A NEW WAY TO INVEST?

PETE MORRISSEY from APN Property Group lifts the lid on commercial property

WHAT’S IT ALL ABOUT?

The idea of investing in commercial property may seem well out of reach, but Pete Morrissey says it needn’t be. Australian Real Estate Investment Trusts (AREITS) offer just one of a few sensible ways to access this important asset class – and you’re only going to need a small upfront investment. “APN’S AREIT Fund invests in 30 carefully selected AREITS, which provide investors with exposure to more than 3000 commercial assets – large shopping centres, office towers, industrial warehouses,” he says. “Our primary focus as a fund manager is to ensure that we deliver an attractive level of income while managing the downside risks,” says Pete, adding that you can start with as little as $1000 to invest in APN’S fund.

MAKING MONEY

How often will you get a return? Will it vary? And how much exactly will you be making? “The income coming through our funds is very predictable,” says Pete, and it’s paid monthly. “Commercial property is all about sustainable income.” The amount you’ll receive is entirely dependent on the amount you invest, when you invest and which investment you choose. “For example, the current running yield (calculated daily) on APN’S AREIT Fund is 6.13 per cent as at February 5, 2019, so if you invested say $10,000 on this date, you could expect an income return of around $51 a month,” says Pete. While the income is predictable and consistent, the invested capital value can vary based on AREIT price movements. So before investing your hard-earned dollars, make sure you’re aware of all the risks associated with the investment.