ENBD REIT is a closed-ended DIFC investment company that was formed by Emirates NBD Asset Management Limited (the Fund Manager) to invest in a diversified portfolio of Shari'a compliant real estate, with a primary focus on the UAE. ENBD REIT is managed by the Emirates NBD Asset Management, an award winning asset manager in the UAE.
ENBD REIT is a Real Estate Investment Trust established with the objective of generating a regular dividend income stream for investors, typically derived from income from investment properties, usually in the form of rent, with the additional opportunity for capital appreciation and increases in the value of the equity.
The Fund Manager, Emirates NBD Asset Management, is one of the leading asset managers in the GCC region with approximately US$4.8 billion assets under management as at 31st December 2017. It is a wholly owned subsidiary of Emirates NBD Bank PJSC, is based in the Dubai International Financial Centre (DIFC) and regulated by the Dubai Financial Services Authority (DFSA). The Fund Manager provides a wide range of investment solutions, from in-house managed funds to tailor-made discretionary solutions. It manages funds across a variety of asset classes, including MENA equity and global fixed income, global risk profiled solutions, real estate, and a wide range of Shari'a compliant instruments, structured to cater for diverse risk appetites.
ENBD REIT places significant emphasis on high quality research and a strong collaborative ethos, striving to anticipate trends before they happen. The Fund Manager believes that it applies disciplined risk management and is committed to a culture of excellence.
* Loan-to-value on GAV
^ on property portfolio
(gross rental revenue / portfolio value)
As at 30th June 2018
Tariq is currently an Executive Vice President and the Head of Products & Advisory at Emirates NBD Group, having previously served as the CEO of Emirates NBD Asset Management. He has over 18 years of experience, with a primary focus on asset management, private equity and investment banking. Prior to his current role, Tariq held various roles at Commercial Bank of Dubai, Mubadala, Citigroup, Dubai Holding, Delta Airlines and UPS. He holds a PhD in Labour Economics from Imperial College London (UK) as well as degrees from Columbia University (USA), London Business School (UK), and Clayton State (USA).
David is currently Head of Products at Rasmala Investment Bank. Prior to this, David was most recently Executive Vice President, Head of Products & Advisory at Emirates NBD Bank PJSC. Before taking this position at Emirates NBD Bank, he was the CEO of Emirates NBD Asset Management Limited, having previously been Head of Products & Distribution. He holds a CFA Investment Management Certificate and Bachelor of Arts Honours in English Language & Literature from the University of London.
In addition to his position on the Board of ENBD REIT, Mark sits on the boards of a number of other conventional and Shari'a compliant structures, investing in Commercial and Residential Real Estate; Private Equity; and UK, European, African and MENA securities. His other board positions include Duet Asset Management, Castle Trust, Abris, Bridport and Standard Bank. Mark has over twenty five years' experience in the finance sector covering Audit, Finance, Banking and Funds, with his most recent focus on Funds Services. From 2011 to 2015 he was Client Director, Funds Services Division at JTC Group, having previously spent six years as Director, Client Relationship Management at Standard Bank in Jersey (UK). He is a Fellow of the Chartered Association of Certified Accountants and a Member of the Securities Institute.
Khalid has over 15 years of professional experience in management and board advisory, and has been an active member of various organisations and industries in the UAE, including Al Fahim Group (UAE), where he has held offices from business development to council member and executive management, most recently sitting as an advisor to the Board since 2012. He also represents the Group as a director of a number of its subsidiaries and affiliated companies. From 2010 to 2012, Khalid served as an Executive Director of Dubai Pearl. In 2007 he joined the UAE Professional Football League Assessment Committee and was later appointed to the first Board of the UAE Professional League. He is a partner of Quintessentially, the leading luxury lifestyle and concierge group, in Abu Dhabi, and since 2009 has served as a Director of the philanthropic Abdul Jalil Al Fahim & Family Endowment. Khalid holds a degree in Business Administration from the American Intercontinental University in London and a Master's degree in Diplomacy from the University of Westminster, London.
Sophie has more than 22 years' real estate experience, 18 of which have been spent working in the Middle East and North Africa. She is Head of Asset Management for Shopping Malls at Majid Al Futtaim Properties, where her responsibilities include leadership of the strategic vision and direction to drive value in the operating portfolio as well as providing advice on investment and development feasibility for future projects. Prior to joining Majid Al Futtaim Sophie worked for a number of companies, including CB Richard Ellis where she was initially in London and then worked across their MENEA markets, specialising in Valuation and Development advisory. She is a founding Board Member of the UAE National Association and was previously Vice Chair of the MEA RICS World Regional Board. Sophie currently serves as MEA Representative on the RICS Governing Council.
Christopher is Head of Markets and Regional Development Director Middle East and South Asia at Mott MacDonald. In addition to his role on ENBD REIT's Investment Committee he is Co-Chairman of the Middle East Council for Offices, offering strategic advice on procurement, investment and development management. He is also a member of the RICS MENAT Market Advisory Panel, advising clients on strategy, risk, and major asset investments. Christopher has over twenty five years' experience in property and construction, including ten years with the Arcadis group of companies where he was an equity partner with EC Harris. In the last seven years he has worked in most of the Middle East's major cities, specializing in the commercial, retail, hospitality and infrastructure sectors. Christopher holds a Bachelor of Science degree and is a Fellow of the Royal Institution of Chartered Surveyors (FRICS).
Abdulla is CEO of the Dubai Islamic Economy Development Centre (DIEDC), with responsibility for delivering the 'Dubai: Capital of Islamic Economy' strategy. Prior to his role at DIEDC he was CEO of Dubai International Financial Centre (DIFC) from 2009 to 2012. Under his leadership, DIFC was ranked the region's leading financial centre from 2009 to 2012, with average year-on-year client growth of 13%. Abdulla has served as member of several committees and boards including the Economic Committee of the Executive Council of Dubai, Dubai Free Zones Council, Bourse Dubai and the Emirates Real Estate Fund Limited (Jersey). He holds a Bachelor of Science degree in Business Administration from the University of Colorado (USA) and is a graduate of the Mohammed Bin Rashid Program for Leadership Development, conducted in affiliation with Cranfield University (UK), IMD and INSEAD.
Hari has a track record of over 15 years in the Financial Services sector, working on both the industry and regulatory side in the UK and UAE. She currently heads Praesidium, a bespoke regulatory and client advisory firm in Dubai. Hari has worked for the Financial Services Authority (FSA) in London, where she supported the drafting of financial regulations, having begun her career at Goldman Sachs, where she was responsible for implementing and monitoring FSA systems and controls on behalf of the bank. Before setting up Praesidium, she was part of the development team that created the Dubai Financial Services Authority (DFSA) in the Dubai International Financial Centre (DIFC) free zone. Hari had a key role in the development of the DFSA's 'Shari'a Systems' model for the regulation of Islamic Finance. She has worked on a number of DIFC Domestic Funds and has facilitated the establishment and launch of funds in the Centre, specifically Exempt and Qualified Investor Funds. Hari has authored numerous articles and contributed to a number of books published on the subject of regulation. She holds an LLM and LLB in Law.
James has been Chief Financial Officer (CFO) at Emirates Food Industries since 2016 where he plays a key role in driving forward the strategy and performance of the group. Prior to this he was CFO at Emirates REIT Management (Private) Limited for three years (2013-2016). He has significant experience preparing companies for IPO and has worked closely with both large and SME organisations at Board level. While at Emirates REIT James raised over $200 million from GCC and UK investors on a Nasdaq Dubai listing and led multiple financing transactions, raising over $300 million to fund acquisitions and the growth of REIT. He holds a Bachelor of Science Honours in Biochemistry from Liverpool University. James also has qualifications from the Institute of Chartered Accounts England and Wales (ACA) and the Chartered Institute for Securities and Investments (FCISI).
Dr. Mohamed Ali Elgari is a Professor of Islamic Economics and the former Director of the Centre for Research in Islamic Economics at King Abdul Aziz University in Saudi Arabia. He is a member on the editorial board of several academic publications in the field of Islamic Finance and Jurisprudence. He is also an advisor to numerous Islamic financial institutions including the Shariah Board of the Dow Jones Islamic Index.
Dr. Mohd Daud Bakar is the Chairman of Amanie Group and was previously the Deputy Vice-Chancellor at the International Islamic University Malaysia. He is currently the Chairman of the Shariah Advisory Council at the Central Bank of Malaysia, the Securities Commission of Malaysia, and the Shariah Supervisory Board of the International Islamic Liquidity Management Corporation. He is also the Shariah board member of the Dow Jones Islamic Market Index, Muzn Islamic Banking (Oman), BNP Paribas (Bahrain), Morgan Stanley (Dubai), amongst others.
Dr. Muhammad Amin Ali Qattan is currently Director of Islamic Economics Unit, Centre of Excellence in Management at Kuwait University. He also serves as the Shariah advisor to many institutions including S&P's Shariah Indices, Al Fajer Retakaful, among others. Dr. Qattan holds a PhD in Islamic Banking from Birmingham University, UK.
Dr. Osama Al Dereai is a renewed Shariah scholar and experiences lecturer, researcher and consultant in the field of Islamic Finance. He is a Shariah board member of various financial institutions which include the First Leasing Company, Barwa Bank, First Investment Company and Ghanim Al Saad Group of Companies. He holds a PhD in Islamic Transactions from University of Malaysia.
Anthony has over ten years' experience within the institutional real estate market. He was appointed Head of Real Estate in 2018 having previously been Fund Manager, Real Estate at Emirates NBD Asset Management since 2012. He has had a key part in building ENBD REIT's institutional portfolio and its subsequent listing on the Nasdaq Dubai in March 2017. Prior to Emirates NBD Asset Management, Anthony was an Asset Manager at Public Investment Corporation (South Africa) managers to Africa's largest government pension fund, and prior to that a Professional Valuer at Old Mutual Properties (South Africa). He is a Member of the Royal Institution of Chartered Surveyors (MRICS), a registered valuer and holds Bachelor of Science Honours in Property Studies from the University of Cape Town, South Africa
Asif has been CFO of ENBD REIT since listing, having been with the business since 2012. He has played a key role in improving the REIT's efficiency and productivity, introducing new budgets and management information packs, streamlining provisions and growing profitability. Before joining Emirates NBD Asset Management, Asif was Assistant Financial Controller at Abu Dhabi Investment House, Clearing & Settlement Accountant at National Bank of Abu Dhabi Securities and an Audit Trainee at Amin & Company Chartered Accountants. He is a certified Chartered Accountant (Fellow of ACCA), a United Arab Emirates Chartered Accountant (Member of UAECA) and holds a Bachelor degree in Business Administration.
Julia has been the Investor Relations Officer for ENBD REIT since listing, having been Senior Manager, Institutional Sales & Sales Support at Emirates NBD Asset Management since 2011. In this role she had responsibility for raising assets under management from Emirates NBD's Corporate and Private Banking divisions, as well as from institutional clients in UAE, Oman, Kuwait, Bahrain and Qatar. Before joining the Emirates NBD Asset Management team, Julia was Vice President, Sales & Distribution at Algebra Capital for four years until their 100% acquisition by Franklin Templeton in 2011. Prior to that she spent four years at Dubai-based SHUAA Capital, where she was Vice President, Sales before becoming Senior Vice President, Head of Institutional Sales, Asset Management. Julia holds the International Certificate in Investor Relations, as well as a Management Accountancy certificate from the Chartered Institute of Management Accountants (CIMA) and a BA (Hons) in French from the University of Nottingham (UK).
Jonathan joined the EREF team as Transactions Manager in 2015. Before joining Emirates NBD Asset Management Limited he was Associate Partner, Commercial Leasing at Knight Frank UAE, Associate Director, Professional Services at Cluttons Middle East in Bahrain and Investment Surveyor, Professional Services at Tudor Toone in London. Jonathan has been a qualified Chartered Surveyor since 2010, with nine years commercial real estate experience, of which seven have been spent in the Middle East. He holds an MSc in Real Estate Finance & Investment from the University of Reading (UK) and a Bachelor of Arts (Hons) in Management Studies from the University of Leeds (UK). He is a Member of the Royal Institution of Chartered Surveyors (MRICS).
Melanie has been Asset Manager since 2014. She focuses on real estate asset budgeting and leasing, manages relationships with the facility management and tenants and is responsible for the marketing of properties for lease. Melanie also conducts market analysis, property inspection and monitoring, and the ongoing development and improvement of ENBD REIT's properties.
Melini has been associated with Emirates NBD for over 15 years. During this time, she has served in various operational environments from branch operations, to asset management and most recently real estate. Aside her normal duties of managing settlements for the Emirates NBD Asset Management suite of funds, she has also played a key role in setting up ENBD REIT's operational framework, including the implementation of the property management system. Her focus is on ensuring a robust infrastructure for Real Estate operations with the objective of mitigating any ensuing risks that may arise. Melini is a commerce graduate and has attended Emirates NBD's Certified Associate Program as well as the International Leadership Management Program, run by Zayed University (UAE). She is an associate member of the Chartered Institute for Securities & Investment (UK) and a Certified Anti-Money Laundering Specialist with the Association of Certified Anti-Money Laundering Specialists.
Alex has been the Property Manager since November 2011. He liaises directly with building managers at each property to ensure that ENBD REIT's properties are maintained to high standards and tenant concerns are dealt with in a timely and professional manner. Alex is currently establishing property management systems and procedures for Binghatti Terraces, as well as co-ordinating the refurbishment of the Remraam property.
Praveen has been the Operations Specialist since January 2016. He manages the operational activities of ENBD REIT's assets, including expense processing, payments and cash management. Praveen also assists in net asset value finalization and preparation of the MIS (Management Information System) for ENBD REIT.
Kiran has been a member of the team since 2013. She is responsible for reporting, scheduling and management of other documents related to expense management. Kiran provides operational support during internal and external audits and handles receipting within the property management system.
A full range of investment solutions
About Emirates NBD Asset Management
The Fund Manager, Emirates NBD Asset Management, is a wholly owned subsidiary of Emirates NBD Bank PJSC. The Fund Manager provides a range of investment solutions, including in house managed funds and tailor made discretionary solutions, offering exposure to regional MENA markets as well as global markets, covering the main asset classes, structured on either a Shari'a compliant or a conventional basis.
Emirates NBD Asset Management is based in the DIFC and regulated by the DFSA as a Category II Firm, with the additional ability to operate an 'Islamic Window'. The funds managed by Emirates NBD Asset Management Limited are domiciled in the following jurisdictions: DIFC (regulated by DFSA); Jersey (regulated by the Jersey Financial Services Commission); and Luxembourg (regulated by the Commission de Surveillance du Secteur Financier).
A REIT is a real estate investment trust. A number of jurisdictions around the world recognize, permit and regulate REITs and the DIFC is one such jurisdiction. In the DIFC, REITs are a category of "Property Funds", as defined in the DFSA's Collective Investment Rules. A DFSA regulated REIT is a fund that invests primarily in income-generating real estate and distributes to its shareholders at least 80% of its audited annual net income.
The objective of a REIT is to generate a regular dividend income stream for investors typically derived from income from investment properties, usually in the form of rent, with the additional opportunity for capital appreciation of the underlying assets and increases in the value of the equity.
REITs are typically managed by an external executive management team which identifies the properties to acquire, sell or hold and manages the assets of the REIT. This management team then manages the properties, often through the use of third party property managers, with the aim of maximising the potential returns in line with the REIT's strategy. Some REITs may also develop and redevelop properties from time to time.
Investors in UAE stock markets need to set up a National Investor Number, often referred to as a NIN, which is a unique number enabling investors to trade any securities that are listed on NASDAQ Dubai or other UAE exchanges in their own name. If you want to apply for a NIN, you can visit the NASDAQ Dubai website or contact your broker to apply.
REITs are primarily aimed at investments in income-generating properties, providing investors with the opportunity to access the real estate asset class. REITs typically provide their shareholders exposure to a variety of real estate assets through a single investment instrument.
There are four key benefits to investing in a REIT. First, there is the flexibility of adjusting the amount you invest to suit your financial resources. Second, you can access a portfolio of properties with diverse income streams, rather than relying on a single property/asset. Third, REIT investors tend to have better access to liquidity, because trading shares in a REIT on the public markets is generally easier, cheaper and faster than selling a physical real estate asset. Finally, investing in a REIT is simple; owning shares in a REIT is straight-forward and pays a dividend.
ENBD REIT shares are listed in USD. Please contact your broker for further details regarding foreign currencies.
ENBD REIT aims to invest in Shari'a compliant and income generating real estate with a primary focus on the UAE. The principal investment objective of the REIT is to provide investors with a regular source of income (by way of annual dividends of at least 80% of its net audited annual income) and capital appreciation.
As at 30th September 2018, and based on the market valuations of the properties as carried out by third party independent valuers, 63% of ENBD REIT's portfolio was comprised of offices while 19% of the portfolio was comprised of residential property and 18% of alternative assets.
The existing office and residential real estate portfolio is valued at AED1.7bn (USD 459m) as at 30th September 2018.
Yes. ENBD REIT is targeting an asset allocation of: 50-60% office units; 20-25% residential units; and 25-35% alternative real estate sectors (including industrial, education, healthcare and hospitality). Exact sector allocation may not always be maintained given the value and availability of real estate assets, however the allocation above provides guidance on ENBD REIT’s target asset allocation given current market conditions. The asset allocation is also expected to change from time to time, depending on market and other conditions, at the Fund Manager’s discretion.
ENBD REIT is a closed-ended investment company with limited liability registered in the Dubai International Financial Centre (DIFC) with registration number 2209 and managed by Emirates NBD Asset Management Limited, which is also domiciled in the DIFC and is regulated by the Dubai Financial Services Authority (DFSA).
The minimum number of shares that an investor may hold in ENBD REIT is one share. While there is no maximum number of shares that an investor may hold, once an investor holds over 5% of ENBD REIT’s share capital, certain legal obligations will be applicable.
There are no foreign ownership restrictions for holding equity in ENBD REIT.
ENBD REIT intends to pay dividends on a semi-annual basis, as at 31st March and 30th September
ENBD REIT’s financial calendar ends on 31st March, so the audited annual accounts will be published after that date.
ENBD REIT has appointed CBRE and Cavendish Maxwell as independent valuers for its portfolio. The regulatory requirement is to value semi-annually, but management are of the opinion that quarterly valuations are preferable, therefore the Net Asset Value of the portfolio, including the NAV per share, will be published every quarter end, in June, September, December and March. As the portfolio grows, the REIT may appoint additional valuation companies according to a rotation policy, in line with global best practice.
Emirates NBD Asset Management Limited has been appointed as the Fund Manager of ENBD REIT. Emirates NBD Asset Management is established in the Dubai International Financial Centre and regulated by the Dubai Financial Services Authority as a Category II Firm and is the wholly owned asset management business of Emirates NBD Bank, one of the largest banks by assets in the MENA region. Emirates NBD Asset Management provides a full range of investment solutions, from in-house managed public funds to tailor-made discretionary solutions. It manages funds across asset classes, including MENA equity and global fixed income funds, global risk profiled funds, UAE real estate, and a complete range of Shari'a compliant instruments, structured to cater for diverse risk appetites.
Each of the Emirates NBD Asset Management managed funds are domiciled in either Jersey (regulated by the Jersey Financial Services Commission), Luxembourg (regulated by the Luxembourg Commission de Surveillance du Secteur Financier) or the DIFC (regulated by the DFSA). For further details, please click here
In addition to managing ENBD REIT, the Fund Manager manages 21 other funds including funds in Jersey (as regulated by the Jersey Financial Services Commission) and Luxembourg (as regulated by the Commission de Surveillance du Secteur Financier). The Jersey-domiciled funds consist of two umbrella funds each divided into six sub-funds.
The Fund Manager manages these additional funds in its capacity as delegate investment manager and its services cover a range of asset classes including MENA Equities, fixed income, real estate and global funds, structured on either a Shari’a compliant or a conventional basis. The Fund Manager also provides asset management and advisory services across different asset classes and geographies.
All transactions are approved by ENBD REIT’s Investment Committee, the members of which are 100% independent of Emirates NBD. Therefore, any transactions concluded between Emirates NBD and ENBD REIT will be considered entirely on the merits of the particular transaction and at arm’s length. Furthermore, as part of the due diligence process for transactions, an independent third party valuation is required to confirm the price is at market value. DFSA regulations require shareholders’ approval if the related party transaction is more than 5% of the REIT.
Additionally, any transaction agreed between ENBD REIT and Emirates NBD would be deemed a related party transaction under the DFSA regulations, therefore would also require approval from the Oversight Committee which comprises three independent members.
The Fund Manager's current AUM as at 30th September 2018 is approximately USD 4.2bn.