A
fund designed to deliver real value for investors
Glanmore was set up in order to empower the private investor to diversify his portfolio
and to take part in the property story. It was designed to meet the needs of private clients, and its focus on delivering returns at a fair value price and with special safeguards springs from the investment manager’s requirement for
you the client.
This is important to bear in mind, as Thesis and Cardales formed Glanmore in 1997 not as a “product” to offer to the public but because no other suitable investment was then available to the client.
Glanmore’s style of investment
The way Glanmore manage the fund and the choices they make are a reflection of their experience in
the property sector. Glanmore look at the major quality criteria
when selecting property. Firstly they look for buildings of high
quality.
They then look at the quality/strength of the tenant and the quality of the lease terms and tenure.
Below is a small sample of the portfolio's property assets and tenants
as at December 2002.If you would like the complete portfolio composition
please do not hesitate to contact us.
|
Property Location |
Tenant |
Lease End &
(next rent review date) |
Rent £pa |
Chesterton Valuation |
| |
|
|
|
|
|
Watford |
C & J Clarke Shoes plc |
9/2006 |
104,000 |
1,220,000 |
|
Chichester |
Pelican Group plc( Whitbread) |
1/2022 (12/2001) |
40,000 |
720,000 |
|
Epping |
Boots plc |
12/2010 |
40,150 |
|
| |
Clinton Cards ( subsid. of plc) |
12/2010 (25/12/05) |
45,000 |
|
| |
Tills R Us Ltd |
9/2003 |
7,000 |
1,190,000 |
|
Reading |
Royal London Mutual Insurance |
12/2007 (12/2002) |
25,500 |
|
| |
British Colostomy from Albany |
03/2008 (06/2003) |
13,225 |
1,050,000 |
|
Camberley |
Admiral plc (from Thorn EMI) |
12/2004 |
109,000 |
1,170,000 |
|
Warrington |
1 Sec of State for Environment |
01/12/2016 (1/2006) |
28,453 |
|
| |
2/4 Ditto |
12/2016 (12/2006) |
84,062 |
|
| |
7 Braemec |
2/2005 |
13,500 |
2,170,000 |
|
Reading |
ICL plc |
3/2005 |
109,000 |
965,000 |
|
Birmingham |
West Midlands Travel(Lloyds Bank) |
3/2012 (2002&7) |
55,000 |
|
| |
Tanet Ltd |
6/2007 (2002) |
2,500 |
|
| |
Lloyds Bank plc |
5/2003 |
1,500 |
|
| |
Reed Employment |
6/2013(2003&8) |
12,900 |
|
| |
|
6/2012(2002&7) |
10,000 |
|
| |
Lloyds Bank plc |
5/2003 |
16,375 |
|
| |
Reed Employment |
10/2003 |
9,600 |
|
| |
Lloyds Bank plc |
7/2003 |
21,135 |
|
| |
Judd Farris |
|
15,512 |
|
| |
Aerial on roof-Licence |
|
3,500 |
1,820,000 |
|
Leeds |
British Telecom plc |
5/2004 |
35,125 |
|
| |
British Telecom plc |
6/2005(break) |
91,075 |
|
| |
British Telecom plc |
5/2005(break) |
85,850 |
|
| |
The Banking & Finance Union |
1/2005 |
21,344 |
|
| |
2 car spaces |
let on Licence |
960 |
3,000,000 |
|
West Ealing |
Peacocks Stores Ltd (now plc) |
1/2019 (1/2004) |
100,000 |
|
| |
J Luckhurst |
12/2013 ( 12/2003) |
15,000 |
1,465,000 |
|
Nottingham |
Freeth Cartwright Solicitors |
3/2014 (3/2004)breaks 3/02 &09 |
158,000 |
|
| |
Garton (Newsagent) |
09/2009 (9/2003 & 6) |
10,500 |
|
| |
McGill ( sandwich bar) |
9/2009 (9/2003 & 6) |
6,000 |
1,600,000 |
|
Camberley |
Vickery & Co |
2/2005 |
43,900 |
|
| |
Wentworth Rose |
1/2008 (1/2003) |
44,370 |
|
| |
Wentworth Rose |
2/2006 |
48,300 |
|
| |
Pearl Assurance plc |
12/2010 |
46,325 |
2,100,000 |
|
Romford |
Wallis Fashion Group |
1/2002 |
66,000 |
|
| |
Next plc |
3/2003 |
54,200 |
|
| |
Nationwide |
12/2010 |
105,000 |
2,740,000 |
|
|
Yields resulting from quality filters
Properties that pass these demanding criteria deliver yields of above 7%. Glanmore have no properties in the lowest yield band, nor do they hold any “junk bond” quality properties which have exaggeratedly high
yields. In fact, 70% of Glanmores property is conservatively managed in the 7.5% - 8.5% yield band, and the remaining 30% of actively managed property achieves between 8.5% and 10.5% yields.
Independent valuation
Properties are independently valued prior to purchase and then revalued on a monthly basis by Chesterton. These figures are incorporated into the Net Asset Valuation prepared monthly by Guinness Flight Trustees
(GFT) who then calculate the share price, which is published in the Financial Times.
Impressive track records
Then of course there is past performance to be considered.
Not a guarantee of future performance of course, but nonetheless an indication of the quality of Glanmore's decision-making and management so far.The Glanmore Property Fund can demonstrate an impressive track
record of returns in recent years and is advised by a major firm of Chartered Surveyors, with an enviable reputation for professionalism and probity. Even in relation to the ‘peer’ funds in the property market, the Glanmore Fund has performed outstandingly well.The Glanmore Property Fund is not only in the top quarter of the property investment sector but the fund also has competitive management charges – helping your investment grow even more in real terms.
Why invest in property?
Property should form part of any well-balanced investment portfolio. It is one of the golden rules of safe, successful long-term investing to have a properly diversified spread of investments, where risk is spread between classes of assets which do not perform in the same way. As with many things in life, balance is critical.
Property is less volatile than many classes of investment So where does property sit in the risk/return profile of different investments?
Property is less volatile than both equities and bonds,and does not behave in the same fashion as stock market or bond investments. These essential characteristics of low volatility and non-correlation with traditional investments
add up to an element of core security for your portfolio.
A safe store of value
Historically property has proven to be a safe store of capital value – particularly against the old enemies of the investor, inflation and stock market peaks and troughs. The old adage that ‘you never go wrong putting money into bricks and mortar’ is perhaps wiser than it seems – that is exactly why the large institutions and pension
funds have always used property as a core long-term asset class.
It is precisely because equities are cyclical (and most portfolios have benefited from a near 20 year “bull” market) that property may have appeared a poor relation. But the large, professional investors have continued to invest steadily and manage their property portfolios, reaping impressive returns in a dipping share market.
Once it is accepted that property has an important part to play in any professionally managed portfolio,we have to look at what the criteria for successful investment in property are.
Balance the risk factors and focus on controlled quality
There are two key financial factors to consider when assessing a property investment. One is the ‘yield’ – the
net running income from rents expressed as a
percentage return on purchase cost. The other is the medium
and long-term capital growth potential of the property. It is balancing these factors across a portfolio
and across a period of time that will influence how successful the investment is.
The risk factors to consider are local knowledge and infrastructure events that might affect the capital value of
a property (in other words think ‘location, location,
location’), security and quality of rental income over a given
period of time (think quality of tenant and security of lease) and the physical quality of the building.
The successful portfolio will balance these risks and opportunities in a way that delivers stable returns.
It will also observe the market closely and exploit any opportunities for growing capital values – for example
by buying properties that may require more intensive
management initially, but which may pay higher capital
dividends in the longer term.
Professional Management of the Fund’s assets by Cardales
Cardales is a nationally known practice of Chartered Surveyors in the UK involved in professional property
investment and is based in central London. They specialise in investment agency, property management, asset management, valuation and building surveying. They currently manage and advise clients on property portfolios running into the many hundred of millions of pounds in value. Cardales are responsible for giving professional property advice to The Glanmore Property Fund.
Background to Thesis
Thesis Asset Management plc is the one of the largest independent asset managers. It is wholly owned by the solicitors, Thomas Eggar. For over 25 years they have been providing prudent guidance and stewardship for individuals who have worked hard to build their assets. Their goal in life (in which they have undeniably been successful as attested by winning the HIFAL award) is to provide city standards of skill and advice but at an affordable and more personal level.
Thesis Asset Management International Ltd is a Guernsey regulated subsidiary of Thesis Asset Management plc and is responsible for the management of The Glanmore Property Fund.
How To Participate In The Glanmore Property Fund
The Glanmore Property fund can be accessed by Hansard International's Capital
Builder plan.
Capital
Builder is recognised as one of the leading offshore savings plans
that offers a very competitive charging structure allied to an extensive
range of funds from which to choose.
Please contact
us to discuss your interest in this fund and we will advise how best
to effect your investment.
Glanmore Property Fund Performance
Please click here
and download the latest fund performance bulletin which details not only
the Glanmore Property fund but also the complete range of Hansard funds.
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