ADELANTE CAPITAL MANAGEMENT, LLC LAUNCHES ADELANTE NEXTGEN PROPERTY SECURITIES (ACMNXT) INDEX℠ AND ADELANTE CORE PROPERTY SECURITIES (ACMCOR) INDEX℠ ‘POWERED BY WILSHIRE’
— Adelante Capital Management seeks to redefine the $1Trillion listed real estate market —
OAKLAND, Calif., November 9, 2017 — The Adelante NEXTGen Property Securities (ACMNXT) Index and Adelante CORE Property Securities (ACMCOR) Index created by Adelante Capital Management, LLC (ACM), with Wilshire Associates retained as custom index consultant and calculation agent, now provides investors a better measure of publicly-traded real estate securities, primarily Real Estate Investment Trusts (REITs), by introducing two universes of property securities that have been constructed by property type. The inception date for both Indexes is December 31, 2004.
Adelante NEXTGen Property Securities (ACMNXT) Index℠ is designed to serve as a proxy for non-traditional commercial real estate property types that have evolved and emerged over the past decade. The growth in the number and size of companies in the NEXTGen universe is a testament to the validity and need for this unique Index. Over the past 10 years, this Index has handedly outperformed the Wilshire US REIT Index and the S&P 500 Index.
- The Adelante NEXTGen Index outperformed the FTSE NAREIT Equity Index and the S&P 500 by over 560 and 368 basis points, respectively, over ten years ending October 31, 2017.
- The Adelante NEXTGen Index has produced a 16.7% annualized return following the Global Financial Crisis (since December 31, 2008).
- The Adelante NEXTGen Index provides a 4.8% average dividend yield.
- The three largest companies are: American Tower Corporation, Crown Castle International Corp., and Public Storage; the Index has 56 companies, $8.1B average market cap.
The Adelante CORE Property Securities (ACMCOR) Index℠ is designed to serve as a proxy for widely accepted commercial real estate property types. The established CORE universe of commercial real estate property types has been widely accepted by investors globally. Over the past 10 years, this Index has tracked to widely accepted measures of institutional real estate.
- The Adelante CORE Index outperformed the NCRIEF ODCE by 717 basis points since the Global Financial Crisis (since December 31, 2008).
- The Adelante CORE Index has produced a 13.9% annualized return following the Global Financial Crisis (since December 31, 2008).
- The Adelante CORE Index provides a 4.6% average dividend yield.
- The three largest companies are: Simon Property Group, Inc., Prologis, Inc. and AvalonBay Communities, Inc.; the Index has 105 companies, $5.1B average market cap.
“We are proud to introduce the ACMNXT Index and the ACMCOR Index, calculated by Wilshire,” states Michael A. Torres, CEO of Adelante Capital Management. “These indexes enable investors to more accurately evaluate the public and private commercial real estate markets and establishes the universe of NEXTGen property types, which are difficult to access privately,” added Torres.
“Wilshire Analytics is proud to fuel two new Powered by Wilshire index offerings from Adelante Capital Management, LLC. Wilshire’s index consulting and calculation expertise combined with ACM’s proprietary commercial real estate index methodology demonstrates the value of a Powered by Wilshire approach to help clients bring innovative index strategies to market quickly,” commented Jason Schwarz, president of Wilshire Analytics.
For more information about the ACMCOR and ACMNXT Indexes, please visit https://wilshire.com/indexcalculator/poweredbywilshire.htm.
About Adelante Capital Management
Founded in 1995, Adelante is a minority and employee-owned SEC registered global investment management firm focused on real estate securities with $1.9 billion of assets under management. Adelante employs a disciplined investment process seeking high quality portfolios for their clients at attractive prices relative to direct real estate values or Net Asset Value (“NAV”). As pioneers in publicly listed real estate investing, Adelante offers over 150 years of collective knowledge and experience to their global real estate securities investment strategies. Property-centric research is conducted by an in-house team of experienced sector and regional experts who have meaningful, long-term relationships with company management. With high conviction in investment decisions Adelante’s portfolios are concentrated and managed with low turnover to capture real estate fundamentals.
Please visit http://adelante.com/ for more information.
Follow us on Twitter: @AdelanteCapital
About Wilshire Associates
Wilshire Associates (Wilshire®), a leading global financial services firm founded in 1972, provides consulting services, analytics solutions and customized investment solutions to plan sponsors, investment managers and financial intermediaries. Its business units include, Wilshire Analytics, Wilshire Consulting, Wilshire Funds Management and Wilshire Private Markets.
The firm was founded in 1972, providing revolutionary technology and acting as an early innovator in the application of investment analytics and research to investment managers in the institutional marketplace. Wilshire also is credited with helping to develop the field of quantitative investment analysis that uses mathematical tools to analyze market risks. All other business units evolved from Wilshire’s strong analytics foundation. Wilshire calculates and distributes indexes Powered by Wilshire based on third-party supplied methodology and makes no representation about the intended purpose or methodology used to construct them.
For more about Wilshire Associates, visit www.wilshire.com.
Follow on Twitter: @WilshireAssoc
Adelante Capital Management