Public Real Estate Securities
Harrison Street Securities, LLC. (“HSS”) is dedicated solely to the management of publicly traded real estate-related securities on behalf of institutional clients and high net worth individuals. The team is commited to delivering superior risk-adjusted returns, providing top-tier client service, reporting and communication and offers a choice of strategies designed to meet client objectives. The seven member team averages over 15 years of experience in managing real estate securities portfolios.
HSS utilizes a bottom-up approach to uncover value. The team's belief is that stock selection drives investment return by uncovering price inefficiencies. Fundamental, proprietary research leads to non-consensus valuations and helps to allocate capital according to the best return/risk profile. Top-down portfolio construction controls risk. Risk controls are designed to ensure that HSS allocates capital according to the preferred return/risk profile within the chosen strategy. Control variables include position size limits, property sector, geographic, industry and interest rate exposures.
HSS's flagship Active Low Risk Alpha (ALRA) strategy is intended for investors seeking core real estate exposure. The ALRA strategy is a long-only portfolio with approximately 25-35 names benchmarked to the FTSE NAREIT All Equity REITs Index (Ticker: FNERTR). The ALRA strategy makes no tactical use of cash and provides exposure to all major property sectors within the benchmark. The ALRA strategy is intended to outperform the benchmark by an average of 150 to 250 basis points annually. HSS subadvises the Aston Harrison Street Real Estate Fund (Ticker: ARFCX) which is managed using the ALRA strategy. In addition, HSS is a sub-advisor for Henderson Global Investors, an independent asset manager with over $90 billion under management. HSS manages the North American portfolio of Henderson's Horizon Global Property Equities Fund. HSS also offers a concentrated real estate securities investment strategy (AEA) that is designed to enhance return while carrying slightly higher risk characteristics than the ALRA strategy. The AEA strategy usually consists of somewhere between 10-20 names and is intended to outperform the FTSE NAREIT All Equity REITs Index (Ticker: FNERTR) by an average of 250-350 basis points annually. Past performance is not indicative of future performance.
HSS has an experienced investment team that is led by portfolio managers Reagan Pratt and Jim Kammert, both veterans of public and private real estate markets. Mr. Pratt brings 21 years of experience in real estate money management. Prior to founding HSS, Mr. Pratt was a portfolio manager with Heitman Real Estate Securities. Mr. Kammert brings 20 years of real estate experience including commercial lending, investment banking and money management. Most recently Mr. Kammert was Director of Investment Research at European Investors Inc. (EII). Prior to joining EII, Mr. Kammert was co-head of REIT Research at Goldman Sachs and Company. The portfolio managers rely on a team of talented investment professionals to execute the investment strategies and provide client reporting, communication and service.