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Bullish Global Property. Why Global REITs' 18% FY26 Return Has Further Upside | Julian Campbell-Wood, Resolution Capital
Description
Rob Pizzichetta of Mont Wealth speaks with Julian Campbell-Wood, portfolio manager of Resolution Capital Global REITs, reviewing the fund’s ~18% return over 12 months and ~3.5% net alpha versus benchmark. They discuss why global REIT fundamentals look constructive despite higher rates, focusing on rising replacement costs (physical build costs up ~30–40% in 4–5 years plus higher finance costs), moderating new supply, and sector-by-sector rent growth (including seniors housing/healthcare rents growing north of 5%). Julian explains the fund’s bottom-up, sector-led approach emphasizing landlord pricing power, diversified investment-grade REITs, and ~30% portfolio loan-to-value. Portfolio positioning includes overweight housing/healthcare, high-quality retail, selective data centers (favoring retail colocation like Equinix), and residential; underweight some industrial, office, hotels/gaming. Expected income is ~3–3.5% and earnings growth ~6–7% p.a., with key risks being macro demand weakness, an inflation shock, and AI-driven volatility.
00:00 Cash Flow Growth Teaser
00:33 Welcome and Disclaimers
01:05 Fund Performance Review
01:34 Why REITs Rallied
02:18 Replacement Costs Explained
03:14 Rent Growth by Sector
04:14 Supply Shortages and Winners
05:28 Multi Year Tailwinds Ahead
07:11 Retail vs E Commerce Myth
08:37 Seniors Housing Demand Surge
10:05 Inflation Protection Playbook
11:13 How the Fund Invests
14:34 Portfolio Positioning Snapshot
16:45 Data Centers and AI Risk
19:34 US Residential Opportunity
21:08 Income and Return Outlook
22:24 6 to 7 Percent Growth Question
23:07 Key Risks and Closing