Qualifications for Inclusion in the Index

Overviews

The universe of AJPI and AJFI is composed of performance data of unlisted private funds and listed REITs in Japan. We set the following qualifications for inclusion in the AJPI and AJFI indices;

The Qualification for Properties

The universe of properties comprising the AJPI employs rental properties owned by unlisted and listed investment vehicles. Every property included in the Index must meet the following criteria;

  • (1) Only operating and existing properties owned mainly for the rental income
  • (2) Property Types: office, residential, retail, industrial properties, hotels, or healthcare properties
  • (3) Must be owned / controlled by mainly institutional investors or its designated management firms.
  • (4) Investment returns are reported on a non-leveraged basis.
  • (5) External valuation such as appraisal is regularly reported.

The Qualifications for Funds

The universe of funds comprising the AJFI employs, in the case of unlisted funds and listed REITs, a generally acknowledged investing style or strategy known in the business as "core" investing. Every fund included in the Index must meet the following criteria;

  • (1) Investing in properties which meet all the criteria for properties above
  • (2) Can be such investment structures as wholly-owned, joint-venture, and commingle fund, including listed REITs
  • (3) Pursuing a core or core-plus investment strategy
  • (4) Investment returns for the fund are regularly reported.