Renaissance Property Securities investment principles are founded on our belief that each property security has an underlying value and that securities become mispriced relative to this value and relative to each other due to irrational market behaviour including excessive optimism or pessimism towards individual securities or sub-sectors of the property market. Our strategy is to exploit such market inefficiencies by employing and active, value based investment style. Our approach is bottom up investment research into individual securities with a focus on forecasting future income generation potential of each security. Our aim is to outperform our benchmark over rolling 3 to 5 year periods.
ESG factors that we consider to be relevant to property securities are considered alongside financial measures in order to develop a complete view of the risk/return characteristics of each security. The ESG issues most relevant to property securities depend on the asset type, location, life cycle phase, corporate structure, and other individual company characteristics.
Our clients are wholesale institutional clients and have entrusted us to integrate into our investment process those ESG considerations that we consider to be relevant for the property securities market.