Resource Real Estate Diversified Income Fund (RREDX) Launches
Resource Real Estate Diversified Income Fund (RREDX) Launches
-Veteran Global Real Estate Portfolio Manager Scott Crowe to Lead Firm's Real Estate Securities Efforts-
NEW YORK--(BUSINESS WIRE)-- Resource Real Estate, Inc., ("RRE"), a subsidiary of Resource America, Inc. (NAS: REXI) , launches The Resource Real Estate Diversified Income Fund (the "Fund"), (Ticker: RREDX). The Fund is managed by real estate investment veteran Scott Crowe and seeks to provide income, long-term appreciation and low equity market correlation for investors looking to diversify their investment holdings.
For over two decades RRE and its affiliates have acquired, managed and harvested complex real estate assets for institutional and individual investors, joint venture partnerships as well as for their own accounts. RRE and its parent company have offices in New York, Los Angeles, London, Singapore as well as its own headquarters in Philadelphia and additional locations across the U.S.
The Fund offers an opportunity for investors to access real estate investments in both listed and unlisted markets, via equity and debt securities. Seeking to offer income and growth, the Fund's portfolio may include publicly-traded REIT shares, private equity real estate investments, preferred shares of REITs and non-traded REIT shares purchased at Net Asset Value (NAV) or on the secondary market.
Crowe recently joined Resource Real Estate as a Managing Director to build its real estate securities investment platform. Crowe has 15 years of experience in real estate investing and was formally global real estate portfolio manager at Cohen & Steers, where he was responsible for more than $10 billion in institutional funds under management and led a team of more than 20 portfolio managers and analysts in New York, London and Hong Kong.
"The Resource Real Estate Diversified Income Fund employs a unique approach to real estate investing, allowing investors to gain access to private equity investments in the same managed portfolio that includes select publicly-traded real estate securities. Furthermore, investors can take advantage of the Fund's institutional and specialty investments with lower fees and minimums than if they invested in such investments separately, which may allow them to optimize their diversification and potential returns," explains Chief Executive Officer, Alan Feldman.
Through an interval structure, the Fund offers a liquidity featureof quarterly redemptions at NAV of no less than 5 percent of the total shares outstanding, redeeming more frequently than most other real estate and private equity investments.
The minimum investment for the Fund, which targets a dividend yield in excess of 5 percent*, is $2,500. For more information, visit the Fund's website at http://www.RREDX.com.
* Target yield is measured at the Fund level and is not equal to actual returns for an investor. As portfolio and market conditions change, future distributions will vary and target yields may not be obtained in the future. Dividends are not guaranteed.
About Resource Real Estate
Resource Real Estate is a firm that specializes in direct real estate investments, global real estate securities and commercial real estate lending. For over two decades, RRE and its affiliates have managed real estate assets for institutional and individual investors. RRE and its parent company have offices in New York, Los Angeles, London, Singapore as well as its headquarters in Philadelphia and additional locations across the U.S.
RRE owns and manages real estate assets with an aggregate value of approximately $1.8 billion. RRE is a wholly owned subsidiary of Resource America (NAS: REXI) . As of March 31, 2013, Resource America managed $15.3 billion across various asset classes.
About Resource America
Resource America is a specialized asset management company that uses industry specific expertise to generate and administer investment opportunities for its own account and for outside investors in the real estate, financial fund management and commercial finance sectors. For more information please visit our website at www.resourceamerica.com or contact Marketing and Investor Relations at firstname.lastname@example.org.
Investors should carefully consider the investment objectives, risks, charges and expenses of the Fund. This and other important information about the Fund is contained in the prospectus, which can be obtained by calling (855) 747-9559. The prospectus should be read carefully before investing. The Fund is distributed by Northern Lights Distributors, LLC, member FINRA. Resource Real Estate, Inc., Resource America, Inc. and Northern Lights Distributors, LLC are not affiliated.
Mutual Funds involve risk including the possible loss of principal. Alternative investment funds, ETFs, mutual funds and closed-end funds are subject to management and other expenses, which will be indirectly paid by the Fund. Preferred securities are subject to credit risk and interest rate risk. Convertible securities are typically issued as bonds or preferred shares with the option to convert to equities. As a result, convertible securities are a hybrid that have characteristics of both bonds and common stocks and are subject to risks associated with both debt securities and equity securities. Issuers of debt securities may not make scheduled interest and principal payments, resulting in losses to the Fund. Typically, a rise in interest rates causes a decline in the value of fixed income securities. The use of leverage, such as borrowing money to purchase securities, will cause the Fund to incur additional expenses and magnify the fund's gains or losses. There currently is no secondary market for the Fund's shares and the Fund expects that no secondary market will develop. Limited liquidity is provided to shareholders only through the Fund's quarterly repurchase offers. Investments in lesser-known, small and medium capitalization companies may be more vulnerable than larger, more established organizations. The Fund will not invest in real estate directly, but because the Fund will concentrate its investments in securities of REITs, its portfolio will be significantly impacted by the performance of the real estate market. There are risks associated with REITs. Risks include declines from deteriorating economic conditions, changes in the value of the underlying property and defaults by borrowers. The sales of securities to the fund repurchases could reduce the market price of those securities, which in turn would reduce the Fund's NAV.
KEYWORDS: United States North America New York
The article Resource Real Estate Diversified Income Fund (RREDX) Launches originally appeared on Fool.com.Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.