US Commercial Property vs other asset classes

 

 

Press Release - London, 29-7-16

 

US Commercial Property vs other asset classes. Investable?

With the world still coming to terms with a major reformulation of the political order in Europe, and preparing for what promise to be unpredictable electoral contests in Germany and the US - investors currently face an uncertain world. Increasingly frequent terror attacks in Europe and elsewhere are fueling a rise in right-wing populism and protectionism that threatens to destabilise the global economic order.

The confirmation of real estate mogul Donald Trump as candidate for the Republican Party in the US is a case in point, with Trump threatening to pull the US out of the World Trade Organisation in order to protect jobs in the US from the forces of globalisation.

In Europe also, protectionist instincts will need to challenged as new trading arrangements are determined with the UK and negotiations continue around the troubled Transatlantic Trade and Investment Partnership with the US.

The picture is not clear then, and there are many moving parts which look set to disrupt markets over the medium term. So where should investors looking to hedge against current uncertainty turn?

 

Building confidence

While there is much uncertainty, and while stock markets globally took a hit following Brexit and are watching developments nervously, recent data from leading investment house MSCI could give pause for thought for those who think the days of double-digit returns are over.

A report issued by MSCI in February revealed that US commercial property funds in 2015 grew a staggering 15.6% according to the PREA/IPD US Quarterly Property Fund Index¹. Even more remarkably, investments in US commercial property have seen a cumulative return of 129% over the past six years.

In fact, US commercial property has outperformed other asset classes, including US bonds (up 4.39% over the period 2011 to 2015), stocks (up 13.45%), corporate bonds (up 4.72%) and commodities (down 10.93%)².

Simon Fairchild, an Executive Director at MSCI puts it like this;

"U.S. real estate open-end funds have produced double-digit returns for six straight years. This period encompasses the remarkable recovery from the doldrums of 2008/2009."

But Brexit happened, a Trump Presidency looks far less unlikely than it did at the beginning of the year and growth continues to slow in China - surely these themes will change the dynamic?

A key skill for any investor is being able to recognise opportunity - even in times of uncertainty. Market watchers should note of recent announcements from Juwai - China's biggest international property portal - which is reporting interest in UK property having climbed 40% since the Brexit vote.

So, what is driving growth and interest, even against a backdrop of such uncertainty?

Market fundamentals

While uncertainty abounds, savvy investors realise that market fundamentals don't change on the back of a single political development. And as in the UK, the fundamental forces at work in the US' commercial property market create a sound environment for investors.

Global pressures and uncertainty are likely to keep interest rates in the US low over the medium term, ensuring a steady flow of foreign money into the US economy. This in turn will continue to drive demand, and ensure good returns for those willing to invest in supplying this dynamic.

One opportunity to do so is the investment from the Rycal Group, offering entry to the Carlton James Group who have an investment portfolio focused on the hospitality sector in the US. Carlton James been investing in this market for a while now, delivering returns averaging 17% for the last five years. With a strategy based upon wide-ranging geographical intelligence, Carlton James look also for additional Revenue Generators - for example taking into account a development's proximity to highways, malls and economic infrastructure - as well as local economics.

Simon Calton, CEO of the Carlton James Group and Rycal Group, says: "Geopolitical upheaval and changes of government have an immediate impact on share prices and investor confidence and can lead to rapid and unnerving market fluctuations. We saw this in the immediate aftermath of Brexit and we should expect more as November's Presidential elections in the US draw nearer.

"What we have also seen in the subsequent weeks however, is these fluctuations correcting themselves as they adapt to the new reality. The lesson is that investors should keep an eye on the longer-term, and the market fundamentals.

"The US economy remains buoyant and, with the world unsure as to the status of relations between the UK and the EU, is likely to benefit from investors looking for a greater degree of certainty than is currently available in Europe.

"Rycal have a strong track record of making our investments work by developing detailed exit strategies, a diverse portfolio of properties and deep investment intelligence, and we expect Carlton James to be a real source of growth over coming years."

For more information on the Rycal Group and Carlton James investments please visit http://www.rycalgroup.com/newinvestors. To arrange an interview or comment from Simon Calton, please contact Liam Thompson at lthompson@sks-london.co.uk or on +44 (0) 7890 315 537.

 

1. https://www.msci.com/documents/10199/e667cc74-b4e2-4f72-8d8a-8b88e283b211

2. https://www.bullionvault.com/guide/gold/Annual-asset-performance-comparison

--
www.CorrieredelWeb.it

AERO SEKUR LAUNCHES 5 MILLION EURO MINI-BOND

This is the first issue by the company, which is among the leading producers of special fabrics and rubber technology for the worlds of defence, space and aviation. The placement period is scheduled for July 25-August 25.

 

Aero Sekur, one of Europe's biggest producers of special fabrics and rubber technologies for the worlds of defence, space and aviation, is launching its first mini-bond worth a total of 5 million euros.

The mini-bond will have a three-year term and a 5.75% annual return. The placement period will run from July 25 to August 25, while the date of issue and settlement will be August 26, 2016. Banca Promos Spa is acting as financial advisor and arranger for Aero Sekur.

The operation will help finance the three-year plan of investments drawn up by the group, worth a total of 4.35 million euros in the 2016-2018 period. A series of research and development programmes will be carried out with several goals in mind, including the entry into new markets for helicopter safety systems, Russia above all, the improvement of ballistic protection products, and the development of new products for NBCR protection. Interventions are also planned for the expansion of productive capacity and for the adjustment and optimisation of production lines, as well as the establishment and certification of the maintenance site in Pensacola (USA), aimed at supporting the F35-JSF order and providing logistical and maintenance support to third parties.

 

Aside from the mini-bond issue, the plan will also be financed by the cash flow generated by management.

In 2015, the company reported revenues of 36.6 million euros, up 12% compared to the previous year. The Aeronautical sector generated revenues of 18.5 million euros, while the Defence sector brought in 15 million euros and the Space division recorded revenues of 3.1 million euros.

EBITDA in 2015 amounted to 3.4 million euros, equivalent to about 9% of revenues.

Thanks to a plan of research and development which has led to 12 million euros of investments over the past five years, the company has been able to consolidate its presence in the international market and become involved in some of the most significant programmes in the aerospace and defence sectors financed by national and international players, alongside other leading companies in the industry.

 

The excellent results have gained the backing of MIUR (Italy's Ministry of Education, Universities and Research), which described Aero Sekur during a conference as a "virtuous example", being the only small and medium sized company in the aerospace sector to have won three international contests in the first year of Horizon 2020, the EU Commission programme to finance research and innovation projects up to 2020.

"Our group is constantly growing. The industrial plan foresees an increase in sales of about 8% over the three-year period, due to the effects of the increase in expected delivery volumes in the defence and airborne sectors," said Aero Sekur Chief Executive Marco Borghesi. "Tapping the capital market will allow us to accelerate the optimisation and consolidation of our expansion programmes," he said.

 "With Aero Sekur, our partnership and support of companies that are opening to the financial markets continues," said Banca Promos President Ugo Malasomma. "Our support aims to have a long-term perspective, accompanying small and medium sized companies along a path of evolution and growth which leads to their recognition in the capital markets, where we have worked for more than 35 years, and on to a listing on the Italian stock exchange or in other financial markets, based on the type of company. In that respect we are particularly focused on small and medium sized companies active in southern Italy. On the demand front, we look to investors that are interested in products issued by well-performing businesses, which combine the search for good returns with awareness of the need to support the national economic fabric, which, as we know, is based squarely on the vitality of our small and medium sized companies."

Presence in Italy

Aero Sekur, founded in 1968, has its headquarters in Aprilia in Italy's Lazio region. Since 2001, Chairman Silvio Rossignoli has pursued a programme of innovation and diversification. Alongside the firm's traditional product, the parachute, Rossignoli has developed the most sophisticated range of products and services for the worlds of defence, space, and aviation, aimed at ensuring the survival of defence and security forces and supporting the efficiency of helicopters and both civil and military air and ground vehicles. Products and services are based on avant-garde software and technology and innovative materials, including special fabrics and rubber.

The company employs around 230 people, including 36 engineers, in Aprilia, Caselle Torinese, Arenzano (Genoa) and San Pietro Infine (Caserta).

The most recent initiatives were launched after winning a major order from Northrop Grumman in 2011 to produce "inflatable hangars" for the F-35 fighter jet. An inflatable hangar is a structure that covers the airplane for "on the field" maintenance, accompanied by air conditioners that make it possible to work in different climates, from desert to arctic zones.

 

Life-saving applications

Research efforts have also led to new applications in aerospace and defence. From inflatable floating systems for helicopters – gigantic airbags – in the case of landing on water, including rafts for the crew, to flexible fuel tanks for armoured vehicles and helicopters. If this type of fuel tank is hit by a bullet, its valve shuts off in a few moments to prevent fuel leakage that could start a fire. For example, when a Mangusta helicopter of the Italian armed forces was hit in Afghanistan, the fuel tank shut off, the aircraft was able to continue the flight and the crew were saved.

"Everything we produce has something to do with textiles and air. Four floating systems keep a seven tonne helicopter afloat," said Rossignoli.

 

Aero Sekur in the world

Aero Sekur is present in the world with Aero Sekur Ltd in the United Kingdom and Aero Sekur Inc. in the United States. A site is to be set up in Pensacola in the U.S. to support the F35-JSF order and supply logistical support and maintenance to third parties. 

--
www.CorrieredelWeb.it

Press release: ITF backs RMT and Unite action and calls on Wood Group to compromise

Please find this release attached and below.

Yours,

Sam Dawson

ITF

 

 

22 July 2016

ITF backs RMT and Unite action and calls on Wood Group to compromise

ITF (International Transport Workers' Federation) general secretary Steve Cotton has spoken out to back the RMT and Unite offshore workers taking industrial action in the North Sea.

 

Commenting on the near-100 percent vote for industrial action by the members of the two ITF unions working in North Sea oil and gas, he said: "Workers for Wood Group across Shell's North Sea oil and gas platforms have overwhelmingly spoken. The company will now have to live with the consequences. Perhaps it will now see the need to reconsider its plans to slash the pay of these offshore workers, restrict their leave and increase their work – all on top of recent harmful redundancies."

 

He continued: "Wood Group has gone way too far. For their good, the good of the workers and of everyone involved in the North Sea, they must now resume talks to pull back from their proposed cuts."

 

ITF president Paddy Crumlin added: "The North Sea offshore industry can be a glowing example of how to get things right. Wood Group has undermined that and brought down on its heads the justified anger of its workers. Other operators respect their staff, Wood Group must too. Those workers and their trade unions have the full lawful support of the ITF."

 

ENDS

 

 

 

 

 

ITF communications: getting the message out - when and where it matters

 

www.itfglobal.org 

www.facebook.com/ITFglobal 

Twitter: @itfglobalunion

 

 

This email is confidential and may be privileged. If you have received it in error, please notify the sender and then delete it immediately. You should not copy it or use it for any purpose nor disclose its contents to any other person. Any views or opinions expressed within the email are solely those of the sender and do not necessarily represent those of the ITF or the Seafarers' Trust.

Press release: ITF commends SIU of Canada over licence exposé

Please find this release attached and below.

Yours,

Sam Dawson

ITF

 

 

15 July 2016

ITF commends SIU of Canada over licence exposé

The ITF has commended the Seafarers International Union of Canada for its work in revealing abuses of a permit licensing system that risked undermining the nation's cabotage laws and shipping capability.

 

ITF seafarers section chair Dave Heindel stated: "The investigative work of the union has forced an admission from the Canadian government that at least 11 work permits have been illegally issued – and this may be just the tip of the iceberg. What the SIU of Canada has uncovered looks very much like the illegal and systematic granting of permits to the crews of hundreds of foreign flag ships working Canadian waters, despite the availability of Canadian seafarers to serve on them."

 

ITF president Paddy Crumlin added: "The Federal Court of Canada has caught the government out either actively undermining or colluding in the undermining of Canadian national law. That law is designed to ensure that the country retains and treasures its naval capability and the employment of citizens and the support of their communities."

 

He continued: "We believe that the people of Canada understand the need for maritime cabotage and all that it brings to their country. They will be shocked to see it being abused in this way. The ITF and all our unions applaud the work done by the SIU of Canada to defend it and expose this wrongdoing."

 

In a statement about the Federal Court victory, SIU of Canada president James Given said: "It is outrageous that temporary foreign workers are being granted work permits to crew these oil tankers, while qualified Canadian seafarers are unemployed. This is a big win for our members, who are trained and available to crew these oil tankers. The SIU of Canada will keep fighting until these flag of convenience vessels shipping in Canadian waters are crewed by Canadian seafarers."

 

You can read the statement in full at http://goo.gl/0dEt7a.

 

ENDS

 

 

 

 

ITF communications: getting the message out - when and where it matters

 

www.itfglobal.org 

www.facebook.com/ITFglobal 

Twitter: @itfglobalunion

 

 

This email is confidential and may be privileged. If you have received it in error, please notify the sender and then delete it immediately. You should not copy it or use it for any purpose nor disclose its contents to any other person. Any views or opinions expressed within the email are solely those of the sender and do not necessarily represent those of the ITF or the Seafarers' Trust.

Press release: ITF upholds cabotage role to TTIP stakeholders

Please find this release attached and below.

Yours,

Sam Dawson

ITF

13 July 2016

ITF upholds cabotage role to TTIP stakeholders

The ITF (International Transport Workers' Federation) has upheld the vital role of maritime cabotage in protecting jobs, economies and skills at a TTIP (Transatlantic Trade and Investment Partnership) stakeholder event in Brussels, Belgium, today.

 

ITF seafarers' section secretary Jon Whitlow addressed the meeting's audience of TTIP negotiators.

 

He told them: The ITF welcomes the opportunity to state our position on behalf of our affiliates regarding the labour and maritime transport issues under discussion in TTIP and trade agreements in general. Trade agreements should be an opportunity to improve workers' rights and have as a primary objective the facilitation of full employment and decent working conditions for the workers of the contracting parties. Therefore, we believe that TTIP should include a strong, legally binding labour chapter, with recognition of ILO global labour standards as minimum standards and EU and US standards on social and labour rights and should exclude transport from the scope of the negotiations

 

The international maritime transport market, particularly in the US/EU trade, where the European Union has banned liner carrier conference and pricing agreements, is open, liberal and extremely competitive. Recent overcapacity, consolidation and downward freight rate trends confirm that.

 

Despite this, and despite the clear success and valid economic and security reasons for national domestic maritime policies – including cabotage – the European Commission continues to insist on including maritime transport services in TTIP without providing any evidence that such inclusion would benefit either side or consideration of the detrimental impact it would have on national fleet development and employment of national seafarers in the EU and US.

 

The maritime provisions in the EU services proposal continue to seek access for EU vessels to certain US cabotage markets, including for EU second register vessels which employ mostly non-EU seafarers; and to restrict any measures that would enable the United States to strengthen its remaining international flag fleet and related jobs. While the United States continues to defend its domestic cabotage and small US-flag international presence (fewer than 80 US-flag ships) for national security purposes, the EU continues to promote member state aid for their fleets, including their second registers. And they seek access to the US domestic markets for those ships and non-EU seafarers as they did in the CETA (Comprehensive Economic and Trade Agreement) agreement. This is unacceptable.

 

Lastly, we need to clear up some misconceptions about the competitive environment in the maritime trade between the European Union and the United States.

 

All ships in the trade, including the small number of US-flag ships and the many EU ships of all flags, have unrestricted access to all commercial cargoes, access to the limited available US domestic feeder services and to all road and rail connections throughout the United States on an equal and non-discriminatory basis.

 

The small number of US-flag ships in the US/EU international trade have no Jones Act coastwise privileges or any regulatory advantage over the EU-owned and operated ships. In fact, many of those EU ships regularly seek their own advantage by operating under low-cost, non-national flags including flags of convenience. A recent study by the UN Conference on Trade and Development indicates that the EU currently has 16,472 ships under EU beneficial ownership and the majority of those vessels are not registered in EU member states. This has major implications for the retention of a maritime skills base in the EU which is essential for the EU maritime cluster to be able to function effectively.

 

US-flag ships carry approximately two percent of the commercial cargoes in the US-EU trade. EU owned and operated ships of all flags carry the majority of the trade. And all of the US-flag ships in the trade are owned and operated by subsidiaries of EU companies.

 

Jon Whitlow concluded: There is no reason for either side in TTIP to seek access to the other's domestic cabotage regimes or to restrict measures by either party to grow their national first registers and national seafaring jobs. And therefore, since access to the international maritime trades on both sides of the Atlantic is already open, there is no reason for the European Commission to continue to call for a maritime services chapter in TTIP.

 

ITF president Paddy Crumlin commented: "The ITF and its unions are committed to defending cabotage, which is in operation in 47 countries. We are on record as pointing out that failing to protect cabotage undermines sovereignty and has national security implications. It also has serious economic implications for maritime regions and communities."

 

ENDS

ITF communications: getting the message out - when and where it matters

www.itfglobal.org 

www.facebook.com/ITFglobal 

Twitter: @itfglobalunion

This email is confidential and may be privileged. If you have received it in error, please notify the sender and then delete it immediately. You should not copy it or use it for any purpose nor disclose its contents to any other person. Any views or opinions expressed within the email are solely those of the sender and do not necessarily represent those of the ITF or the Seafarers' Trust.

Press release: ITF takes Argentine to the ILO over interference in union/Relato de prensa: ITF lleva al Gobierno de la Argentina ante la OIT por interferencia en un Sindicato

Please find below a press release in English and Spanish from the International Transport Workers' Federation: ITF takes Argentina to the ILO over interference in union/Relato de prensa: ITF lleva al Gobierno de la Argentina ante la OIT por interferencia en un Sindicato

Many thanks, 

Gemma Walker 

POC communications specialist 

International Transport Workers' Federation 

0207 940 9209

07850 736145

7 July 2016

ITF takes Argentina to the ILO over interference in union

 

The ITF has complained to the International Labour Organisation (ILO) about the Argentine government violating ILO conventions in its interference in the affairs of the Sindicato de Obreros Maritimos Unidos (SOMU) union.

 

The complaint states: By placing SOMU under its control the government of Argentina is in breach of its obligations under ILO Convention 87. "This interference by the Argentine government restricts the rights of SOMU, its officials and its members to organise their administration and activities in full freedom."

 

The ITF demands that the Argentine government immediately hand back control of SOMU to its elected leadership and its members. 

 

Furthermore, the ITF general secretary Stephen Cotton has written to member of congress Ms Gladys Gonzalez, who now describes herself as the new leader of SOMU since the government takeover.

 

Mr Cotton said: "No intervention that violates the principles contained in ILO Convention 87 and 98, that may attempt to disrespect a union's self determination or constitutional provisions, that may lead to seizing workers' assets or property or that may try to deny their legitimately elected leadership, has any legal or moral validity."

 

Yesterday (6 July 2016) union leaders from Argentina, Bangladesh, Belgium, Brazil, Bulgaria, Croatia, Czech Republic, France, Germany, Netherlands, Panama, Russia, Switzerland, UK and Uruguay passed an emergency resolution backing Sindicato de Obreros Maritimos Unidos, SOMU.

 

Ivan de la Guardia, general secretary of Unión de Capitanes y Oficiales de Cubierta (UCOC) and national coordinator of ITF affiliates in Panama, seconded the resolution: "We strongly express our support for SOMU as a sister organisation that has, for a long time, provided solidarity in Panama, Latin America and across the world. The situation must be resolved and SOMU must have its independence restored."

 

Read the resolution here.

 

In February armed police raided SOMU offices confiscating equipment and removing elected union leaders from their offices.

 

ENDS

7 de Julio de 2016

ITF lleva al Gobierno de la Argentina ante la OIT por interferencia en un Sindicato

 

La ITF ha presentado una Queja ante la organización Internacional del Trabajo (OIT) por las violaciones cometidas contra convenios de la OIT por parte del Gobierno de la Argentina, al interferir en los asuntos internos del Sindicato de Obreros Marítimos Unidos (SOMU)

 

La Queja establece que al colocar al SOMU bajo su control, el Gobierno de la Argentina esta violentando sus obligaciones, contenidas en el Convenio 87 de la OIT. "La intervención por parte del gobierno de la Argentina implica el grave peligro de

una limitación del derecho del SOMU de elegir libremente a sus representantes y de organizar su gestión y sus actividades."

 

La ITF exige que el gobierno de la Argentina devuelva inmediatamente el control del SOMU a su Directiva electa y a sus afiliados.

 

Adicionalmente, el Secretario general de la ITF Stephen Cotton le ha escrito a la Diputada Sra. Gladys González, que ahora se describe a si misma como "la nueva conducción" del SOMU desde la intervención del gobierno.

 

El Sr. Cotton expresó que: "ninguna intervención que violente los principios de los convenios 87 y 98 de la OIT, que intente desconocer su autonomía o procedimientos Estatutarios, que tienda a despojar a los trabajadores de sus bienes y patrimonio o que intente desconocer la Directiva legítimamente electa por ellos, posee validez legal o moral."

 

El día de ayer (6 de Julio del 2016) dirigentes sindicales de Alemania, Argentina, Bangladesh, Bélgica, Brasil, Bulgaria, Croacia, Francia, Holanda, República Checa, Panamá, Reino Unido, Rusia, Suiza y Uruguay aprobaron una Moción de Emergencia en apoyo al sindicato de Obreros Marítimos Unidos, SOMU.

 

Iván de la Guardia, secretario general de la Unión de Capitanes y Oficiales de Cubierta (UCOC) y coordinador nacional de los afiliados de la ITF en Panamá, respaldó la resolución: "Queremos expresar nuestro total apoyo al SOMU, una organización hermana que durante mucho tiempo ha otorgado solidaridad a varias organizaciones sindicales en Panamá, en América Latina y alrededor del Mundo. La situación debe de ser resuelta y SOMU debe de tener restaurada su independencia en forma absoluta e irrestricta."

 

Para leer la resolución vea aquí 

This email is confidential and may be privileged. If you have received it in error, please notify the sender and then delete it immediately. You should not copy it or use it for any purpose nor disclose its contents to any other person. Any views or opinions expressed within the email are solely those of the sender and do not necessarily represent those of the ITF or the Seafarers' Trust.