The Pension Real Estate Association (PREA), headquartered in Hartford, Conn., and London-based Investment Property Databank (IPD) are co-sponsoring the new PREA/IPD U.S. Property Fund Index to measure real estate investment performance for open-end, commingled funds.
According to the new partners, the index will encompass the entire risk spectrum of core, value-add and opportunistic strategies, as well as both diversified and sector specific funds. The index will become a component of the IPD Global Property Fund Index, enabling IPD clients and PREA members to evaluate their performance in a global context.
‘As part of the agreement with IPD, PREA members will have access to a significant amount of information underlying the headline index numbers,’ says Gail Haynes, president of PREA. ‘This will allow our members to delve into the specific aspects of fund structure that are driving returns, and how performance varies across location and property type.’
The index is scheduled to be up and running in mid-August. Once complete, it will join seven other property fund indices that IPD currently offers – U.K., France, Germany, Italy, Nordics, Pan-European and Australia.