Bluerock Total Income+ Real Estate Fund Reports NAV Per Share Update
Posts 2%+ Uptick Since September 30th Quarter End
Positive Returns Year-to-Date 2020
Continued Full Quarterly Distributions at a 5.25% Annual Rate*
New York, NY (December 3, 2020) – The Bluerock Total Income+ Real Estate Fund, a public, closed-end interval fund utilizing a multi-manager, multi-strategy, and multi-sector approach (“TI+”, “Fund”, tickers: TIPRX, TIPPX, TIPWX, TIPLX), reported a net asset value (NAV) per share of $29.50 as of November 30, 2020; an increase of approximately 2.1% since September 30, 2020. Year-to-date, TI+ has generated net positive total returns to investors of 0.93% (A-shares, no load), as of November 30, 2020. Since inception in October 2012, TIPRX has generated an annualized net return of 7.12%, and a total cumulative return of nearly 75%.
The Fund’s NAV has increased from an introductory per share price of $25.00 to $29.50 per share as of November 30, 2020; an 18% increase. Further, TI+ has paid 31 consecutive quarterly distributions totaling approximately $11.40 per share, the last 28 at an annual rate of 5.25%*, and is anticipating the ability to pay its upcoming Q4 quarterly distribution at the same distribution rate.
“Despite the deepest quarterly GDP decline in U.S. history triggered by the onset of the COVID-19 global pandemic, the leading institutional private real estate index1 and Bluerock Total Income+ Real Estate Fund have both posted positive total returns year-to-date 2020 which we believe is a testament to the underlying fundamentals of the asset class”, reported Jeffrey Schwaber, CEO of Bluerock Capital Markets. “We believe TI+ Fund’s strategic allocations into higher performing real estate sectors and investing with best-in-class institutional investment managers has allowed the Fund to limit drawdowns and generate positive total returns for our shareholders”, added Schwaber.
As of September 30, 2020, nearly 80% of the Fund’s underlying portfolio2 is comprised of 1) strategic sector overweights to the industrial, apartment and specialty sectors, which have generally fared better than retail, hotel, and office sectors in 2020 and in the trailing 5 years; and 2) significant investments in private institutional real estate debt providing attractive yields and priority within the real estate capital stack making it more defensive.
1 National Council of Real Estate Investment Fiduciaries (NCREIF) Property Index, YTD 2020 return as of 9.30.20 was 0.45%.
2 For detailed Fund holdings, please visit bluerockfunds.com/investment-holdings.
TI+ A Share Fund Net Performance:
Returns presented are total net return: Expressed in percentage terms, the calculation of total return is determined by taking the change in price, reinvesting, if applicable, all income and capital gains distributions during the period, and dividing by the starting price. Returns greater than one year are annualized.
3 The maximum sales charge for the Class A shares is 5.75%. Investors may be eligible for a waiver or a reduction in the sales charge.
4 Inception date of the Fund is October 22, 2012.
The performance data quoted here represents past performance. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. For performance information current to the most recent month end, please call toll-free 1-888-459-1059. Past performance is no guarantee of future results.
The total annual fund operating expense ratio, gross of any fee waivers or expense reimbursements, is 2.21% for Class A, 2.96% for Class C, 1.96% for Class I, and 2.45% for Class L. The Fund’s investment advisor has contractually agreed to reduce its fees and/or absorb expenses of the fund, at least until January 31, 2021 for Class A, C, I and L shares, to ensure that the net annual fund operating expenses will not exceed 1.95% for Class A, 2.70% for Class C and 1.70% for Class I, and 2.20% for Class L, per annum of the Fund’s average daily net assets attributable to Class A, Class C, Class I, and Class L shares, respectively, subject to possible recoupment from the Fund in future years. Please review the Fund’s Prospectus for more detail on the expense waiver. A fund’s performance, especially for very short periods of time, should not be the sole factor in making your investment decisions. Fund performance and distributions are presented net of fees.
About Bluerock Total Income+ Real Estate Fund
The Bluerock Total Income+ Real Estate Fund offers individual investors access to a portfolio of institutional real estate securities managed by top-ranked fund managers. The Fund seeks to provide a comprehensive real estate holding designed to provide a combination of current income, capital preservation, long-term capital appreciation and enhanced portfolio diversification with low to moderate volatility and low correlation to the broader equity and fixed income markets. The Fund utilizes an exclusive partnership with Mercer Investment Management, Inc., the world’s leading advisor to endowments, pension funds, sovereign wealth funds and family offices globally, with over 3,300 clients worldwide, and over $15.0 trillion in assets under advisement.
The Bluerock Total Income+ Real Estate Fund is a closed-end interval fund that invests the majority of its assets in institutional private equity real estate securities that are generally available only to institutional investors capable of meeting the multi-million dollar minimum investment criteria. As of Q3 2020, the value of the underlying real estate held by the securities in which the Fund is invested is approximately $194 billion, including investments managed by Ares, Blackstone, Morgan Stanley, Principal, PGIM, Clarion Partners, Invesco and RREEF, among others. The minimum investment in the Fund is $2,500 ($1,000 for retirement plans) for Class A, C, and L shares.
Investors should carefully consider the investment objectives, risks, charges and expenses of the Bluerock Total Income+ Real Estate Fund. This and other important information about the Fund is contained in the prospectus, which can be obtained online at bluerockfunds.com. The Bluerock Total Income+ Real Estate Fund is distributed by ALPS, Inc. The prospectus should be read carefully before investing. Bluerock Fund Advisor, LLC is not affiliated with ALPS, Inc.
Investing in the Bluerock Total Income+ Real Estate Fund involves risks, including the loss of principal. The Fund intends to make investments in multiple real estate securities that may subject the Fund to additional fees and expenses, including management and performance fees, which could negatively affect returns and could expose the Fund to additional risk, including lack of control, as further described in the prospectus.
* The Fund’s distribution policy is to make quarterly distributions to shareholders. The level of quarterly distributions (including any return of capital) is not fixed and this distribution policy is subject to change. Shareholders should not assume that the source of a distribution from the Fund is net profit. All or a portion of the distributions consist of a return of capital based on the character of the distributions received from the underlying holdings, primarily Real Estate Investment Trusts. The final determination of the source and tax characteristics of all distributions will be made after the end of each year. Shareholders should note that return of capital will reduce the tax basis of their shares and potentially increase the taxable gain, if any, upon disposition of their shares. There is no assurance that the Fund will continue to declare distributions or that they will continue at these rates. There can be no assurance that any investment will be effective in achieving the Fund’s investment objectives, delivering positive returns or avoiding losses.
Limited liquidity is provided to shareholders only through the Fund’s quarterly repurchase offers for no less than 5% of the Fund’s shares outstanding at net asset value. There is no guarantee that shareholders will be able to sell all of the shares they desire in a quarterly repurchase offer. Quarterly repurchases by the Fund of its shares typically will be funded from available cash or sales of portfolio securities. The sale of securities to fund repurchases could reduce the market price of those securities, which in turn would reduce the Fund’s net asset value.
For copies of TI+ public company filings, please visit the U.S. Securities and Exchange Commission’s website at sec.gov or the Fund’s website at bluerockfunds.com.
Maximum Drawdown: The maximum decline a security experiences prior to reaching its previous peak.