Accordant Investments LLC, a registered investment advisor, has announced the launch of its first registered interval fund, Accordant ODCE Index.
Accordant says the fund employs an indexing investment approach that seeks to track the NCREIF Fund Index – Open End Diversified Core Equity on a net-of-fee basis while minimizing tracking error.
According to Accordant, NFI-ODCE Index has been tracking market performance for the past 45 years and is considered to be “among the most comprehensive investable indexes for U.S. core private real estate.” The company says the index is similar to what the S&P 500 is for the largest publicly traded stocks.
“Investors can now participate in an indexing strategy previously limited only to institutional investors,” said Greg Stark, chief executive officer of Accordant. “Through our affiliation with IDR, the innovators and patent holders behind the first index fund for private real estate, the fund is designed to provide exposure and streamline investor access to real estate investment vehicles and may provide you with a steady source of income, broader portfolio diversification and attractive risk-adjusted returns.”
Garrett Zdolshek, portfolio manager for Accordant added, “IDR has been successfully executing an ODCE index strategy for nearly five years with an institutional fund, making us enthusiastic that our fund will have an equal appeal to a broader group of investors.”
As of June 30, 2023, the NFI-ODCE Index is comprised of over $300 billion in market value supported by roughly 3,000 properties that are geographically diversified across the 35 largest U.S markets. Property types include industrial, apartment, office, retail and specialty, which average over $100 million in value per asset.
With more than 40 years in the industry, Accordant Investments LLC is a registered investment advisor headquartered in Scottsdale, Arizona.