Aims Property Securities Fund · ASX:APW
Aims Property Securities Fund — Investor Presentation (December 2016)
37 slides from Aims Property Securities Fund's investor presentation, Dec 20, 2016
Slide 1: AIMS Property Securities Fund Investor Presentation
For personal use only AIMS PROPERTY SECURITIES FUND Investor Presentation APW.ASX AIMS FUND MANAGEMENT LIMITED | DECEMBER 2016
Slide 2: Important Information
IMPORTANT INFORMATION This presentation has been prepared and issued by AIMS Fund Management Limited (ABN 79 004 956 558) (AFSL 258052) as responsible For personal use only entity for the AIMS Property Securities Fund (ARSN 111 442 150). The information contained in this presentation should not be t
Slide 3: Table of Contents
TABLE OF CONTENTS For personal use only I. Introduction II. Performance Highlights III. Portfolio Update IV. Prudential Investment Management V. Management Update VI. Outlook AIMS PROPERTY SECURITIES FUND | 3
Slide 4: I. Introduction
For personal use only I. Introduction
Slide 5: AIMS Financial Group Overview
AIMS FINANCIAL GROUP OVERVIEW For personal use only Established in 1991, AIMS Financial Group (AIMS) is a diversified financial services and investment group, active in the areas of mortgage lending, securitisation, investment banking, funds management, property investment and high-tech ventures. AI
Slide 6: AIMS Funds Management Overview
AIMS FUNDS MANAGEMENT OVERVIEW For personal use only AIMS Funds Management is a member of the AIMS Financial Group (AIMS), which specialises in the investment management of direct property, real estate securities and mortgage assets. AIMS manages funds of circa A$2.0 billion on behalf of over 20,000
Slide 7: MacarthurCook Turn Around Story
MACARTHURCOOK TURN AROUND STORY At the time of acquisition, MacarthurCook's fund management business was severely distressed with each of the 4 listed For personal use only funds and a number of unlisted funds starved of capital and management expertise. Under AIMS' leadership, MacarthurCook's funds
Slide 8: Lesson from GFC for AIMS Property Securities Fund
LESSON FROM GFC FOR AIMS PROPERTY SECURITIES FUND In August 2009 when AIMS took over MacarthurCook, APW was exposed to too many poorly managed For personal use only unlisted trusts and small listed property trusts with little liquidity. This was disastrous: • APW only held a minority interest in eac
Slide 9: II. Performance Highlights
For personal use only II. Performance Highlights
Slide 10: Performance Highlights
PERFORMANCE HIGHLIGHTS The Fund, observing prudent, conservative and patient investment principles, has For personal use only endeavoured to maximise returns to investors. Key performance achievements include: ► Growth in Net Asset Value (NAV) and Net Tangible Asset (NTA) per Security Since 2013, NA
Slide 11: Performance – Net Asset Value Increased by 56%
PERFORMANCE – NET ASSET VALUE INCREASED BY 56% ► Net Asset Value has grown strongly from $59m to $92m, representing an annual For personal use only growth of 16% (total increase of 56%). The fund has been debt free since 2013. $100.0m $92.2m $88.2m Net Asset Value ($million) $76.7m $75.0m $59.0m $50
Slide 12: Performance – NTA per Security Increased by 75%
PERFORMANCE – NET TANGIBLE ASSET (NTA) PER SECURITY INCREASED BY 75% For personal use only $2.25 $2.02 $2.05 Net Tangible Asset (NTA) per Security ($) $2.00 $1.95 $1.85 $1.75 $1.68 Net Tangible $1.50 Asset per $1.30 Security $1.25 $1.17 (NTA) increased by $1.00 $0.75 75% since 2013 $0.50 $0.25 $- Ju
Slide 13: Share Price Discount to NTA Reduced from 72% to 23%
PERFORMANCE – SHARE PRICE DISCOUNT TO NTA REDUCED FROM 72% TO 23% ► Reduced share price discount to Net Tangible Asset (NTA) from 72% For personal use only in June 2009 to 23% in December 2016 (5 Day VWAP - 1/12/16). Jun-09 Jun-10 Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Jun-16 0% Share Price Discount to
Slide 14: Performance – Share Price Increased by 134%
PERFORMANCE – SHARE PRICE INCREASED BY 134% $1.80 For personal use only $1.60 $1.40 Share Price ($) $1.20 Share Price increased $1.00 $0.80 by134% since 2013 $0.60 $0.40 $0.20 $- Jun-13 Oct-13 Feb-14 Jun-14 Oct-14 Feb-15 Jun-15 Oct-15 Feb-16 Jun-16 Oct-16 * Historical share prices have been adjusted
Slide 15: Performance – Outperformance to the Benchmark
PERFORMANCE – OUTPERFORMANCE TO THE BENCHMARK ► Total return has outperformed the S&P/ASX 200 A-REIT total return index For personal use only as of November 2016. 40% Total Return vs S&P/ASX 200 A-REIT (TR) Index 37% 35% as at 30 November 2016 (%) 30% 30% 28% 25% 22% 20% 19% 16% 15% 15% 13% 12% 10%
Slide 16: Dividend Yield Increased from Nil to 5.14%
PERFORMANCE – DIVIDEND YIELD INCREASED FROM NIL TO 5.14% ► Annualised distribution yield increased from nil in 2013 to 5.14% in For personal use only September 2016 at a target payout ratio of 80%. 6.00% Annualised Distribution Yield (%) 5.14% 5.00% 4.50% 3.95% 4.00% 3.00% 2.34% 2.00% 1.00% 0.00% 0.
Slide 17: III. Portfolio Update
For personal use only III. Portfolio Update
Slide 18: Portfolio Update
PORTFOLIO UPDATE as at 31 October 2016 Portfolio summary 30 June 2016 30 June 2013 For personal use only Total assets $93.1m $59.5m Number of securities 9 19 Listed securities 5 5 Listed securities (% by value) 29% 24% Number of fund managers 5 13 Investment position 30 June 2016 30 June 2013 AIMS P
Slide 19: Portfolio Update – Investment Updates
PORTFOLIO UPDATE as at 31 October 2016 Investment Updates For personal use only ► Pelathon Pub Group (PPG) The Fund’s investment in Blackwall Property Trust made an in-specie distribution to unitholders as a return of capital of 16 cents per unit, from which the Fund received 14,512,161 PPG stapled
Slide 20: Portfolio Update
PORTFOLIO UPDATE as at 31 October 2016 For personal use only VIC & QLD OFFICE UNLISTED 81% 56% 61% AIMS PROPERTY SECURITIES FUND | 20
Slide 21: IV. Prudential Investment Management
For personal use only IV. Prudential Investment Management
Slide 22: Prudential Investment Management
PRUDENTIAL INVESTMENT MANAGEMENT Learning from our experience in the GFC, AIMS has carefully followed its prudent, conservative and For personal use only patient investment approach, focusing not only on income but also capital growth potential. I. APW’S POWER AS INVESTOR APW must where possible, ho
Slide 23: AIMS Property Fund (St Kilda Road)
AIMS PROPERTY FUND (ST KILDA ROAD) Investment Highlights For personal use only ► Capital Growth Potential a. Prime location with distance to Melbourne CBD of approx. 4km; b. Surrounding parkland and water provides premium views and environment; c. St Kilda Road precinct is recognised as a favoured a
Slide 24: AIMS Property Fund (St Kilda Road)
AIMS PROPERTY FUND (ST KILDA ROAD) For personal use only Property 492 St Kilda Road, Melbourne Current Use B Grade Office Site Area 2,243.3m2 $35.5m (30 June 2016) Valuation *Increased from $24.5m in 2013 with growth rate of 13% p.a. Occupancy 80% WALE 1.8 years - Prime location 4km to CBD - Capital
Slide 25: AIMS Property Fund (Felix St)
AIMS PROPERTY FUND (FELIX ST) Investment Highlights For personal use only ► Capital Growth Potential a. Prime Brisbane CBD location at fringe of Golden Triangle, directly behind Waterfront Place; b. The parkland of Brisbane City Botanic Garden and the Brisbane River (25 metres to waterfront) provide
Slide 26: AIMS Property Fund (Felix St)
AIMS PROPERTY FUND (FELIX ST) For personal use only Property 10 Felix St, Brisbane (CBD) Current Use B Grade Office Site Area 1,009m2 Purchase Price $26,000,000 (February 2015) Occupancy 90% (from 76% a year earlier) WALE 1.6 years Yield 6.9% - Prime CBD location Investment - Capital value growth po
Slide 27: AIMS Property Fund (Laverton)
AIMS PROPERTY FUND (LAVERTON) For personal use only Investment Highlights ► Stable and secured long term cash flows a. 10 years triple-net-lease; b. Quality tenant Patrick Autocare, an subsidiary of Asciano; c. Rental growth at 4% p.a.; and d. 10 years average yield of approximately 8.2%. ► Prime in
Slide 28: AIMS Property Fund (Laverton)
AIMS PROPERTY FUND (LAVERTON) For personal use only 78-118 Cherry Lane & 3 James Property Street, Laverton North VIC Current Use Industrial Site Area 238,070m2 Purchase $35,500,000 (June 2016) Price Occupancy 100% WALE 8.5 years Yield 8.2% (10 Years Average) - Stable and secured long-term cash flows
Slide 29: V. Management Update
For personal use only V. Management Update
Slide 30: Board Members – George Wang
BOARD MEMBERS For personal use only George Wang , BE Executive Chairman George is the founding CEO of AIMS Financial Group and an active participant in both the Australian and Chinese financial services industries. George came to Australia from China about 30 years ago and founded AIMS Financial Gro
Slide 31: Board Members – Richard Nott AM
BOARD MEMBERS For personal use only Richard Nott AM BSc (Hons), MCom, MBA, MIRM Non-Executive Independent Director Richard Nott is a former General Manager and Chief Executive of CGU Lenders Mortgage Insurance Ltd, General Manager Corporate Banking at Standard Chartered Bank Australia Ltd, General M
Slide 32: Board Members – John Love
BOARD MEMBERS For personal use only John Love BCom, MBA, MIRM, CPA Non-executive Independent Director John is currently the Chairman of Mortgage Guarantee Insurance Corporation Australia, and a Non-Executive Director, the Chairman and a Member of Audit, Governance & Risk Management Committee for The
Slide 33: Senior Management – Peter Gan
SENIOR MANAGEMENT For personal use only Peter Gan, MBA, BE(Civil/Hon), GradDip(Econ) Company Secretary and Executive General Manager – Strategy & Investment Peter has held CEO or COO roles over the last 15 years in publicly listed, companies, private equity and institutional fund companies, with in-
Slide 34: Senior Management – Claud Chaaya
SENIOR MANAGEMENT For personal use only Claud Chaaya, LLB, BComm Director of Property Funds Management Claud has over 10 years experience in the real estate sector, having worked in funds management, equity raisings, research, project management and transactions in both domestic and offshore capital
Slide 35: VI. Outlook
For personal use only VI. Outlook
Slide 36: Fund Outlook
FUND OUTLOOK For personal use only ► Value-add strategy is intended to drive the capital growth and total return of the portfolio and deliver high risk-adjusted return; ► Strong cash position allows the fund to capitalise on investment opportunities that arise out of changing market conditions; ► Th
Slide 37: AIMS Fund Management Limited – Presents This Report
For personal use only AIMS Fund Management Limited – Presents This Report Peter Gan Company Secretary & Executive Director – Property Funds Management Telephone: +61 2 9217 2727 Email: trust@aims.com.au Claud Chaaya Director – Property Funds Management Telephone: +61 2 9226 0228 Email: claud.chaaya@
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