It is important that users read the Terms of Use before proceeding as it explains certain legal and regulatory restrictions applicable to the dissemination of information pertaining to Morgan Stanley Investment Management's investment products. 31-Jan-2023, As of The Trustees reviewed the balance sheet of AHIC and discussed the financial stability and profitability of the firm. In considering the Advisers practices regarding brokerage and portfolio transactions, the Trustees reviewed the Advisers standards, and performance in utilizing those standards, for seeking best execution for Fund portfolio transactions. The Trustees noted that the Fund outperformed each of its peers in the since inception and year to date through May 31, 2016 periods. The largest outstanding borrowing during the year ended September 30, 2016 relating to BNP was $65,000,000. The market value of PRIME assets, including PRIME's shareof joint venture assets, before debt. Jim Caron, Co-Lead Global Portfolio Manager and Co-Chief Investment Officer of the Global Balanced Risk Control (GBaR) Team, shares his macro thematic views on key market drivers. The Board of Trustees of the registrant has determined that the registrant has at least one Audit Committee Financial Expert serving on its audit committee. Minutes. These policies are in conformity with accounting principles generally accepted in the United States of America (GAAP). 1. It also contained information on Fund expenses, including comparative expense ratio information for other investment companies with strategies similar to the Fund. The registrants audit committee has considered whether the provision of non-audit services to the registrants investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant, that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, is compatible with maintaining the principal accountants independence. In these offers, the Fund offered to repurchase up to 5% of the number of its outstanding shares as of the Repurchase Pricing Dates. Additionally, at the Lakemont Group, Mr. Propper was responsible for overseeing projects for a variety of clients including pension funds, private equity firms and publicly traded real estate companies and specialized in structured finance, market analysis and strategic due diligence. The percentage represents a single distribution from the Fund and does not represent the total return of the Fund. Our procedures included confirmation of securities owned as of September 30, 2016 by correspondence with the custodian, brokers, and other appropriate parties or by other appropriate procedures when necessary. Performance data for funds with less than one year's track record is not shown. For the year ended September 30, 2016, Class A and C shares incurred shareholder servicing fees of $783,216 and $358,645, respectively. Morgan Stanley Prime Property Fund is an open-end core fund with a focus on office, retail, multifamily, industrial, self storage and hotel properties located in major real estate markets throughout the United States. Hear their stories and learn about how they are redefining the terms of success. a number of leadership roles at Nomura, Lehman Brothers and Morgan Stanley. Following further discussion of the Funds current and projected asset levels, expectations for growth, and levels of fees, the Board determined that the Funds fee arrangements were fair and reasonable in relation to the nature and quality of the services provided by CenterSquare. During the year ended September 30, 2016, the Fund incurred $310,030 of interest expense related to the unused amount. The joint venture also acquired one additional storage property bringing the total capitalization to more than $400 million. Total returns are for the period indicated and have not been annualized and do not reflect the impact of sales charges. Sustainability factors can pose risks to investments, for example: impact asset values, increased operational costs. Total returns are for the period indicated and have not been annualized. Griffin Institutional Access Real Estate Fund. The Adviser and the Fund have entered into an expense limitation and reimbursement agreement (the Expense LimitationAgreement) under which the Adviser has agreed contractually to waive its fees and to pay or absorb the ordinary annual operating expenses of the Fund (including organizational and offering expenses, but excluding taxes, interest, brokerage commissions, acquired fund fees and expenses and extraordinary expenses) at least until January 31, 2017, so that the total annual operating expenses of the Fund do not exceed 1.91% per annum of Class A average daily net assets, 2.66% per annum of Class C average daily assets and 1.66% per annum of Class I average daily assets (the Expense Limitations). Randy I. Anderson Ph.D. CRE Dr. Anderson serves as Chief Investment Officer of our advisor and Portfolio Manager of Griffin Institutional Access Real Estate Fund. The Trustees noted that the Fund outperformed the S&P 500 Index and the Barclays U.S. Class C and Class I shares are offered at net asset value. This proposal represents a new relationship with Morgan Stanley on behalf of the OPERF real estate portfolio. The tax character of distributions paid for the years ended September 30, 2016 and September 30, 2015 were as follows: As of September 30, 2016 the components of accumulated earnings/(deficit) on a tax basis were as follows: Other cumulative effect of timing differences. Dr. Randy Anderson, CIO of the Adviser is the Funds portfolio manager. Following further consideration and discussion, the Board indicated that CenterSquares standards and practices relating to the identification and mitigation of potential conflicts of interests were satisfactory. Info: 213-974-3211 | helpdesk@lacounty.gov. At the meeting, the Trustees reviewed various informational materials, including the Investment Advisory Agreement for the Fund and a memorandum from the Adviser to the Trustees containing information about the advisory firm and its business. We live that commitment through long-lasting partnerships, community-based delivery and engaging our best assetMorgan Stanley employees. As such this category may change in the future. We are pleased to present the Griffin Institutional Access Real Estate Fund's (the "Fund") annual report. Implement policies and procedures, set and approve annual budget. Securities Lending Annual Report.pdf. PRIME, a $6.3 billion diversified core real estate fund, is managed by Morgan Stanley Real Estate. Material Conflicts of Interest and Proxy Voting Committee. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. 31-Jan-2023, As of Class A and Class I shares are not currently subject to a Distribution Fee. Get the latest insights, analyses and market trends in our newsletter, podcasts and videos. The Investment Pool holds external and internal endowments and other long term cash holdings. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliates Purchasers. We believe that our audits provide a reasonable basis for our opinion. The business and affairs of the Fund are managed under the direction of the Trustees. A comprehensive assessment of noteworthy trends shaping the global investment risk environment and our portfolio allocations. The inputs or methodologies used for valuing securities are not necessarily an indication of the risk or liquidity associated with investing in those securities. Agenda/Materials. The Trustees noted that the Fund commenced operations on June 30, 2014, and continued to gather assets. Stay abreast of the latest trends and developments. Previously, Mr. Propper was a Director at Lakemont Group, a boutique real estate investment banking and consulting firm. Currently, no secondary market exists for the Funds shares, and the Fund expects that no secondary market will develop. Morgan Stanley helps people, institutions and governments raise, manage and distribute the capital they need to achieve their goals. The CCO will designate another Portfolio Manager the responsibility to form a proxy voting recommendation and serve as the original Portfolio Manager would have done in the proxy voting process. Underlying Funds, if privately placed, generally are not subject to the regulatory scheme applicable to public companies. The Funds private holdings include: Formerly known as the Cornerstone Patriot Fund. The firm was founded in 2012 and is based in San Francisco, CA. Prime Property Fund Asia is a real estate opportunistic fund managed by Morgan Stanley. Indexes are not actively managed and do not reflect deduction for fees, expenses or taxes. We believe our greatest asset is our people. An investor cannot invest directly into an index. The Trustees determined that the management fee and net expense ratio were higher than some, but not all, of the comparable funds and the peer group averages. Measurement is time-weighted. The Fund raised $1.5 billion in 2021, the most of any active interval fund, representing 21% of all direct industry capital placed into interval funds last year, and recently posted its 36th consecutive distribution at a 5.25% annualized yield based on NAV on the distribution date. The Trustees then compared the fees and expenses of the Fund (including the management fee) to other funds comparable in terms of the type of fund, the nature of its investment strategy, and its style of investment management, among other factors. Morgan Stanley Prime Property Fund Llc. In considering whether to approve the Investment Sub-Advisory Agreement, the Trustees reviewed and considered the information they deemed reasonably necessary, including the following material factors: (i) the nature, extent, and quality of the services provided by CenterSquare; (ii) theinvestment performance of the Fund and CenterSquare; (iii) the costs of the services provided and profits realized by CenterSquare and its affiliates from the relationship with the Fund; (iv) the extent to which economies of scale would be realized as the Fund grows and whether advisory fee levels reflect those economies of scale for the benefit of the Funds investors; (v) CenterSquares practices regarding brokerage and portfolio transactions; and (vi) CenterSquares practices regarding possible conflicts of interest. A portion of these securities are held as collateral for the outstanding Line(s) of Credit. You cannot invest directly in an index. In addition, two or more Clients may have different investment objectives or investment styles. %%EOF The Trustees reviewed the balance sheet of the Adviser and discussed the financial stability and profitability of the firm. The Fund may use the fair value of a security to calculate its NAV when, for example, (1) a portfolio security is not traded in a public market or the principal market in which the security trades is closed, (2) trading in a portfolio security is suspended and not resumed prior to the normal market close, (3) a portfolio security is not traded in significant volume for a substantial period, or (4) the Adviser determines that the quotation or price for a portfolio security provided by a broker-dealer or independent pricing service is inaccurate. It also brings the total number of private real estate holdings to 17. Dr. Anderson also served as the Howard Phillips Eminent Scholar Chair and Professor of Real Estate at the University of Central Florida where he directed the research and education institute. Morgan Stanley Prime Property Fund is an open-end core fund with a focus on office, retail, multifamily, . Demand continues to outstrip supply, which has helped keep vacancy rates below their long-term averages and prompt favorable conditions for landlords to increase rents for most asset types. Applications for shares in the Fund should not be made without first consulting the current Prospectus and theKey Information Document (KID) orKey Investor Information Document (KIID), which are available in English and in the official language of your local jurisdiction atmorganstanleyinvestmentfunds.comor free of charge from the Registered Office of Morgan Stanley Investment Funds, European Bank and Business Centre, 6B route de Trves, L-2633 Senningerberg, R.C.S. No. Performance data quoted is based on average annualized returns and net of fees. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30th is available without charge upon request by calling toll-free 888-926-2688, or on the SECs website at http://www.sec.gov. A timely analysis of market-changing events and their impact on the investment landscape. The WAM calculation utilizes the interest-rate reset date, rather than a security's stated final maturity, for variable- and floating- rate securities. After reviewing the foregoing information and further information in the memorandum from the Adviser (e.g., the Advisers Form ADV and descriptions of the Advisers business and compliance program), the Board concluded that the nature, extent, and quality of the services to be provided by the Adviser were satisfactory and adequate for the Fund. Such instruments are considered cash equivalents because they are deemed liquid and not subject to significant risk of changes in values. The Trustees also reviewed a memorandum from the Funds legal counsel that summarized the fiduciary duties and responsibilities of the Board of Trustees in reviewing and approving the Investment Advisory Agreement, including the types of information and factors that should be considered in order to make an informed decision. %PDF-1.6 % The Funds investment adviser is Griffin Capital Advisor, LLC (the Adviser). Within this role Mr. Propper provided portfolio management services to the Bluerock Total Income Plus Real Estate Fund. We help people, businesses and institutions build, preserve and manage wealth so they can pursue their financial goals. Luxemburg B 29 192. Principal Accountant Fees and Services. The following is a summary of significant accounting policies followed by the Fund in preparation of its financial statements. The Trustees also noted that AHICs fee, combined with the Advisers fee, were similar to the management fees for funds with similar investment strategies. Past performance does not guarantee future results. Absent material conflicts, the President of the Adviser, in consultation with the Investment Committee, will determine how the Adviser should vote the Proxy in accordance with applicable voting guidelines (see below), taking into account the recommendation of the Portfolio Manager. Morgan Stanley is differentiated by the caliber of our diverse team. NIC Audit Committee Report September 2020.pdf. This information is available in the PitchBook Platform. The Funds income, expenses (other than class specific distribution fees) and realized and unrealized gains and losses are allocated proportionately each day based upon the relative net assets of each class. Griffin Institutional Access Real Estate Fund A Without Load, Griffin Institutional Access Real Estate Fund A With Load*, Barclays Capital U.S. This dual focus for the identification of value allows us to appreciate the going concern valuation of the company as well as the liquidation value of the tangible property portfolio. Furthermore, the value of investments may be adversely affected by fluctuations in exchange rates between the investors reference currency and the base currency of the investments. The Trustees also noted that the Advisers fee was similar to other funds employing similar strategies to the Fund. These include commercial paper, open FX transactions, Treasury bills and other short-term instruments. Investors in the Fund should understand that the net asset value (NAV) of the Fund will fluctuate, which may result in a loss of the principal amount invested. As a global financial services firm, Morgan Stanley is committed to technological innovation. . Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. Given the amount of volatility and uncertainty surrounding the U.S. election, the United Kingdoms decision to leave the European Union (commonly referred to as Brexit) and U.S. Federal Reserve (Fed) policy this past year, we have remained overweight to private securities relative our long-term target allocation. These inputs are categorized in the following hierarchy under applicable financial accounting standards: Unadjusted quoted prices in active markets for identical, unrestricted assets or liabilities that the Fund has the ability to access at the measurement date; Quoted prices which are not active, quoted prices for similar assets or liabilities in active markets or inputs other than quoted prices that are observable (either directly or indirectly) for substantially the full term of the asset or liability at the measurement date; and. Class A shares commenced operations on June 30, 2014 and Class C and Class I shares commenced operations on August 10, 2015. Morgan Stanley Prime Property Fund - Staff Memo.pdf. For a description of a possible sales charge, please see (Note 1). The charts represent the diversification by sector and geography of the private fund holdings as of 10/3/16. westernassetfunds.com. 31-Jan-2023, As of In considering whether to approve the Investment Advisory Agreement, the Trustees reviewed and considered the information they deemed reasonably necessary, including the following material factors: (i) the nature, extent, and quality of the services provided by the Adviser; (ii) the investment performance of the Fund; (iii) the costs of the services provided and profits realized by the Adviser and its affiliatesfrom the relationship with the Fund; (iv) the extent to which economies of scale would be realized as the Fund grows and whether advisory fee levels reflect those economies of scale for the benefit of the Funds investors; (v) the Advisers practices regarding brokerage and portfolio transactions; and (vi) the Advisers practices regarding possible conflicts of interest. The services described on this website may not be available in all jurisdictions or to all persons. The Adviser has sole discretion to vote proxies on behalf of the Non-discretionary Clients provided that, in each case, implementation of the outcome of the proxy vote would not cause the Non-discretionary Clients portfolio to be out of compliance with its Investment Guidelines. Aon Hewitt Investment Consulting, Inc. (AHIC) provides advisory services to the Fund by recommending private investment securities in which to invest to the Adviser pursuant to an Investment Sub-Advisory Agreement. The Trustees noted that the Fund commenced operations on June 30, 2014, and continued to gather assets. In considering whether to approve the Investment Sub-Advisory Agreement, the Trustees reviewed and considered the information they deemed reasonably necessary, including the following material factors: (i) the nature, extent, and quality of the services provided by AHIC; (ii) the investment performanceof the Fundand AHIC; (iii) the costs of the services provided and profits realized by AHIC and its affiliates from the relationship with the Fund; (iv) the extent to which economies of scale would be realized as the Fund grows and whether advisory fee levels reflect those economies of scaleforthe benefit of the Funds investors; (v) AHICs practices regarding brokerage and portfolio transactions; and (vi) AHICs practices regarding possible conflicts of interest. Griffin Capital Securities, Inc. does not accept any liability for losses either direct or consequential caused by the use of this information. Kansas Public Employees Retirement System (PERS) has approved a $100m (85.1m) commitment to Morgan Stanley's core open-ended US fund. Average borrowings and the average interest rate for the days the Credit Suisse line of credit was outstanding during the year ended September 30, 2016 were $41,831,967 and 3.17%, respectively. A monthly publication featuring the Global Multi-Asset Teams latest views on the economic and market environment and how best to position portfolios. WAL is the weighted average life of the portfolio. Proprietary views on big ideas with the potential for far-reaching consequences. This is a profile preview from the PitchBook Platform. For more information on the differences in share classes, refer to the applicable prospectus, which can be found at: https://www.griffincapital.com/griffin-institutional-access-real-estate-fund/forms-and-literature. Quarterly repurchases by the Fund of its shares typically will be funded from available cash or sales of portfolio securities. The Fund is a closed-end interval fund that provides liquidity to shareholders through a quarterly repurchase offer. 790 0 obj <>/Filter/FlateDecode/ID[<607857BE6E716B4E9D499B07A688E7D9><222708FA8A18DD4D8383652F01B69479>]/Index[764 45]/Info 763 0 R/Length 123/Prev 207225/Root 765 0 R/Size 809/Type/XRef/W[1 3 1]>>stream The Fund's Class A shares commenced operations on June 30, 2014. This rating does not take into account other risk factors which should be considered before investing, these include: Insights by Global Listed Real Assets Team. Over the past twelve months and through careful portfolio composition, we reduced our exposure to the multi-family sector by 603 basis points and increased our office exposure by 482 basis points. At a meeting of the Funds Board of Trustees on June 21, 2016, the Trustees approved the continuation of the Investment Sub-Advisory Agreement for a one-year term. Last Annual Report . 1The Morningstar Rating for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. GRIFFIN INSTITUTIONAL ACCESS REAL ESTATE FUND | SEMI-ANNUAL REPORT 2016 . We have global expertise in market analysis and in advisory and capital-raising services for corporations, institutions and governments. The Trustees determined that the management fee and net expense ratio were higher than some, but not all, of the comparable funds and the peer group averages. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. There is no guarantee that shareholders will be able to sell all of the shares they desire to sell in a quarterly repurchase offer, although each shareholder will have the right to require the Fund to purchase at least 5% of such shareholders shares in each quarterly repurchase. 3. In consideration of the Advisers agreement to limit the Funds expenses, the Fund has agreed to repay the Adviser in the amount of any fees waived and Fund expenses paid or absorbed, subject to the limitations that: (1) the reimbursement for fees andexpenses will be made only if payable not more than three years from the end of the fiscal year in which they were incurred; and (2) the reimbursement may not be made if it would cause the Expense Limitations to be exceeded. Morgan Stanley Prime Property Fund - AON Memo.pdf. 31-Jan-2023, As of Morgan Stanley Prime Property Fund $1.1 billion Fund Redemption Queue Balances AEW Core Property Trust $160.0 million, 2.0% of $8.0 billion of Fund NAV Heitman America Real Estate Trust $1.2 billion, 11.5% of $10.4 billion of Fund NAV Morgan Stanley Prime Property Fund $0.0 million, of $34.1 billion of Fund NAV As of . As previously stated, we remain focused on net operating income (NOI) growth. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. The tax character of the Funds distributions, in isolation, does not reveal much information about whether the distributions are supported by the Funds returns. A Fund can have distributions from net investment income and realized capital gains in years in which it incurs an economic loss due to unrealized losses not being recognized for tax purposes. During the period covered by this report, the registrant had not granted any express or implicit waivers from the provisions of the code of ethics adopted in Item 2(a) of this report. Any Trustee may be removed at a meeting of shareholders by a vote meeting the requirements of the Funds organizational documents. Aggregate Bond Index is a market value-weighted index of investment grade fixed-rated debt issues, including government, corporate, asset-backed and mortgage-backed securities with a maturity of one year or more. Meet one of our Financial Advisors and see how we can help you. Performance of 100 USD invested Download Average Annual Total Returns As of 31-Dec-2022 TIMEFRAME: Month-end Quarter-end Calendar Year Risk/Return Statistics As of 31-Jan-2023 TIMEFRAME: 3 Yrs Risk and Reward Profile As of 01-Dec-2022 Lower Risk High Risk Potentially Lower Rewards Potentially Higher Rewards Prior to February 1, 2016 each Trustee who is not affiliated with the Fund or the Adviser received a quarterly fee of $2,500, as well as reimbursement for any reasonable expenses incurred attending the meetings, and $500 per each special telephonic meeting. CenterSquare Investment Management has been managing real estate securities portfolios since 1995 across multiple strategies and market cycles. Net increase in net assets resulting from operations, Net cash provided by financing activities, Cash & cash equivalents, beginning of year. There were no significant changes in the registrants internal control over financial reporting that occurred during the registrants last fiscal half-year that have materially affected, or are reasonably likely to materially affect, the registrants internal control over financial reporting. Class C shares may be subject to a 1.00% contingent deferred sales charge on shares redeemed during the first 365 days after their purchase. After further review and discussion, the Board determined that CenterSquares practices regarding brokerage and portfolio transactions were satisfactory. Recognition of net investment income is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. Category 1 does not indicate a risk free investment. The Funds distribution policy is to make quarterly distributions to shareholders. No assurances can be given that the Fund will pay a dividend in the future; or, if any such dividend is paid, the amount or rate of the dividend. endstream endobj 765 0 obj <>/Metadata 16 0 R/OCProperties<>/OCGs[791 0 R]>>/Outlines 22 0 R/PageLayout/SinglePage/Pages 762 0 R/StructTreeRoot 27 0 R/Type/Catalog>> endobj 766 0 obj <>/ExtGState<>/Font<>/Properties<>/XObject<>>>/Rotate 0/StructParents 0/Tabs/S/Type/Page>> endobj 767 0 obj <>stream The Fund has entered into secured bank lines of credit through BNP Paribas Prime Brokerage International, Ltd. (BNP) and Credit Suisse (Credit Suisse) (collectively the Banks) for the purpose of investment purchases subject to the limitations of the 1940 Act for borrowings. We have strategically shifted the portfolio composition in favor of managers whom we believe are best poised to deliver outsized growth of key operating metrics. We have audited the accompanying statement of assets and liabilities of Griffin Institutional Access Real Estate Fund (the Fund), including the portfolio of investments, as of September 30, 2016, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the two-year period then ended and for the period June 30, 2014 (commencement of operations) through September 30, 2014.
