Arete Invest Real Estate Fund quarterly results: yield outstrips expectations four-fold

 Arete Invest, a fast-growing fund which focuses on investment in real estate, has published its results for the second quarter of the year. The value of real estate in the fund portfolio rose to EUR 53.5 million. The gross quarterly yield of the at-present open-ended Arete Invest CEE II sub-fund was 9.8 % p.q. a figure which outstripped expectations four-fold.

“The results confirm the potential of the Czech and Slovak real estate investment environment, with the gross quarterly yield surpassing the market results many times over. We have kept the promise we made to investors and will pay out part of the yield on a quarterly basis,” explains Lubor Svoboda, joint founder and chairman of the administrative board at the Arete Invest fund. “The value of our assets in the second quarter rose further. Moreover, we are planning new acquisitions in the final part of the year. We are planning to invest further tens of millions of euro in the Czech and Slovak markets by the end of this year.”

The expected value of managed assets in Arete Invest CEE II over the anticipated five-year investment cycle is EUR 200 million. The sub-fund is aiming for regular appreciation of the money deposited by investors of 11 to 16 per cent per annum, whereby up to 6 per cent of this per year will be paid out on a quarterly basis. The current profitability has far outstripped these estimated values.

Arete Invest was presented with a Special Award for Innovation and Transparency on the Czech Investment Market at the prestigious Czech Top 100 Awards at a ceremonial evening held at the Spanish Hall of Prague Castle at the end of the second quarter. The reason for this special award from Czech Top 100 was mainly the company’s work in bringing foreign capital to the Czech Republic, along with its highly transparent approach to investors, using international standards but under the supervision of the Czech National Bank thanks to local registration of the fund, regular distribution of 6 % per annum and a short investment cycle for the first sub-fund, with audited result of more than 100 % profit for shareholders in only 18 months.