
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Improving governance structures;
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Improving shareholder alignment;
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Shifting remuneration policies from being linked to short term goals to long term targets
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You can find the engagement factsheet of Kojamo Oyj here.
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Our full ESG policy can be downloaded here.
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[1]Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg.
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Risks
For more information about the mid and long term risks associated with the investments:
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Although Kempen Capital Management N.V.’s information providers, including without limitation, MSCI ESG Research LLC and its affiliates (the “ESG Partiesâ€), obtain information from sources they consider reliable, none of the ESG Parties warrants or guarantees the originality, accuracy and/or completeness of any data herein. None of the ESG Parties makes any express or implied warranties of any kind, and the ESG Parties hereby expressly disclaim all warranties of merchantability and fitness for a particular purpose, with respect to any data herein. None of the ESG Parties shall have any liability for any errors or omissions in connection with any data herein. Further, without limiting any of the foregoing, in no event shall any of the ESG Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages.
ESG Report
Screening MSCI ESG Research
Kempen (Lux) Global Property Fund (the “Sub-Fundâ€) is a sub-fund of Kempen International Funds SICAV (the “Fundâ€), domiciled in Luxembourg. This Fund is authorised in Luxembourg and is regulated by the Commission de Surveillance du Secteur Financier. Kempen Capital Management N.V. (KCM) is the management company of the Fund. KCM is authorised as management company and regulated by the Dutch Authority for the Financial Markets (AFM).
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.
Paying agent and representative in Switzerland is RBC Investor Services Bank S.A., Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH-8027 Zurich. The Sub-Fund is registered with the Dutch Authority for the Financial Markets (AFM) under the license of the Fund.
The information in this document provides insufficient information for an investment decision. Please read the Key Investor Document (available in Dutch, English and several other languages, see website) and the prospectus (available in English). These documents as well as annual report, semi-annual report and the articles of incorporation of the Fund are available free of charge at the registered office of the Fund located at 6H, route de Trèves, L-2633 Senningerberg, Luxembourg, at the offices of the representative in Switzerland and on the website of KCM (www.kempen.com/en/asset-management). The information on the website is (partly) available in Dutch and English.
The Sub-Fund is registered for offering in a limited number of countries. The countries where the Sub-Fund is registered can be found on the website. The value of your investment may fluctuate. Past performance provides no guarantee for the future. The performance shown does not take account of any commissions and costs charged when subscribing to and redeeming units.