Bailard Real Estate Fund Announces Acceptance into NCREIF’s NFI-ODCE Index

SAN FRANCISCO – (BUSINESS WIRE) – Bailard, Inc. announced today that the Bailard Real Estate Fund (the “Fund”) has been added to the National Council of Real Estate Investment Fiduciaries (NCREIF) open-end Diversified Core Equity Index (NFI-ODCE) on March 31, 2021. Bailard’s Fund joins NFI-ODCE as 27th active fund.

The fund’s chief accounting officer, Dipika Shull, CPA noted that in 2015, Bailard began comparing its fund to NFI-ODCE. “It’s only fair to be part of the body we compare ourselves to. By joining the index, we consolidated our fund’s position as a key real estate investment option for a range of institutional and discerning investors. ”

The Bailard Real Estate Fund was launched in 1990 and served as an innovative and early offering for institutional private equity real estate. As of March 31, 2021, the fund had a gross market value of more than $ 1.1 billion. The investment strategy of the Bailard Real Estate Fund focuses on acquisition opportunities to increase value while maintaining a diversified approach to building core portfolios with the aim of generating attractive risk-adjusted returns in different market environments. The fund aims to outperform the NFI-ODCE (EW) index – a goal it has achieved in 25 of 26 quarters since Bailard began benchmarking against the index. *

Preston Sargent, President and CEO of the Fund, noted that expanding, deepening and diversifying the fund’s investor base was an important initiative for the real estate team. Sargent said, “Joining NFI-ODCE is an important recognition of Bailard’s intention to compete on a bigger stage.” He also added, “It is a privilege to go from marquee to head with sponsors of private equity real estate funds and it will be an added motivator to sharpen our skills, focus and stay on our game. ”

About the Bailard Real Estate Fund

The Fund is an actively managed, open, diversified core real estate vehicle with a strategy to maintain and expand a portfolio of high quality assets that are diversified across property types, major metropolitan areas and investment life cycles. As of March 31, 2021, the fund had gross asset value of $ 1.1 billion and invested in 31 properties in 18 US markets. An investor in the Bailard Real Estate Fund must be an “Accredited Investor” for the purposes of Regulation D and must provide documentation confirming the status requested by the Fund.

About the NFI-ODCE

The NFI-ODCE is a capitalization-weighted, gross fee-based, time-weighted return index with a launch date on December 31, 1977. As of March 31, 2021, the NFI-ODCE consisted of 27 funds with a net worth of USD 212 billion in real estate. Open-ended funds are generally defined as infinite vehicles made up of multiple investors who are capable of entering or exiting the Fund on a regular basis, subject to contribution and / or redemption requests, thereby providing a degree of potential investment liquidity becomes. The term diversified core equity style typically reflects lower risk investment strategies that employ low leverage and is generally represented by holding equity positions in stable U.S. corporate real estate that is diversified across regions and property types. Further information on the index can be found at https://www.ncreif.org/data-products/funds/.

* Important specifications

Bailard, Inc. (“Bailard”) is the investment and operations manager of Bailard Real Estate Investment Trust, Inc. (the “Bailard Real Estate Fund” or the “Fund”). The Bailard Real Estate Fund began benchmarking the NFI-ODCE on March 31, 2015. For the period ended March 31, 2021, the fund outperformed the index for 25 out of 26 quarters on both a gross and a net basis. The full performance history of the fund is available on request.

The underlying performance results of the fund are calculated using the NCREIF (National Council of Real Estate Investment Fiduciaries) method and reflect the effects of leverage, interest and dividend income from short-term investments and publicly traded real estate investments. Investments, tenant improvements and rental commissions are capitalized and included in the cost of the property. are not written off; and are reconciled through the valuation process and reflected in the appreciation return component. The performance results do not reflect fund-level expenses such as B. Audit, tax, legal, business administration and accounting costs. The Fund’s return on income does not reflect the income distributed to the investor and the return on income is shown before fees and before Fund expenses. The NCREIF gross return method is as follows: The total gross return equals the net investment income plus appreciation divided by the weighted average equity. For income and appreciation, the NCREIF method of net income return is equal to net investment income divided by weighted average equity, and net appreciation is equal to increase in value divided by weighted average equity. The performance results are calculated based on the asset-weighted average using values ​​for the beginning of the period adjusted for time-weighted external cash flows. All properties have been valued quarterly since the third quarter of 2009. The fund’s board of directors determines the value of real estate on the basis of input from independent appraisers and all levels of fund management. Securities, derivatives as well as cash and cash equivalents held by the real estate and the fund are valued at market value on each valuation day. The fund’s launch date is April 20, 1990. The NCREIF Fund Index – Open End Diversified Core Equity (NFI-ODCE) is a fund-level time-weighted return index that tracks the returns of various open-ended mixed funds that pursue a private core real estate investment strategy and qualification for inclusion in the NFI-ODCE based on certain predefined characteristics of the index policy. Historical data are available from 1978 onwards. Like the Fund, NFI-ODCE returns reflect the leverage and impact of cash holdings and joint ventures (i.e., returns reflect the actual ownership and funding strategy of each contributing fund). The use of leverage varies between the funds included in the NFI-ODCE. The NFI-ODCE is not managed and cannot be invested. Past performance is not an indication of future results. All systems are at risk of loss.

Bailard receives annual fees from the Fund based on net asset value. The fund mainly invests in real estate. As a result, an investment in the Fund carries significant risks typically associated with developing and owning income generating real estate, including illiquidity, changes in supply and demand, and inaccurate valuations. Shares in the Fund will fluctuate in value and may be illiquid due to a lack of redemption, secondary markets and transfer restrictions. Fees and expenses can offset the return on investment. The fund can be leveraged. Forecasts are based on assumptions that Bailard deems appropriate under the given circumstances. You are subject to uncertainties, changes (e.g., changes in public health, economic, operational, political, legal, tax and other circumstances) and other risks, including but not limited to future operating results, including rents, occupancy and other real estate cash flows as well as other expenses. Investors can lose all or part of their investment. For more information on the fees and risks of investing in the Fund, please refer to its offering memorandum.

About Bailard, Inc.

With 50 years of experience, Bailard prides itself on being a trusted partner focused on delivering long-term results that are aligned with clients’ goals. Bailard has been an independent company since it was founded in 1969, committed to its values ​​and, above all, to its customers. With an AUM of $ 5 billion as of March 31, 2021, Bailard’s high-quality customer service and proven track record are based on the company’s core values: Accountability, Compassion, Courage, Excellence, Fairness and Independence.