AEW Global Focused Real Estate Fund Class C · NASDAQ:NRCFX
AEW Global Focused Real Estate Fund Class C — AEW — Investor Presentation (October 2006)
13 slides from AEW Global Focused Real Estate Fund Class C's investor presentation, Oct 2, 2006
Slide 1: 10/2/2006
10/2/2006
Slide 2: Global Universe Breakdown
Global Universe Breakdown z Global direct market estimated to be more than $15 trillion z Global listed market now has 320+ companies; total equity capitalization greater than $725 billion. Australia 10% UBS GLOBAL INDEX UK 10% $725 BILLION – 324 COMPANIES Japan 11% Hong Kong 8% Canada 4% France 2%
Slide 3: Investor vs. Developer Stocks: Risk and Return 1995-2005
Investor vs. Developer Stocks Risk and Return 1995-2005 18% 16% North American Investors NAREIT Australia Investors Europe Investors 14% RETURN 12% Asia Investors 10% RETURN 8% Japan Developers 6% Hong Kong Developers 4% 2% 0% 10% 15% 20% 25% 30% 35% 40% 45% 50% RISK Sources: AEW Research, UBS; As o
Slide 4: The Global Market
The Global Market • The global investable universe of commercial real estate is about $8 trillion. • The largest market, the US, comprises only about 39% of the total. • The Asian market is more than $1.5 trillion and is the fastest growing. Source: UBS Global Asset Management, Real Estate research
Slide 5: The Spread of REIT Structures
The Spread of REIT Structures And including the five countries mapped in 1994 on the left Source: UBS Global Asset Management, Real Estate Research 4 10/2/2006
Slide 6: Growth of the Global Market
Growth of the Global Market ($ BILLIONS USD) NORTH AMERICA EUROPE ASIA PACIFIC $800 $700 $600 $500 $400 $300 $200 $100 $0 ‘89 '89 ‘90 '90 ‘91 '91 ‘92 '92 ‘93 '93 ‘94 '94 ‘95 '95 ‘96 '96 ‘97 '97 ‘98 '98 ‘99 '99 ‘00 '00 ‘01 '01 ‘02 '02 ‘03 '03 ‘04 '04 ‘05 '05 ‘06 Source: EPRA/NAREIT; As of June 30, 20
Slide 7: Global Trading Volume
Global Trading Volume AVERAGE DAILY TRADING VOLUME ($ BILLIONS USD) $4.5 $4.0 $3.5 $3.0 $2.5 $2.0 $1.5 $1.0 $0.5 $0.0 1999 1999 2000 2000 2001 2001 2002 2002 2003 2003 2004 2004 2005 2005 2006 Source: GPR; As of June 30, 2006 6 10/2/2006
Slide 8: Competitive Total Returns
Competitive Total Returns 10 YEAR 1 YEAR 3 YEAR 5 YEAR 10 YEAR VOLATILITY GLOBAL REAL ESTATE SECURITIES 21.4% 28.8% 22.3% 15.8% 12.0% U.S. REITs 19.1% 26.1% 19.4% 15.1% 14.0% U.S. PRIVATE REAL ESTATE 18.7% 15.8% 12.0% 12.4% 4.1% U.S. STOCKS 8.6% 11.2% 2.5% 8.4% 15.6% LEHMAN GOVT./CORP. INDEX (1.5)%
Slide 9: North America
North America • 58% of Benchmark • $348 billion market cap (142 companies) • $2.5 billion average market cap • 4.0% average yield • Mature market with balanced significance MATTHEW A. TROXELL, CFA Lead Portfolio Manager – North of capital markets and real estate values America and Chair, Global Secu
Slide 10: Europe
Europe • 23% of Benchmark • $138 billion market cap (80 companies) • $1.7 billion average market cap • 2.5% average yield • Relatively smaller market on verge of ROBERT OOSTERKAMP Portfolio Manager — Europe and Member, unprecedented growth of REIT-like structure Global Securities Allocation Committe
Slide 11: Asia Pacific
Asia Pacific • 19% of Benchmark • $110 billion market cap (50 companies) • $2.2 billion average market cap • 4.8% average yield • Mature market with a yield-oriented ANTONY KNEP investor base (Aus.) Portfolio Manager – Asia Pacific, Member, Global Securities Allocation Committee • Evolving and growi
Slide 12: Asia Pacific
Asia Pacific • World fastest growing economies • Growth & recovery • Long term outlook for the real estate markets • Where are we in the cycle? • Investment strategy PETER WITTENDORP, CFA Managing Director – Head of Asia Pacific, Member, Global Securities Allocation Committee 11 10/2/2006
Slide 13: Q&A
Q&A If you have any additional questions or would like more information please feel free to contact Mike Acton macton@aew.com or 617-261-9577 12 10/2/2006