Kamran Soleiman, manager of research and strategy at Manulife Financial, discusses core-plus investment strategies, their value propositions and why investors should consider allocating to these types of funds at this point in the market cycle, in a video interview with IREI staff.
According to Soleiman, core-plus funds, which rest between core and value-add on the risk-return spectrum, are attractive because they offer an alternative to the core sector, while maintaining the level of risk that investors require. Core-plus funds give investors more latitude to invest in fast-growing liquid secondary markets, he explains.
“The value proposition of core-plus is to generate alpha by maintaining most characteristics that made core funds the cornerstone of most institutional
