Listed property fulfills a practical role in your portfolio. Property delivers a growing income stream through time, with the opportunity for capital appreciation – which is key for both investors and financial planners. This unique feature borrows from the characteristics of both the equity and fixed income asset classes. Also, from a diversification and correlation perspective, property serves a useful purpose in a multi-asset portfolio.
Since launching the first property ETF in 2007 (PTXSPY), the property market has grown substantially in size and structure. At the time, there were 23 investable property shares, with a combined market cap of R140 billion. The number of property shares has since grown to 32, with a market cap greater than R370 billion. This led to a review of the property index series by the FTSE/JSE and in turn, ourselves.
In light of the changes in the industry and the important consideration of the property asset class, we’ve reflected on our CoreShares offering. We’d like your consent, as a CoreShares investor, to amalgamate our two local property ETFs into one strategy that delivers better outcomes for you. We’re using a regulated ballot process to count your votes.