ISIS Property Trust has been consistently among the top three direct property investment trusts for performance over one, three and five years, while also offering one of the highest yields. Although it runs at a premium to net asset value (NAV) like the other successful trusts in its sector, the premium is substantially smaller than its peers' at just over 1 per cent.
The trust, which aims for an attractive income plus capital growth, had a low void rate of 1.3 per cent at the end of the third quarter of 2010, in contrast to the average UK level of around 10 per cent.
ISIS Property Trust is managed by F&C Asset Management, the same company that runs the highly successful F&C Commercial Property Trust.
Unlike some of the other leading direct UK commercial property funds, ISIS Property Trust's largest sector exposure is offices, rather than retail. Like a number of other funds, it is focused on London and the south-east of England.
In addition to its management fee, the trust charges a performance fee of 20 per cent of the amount by which the total return of its properties exceed its benchmark multiplied by its managers' total assets. ISIS Property Trust's total expense ratio is higher than the typical equity investing investment trust at 1.6 per cent, or 2.48 per cent according to Morningstar's figures.
It is also one of the smaller UK property investment trusts in the sector with a market cap of just over £79m. However this does not seem to be affecting its liquidity.
Full data for Isis Property Trust can be found here.
ISIS PROPERTY TRUST (IPT) | |||
|---|---|---|---|
| PRICE | 103.75p | 1-YEAR NAV PERFORMANCE | 15.24% |
| MARKET CAP | £79.05m | 3-YEAR NAV PERFORMANCE | -7.06% |
| SET-UP DATE | 28-Oct-03 | 5-YEAR NAV PERFORMANCE | 7.20% |
| MANAGER START DATE | 24/01/2007* | TOTAL EXPENSE RATIO | 1.6**% |
| FEES | Annual 0.6%, performance 20%** | YIELD | 7.66% |
| NAV | 101.2p | GEARING | 150% |
| PRICE PREMIUM TO NAV | 1.36% | MORE DETAILS | www.isispropertytrust.com |
Source: Investors Chronicle, *Morningstar, **F&C Investments.
Performance data as at 25 January 2011.
Top ten holdings as at 30 September 2010
| Holding | Percentage |
|---|---|
| 14 Berkeley St, London | 12.1 |
| County House, County Square, Chelmsford | 8.2 |
| Enterprise Way, Luton | 6.8 |
| 18/19 Regent St, Swindon | 5.7 |
| Keens House, Anton Mill Rd, Andover | 5.6 |
| 7 Beverley Way, New Malden | 5.6 |
| King William House, Market Place, Hull | 5.1 |
| 1/2 Network, Eastern Rd, Bracknell | 5 |
| Unit D300, Brooklands Industrial Estate, Weybridge | 4.9 |
| Foundry Lane, Horsham | 4.5 |
Sector breakdown
| Sector | Percentage |
|---|---|
| Offices | 37.2 |
| Industrial | 24.9 |
| Retail | 22.3 |
| Retail Warehouses | 15.6 |
