NEW YORK--(BUSINESS WIRE)--Barclays has announced the launch of the Colony Capital Fundamental US Real Estate Index, designed with Colony Capital, Inc. (“Colony”), a global investment management firm.
The central premise of the Index is that avoidance of risk is the primary driver of long-term outperformance in commercial real estate.
The Index is designed to eliminate the riskiest REITs by focusing on characteristics that Colony views to be reliable markers of risk and screening out REITs that exhibit these characteristics. Under its methodology, the Index selects at least 25 constituents, with the index rebalancing each quarter. The Index excludes mortgage REITs.
“We are very excited to be partnering with Colony to deliver an innovative, fundamentals-focused Index to our clients,” said Todd Sandoz, Head of Equities, Americas. “The Index draws on Colony’s 27 years of experience in managing global real estate investments coupled with Barclays’ market leading strengths in the structuring, trading and distribution of indices.”
“There has been significant innovation in the smart beta space offering traditional equity factor exposure, but much less in the REITs segment,” said Fabien Labouret, Global Head of Equities Structuring. “This particular Index leverages Colony’s expertise and is designed to appeal to investors seeking high quality REIT exposure.”
“Colony applies time-tested, fundamental real estate investing principles, with a focus on risk mitigation, to derive a differentiated REIT index,” said Bill Hughes, Portfolio Manager and Head of Liquid Strategies, Colony Capital. “We are excited to be partnering with Barclays, and their world-class index platform, to bring this innovative new investment strategy to market.”
Barclays Bank PLC owns the Index and licensing rights related to the Index. Barclays Index Administration, a distinct function within the investment bank of Barclays Bank PLC, performs the role of index sponsor and administers the Index.
Barclays is a transatlantic consumer and wholesale bank offering products and services across personal, corporate and investment banking, credit cards and wealth management, with a strong presence in our two home markets of the UK and the US.
With over 325 years of history and expertise in banking, Barclays operates in over 40 countries and employs approximately 80,000 people. Barclays moves, lends, invests and protects money for customers and clients worldwide.
For further information about Barclays, please visit our website home.barclays
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Barclays offers premier investment banking products and services to its clients through Barclays Bank PLC. Barclays Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority and is a member of the London Stock Exchange. Barclays Bank PLC is registered in England No. 1026167 with its registered office at 1 Churchill Place, London E14 5HP. Barclays Capital Inc. is a US registered broker/dealer affiliate of Barclays Bank PLC and a member of SIPC, FINRA and NFA. Barclays Capital Inc. operates out of 745 Seventh Avenue, New York, NY 10019. Where required pursuant to applicable US laws, rules and/or regulations, Barclays Capital Inc. accepts responsibility for the distribution of this document in the United States to U.S. Persons. Where a communication is being directed at persons who are professionals, it is directed at institutional investors in the U.S. as defined by FINRA Rule 2210(a)(4).
Barclays is the licensor of the Colony Capital Fundamental US Real Estate Index (the “Index”). Colony Capital is a trademark of Colony Capital QIS, LLC or its affiliates. Any investment product that utilizes the Index is not sponsored, endorsed, sold, or promoted by Colony Capital QIS, LLC or any of its affiliates. Neither Colony Capital QIS, LLC nor any of its affiliates make any representation or warranty, express or implied, to the owners of any investment product that utilizes the Index or any member of the public regarding the advisability of investing in securities generally or in any particular investment product or the ability of the Index to track market performance. Colony Capital QIS, LLC’s and its affiliates’ only relationship to any investment product that utilizes the Index is through the sublicensing of certain rules incorporated in the Index and certain trademarks, service marks, and/or trade names owned by Colony Capital QIS, LLC or its affiliates. The Index is not determined, composed, or calculated by Colony Capital QIS, LLC or its affiliates. Colony Capital QIS, LLC and its affiliates have no obligation or liability in connection with the administration, marketing, or trading of any investment product that utilizes the Index. There is no assurance that investment products based on the Index shall accurately track index performance or provide positive investment returns. Colony Capital QIS, LLC and its affiliates are not investment advisors with respect to investors in any investment product that utilizes the Index. Inclusion of a security within an index is not a recommendation by Colony Capital QIS, LLC or its affiliates to buy, sell, or hold such security, nor is it considered to be investment advice.
NEITHER COLONY CAPITAL QIS, LLC NOR ITS AFFILIATES GUARANTEE THE ADEQUACY, ACCURACY, TIMELINESS, AND/OR COMPLETENESS OF THE INDEX, ANY DATA RELATED THERETO, OR ANY COMMUNICATIONS, INCLUDING BUT NOT LIMITED TO, ORAL, WRITTEN, OR ELECTRONIC COMMUNICATIONS WITH RESPECT THERETO AND SHALL NOT BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. COLONY CAPITAL QIS, LLC AND ITS AFFILIATES MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR USE, OR AS TO RESULTS TO BE OBTAINED BY ANY PARTICULAR INVESTMENT PRODUCT, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE INDEX OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL COLONY CAPITAL QIS, LLC OR ITS AFFILIATES BE LIABLE, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE, FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES OR FOR LOSS OF PROFITS, TRADING LOSSES, LOST TIME, OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.