New York, NY (March 30, 2016) – Bluerock’s Total Income+ Real Estate Fund (“Fund or TI+,” tickers: TIPRX, TIPPX, TIPWX) announced today that its assets under management have surpassed $300 million.
TI+ is a fund for individual investors that seeks current income, low-volatility, capital preservation and long-term capital appreciation. In the three+ years since its inception through February 29, 2016, TI+ has delivered a total annualized return of 8.93%, including 12 consecutive quarterly distributions at an annualized rate of 5.25%. Significantly, the Fund has achieved risk-adjusted returns of five to seven times higher than leading stock, REIT, and bond market indexes, underscoring the Fund’s low volatility.
TI+, which invests the majority of its assets in a portfolio of leading institutional private equity real estate securities (iPERE), provides individual investors with access to Class A real estate investments otherwise accessible only to institutions large enough to accommodate the securities’ multi-million dollar investment minimums. Current fund investments include Blackstone, Morgan Stanley, Principal, Clarion Partners, J.P. Morgan, and RREEF, among others.
Historically, iPERE has been shown to improve the risk/return profile of diversified portfolios, providing equity-like returns with the volatility profile of fixed income.
“TI+ is gaining significant momentum among broker-dealers, custodians and advisors who recognize that the Fund is delivering on its promise of high current income, total return, low volatility and, importantly, low correlation to the broader markets. Surpassing $300 million in AUM is a significant validation from our investor base,” said Ramin Kamfar, CEO of Bluerock, sponsor of TI+.
To date, the Fund has made investments into underlying securities that collectively include over $115 billion in real estate assets, comprising approximately 2,200 properties across the United States with a combined average occupancy of 93% and a low 25% weighted average leverage ratio.
The Fund closed the quarter as of December 31, 2015, with an inception-to-date, annualized total return of 9.33% (Class A shares, excluding sales load and an inception-to-date, annualized total return of 7.32% (Class A shares, with load). The Fund’s one-year, annualized total return as of December 31, 2015 was 8.28% (Class A shares, excluding sales load) and 2.07% (Class A shares, with load). The maximum sales charge for Class A shares is 5.75%.
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. Past performance is no guarantee of future results. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses of the fund, at least until February 1, 2017, to ensure that the net annual fund operating expenses will not exceed 1.91%, 2.66% and 1.66% per annum of the Fund’s average daily net assets attributable to Class A, Class C, and Class I shares, respectively, subject to possible recoupment from the Fund in future years. Without this waiver, expenses would be 2.46%, 3.25%, and 2.24% attributable to Class A, Class C, and Class I shares, respectively. Results shown reflect the deduction of all fees and expenses including the waiver, without which the results could have been lower. For performance data current to the most recent month end, please call toll-free 888-459-1059.
The 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 has an exclusive partnership with Mercer Investment Management, Inc., which is the world’s leading advisor to endowments, pension funds, sovereign wealth funds and family offices globally, Mercer has over 3,300 clients worldwide, and $9.1 trillion in assets under advisement.
The Total Income+ Real Estate Fund (the “Fund”) is a continuously offered, non-diversified, closed-end management investment company that is operated as an interval fund.
Investing in the 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. There can be no assurance that any investment will be effective in achieving the Fund’s investment objectives, delivering positive returns or avoiding losses. The portfolio holdings described herein are subject to change at any time and should be considered investment advice.
The Fund’s distribution policy is to make quarterly distributions to shareholders. The Fund’s inception date is 10/22/12; however, its first distribution was made 3/27/13. The level of quarterly distributions (including any return of capital) is not fixed. However, this distribution policy is subject to change. The Fund’s distribution amounts were calculated based on the ordinary income received from the underlying investments, including short-term capital gains realized from the disposition of such investments. Shareholders should not assume that the source of a distribution from the Fund is net profit. 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 the 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 Company will continue to declare distributions or that they will continue at these rates.
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.
Investors should carefully consider the investment objectives, risks, charges and expenses of the Total Income+ Real Estate Fund. This and other important information about the Fund is contained in the prospectus, which can be obtained by calling 888-459-1059. The Total Income+ Real Estate Fund is distributed by Northern Lights Distributors, LLC member FINRA/SIPC. The prospectus should be read carefully before investing. Bluerock Fund Advisor, LLC is not affiliated with Northern Lights Distributors, LLC. 3288-NLD-3/30/2016