At present, South Africa Pension funds have limited options to invest in sectors outside of the traditional sectors of retail, office and industrial in the listed real estate. The creation of the Metope Real Estate Impact Fund harnesses committed capital to invest in identified alternative real estate and real asset sectors, thus providing new sources of returns and maximum diversification for investors.
The Metope Real Estate Impact Fund will hold investments in both the Metope Social Infrastructure Fund and the Metope Sustainable Innovation Real Assets Fund, resulting in a diversified portfolio of real assets reflective of the broader alternative real estate categories of the MSCI and FTSE NAREIT Global Property Indices.
Metope will measure, monitor and report on the societal, environmental and economic impact of its investments as well as the performance of the Fund.
Fund Objective
The Fund’s objective is to provide annuity income and capital growth with an overlay of impact – social, economic and environmental – which meets the identified United Nations Sustainable Development Goals and aligns with the South African National Development Plan.
There will be a small element of corporate social investment (limited to 2% of the Fund), where such opportunities arise to further enhance the Fund’s societal impact.
Investment Strategy
The Fund will generate annuity income by investing in a diversified range of alternative sectors within real estate and real assets, particularly focused on improving quality basic services, driving innovation and spurring economic activity and sustainable growth, to deliver financial returns as well as real and measurable social, economic and environmental impact.