Global Real Assets
Access actively managed, concentrated portfolios of high-quality global real estate and infrastructure companies designed to provide monthly distributions, portfolio diversification and long-term capital appreciation potential.
Access actively managed, concentrated portfolios of high-quality global real estate and infrastructure companies designed to provide monthly distributions, portfolio diversification and long-term capital appreciation potential.
Access actively managed, concentrated portfolios of high-quality global real estate and infrastructure companies designed to provide monthly distributions, portfolio diversification and long-term capital appreciation potential.
Real Income. Real Diversification. Real Returns.
Real assets support economic activity and provide essential services. Their critical role in modern economies supports durable demand across market cycles, offering differentiated return drivers that can complement equity and fixed-income allocations.
Real Estate
Starlight’s real estate portfolios invest in essential properties that support how people live, work, shop and connect, generating recurring rental income and capital growth potential.
Listed real estate can be categorized into the following subsectors:
Cell Towers
Data Centres
Health Care
Industrial
Multifamily
Residential
Retail
Self-Storage
Student Housing
Triple Net Lease
Cell Towers
Data Centres
Health Care
Industrial
Multifamily
Residential
Retail
Self-Storage
Student Housing
Triple Net Lease
Infrastructure
Starlight’s infrastructure portfolios invest in essential assets that power, transport and connect modern economies, generating long-term contracted or regulated cash flows and capital growth potential.
Listed infrastructure can be categorized into the following subsectors:
Cell Towers
Communications
Data Centres
Payment Networks
Power Generation
Renewable Energy
Transportation
Utilities
Cell Towers
Communications
Data Centres
Payment Networks
Power Generation
Renewable Energy
Transportation
Utilities
The essential nature, long duration and contractual structure of real assets cash flows have historically supported rising distributions, diversification benefits, inflation protection and attractive risk-adjusted total return potential.
Stable and predictable distributions from long-term contracts or leases.
Real Estate
REITs are required to distribute the majority of their taxable income to investors. Combined with long-term leases and contractual rent escalations, listed real estate has historically supported stable and predictable distributions with the potential for long-term distribution growth.
Income and Capital Appreciation of Listed Equity U.S REITs, 25-year Period
Source: 25-year period is represented by 1988Q4-2013Q3. Income and Capital Appreciation from Real Estate Investing: The Participation Trophy and the Performance Record, NAREIT Market Commentary, 29 August 2017.
Infrastructure
Many infrastructure assets generate revenues through regulated pricing frameworks or long-term contractual arrangements. Combined with high barriers to entry and the essential nature of these assets, listed infrastructure has historically supported stable and predictable distributions with the potential for long-term distribution growth.
Dividend Yield Comparison
Source: Fiera Capital, Bloomberg, dividend yield as of December 31, 2017. Global Infrastructure, Global Bonds, Global Equities and Emerging Market Equities figures are represented by the following respective indices: S&P Global Infrastructure Index, DofA Merrill Lynch Global Government Bond II Ex Canada Index, MSCI World Index and MSCI Emerging Markets Index.
Stable and predictable distributions from long-term contracts or leases.
Real Estate
REITs are required to distribute the majority of their taxable income to investors. Combined with long-term leases and contractual rent escalations, listed real estate has historically supported stable and predictable distributions with the potential for long-term distribution growth.
Income and Capital Appreciation of Listed Equity U.S. REITs, 25-year Period
Source: 25-year period is represented by 1988Q4-2013Q3. Income and Capital Appreciation from Real Estate Investing: The Participation Trophy and the Performance Record, NAREIT Market Commentary, 29 August 2017.
Infrastructure
Many infrastructure assets generate revenues through regulated pricing frameworks or long-term contractual arrangements. Combined with high barriers to entry and the essential nature of these assets, listed infrastructure has historically supported stable and predictable distributions with the potential for long-term distribution growth.
Dividend Yield Comparison
Source: Fiera Capital, Bloomberg, dividend yield as of December 31, 2017. Global Infrastructure, Global Bonds, Global Equities and Emerging Market Equities figures are represented by the following respective indices: S&P Global Infrastructure Index, DofA Merrill Lynch Global Government Bond II Ex Canada Index, MSCI World Index and MSCI Emerging Markets Index.
Diversification beyond equities and fixed income through distinct return drivers.
Real Estate
Listed real estate has historically exhibited relatively low correlations with traditional asset classes. Combined with its differentiated return drivers, listed real estate has historically enhanced portfolio diversification and attractive risk-adjusted return potential.
Real estate correlations July 2000 - September 2015
Source: Infrastructure Investing: A Distinct Asset Class, InstarAGF, October 8, 2015.
Infrastructure
Many infrastructure assets generate revenues through regulated or long-term contractual arrangements that are less sensitive to economic cycles. Combined with their essential nature, listed infrastructure has historically enhanced portfolio diversification and attractive risk-adjusted return potential.
Infrastructure correlations July 2000 - September 2015
Source: Infrastructure Investing: A Distinct Asset Class, InstarAGF, October 8, 2015.
¹ Correlation measures the extent to which two items move in the same direction. A correlation value of 1 means two items move closely in the same direction, while 0 means they do not move closely at all in either direction, and -1 means the items move in opposite directions.
Inflation protection with price and distribution adjustments written into long-term contracts.
Real Estate
Many commercial leases include contractual rent escalations linked to inflation or market rents. Combined with the potential for property values to appreciate over time, listed real estate has historically helped preserve purchasing power during inflationary periods.
Average U.S. REIT Dividend Growth vs. Average CPI 2006 - 2019
Source: Bloomberg, as at December 31, 2019.
Infrastructure
Many infrastructure assets generate revenues through regulated pricing frameworks or long-term contractual arrangements with inflation-linked pricing mechanisms. Combined with the essential nature of these assets, listed infrastructure has historically helped preserve purchasing power during inflationary periods.
Sensitivity to Unexpected Changes in Inflation 1991-2017
As at December 31, 2017. Source: Bloomberg and Cohen & Steers.
Data quoted represents past performance, which is no guarantee of future results. There is no guarantee that any historical trend illustrated herein will be repeated in the future and there is no way to predict precisely when such a trend will begin. Stocks represented by the S&P 500 Index. Bonds represented by the BofA Merrill Lynch U.S. 7-10 Year Treasury Index. Infrastructure represented by a 50/50 Blend of the Datastream World Piplelines and Datastream World Gas, Water & Multi-Utilities through July 2008 and the Dow Jones Brookfield Global Infrastructure Index thereafter. Inflation sensitivity based on a linear regression analysis of 1-year real returns and the difference between the realized inflation rate (y/y change in the Consumer Price Index) and the lagged 1-year ahead median inflation estimate from the University of Michigan survey of consumers.
Return generation linked to economic growth and long-term structural drivers of demand.
Real Estate
The essential nature, long-lived assets and recurring cash flows of real estate, combined with long-term structural drivers of demand, support attractive long-term risk-adjusted return potential.
REITs outperform other major asset classes
Source: Bloomberg Financial L.P. and Starlight Capital. Data from December 31, 2002 to December 31, 2019. Global REITs, Global Equities, Global Bonds and Global Commodities are represented by the FTSE EPRA/NAREIT Developed Total Return Index (CAD), MSCI World Index (CAD) and FTSE World Broad Investment-Grade Bond Index (WorldBIG) (CAD) and S&P GSCI Official Close Index TR, respectively. Past performance is no guarantee of future results. Chart is provided for illustrative purposes and reflects hypothetical historical performance.
Infrastructure
The essential nature, long-lived assets and recurring cash flows of infrastructure, combined with long-term structural drivers of demand, support attractive long-term risk-adjusted return potential.
10-Year Income Returns and Capital Appreciation: Global Listed Infrastructure vs. Equities & Bonds
Source: Bloomberg as of March 31, 2016. Global Infrastructure represented by the Dow Jones Brookfield Global Infrastructure Index; Global Bonds represented by the Barclays Aggregate Global Corporate Bond Index; Global Equities represented by the MSCI World Index.
Long-Term Structural Demand Drivers
Long-term structural demand drivers continue to support demand for real estate and infrastructure assets, creating attractive investment opportunities across global markets.
Real Estate Supercycles
AI & Data Generation
AI and data generation includes the real estate that enables the storage, processing and transmission of data, including data centres and cell towers.
Global Trade & E-Commerce
Global trade and e-commerce includes the industrial and logistics properties that support global supply chains, warehousing, distribution and last-mile delivery.
Aging Demographics & Healthcare
Aging demographics and healthcare includes the properties that support evolving healthcare needs, including medical offices, hospitals, seniors housing and healthcare facilities.
Urbanization & Experiential Retail
Urbanization and experiential retail includes the properties that support growing cities and evolving consumer preferences, including mixed-use developments, retail destinations and experiential real estate.
Housing Shortage
Housing shortage includes the residential and multifamily properties that help address growing housing demand driven by population growth and constrained supply.
Infrastructure Supercycles
Digital Infrastructure & Financial Networks
Digital infrastructure and financial networks include the essential assets that enable the transmission, storage and processing of data, digital connectivity and electronic payments that power the modern economy.
Power Demand & Generation
Power demand and generation includes the infrastructure that generates, transmits and distributes electricity to support growing demand from artificial intelligence, electrification and economic growth.
Energy Transition & Decarbonization
Energy transition and decarbonization includes the infrastructure that supports cleaner energy production, lower-carbon fuels and the modernization of global energy systems.
Transportation, Logistics & Trade
Transportation, logistics and trade includes the infrastructure that enables the movement of people, goods and global commerce through rail, ports, freight networks and logistics facilities.
Physical Infrastructure & Essential Services
Physical infrastructure and essential services includes the assets that provide critical environmental, civic and public services, including waste management, water infrastructure and essential community facilities.
Institutional Adoption
Institutional investors have long recognized the role of real assets in diversified portfolios. Globally, institutions continue to increase allocations to real assets as part of diversified portfolios.
Canada's 10 largest pension plans allocate an average of 25.5% to real assets.2
U.S. endowment funds with more than US$1 billion in assets allocate over 60% to real assets, on average.3
2 Source: Pension Plan Annual Reports.
3 Source: WisdomTree, 2022 NACUBO-TIAA Study of Endowments. Data represent asset allocations by AUM cohort as of 6/30/22.
Featured Funds
Series F: SLC201 | ETF Ticker: SCGR
Starlight Global Real Estate Fund
The Fund aims to provide monthly distributions and the potential for long-term capital appreciation through an actively managed, high conviction diversified portfolio of high-quality global real estate companies, including REITs and businesses that own, develop and manage residential and commercial real estate.
Series F: SLC202 | ETF Ticker: SCGI
Starlight Global Infrastructure Fund
The Fund aims to provide monthly distributions and the potential for long-term capital appreciation through an actively managed, high conviction diversified portfolio of high-quality global infrastructure companies that own or operate essential assets supporting the global economy.
1.
Differentiated Investment Solutions
2.
Disciplined Investment Approach
We aim to deliver superior risk-adjusted long-term returns through our proprietary investment strategy Focused Business Investing. We build concentrated portfolios of high-quality companies when they offer us sufficient return for the risk incurred.
3.
Dennis Mitchell, CEO & CIO, has over 20 years of experience managing $2B+ of global real estate and infrastructure securities. Dennis is a multiple Brendan Wood International TopGun recipient. He previously led Sentry Investments management team and oversaw $18B of assets.
1.
Differentiated Investment Solutions
2.
Disciplined Investment Approach
We aim to deliver superior risk-adjusted long-term returns for investors through our proprietary investment strategy Focused Business Investing. We build concentrated portfolios of high-quality companies when they offer us sufficient return for the risk incurred.
3.