Examples of the use of
AJPI & AJFI
Example 2The use for the comparison with other assets
By utilizing the ARES’s Real Estate Investment Indices, ”AJPI and AJFI”
|
2011 |
| 2010Y |
Q1 |
Q2 |
Q3 |
Q4 |
2011Y |
| Main indices |
|
| Domestic stocks |
TOPIX Total Return |
0.96% |
-2.18% |
-2.22% |
-9.44% |
-4.17% |
-17.00% |
| Domestic bonds |
NOMURA-BPI |
2.20% |
-0.78% |
1.04% |
1.03% |
0.37% |
1.65% |
| Foreign stocks |
MSCI KOKUSAI |
11.87% |
4.41% |
-0.23% |
-15.12% |
9.27% |
-3.39% |
| Foreign bonds |
CITIGROUP WGBI |
3.36% |
-0.65% |
1.67% |
3.99% |
0.68% |
5.74% |
| Exchange rate |
JPY/USD |
-11.97% |
1.91% |
-2.93% |
-4.48% |
0.68% |
-4.87% |
| Real Estate |
|
| J-REIT |
Tokyo Stock Exchange REIT Index Total Return |
34.12% |
-5.45% |
-1.45% |
-8.43% |
-8.79% |
-22.18% |
| Real Property |
AJPI※ |
-4.37% |
0.73% |
0.99% |
0.99% |
0.97% |
3.74% |
| Unlisted real estate fund |
AJFI※ |
-1.91% |
0.80% |
1.32% |
1.57% |
1.62% |
5.42% |
|
2012 |
| 2010Y |
Q1 |
Q2 |
Q3 |
Q4 |
2012YTD |
| Main indices |
|
| Domestic stocks |
TOPIX Total Return |
0.96% |
18.55% |
-9.74% |
|
|
7.01% |
| Domestic bonds |
NOMURA-BPI |
2.20% |
0.32% |
0.96% |
|
|
1.28% |
| Foreign stocks |
MSCI KOKUSAI |
11.87% |
10.60% |
-3.43% |
|
|
6.81% |
| Foreign bonds |
CITIGROUP WGBI |
3.36% |
0.57% |
1.59% |
|
|
2.17% |
| Exchange rate |
JPY/USD |
-11.97% |
6.10% |
-3.16% |
|
|
2.75% |
| Real Estate |
|
| J-REIT |
Tokyo Stock Exchange REIT Index Total Return |
34.12% |
20.31% |
-1.91% |
|
|
18.01% |
| Real Property |
AJPI※ |
-4.37% |
0.97% |
0.98% |
|
|
1.96% |
| Unlisted real estate fund |
AJFI※ |
-1.91% |
1.70% |
1.78% |
|
|
3.51% |
- Bloomberg
- ARES Japan Property Index (AJPI)： Real Property Index / ARES Japan Fund Index （AJFI）：Unlisted Real estate fund index / The data on 2012Q1 and Q2 are preliminary figures
- We can easily compare the return of Real Estate with that of other assets.
- We can get objective data necessary for the quantitative analysis of the average return levels, return volatilities and return correlations among assets, etc.
Characteristic of risk and return on each asset
- We can easily understand the risk -return characteristic of assets and compare it with other assets
- However, the periods for analysis etc. should be properly set in line with utilization purposes
- It is widely known that Real Estate Investment Indices have a tendency to show lower volatilities, “the smoothing effect”. This is not a phenomenon peculiar to the AJPI and AJFI but common among Real Estate Investment Indices worldwide
- Therefore, certain modifications may be made if required
