Zurich, 28 November 2023
Ad hoc announcement pursuant to Art. 53 LR
Swiss Life REF (CH) ESG Swiss Properties: closing of the 2022/2023 financial year with higher net income and lower vacancy rate
The listed real estate fund Swiss Life REF (CH) ESG Swiss Properties integrated 15 newly acquired properties in the 2022/2023 financial year and reduced the already low vacancy rate to 1.6% (previous year 2021/2022: 2.3%). Combined with portfolio growth, both rental income (+10.5% year-on-year) and net income (+15.9% year-on-year) increased. The net asset value per unit fell by 1.6% to CHF 113.73.
The real estate fund has a real estate portfolio diversified across Switzerland with a total of 161 existing properties and a market value of CHF 2533 million (as at 30 September 2023). The properties held in the portfolio throughout the entire reporting period posted a slightly negative performance of 1.4% (net, after deduction of investments), which mirrored the general market trend resulting from the changed interest rate environment. This saw the net asset value per unit (prior to distribution) fall by 1.6% to CHF 113.73 (2021/2022: CHF 115.60).
Fund continues to grow, net income increases
Over the year under review, a high-quality portfolio of 15 properties was acquired from Swiss Life Ltd, which further increased diversification. In addition, five smaller properties were sold at the end of November 2022 resulting in a capital gain of CHF 3.8 million. The borrowing ratio as at 30 September 2023 was 26.05% (2021/2022: 20.37%).
The fund’s net income increased to CHF 44.0 million. Together with the profit from the sales, there was a realised gain of CHF 47.9 million. Investors will receive a distribution of CHF 42.1 million or CHF 2.60 per unit, which corresponds to a ratio of 95.6%. The yield on distribution based on the exchange price is thus 2.21% (as at 30 September 2023), or 2.29% based on the NAV.
Given the growth of the portfolio, there has been a staggered fee structure in place since 1 July 2023. As a result, the fund operating expenses rate (TERREF GAV) has already fallen to 0.74% in the current financial year (2021/2022: 0.78%).
Further information on the fund is available at the following link.
Information
Media Relations
Phone +41 43 284 77 77
media.relations@swisslife.ch
Investor Relations
Phone +41 43 284 52 76
investor.relations@swisslife.ch
www.swisslife-am.com
Swiss Life Asset Managers
Swiss Life Asset Managers has more than 165 years of experience in managing the assets of the Swiss Life Group. This insurance background has exerted a key influence on the investment philosophy of Swiss Life Asset Managers, which is governed by such principles as value preservation, the generation of consistent and sustainable performance and a responsible approach to risks. Swiss Life Asset Managers offers this proven approach to third-party clients in Switzerland, France, Germany, Luxembourg, the UK, Italy and the Nordic countries.
As at 30 June 2023 assets under management for third-party clients amount to CHF 112.2 billion. Together with insurance mandates for the Swiss Life Group, total assets under management at Swiss Life Asset Managers stood at CHF 259.7 billion. Swiss Life Asset Managers is a leading real estate manager in Europe1. Of the assets totalling CHF 259.7 billion, CHF 89.6 billion is invested in real estate. In addition, Swiss Life Asset Managers, in cooperation with Livit, manages real estate totalling CHF 21.1 billion in value. Total real estate assets under management and administration at the end of June 2023 thus came to CHF 110.7 billion.
Swiss Life Asset Managers employs more than 2200 people in Europe.
Self-determined Life
Swiss Life enables people to lead a self-determined life and look to the future with confidence. Swiss Life Asset Managers pursues the same goal: We think long-term and act responsibly. We use our knowledge and experience to develop future-oriented investment solutions. This is how we support our customers in achieving their long-term investment objectives, which in turn also take account of their client’s needs so they can plan their financial future in a self-determined manner.
1 INREV Fund Manager Survey 2023 (AuM as of 31.12.2022)
Disclaimer
This communication has been produced with the greatest of care and to the best of our knowledge and belief. However, we do not accept any liability for losses which might arise from making use of this information. This publication is not intended as a solicitation or recommendation to acquire or sell investment instruments, but only serves to provide information. Prior to subscribing or acquiring fund units on the stock exchange, investors should obtain and carefully read the detailed information on the fund contained in the regulatory documentation (prospectus with integrated fund contract, PRIIPs KID and the latest annual / semi-annual reports) that serve as the sole legal basis for the purchase of fund units. They may be ordered free of charge in electronic or printed form from the fund management company, Swiss Life Asset Management Ltd, General-Guisan-Quai 40, 8002 Zurich.
Historical performance is no indicator of current or future performance. The performance data do not include commissions and costs incurred when issuing and redeeming fund units. Both Swiss Life Ltd and the other members of the Swiss Life Group are entitled to positions in this fund and to their purchase and/or sale. Swiss Life Asset Managers funds may not be offered for sale or sold in the USA or on behalf of US citizens or US persons residing in the USA. “Swiss Life Asset Managers” is the brand name for the asset management activities of the Swiss Life Group. More information at www.swisslife-am.com. Source: Swiss Life Asset Managers (unless stated otherwise). All rights reserved. Contact: info@swisslife-am.com.
