Australian property investments

BT Investment Management’s Australian property investments team draws on the expertise of BT IM’s Australian equities, income and yield and economics teams as well as the considerable resources of parent company Westpac and strategic global property partner AEW.

  • BT IM’s property funds invest in listed property trusts, developers and infrastructure investments, both directly and indirectly; a small proportion of the funds may also invest in unlisted property investments
  • BT IM’s global property portfolio invests in property securities across North America, Europe and Asia, and is managed by alliance partner AEW.
  • BT IM offers Australian domiciled feeder funds providing Australian investors with access to value-added direct property funds through AEW.

BT IM’s property team believes that market inefficiencies provide opportunities for well researched and disciplined investors to identify securities mispriced to what they believe to be their fundamental value.

BT IM’s property investments research is based on a strong valuation framework to fit an increasingly complex property investment environment. The process utilises a range of proprietary valuation methodology, supplemented by third party research, a program of company visits, property inspections and macroeconomic analysis.

There are four key steps in the property securities investment process:

  • quality scores: stocks are scored against a number of qualitative factors (management, franchise and risk), to identify securities that offer the best risk adjusted value
  • financial models: portfolio managers and analysts develop a detailed understanding of key financials, focusing primarily on those sectors and securities where they can add value through insights
  • valuation: analysts assess the absolute value of selected securities and produce a price target and recommendation
  • stock ranking and portfolio construction: a number of proprietary tools are used to assess and test the stock recommendations

BT IM’s property securities investment process reflects the multifaceted nature of today’s property securities markets which are characterised by a wide range of investors and participants, complex investment vehicles and a high degree of internationalisation.