Santander increases the weight of GARE11 and reduces RBRF11, VINO11 and VILG11 in its FII portfolio for October (Image: Canva Pro)
For October, the Santander increased exposure to Guardian Real Estate (LONG11) in the recommended portfolio of real estate funds (FIIs), considering higher interest rates for a longer period of time and seeking a more defensive allocation. Now, FII has a weight of 4%.
GARE11 has a portfolio of 25 properties, 100% of which are atypical and long-term contracts. The main tenants are large companies such as Grupo Mateus, GPA and Souza Cruz.
“We estimate a dividend yield of ~11.5% for the next 12 months”, says analyst Flávio Pires.
In return, the bank reduced the weights of RBR Alpha Funds of Funds (RBRF11), Vinci Offices (VINO11) e Vinci Logistics (VILG11) — more sensitive to Selic at high levels.
In September, the team's profitability was -3.57%. THE Kinea Real Estate Income (KNCR11) was the positive highlight, with an increase of 1.88%, while the Vinci Offices (VINO11) led the falls, with -16.12%.
The analyst explains that three factors influenced VINO11's performance: defaults and potential vacancy at tenant WeWork, which represents 5% of the FII's revenues; investor concerns regarding the lease agreement with tenant Globo, which corresponds to 55% of revenues; and increasingly restricted liquidity.
The accumulated return on Santander's portfolio for the year is -2.40%, lower than the 2.24% of Real Estate Fund Index (IFIX). Since its inception, in January 2017, the portfolio has risen 146.76%, compared to 59.60% for IFIX.
FIIs recommended by Santander for October
| Bottom | Ticker | Segment | Weight | Return with dividends (12 months) |
|---|---|---|---|---|
| BTG Pactual Logística | BTLG11 | Logistic | 9% | 9,5% |
| Vinci Logistics | VILG11 | Logistic | 7,5% | 9,2% |
| RBR Alpha Funds of Funds | RBRF11 | Funds of funds | 8,5% | 9,2% |
| VBI CRI | CVBI11 | Receivables | 7% | 11,4% |
| CSHG Real Estate Receivables | HGCR11 | Receivables | 10% | 11,2% |
| Kinea Real Estate Income | KNCR11 | Receivables | 9,5% | 11% |
| Mauá Capital Real Estate Receivables | MCCI11 | Receivables | 9% | 10,8% |
| Valora Hedge Fund | VGHF11 | Hedge Fund | 5,5% | 12,2% |
| Guardian Real Estate | LONG11 | Hybrid | 4% | 11,5% |
| TRX Real Estate | TRXF11 | Hybrid | 7% | 10,5% |
| XP Malls | XPML11 | Malls | 5% | 10,2% |
| Vinci Offices | VINO11 | Offices | 7% | 10% |
| HSI Malls | HSML11 | Malls | 5% | 10,4% |
| Real Active TG | TGAR11 | Hybrid | 6% | 12% |