Style Factors for Private Real Estate–Beyond Property Type and Location
Research Paper
October 24, 2023
Preview
Traditional property-type and geography segmentations play an important role in private real estate but are limited in how much performance variation they can explain. In testing, six potential style factors — size, yield, leasing, growth, momentum, and volatility — in a cross-sectional multifactor model showed promising results. The development of style factors for private real estate could be a useful addition to the toolkit of investors in the asset class. Republished with permission from the Journal of Portfolio Management, from: Bryan Reid, Fritz Louw, and Will Robson. 2023. "Style Factors for Private Real Estate—Beyond Property Type and Location." Journal of Portfolio Management 49, no. 10 (October 2023).
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