VanEck Australia has licensed the FTSE EPRA Nareit Developed ex Australia Rental in AUD Hedged Net Tax Index for its latest Exchange Traded Fund (ETF), the VanEck Vectors FTSE International Property (Hedged) ETF.
The ETF has listed on the Australian Securities Exchange.
The FTSE EPRA Nareit Developed ex Australia Rental in AUD Hedged Net Tax Index, is part of the market- leading, FTSE EPRA Nareit Global Real Estate Index Series. The index represents the performance of eligible listed real estate stocks where the company’s rental revenue from investment properties is greater than or equal to 70 per cent of total revenue.
Listed property has long been a compelling asset class for Australian investors, particularly as it provides regular income streams, diversification and long-term capital appreciation.
Evan Ong, Managing Director ETP Relationships, Asia, FTSE Russell, says: “We are delighted that VanEck Australia has selected one of FTSE Russell’s real estate indexes for its newly- listed exchange traded fund. Investor appetite for access to international property stocks continues to grow, creating a demand for indexes that reflect the commercial real estate market with the added liquidity, transparency and regulation associated with investing in publicly traded stocks. FTSE Russell continues to create indexes that are designed specifically for the Australian market.”
Arian Neiron, Managing Director and Head of Asia Pacific, VanEck, says: “We are delighted to collaborate with FTSE Russell for an Australian first. The VanEck Vectors FTSE International Property (Hedged) ETF provides investors with low-cost access to the returns of international property securities hedged into Australian dollars. This new ETF offers investors diversified exposure to listed global securities which derive the majority of their income from property rental income.”
Launched in 2009, the FTSE EPRA Nareit Global Real Estate Index Series is designed to represent the performance of eligible listed real estate stocks worldwide, including REITs and other companies involved in the ownership and development of income-producing real estate. It is the global market leader, tracked by over USD340 billion of benchmarked assets. These indexes are calculated and overseen in partnership with the leading European and North American real estate associations, EPRA and Nareit.
