GLOBAL - The European Public Real Estate Association (EPRA), the National Association of Real Estate Investment Trusts (NAREIT) and Euronext have launched the first global real estate index.
The EPRA/NAREIT Global Index is a composite of the existing Dutch EPRA European index and new indices in North America and Asia. EPRA is a non-profit association that promotes the European real estate sector. Washington-based National NAREIT is the trade association for REITs and publicly traded real estate companies in the US.
The new index contains about 250 publicly quoted real estate equities in 21 countries throughout Europe, North America and Asia. Stocks are weighted according to free float, and the inclusion criteria are designed to reflect the preferences of institutional investors, said EPRA.
Behind the main index are a series of sub-indices, comprising individual country indices, expressed in Euros, US dollars, British sterling and the local currency, as well as in both price and total return.
Since 1972, the NAREIT indices has set the industry standard for benchmarking real estate investment company performance.
The calculation of the new index is carried out by Euronext Indices and distributed through data vendors as well as the websites of EPRA, NAREIT and Euronext. The index will be calculated on a daily basis, with a fixing at 18.00 hrs (CET). A calculation on a real-time basis is planned for the near future.
The index is monitored by EPRA in Europe, NAREIT in North America and by an independent committee in Asia, all responsible to a committee appointed by EPRA and NAREIT.
By Madhu Kalia
This week's edition of Professional Pensions is out now.
Industry Voice: Sponsored by Eaton Vance
BNY Mellon has launched a range of reporting tools to help institutional investor clients track and evaluate portfolio investments based on environmental, social and governance (ESG) issues.
PP speaks to BESTrustees director Heather McGuire about her views on the CMA's review into the investment consultant and fiduciary management markets.