Global real estate index

The EPRA/NAREIT Global Index is a composite of the existing NAREIT Real-Time Index and EPRA European index, as well as a new index for Asia.

Stocks will be weighted according to free float, and the inclusion criteria are designed to reflect the preferences of institutional investors. The Index will contain approximately 250 publicly traded real estate companies in 21 countries throughout North America, Europe and Asia, and therefore is an objective and representative benchmark for the global real estate industry.

“Since 1972, the NAREIT family of REIT indexes has set the industry standard for benchmarking real estate investment company performance,” according to NAREIT President & CEO Steven A. Wechsler (right). “Now, thanks to our partnership with EPRA, investors will be able to monitor the industry’s growth and performance around the world.”

Nick van Ommen, CEO of EPRA, said, “The EPRA/NAREIT Global Real Estate Index is the natural expansion of the highly successful EPRA Europe Index. It is a major step forward in the development of the global real estate equity sector, providing institutional investors with the information and analytical tools they need. Not only do we provide a comprehensive range of sub-indices, but we give individual investors a customized service as well.”

“For almost three decades, NAREIT’s indexes have been the benchmarks real estate investors turn to most often,” said Chuck DiRocco, NAREIT’s Senior Director of Industry Analysis. “Two years ago, we introduced the Real-Time Index. Then came the Public Equity 100, which includes the nation’s 100 largest REITs and Real Estate Operating Companies. Very soon, the Global Real Estate Index will see NAREIT’s legacy of providing reliable, all inclusive investment performance benchmarks for real estate investment companies go global.”

A committee appointed by NAREIT and EPRA will oversee monitoring of the Index by EPRA in Europe, NAREIT in North America and an independent committee in Asia.

The calculation of the Index will be carried out by Euronext Indices B.V. and distributed through established data vendors including Bloomberg, Datastream and Reuters, as well as the web sites of EPRA, NAREIT and Euronext. The index will be calculated on a daily basis, with a fixing at 18:00 hours (Central European Time). It is the intention of the partners to make the calculation on a real-time basis in the near future.

Behind the main index are a series of sub-indices, comprising individual country indices. All will be expressed in Euros, U.S. dollars, British sterling and the local currency, as well as in terms of both price and total return.

The National Association of Real Estate Investment Trusts ® (NAREIT) is the national trade association for REITs and publicly traded real estate companies. Members are real estate investment trusts (REITs) and other businesses that own, operate and finance income-producing real estate, as well as those firms and individuals who advise, study and service those businesses.

The European Public Real Estate Association (EPRA) is a non-profit association primarily focused on promoting the European quoted real estate sector. Based in Amsterdam, Netherlands, its members are real estate companies, investment banks, pension funds, lawyers, accountants and business schools.