Qualitas Real Estate Income Fund (QRI)
QRI aims to provide investors with monthly cash income and capital preservation through a portfolio of Australian originated Commercial Real Estate (CRE) loans, secured by real property mortgages (first and second mortgages) that are diversified by borrower, loan type, property sector and location. The Trust will seek to achieve a Target Return equal to the prevailing RBA Cash Rate plus a margin of 5.0-6.5% per annum net of fees and expenses. Pleasingly, the income-focused CRE debt class has proven to be highly resilient during COVID-19, and during this period, QRI has consistently performed, achieving returns at the upper end of its Target Return (we calculate a trailing 12 distribution month return of 6.3% based on the IPO price, as at 30 June) while recording no impairments or interest arrears across the loan portfolio, resulting in a stable NAV position since the float (continued in report).
Bell Potter’s Indicative NTA tracks the ‘indicative’ movement of a LIC’s underlying NTA each month by monitoring the percentage movements of the disclosed holdings and using an index to track the movement of the remaining positions. The Indicative NTA works best with LICs that have a high percentage of investments concentrated in its Top 20, regular disclosure of its Top 20, lower turnover of investments, regular disclosure of its cash position and the absence of a performance fee. We have also included an adjusted indicative NTA and adjusted discount that removes the LIC distribution from the ex-dividend date until the receipt of the new NTA post the payment date. This report is published each Monday prior to the market open and is available on a daily basis. Intraday indicative NTAs will be available on request through your adviser.
For full details refer to the detailed report below or click here to download your copy.