Advantus Real Estate Investment Strategy Marks 15 Years

Tools

ST. PAUL, Minn.--(BUSINESS WIRE)-- In 1996, Advantus Capital Management saw a rising interest in real estate investment trusts (REITs) and developed a strategy to provide opportunities for people to invest in REITs and other publicly-traded real estate investments.

“The market was developing to a size where the companies offering REITs were gaining the quality that made them appropriate for Advantus,” says Joe Betlej, senior investment officer and Real Estate Securities portfolio manager. Advisors who market Securian products also wanted to offer a real estate option to their clients, he added.

A REIT is a company that owns and – in most cases – operates income-producing commercial properties such as apartments, shopping centers, offices, hotels and warehouses. REITs can offer distinct advantages for some investors: portfolio diversification, strong and reliable dividends, liquidity, potential for solid long-term performance and transparency. As investments, they behave somewhat differently than either stocks or bonds, providing diversification.

Advantus started by offering REITs through the Advantus Series Fund. Eventually, the strategy was introduced across Securian’s offerings as an investment option in individual annuity and variable life insurance contracts, retirement plans and as a mutual fund.

The industry has grown significantly since 1996 when the Advantus Real Estate Securities strategy was established. Today, U.S. REITs constitute more than $300 billion in equity market capitalization with an average daily trading volume of about $4 billion, according to www.reit.com.

Advantus Capital Management manages $23 billion in assets for institutional investors by drawing upon the market insights and business experience of its team of approximately 100 investment associates. Using a client-focused philosophy and collaborative, research-driven process, Advantus builds customized investment strategies for insurance companies and other institutional investors. Advantus is an affiliate of Securian Financial Group, Inc. which has provided financial security for individuals and businesses in the form of insurance, investments and retirement plans since 1880.

1111025-IM A4