Real estate investments

The "Real Estate" asset class generated a return in Swiss francs of 15.7% for the year under review. At the end of 2021, the total value of real estate investments was CHF 5 085 million, representing 13.3% of the market portfolio.

Direct real estate investments

At the end of 2021, the value of the "Real Estate Switzerland direct" segment amounted to CHF 176 million. It achieved a positive return of 10.1% in the year under review and focused on one property, mainly rented to the Central Compensation Office in Geneva.

Indirect real estate investments

At the end of 2021, the value of the "Indirect Real Estate investments" segment was CHF 4 908 million.

The sub-segment "Real Estate Switzerland listed", which represented a share of 41.0% of all real estate investments, generated a return of 7.5%, while the sub-segment "Real Estate North America listed" (share of 18.6%) achieved a return of 46.7%.

The sub-segment "Real Estate Global not listed" (36.9% share) generated a return of 10.5%.

Adjustments to the portfolio

In the sub-segment "Real Estate Global not listed", a call for tenders was launched in 2021, resulting in the selection of eight new investment funds in the Core+ segment and the increase of four existing funds. During the year, capital calls were made in Europe, Asia and the US.

Management of mandates

The Management Office was responsible for the control and coordination of the "Real Estate direct" segment.

Two external managers actively administrate the sub-segment "Real Estate Switzerland listed", while the sub-segment "Real Estate North America listed" is passively managed by one external manager.

The sub-segment "Real Estate Global not listed" has 19 units of actively managed investment funds. These allocate their assets in a diversified manner in first-class real estate in Europe (6 funds), Asia (9 funds) and the USA (4 funds). The managers of these investment funds are: BentallGreenOak, Blackstone, CapitaLand, Hines, JP Morgan, M&G, Metlife, Morgan Stanley, Nuveen, PAG, PGIM, Tristan and Walton Street.

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