MSCI Real Estate

ANALYTICAL SOLUTIONS,
DELIVERED.

© 2021 MSCI Inc. All rights reserved. 2

Please refer to the disclaimer at the end of this document.
The complete real estate vista​
However, and wherever, you invest​

From climate
commitments, regulation,
and risk - to the pitfalls and
potential of data, the real Our database
estate investment universe spans $2 trillion of private
is in flux ​
real estate assets, across morethan
Our analytical solutions 30 countries, including $450
make it easier to allocate billion assets held by public real
and manage investments,
and capture opportunity estate companies, giving you
across private and listed the most complete global investment
real assets picture.

3
Real Estate Market Coverage Whatever Your Strategy

30
countries
900+
clients
230
cities
70
indexes

Office Industrial Average 18.5

55000+ assets Professional real estate
Retail Healthcare years of
1400+ portfolios worldwide coverage
Residential Hotel historical data

4
Navigating this landscape
Making it easier to invest
Our analytical solutions, make it easier to increase
allocation to, and better manage your private and public
real assets investments

Transforming Delivering clarity Answering the Providing a common Analytical

private assets from the complex questions that language solutions,
matter delivered

5
Navigating this landscape
Making it easier to invest
We give you a holistic view across your
opportunity set and your performance
and risk

• Your opportunity set

Global market data and insight
• Your performance
Real analytics and benchmarking
• Your risk
Income and risk analysis
All delivered through our MSCI Real Estate
Analytics Portal or direct to your systems via API.

Enabling better decision making throughout the

entire investment process.

6
MSCI Real Estate - Our Clients
Asset Owner
01 Investor Level
Weighted Unlisted Holdings

02
Global Single fund Multi-fund Separate Multi-fund Regional fund
Fund Manager multi-asset manager sector account portfolio manager
Level class manager specialist manager manager

03
Diversified Prime property Wholesale Core fund Commercial Prime property
Fund Level property fund industrial fund office property fund retail fund
fund

04
Property information Performance & Investment Operating information
Asset Level includes characteristics, sales and Information includes net income, gross income,
purchase information includes returns, yield measures vacancy and costs
and capital expenses

7
REITs
SUSTAINABLE, DIFFERENTIATED REAL
ESTATE PORTFOLIOS AND
BENCHMARKING

9
Sustainable, differentiated real estate portfolios

We power publicly listed investment vehicles to build better portfolios, through

investment tools, market data and actionable insights, whatever your strategy.
• Unique dataset – we capture and enrich data from the full spectrum of real estate investors, with
$2tn in real estate in 30 countries, which helps you communicate your strategy and market trends
• Unique insights - we provide portfolio analytics to publicly listed real estate companies managing
over $450bn which enables them to build better portfolios, improve operations across balance sheet
management, asset management and remuneration frameworks, as well as report performance to
shareholders

Integrate Climate Fulfil regulatory Isolate performance Objective Communicate

Risk modelling into disclosure, TCFD drivers from benchmarking your strategy
asset performance and investor market factors customized to and differentiate
analytics reporting to individual your strategy your offer
commitments properties

10
MSCI Real Estate - Our Clients

Real
NGT245
Estate

Direct / JV /
Separate Account

11
Research expertise

Our research solutions leverage our unique

dataset and analytical capabilities to provide
actionable insights at both the equity and
direct property level. Working in the context
of MSCI’s broader, multi-asset class research
team, we can help clients across asset
allocation, strategy and execution.

Climate-Transition
Risk: The Path to Real Estate
Net-Zero Market Size
Potential government policy shifts We’ve been estimating the size of
toward 1.5°C-aligned carbon- the global professionally
emissions commitments may managed real estate investment
result in significant and varied markets since 2004, bringing
additional decarbonization transparency to the market with
requirements for real estate historical and global data.
assets across the globe.

Read blog Access report

12
Listed and private real estate: Putting the pieces back together

Fundamental real estate asset performance is

demonstrated to be highly correlated with Real Listed Real Estate Equity vs Asset Returns
Estate Listed Equity returns over 1-3 years.

MSCI helps leading listed real estate companies

manage and report asset-level performance and
risk for better returns.

Read paper

13
Investor Relations use case
How do I differentiate my business?

You need to How can we help?

• Create strategic differentiation from Market data allows you to tell your story and
communicate market trends to investors.
competitors in important areas;
– Your specific strategy Enterprise Analytics (investment and operational
performance) enables you to demonstrate your
– Relative portfolio characteristics (quality, outperformance in asset selection and active
growth, income duration) management against MSCI benchmarks
– Climate risk and sustainability Climate risk analysis demonstrating portfolio
resilience and alignment with climate targets (e.g.
– Portfolio resilience - defensiveness Net Zero)
during stages of the economic cycle
Track record analysis to demonstrate portfolio
resilience across market cycles

14
Asset Management use case
Balance Sheet Management/Optimisation

You need to Example

• Preserve and enhance value of properties Capital growth by asset
within the portfolio
• Identify properties which may be impacting
balance sheet negatively or positively
• Identify over reliance on certain properties

How can we help?

✓ Assess the drivers of valuation movement
✓ Isolate the impact of Capital Spend asset by
asset
✓ Provide benchmark comparisons and
yardsticks

15
Portfolio Management use case
Operational Efficiency

You need to Example

• Demonstrate to investors you are more Report on operational cost split
efficient at running your assets and portfolio,
preserving and growing income

How can we help?

Provide a standard frame work from which to
measure costs including vacancies
Provide comparisons for portfolio and at
asset level

16
Asset Management use case
Demonstrating “superior” active management or Alpha ​

You need to Example

• Demonstrate your ability asset manage is Portfolio underperforms in growth phase, goes
better than the market and peers​ lower in crash​

How can we help?

MSCI can tailor a benchmark to reflect your
specific strategy as a market baseline for
internal comparison.
Provide like-for-like comparisons for portfolio
and at asset level
Set-up a tailored Performance Report as the
basis for internal performance management
and remuneration

17
Reporting use case
Implementing TCFD and climate disclosure

You need to Solution

• Set climate objectives such as Net Zero/2050 Real Estate Climate Value-at-Risk
or building a more climate resilient portfolio Comprehensive analysis of Value-at-Risk covering
• Identify key dimensions of climate risk, key dimensions of Physical and Transition risk at
typically arising from either Physical risk asset and portfolio level
exposure or Transition/Policy changes Analysis of vulnerability under different climate
scenarios (e.g. Net Zero/2050)
• Assess portfolio vulnerability or resilience to
Standardized reports and data extracts, presenting
climate risk under different scenarios
digestible information for simple communication to
• Promote integration of climate into investors or disclosure (e.g. TCFD)
investment decisions including due diligence Utilize Climate Value-at-Risk Due Diligence on-
for new acquisitions line reporting tool to screen potential acquisitions
for physical risk factors, transition risk and climate
MSCI TCFD Reporting Guide goal alignment (e.g. Paris alignment)

18
Our products
MSCI REAL ESTATE
GLOBAL INTEL

19
Indexes and benchmarking

MSCI Property Indexes MSCI Property Fund Indexes

Enable investors to measure Enable investors to measure
performance and risk of direct 31 countries performance and risk of indirect
real estate investments and the real estate fund investments
underlying assets MSCI Global Property Fund Index
MSCI Global Property Index (GPI) 900+ clients (GPFI)
Asia Pacific, North America, MSCI Pan-European Property
EMEA regional indexes plus Fund Index (PEPFI)
sub-regional composites
57 indexes 11 MSCI Property Fund Indexes
MSCI Property Indexes – covering US, UK, Germany,
46 markets France, Australia, Canada,
Nordics, Italy, Portugal

40 years
benchmarking leadership
20
MSCI Real Estate
Products

Global Intel Enterprise Analytics

Multinational Global Global Intel Portfolio & Fund Asset Tenancy
Intel Intel Plus analysis analysis analysis

Country and 32 countries / 32 counties / Allows you to see Detailed insight into Analytics to help you
regional indexes 94 cities / 138 1,400+ cities Ability and evaluate the operating and manage future
plus headline property types and to query the unique total performance of investment income streams of
performance, 16 fund indexes dataset using filters your entire real characteristics and your assets and
market tracking property such as property estate portfolio, and performance of provide a full picture
fundamentals and type, location and type, location and how you’re every asset you of the impact of
investment metrics asset-specific asset-specific managing it manage, and it’s every day property
characteristics characteristics impact on your management on
overall performance your portfolio

21
Global Intel
Global market data

Access to one of the most extensive private real estate databases in

the world. Our coverage represents $2tn private real estate assets
across 31 countries, over an average of 18.5 years1

Consistent Global markets, Like-for-like, Actual Unique Multiple

database, 80 comparable across performance characteristics breakdowns or
consistent measures geographies collected of different custom build
methodology from source: markets
bias free and preserved
quality assured

1. Based on 2019 year-end figures of MSCI real estate

22
Global Intel
Global market data

Returns
Custom
Segmentation
Drivers of return

Asset Averages
Market Dispersion
level
returns Analysis
returns Data across the distribution

Data at any level of aggregation

Underlying
Drivers
Input into forecasting models

23
Our products
MSCI REAL ESTATE
ENTERPRISE ANALYTICS
Enterprise Analytics
Answer the questions that matter
As strategies become more sophisticated and investors demand more
insight into risk and performance drivers and drag, we focus on
delivering client value far beyond the reporting cycle.
From strategy through capital raising, portfolio construction, and risk
and performance reporting, Enterprise Analytics supports you to
determine future allocation, translate idiosyncratic risk and quickly
compare yields against the market.

Greater Deeper analysis Streamlined Globally Custom datasets

transparency than ever before process for data consistent based on your
exchange benchmarking portfolios
at every
aligned with
level
your
strategy

25
Enterprise Analytics
Answer the questions that matter

I need data, specific to my

investments, quickly I want my analytical capability to
give me a competitive advantage
I need a single view across
my entire investment world I need to be able to respond
to understand performance quickly to investor questions
For risk and exposure I need to strengthen my
For
institutional I need a consistent way to measure governance and risk reporting portfolio
investors performance across managers and I need to demonstrate the
managers
markets performance of my portfolio
I need to quickly understand I need to set up data templates to
the impacts of allocation decisions meet different investor or
and wider consultant requirements
market trends

26
Enterprise Analytics
Income and risk analysis
In times of uncertainty, having a deep understanding of income streams on your property
portfolio is crucial. MSCI Real Estate’s Income & Risk Service allows you to drill deep into
concentration, leasing and counterparty credit risk enabling you to manage forward
looking risk
With greater insight into your tenancy and income components, you can:

Implement active Develop cohesive Understand global Communicate more

management term exposure concentration risks clearly to investors,
strategies based on strategies across – on a sector or showcasing the
tenant or covenant your assets individual tenant building blocks of
characteristics to level asset performance
reduce portfolio on a detailed level
volatility

27
 Enterprise Analytics use case Research & Strategy

Should I exit a particular strategy?

You need to Answer the questions Solution: Enterprise

that matter Analytics
Evaluate a potential decision to
exit office investments in Munich Q How does exiting a select group MSCI Configured Portfolios,
Portfolio Builder & Custom Analysis
of assets impact my portfolio
Understand, if actioned, what allocations? Complete evaluation of sector
impact this will have on overall
level performance and portfolio
portfolio balance and risk levels, Q How have these impacted my contribution through MSCI
allowing your team to accurately historical returns? configured reporting
develop an acquisition strategy to
redeploy capital Q What would my portfolio have Create new portfolios excluding
specific assets, markets, or
returned had I exited these assets
segments
Report on performance and impact earlier?
to the enterprise of these holdings Save & run analysis on an
while assets are waiting to be sold on-going basis to monitor
performance

28
Enterprise Analytics use case Research & Strategy

Should I exit a particular strategy?

Actionable insight: Portfolio allocation Annualized portfolio performance

Exiting these Munich office

assets did not have a major
impact on the overall portfolio
allocation, increasing the
allocation to non-office sectors
by a maximum of 1.4%

The assets have been a drag on

the overall portfolio. Excluding
these assets would have led to
better portfolio returns over the
one-, two-, three- and five-year
periods

29
 Enterprise Analytics use case Research & Strategy

Are asset strategies performing as expected?

You need to Answer the questions Solution: Enterprise

Evaluate 3 select buckets of
that matter Analytics
assets deemed to be various
strategies (core, value-add, Q Am I seeing appropriate levels of Portfolio Builder & Custom Analysis
opportunistic) returns from my higher risk Ability to create strategic
strategies? portfolios based on individual
Ensure that you’re obtaining assets
appropriate levels of returns in the Q Are we getting paid for the added
long-term for the added risk risk of value-add vs. core? Run consistent data samples to
assumed evaluate comparative performance
Q Is my core portfolio serving to Isolate metrics to target specific
reduce risk through stabilized components of analysis
income returns?

Q Are we strong in value-add and

opportunistic strategies?

30
 Enterprise Analytics use case Research & Strategy

Are asset strategies performing as expected?

Actionable insight: Relative Performance of Total Return Relative Performance of Income Return
compared to the Main Portfolio (%) compared to the Main Portfolio (%)
Analysts determine which assets from
the main portfolio they consider to fall
into each of the 3 strategies and create
custom datasets to run analysis

By analyzing performance
simultaneously with the main portfolio,
the relative impact on the total can be
understood to see if these asset pools
are reaching their goals

Overall, the manager is able to illustrate,

on a rolling annual basis, that while
returns for the assets defined by the
manager as core are lagging behind the
overall portfolio (except for a recent
outperformance), they are providing
a steady income return and serving
to reduce volatility risk

31
 Enterprise Analytics use case Research & Strategy

How should I re-balance my funds?

You need to Answer the questions Solution: Enterprise

that matter Analytics
See if portfolio(s) have become
overly concentrated Q Which assets can I target to Asset Contribution Report, Portfolio
Builder, Custom Analysis
move between portfolios?
Identify and evaluate moving
Standard reporting includes capital
assets between portfolios to Q Can I easily find assets value concentrations across
bring asset concentration levels with similar performance segments
in line with investment mandates characteristics from different
segments? Individual asset level reporting
Find a quick solution to test allows access to data to create
different combinations of assets Q What is the recent performance analysis to match specific needs
to not only re-set portfolio of my newly rebalanced On-demand creation of new
concentrations, but to keep portfolios? portfolios based on your data
performance levels steady
Save and edit portfolios to move
across portfolios assets to match desired targets

32
Enterprise Analytics use cases Research & Strategy

How should I re-balance my funds?

Asset Contribution Report Portfolio Builder Custom Analysis

Quickly identify asset values, portfolio %, Create customized portfolios based Build custom queries to extract the
sector, and market in a format that lets on assets held across your enterprise, analysis that you need to answer the
you analyze data at a granular level regardless of their base portfolios questions at hand

Find assets between portfolios with Save and edit portfolios, to meet your
similar capital value levels and absolute final needs
contributions to target properties which
may be candidates for re-balancing Enter filter criteria to include/exclude
specific characteristics

33
 Income and risk analysis use case Research & Strategy

Is my operating income overexposed to macroeconomic risks?

You need to Answer the questions Solution

Get a consolidated view of income
that matter
Income, Risk, and Tenancy Analysis
across all portfolios and assets
Quickly identify any markets, Q What % of my total Real Estate All tenancies tied to individual
property types, or industry sectors income is tied to the retail sector, and assets and respective portfolios
which may be responsible for a what sub-sectors of tenants is that
disproportionate amount of weighted towards? Summarized report showing
income concentrations of income by
Evaluate the timing of income Q Which tenancy sectors can I market, sector, and company
expiration to develop future reallocate to in in the short term in
leasing strategies to de-risk the order to de-concentrate my income? Comparable statistics relative to
business Will I receive a premium or take a the market, providing insight into
discount on my market rents to do competitor differentiation
Credit By Asset so?
Detailed analysis on tenant credit
Concentration

By Portfolio Q Am I over-exposed to low-quality quality

By Business tenants? Am I being compensated for
this?

34
 Income and risk analysis use case Research & Strategy

Should I target new industries for my retail tenants?

You need to Answer the questions Solution

Evaluate leases which are coming
that matter Income, Risk, and Tenancy Analysis
off the books over the next 2 years
in your retail property portfolio Q Do I have an opportunity to pivot Total insight into income expiry for
my portfolio to a higher quality tenant, specific property types and
Understand where opportunities lie individual assets, by market
while maintaining revenue?
within the portfolio to eliminate
high-risk tenants or under-market Weighted risk scoring, broken
rents Q Should I re-negotiate in place down by tenant and tenant sector
leases to further de-risk my portfolio?
Build a strategy around re-leasing Detailed data export allowing
properties cross-analysis of risk exposure by
Q Do market lease expirations in my tenant segment
desired tenant industry match my
Market level comparisons for
timeline?
lease expiry schedules, risk
scoring and in-place rents

35
 Our products
REAL ESTATE CLIMATE VALUE-AT-RISK (VAR)

© 2021 MSCI Inc. All rights reserved.

Please refer to the disclaimer at the end of this document.
Introduction
Real Estate Climate Value-at-Risk (Climate VaR) is
designed to provide a forward-looking and return-based Scenario analysis
valuation assessment to measure climate related risks on climate risks
and opportunities in an investment portfolio. and opportunities

Using the framework you can:

• Understand acute and chronic,
or forward looking risk​ How Climate
• Measure both transition and VaR can help
Systematic tools
physical risk you to prepare for disclosure
• Compare Climate VaR across your institution
asset classes
• Utilize a concept of monetary
value at risk giving a clearer
picture on portfolio impact Automated,
versus a general risk score​ streamlined
report creation

37
What is the Real Estate Climate Value at Risk (CVaR) model?
Climate VaR is a way to model the impact of climate change on your portfolios.
It gives two main outputs:

• CVaR: the estimated costs incurred by the

portfolio due to climate change
(expressed as a % of GAV)

• The Warming Potential of your portfolio

(degrees of global warming in 2100 that your portfolio is aligned
to, based on current carbon intensities)

38
Climate risks for Real Estate

Transition Risks Physical Risks

New York City’s “Climate Flooding in

Mobilization Act” Massachusetts

New York City’s “Climate Financial damage due to

Mobilization Act” aims to cut more frequent flooding in the
buildings’ emissions 80% by coastal region in New
2050. Buildings are given a England is estimated to be
carbon budget and fined $273m USD.
$268/ton CO2e for every ton
in breach.

39
39
Current Climate Value-at-Risk Pillars

Transition & Policy Risks Physical Risks & Opportunities

Transition Physical

1.5°C-Scenario Average RCP** 8.5

Aggregated
2˚C-Scenario Worst Case RCP** 8.5
Climate VaR
3°C-Scenario / NDC* Extreme Heat
Extreme Cold
Coastal Flooding
Tropical Cyclones
Fluvial Flooding (December)
Wildfire (2021)

*NDC: ‘Intended Nationally Determined Contributions’ submitted by countries at the COP21 Paris Climate Agreement, or the current global ambition level.
**RCP: ‘Representative Concentration Pathway’ used for climate modelling. An RCP 8.5 is equivalent to a business-as-usual scenario, roughly a 4˚C rise by 2100. 40
The modeling process

Transition Risks

Climate
VaR
Assets Energy/ Reduction Costs
emissions requirements

Physical Risks

Climate
VaR
Physical risks Assets Locations Costs

41
Can I standardize climate risks in my
INVESTMENT
USE CASE

investment process?
You need to Solution
• Develop a method of using climate related Real Estate Climate Value-at-Risk Reporting
analytics in your everyday investment
Complete view of your portfolio’s exposure to climate
processes risks, including physical risks and policy/transition
• Communicate consistently, internally and risks
externally, on issues surrounding Standardized metric of Climate Value-at-Risk,
environmental risks presenting a consistent view of monetary impact of
various risks as they relate to your portfolio or assets
• Utilize objective analytics to assist with
Property level analytics which allow you to identify
investment decision making
the main drivers of Climate VaR and make the
necessary portfolio changes
Use the Due Diligence tool to screen potential
acquisitions for climate risk and alignment to
strategy

42
How does adjusting my climate exposure impact
RISK
USE CASE

my portfolio?
You need to Solution
• Understand where you have high exposure to Real Estate Climate Value-at-Risk & Enterprise
physical risks in your portfolio, and how that Analytics
asset exposure reflects on your portfolio
Utilize Climate Value-at-Risk reporting to identify high
in terms of value value concentrations exposed to various hazards
• Identify opportunities to eliminate high Asset level analysis helps you identify those drivers
concentrations of risk in an efficient manner of risk, allowing you to find the most efficient route to
reducing risk
• Evaluate the impact of these decisions in the
context of your performance Utilizing MSCI’s Portfolio Builder in Enterprise
Analytics, you can evaluate the impact on your
portfolio of decisions you make, such as selling
various combinations of assets

43
 RISK
USE CASE
How do I integrate climate risk into asset underwriting?

You need to Solution

• Ensure new acquisitions factor-in Real Estate Climate Value-at-Risk
future climate risk and align with your
The ability to screen potential acquisitions
climate strategy or loan originations for climate risk as part
• Align with Net Zero (Paris) or other of underwriting and due diligence
long-term climate goals It provides a specific report outlining:
• Identify potential future capital • Overall Climate Value-at-Risk (% capital value),
physical Risk by factor and Transition risk over
expenditure as a result of physical or the next 15 years
transition risk factors not captured in
• Warming Potential metrics showing annual
valuations emissions reduction required to align with 1.5,
2 or 3 degree climate goals

44
 REPORTING
USE CASE
How do I fulfill reporting requirements on climate change?

You need to Solution

• Set climate objectives (e.g. Net Zero/2050 or Real Estate Climate Value-at-Risk
building a more climate resilient portfolio
Standardized reports and data extracts, presenting
• Identify key climate risks arising from either digestible information for simple communication
Physical risk exposure or Transition/Policy Deep analysis covering multiple scenarios across
risks physical and transition risk exposure
• Consistently measure exposure to climate Consistent data & metrics produced on all assets and
risks across the portfolio, which will differ by portfolios
sector and geography
• Examine the vulnerability or resilience of your
investment strategy: scenario analysis and
stress testing

45
Our difference
MSCI REAL ESTATE INSIGHT,
PEOPLE AND APPROACH
Actionable insight
Our research solutions leverage
our unique dataset and analytical
capabilities to provide actionable
insights. Working in the context of
MSCI’s broader, multi-asset class
research team, we can also help
clients across asset allocation,
strategy and execution

Research Market Real Estate

Snapshot Size Trends
A compilation of research on the We’ve been estimating the size
investment challenges facing of the global professionally How can you prepare for the
the industry from the risks of managed real estate investment emerging trends impacting
late cycle investing to disruptive markets since 2004, bringing real estate investors?
technology and how to transparency to the market with
incorporate ESG into your historical and global data.
investment strategy.
Read paper Access report Discover the trends

48
Our people

Our expert consultants and researchers know that any

lack of transparency or comparability with other asset
classes can muddy an investor’s assessment of risk
and performance and can make governance and
reporting more challenging. That’s why we have
dedicated teams to help you with your investment
strategy, enable you to deploy best practices and
ensure continuous improvement.

Accountability Knowledge Continuous

Dedicated team Best practice and improvement
to support your industry leading Providing an effective
investment strategy initiatives from feedback loop to
and goals market experts facilitate continuous
improvement

49
Our innovation roadmap
Our client-informed
innovation roadmap
is laser-focused on
delivering relevant Underlined
solutions, original insight, by quality:
best-in-class quality and As commercial enabler and
competitive advantage, quality
increasingly intuitive Client will always be prioritized.
technology experience:
A simple, intuitive
and increasingly
personalized user
experience is core
to everything we do
across the business.

Differentiated
content:
Expose new data,
indexes, or analysis
Scalable to our global client
community to build our
solutions: best in class database,
meet additional
Our solutions are use cases, improve
designed for scale in relevance to different
order to add value to users, and bring
all clients, markets, consistency across
and segments. markets and segments.

50
2021 key focus areas

Product
Content Data Enhancements
Enhancements Solutions

Enhanced Fund Methodology My Data Manager – easier to Expanded Climate VaR

submit data to MSCI (fluvial flooding, local
Non-Core Asset Analysis
API Development – system benchmarks, refined
New Indexes methodology)
to system data exchange
Third Party Integrations & Enhanced Analytical Tools
Partnerships Platform & User Experience

51
Onboarding at a glance

Real data from Analysis and

real investors Reporting
Property Details A relevant benchmark for all
your assets
One-off collection of
descriptives including location, Performance track record down
ownership, predominant use to each portfolio and individual
asset
Input Output
Financial Details Validation Absolute & Relative performance

Regular collection of valuations, and Aggregation Attribution and Contribution

capital expenditures, income and analysis for each asset
operating costs Global Database & Concentration Risk Analysis
These details can be provided by
Calculation
Impact of transactions and
Asset Owners, Valuers or Asset Engine developments
Managers

All accessible via the

MSCI Real Estate
Analytics Portal

52
MSCI Real Estate
Part of MSCI

45+ Indexes Analytics ESG Research Real Estate

Years in Business
• MSCI ACWI Index • Risk Management • MSCI ESG Ratings • MSCI Real Estate
• MSCI World Index • Portfolio Construction • MSCI ESG Fund Ratings Enterprise Analytics

3,000+ • MSCI Emerging Markets Index • Portfolio Attribution • MSCI Climate Solutions • MSCI Real Estate Global Intel

• Factor Indexes • Equity Risk Factor Models • MSCI ESG Controversies • MSCI Real Estate
Applied Research
• Thematic Indexes • Fixed Income Analytics • MSCI Fixed Income Solutions
Employees • MSCI Private Real
• ESG Indexes • Multi-asset Class Factor Models • MSCI ESG Screening
Assets Indexes
• Real Estate Indexes • FactorLab • MSCI ESG Governance Metrics
• Custom Indexes • Regulatory Compliance • MSCI Sustainable Impact Global leader in Real Estate

35 1300+ ETFs are based on

MSCI indexes, more than any
• Managed Solutions
World’s largest provider of ESG
data and research2
investment tools

In over 30 markets worldwide

MSCI Global Risk and
Global Locations other index provider1 Performance Engine runs up to Over 1500 ESG equity and fixed Coverage spanning $2TN of
1 Trillion calcs/day income indices use MSCI ESG private real estate assets
220,000+ Indexes
calculated daily Research ratings and data
2 Million time series 20+ years historical data

7,000+ 12,000+ in real time 70+ Million client positions

350+ dedicated full time staff
globally to ESG business,
including 200+ ESG research
Active Clients 50+ Global FI markets
analysts3
9000+ issuer curves
Over 1400 clients

1 As of March, 2020;, as reported by Refinitiv. 2 By coverage and/or staff based on public information produced by Sustainalytics, EIRIS, Trucost, as of Aug 2015; 3 Source: MSCI ESG Research as of March 2019.
53
Introducing API data delivery

Application Programming Interface

A method for software applications

What is an API? to communicate

Enables programmatic retrieval of

information directly from MSCI

What is available via API?

1 All Global Intel data

2 Enterprise Analytics data on:

Attribution, Standard portfolios, Standard and portfolio
contribution, & relative client ordered specific segments
measures benchmark, including
attribution
& contribution
56
API benefits to client

1 2 3 4 5
Integration Efficiency Personalization Flexibility Risk reduction
Real Estate data Content generated Users can customize Needs change over Data pull and
directly delivered via can be published the content and time and APIs help to transfer is automated
API Gateway to client automatically, services that they use anticipate these meaning there is a
applications, avoiding speeding up the most, reducing changes. APIs better significant reduction
unnecessary manual time-to-market. any repeat data support data in manual error,
steps to obtain and processes to a migration and make and all parties can be
transfer data between Reduced report single initial set-up. service provision confident they are
platforms. checking times with more flexible. looking at consistent
always up to date data.
Standardized data data.
model across all MSCI
products.

57
Support across the investment process
We can integrate our data into your systems and data warehouses to help support
across the investment process:
Performance management
Incorporating data into in-house
visualization tools for management

Benchmarking and Research / Strategy

Investor Reporting Combine MSCI data with other
Communicate via your own sources to build strategic research
templates and investor platforms
packs

Capital raising
Demonstrate track record and embed
within marketing materials
58
Index API use cases (A-C)

Need Solution Outcome

Client A needed to populate their Greater Efficiency

“data lake” with historical MSCI data, Client A can now populate their
but found it time consuming to historical data lake through a single
access, define, obtain, and transfer API call set
the necessary data

Client B needs fast access to updated Increased Speed

MSCI indexes, but had to rely on Client B can now immediately access
analysts to manually pull and load new MSCI indexes upon launch across
newly availably data after release all reports at once

Client C needed to validate that they

were using the latest official MSCI MSCI Real Lower Operational Risk
Client C can now ensure they are
data including historical updates Estate using the latest official MSCI data
which required internal resources to
perform manual checks API through automation

59
Index API use cases (D-G)

Need Solution Outcome

Client D needed to ensure their Lower Operational Cost

investment process would not be Client D can now reallocate internal
disrupted by formatting changes to MSCI resources to support other projects
files, which required budgeting for
internal resources to support such
transitions
Higher Utility
Client E needed to utilize the full range of Client E can now access 100% of
data included in their MSCI index their licensed MSCI index content
subscription, but only 50% was published
by their third-party vendor

Client G needed historical MSCI

MSCI Real More Control
returns in multiple currencies, which Estate Client G can now retrieve this data
directly through a single API call
required submitting a request to
MSCI to manually provide the data API

60
Our people

Patrick Glenn Thomas Rolf

Head of
PRODUCT Saracino Corney Morizet Harrington
Real Estate

Global Commercial EMEA Commercial Americas & APAC Data

Product Manager Product Manager Commercial Product Solutions
Manager Manager

René Gael Ken Varun

Veerman COVERAGE Tissier O' Brien Malik

Head of Coverage Head of Coverage Head of Coverage,

EMEA US & Canada APAC

ENABLING Sandeep Jenny Will Bert

DEPARTMENTS Contractor Adamson Robson Teuben

Engineering Marketing Solutions Research Index NPD

and Data

61
About MSCI

MSCI is a leading provider of critical decision support tools and services for the
global investment community. With over 50 years of expertise in research, data
and technology, we power better investment decisions by enabling clients to
understand and analyze key drivers of risk and return and confidently build more
effective portfolios. We create industry-leading research-enhanced solutions that
clients use to gain insight into and improve transparency across the investment
process. To learn more, please visit www.msci.com.

62
Notice and disclaimer
This document and all of the information contained in it, including without limitation all text, data, graphs, charts (collectively, the “Information”) is the property of MSCI Inc. or its subsidiaries (collectively, “MSCI”), or MSCI’s licensors, direct or indirect suppliers or any third
party involved in making or compiling any Information (collectively, with MSCI, the “Information Providers”) and is provided for informational purposes only. The Information may not be modified, reverse-engineered, reproduced or redisseminated in whole or in part without
prior written permission from MSCI. All rights in the Information are reserved by MSCI and/or its Information Providers.
The Information may not be used to create derivative works or to verify or correct other data or information. For example (but without limitation), the Information may not be used to create indexes, databases, risk models, analytics, software, or in connection with the
issuing, offering, sponsoring, managing or marketing of any securities, portfolios, financial products or other investment vehicles utilizing or based on, linked to, tracking or otherwise derived from the Information or any other MSCI data, information, products or services.
The user of the Information assumes the entire risk of any use it may make or permit to be made of the Information. NONE OF THE INFORMATION PROVIDERS MAKES ANY EXPRESS OR IMPLIED WARRANTIES OR REPRESENTATIONS WITH RESPECT TO THE
INFORMATION (OR THE RESULTS TO BE OBTAINED BY THE USE THEREOF), AND TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, EACH INFORMATION PROVIDER EXPRESSLY DISCLAIMS ALL IMPLIED WARRANTIES (INCLUDING, WITHOUT LIMITATION,
ANY IMPLIED WARRANTIES OF ORIGINALITY, ACCURACY, TIMELINESS, NON-INFRINGEMENT, COMPLETENESS, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE) WITH RESPECT TO ANY OF THE INFORMATION.
Without limiting any of the foregoing and to the maximum extent permitted by applicable law, in no event shall any Information Provider have any liability regarding any of the Information for any direct, indirect, special, punitive, consequential (including lost profits) or any
other damages even if notified of the possibility of such damages. The foregoing shall not exclude or limit any liability that may not by applicable law be excluded or limited, including without limitation (as applicable), any liability for death or personal injury to the extent
that such injury results from the negligence or willful default of itself, its servants, agents or sub-contractors.
Information containing any historical information, data or analysis should not be taken as an indication or guarantee of any future performance, analysis, forecast or prediction. Past performance does not guarantee future results.
The Information should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions. All Information is impersonal and not tailored to
the needs of any person, entity or group of persons.
None of the Information constitutes an offer to sell (or a solicitation of an offer to buy), any security, financial product or other investment vehicle or any trading strategy.
It is not possible to invest directly in an index. Exposure to an asset class or trading strategy or other category represented by an index is only available through third party investable instruments (if any) based on that index. MSCI does not issue, sponsor, endorse, market,
offer, review or otherwise express any opinion regarding any fund, ETF, derivative or other security, investment, financial product or trading strategy that is based on, linked to or seeks to provide an investment return related to the performance of any MSCI index
(collectively, “Index Linked Investments”). MSCI makes no assurance that any Index Linked Investments will accurately track index performance or provide positive investment returns. MSCI Inc. is not an investment adviser or fiduciary and MSCI makes no representation
regarding the advisability of investing in any Index Linked Investments.
Index returns do not represent the results of actual trading of investible assets/securities. MSCI maintains and calculates indexes, but does not manage actual assets. Index returns do not reflect payment of any sales charges or fees an investor may pay to purchase the
securities underlying the index or Index Linked Investments. The imposition of these fees and charges would cause the performance of an Index Linked Investment to be different than the MSCI index performance.
The Information may contain back tested data. Back-tested performance is not actual performance, but is hypothetical. There are frequently material differences between back tested performance results and actual results subsequently achieved by any investment
strategy.
Constituents of MSCI equity indexes are listed companies, which are included in or excluded from the indexes according to the application of the relevant index methodologies. Accordingly, constituents in MSCI equity indexes may include MSCI Inc., clients of MSCI or
suppliers to MSCI. Inclusion of a security within an MSCI index is not a recommendation by MSCI to buy, sell, or hold such security, nor is it considered to be investment advice.
Data and information produced by various affiliates of MSCI Inc., including MSCI ESG Research LLC and Barra LLC, may be used in calculating certain MSCI indexes. More information can be found in the relevant index methodologies on www.msci.com.
MSCI receives compensation in connection with licensing its indexes to third parties. MSCI Inc.’s revenue includes fees based on assets in Index Linked Investments. Information can be found in MSCI Inc.’s company filings on the Investor Relations section of
www.msci.com.
MSCI ESG Research LLC is a Registered Investment Adviser under the Investment Advisers Act of 1940 and a subsidiary of MSCI Inc. Except with respect to any applicable products or services from MSCI ESG Research, neither MSCI nor any of its products or services
recommends, endorses, approves or otherwise expresses any opinion regarding any issuer, securities, financial products or instruments or trading strategies and MSCI’s products or services are not intended to constitute investment advice or a recommendation to make
(or refrain from making) any kind of investment decision and may not be relied on as such. Issuers mentioned or included in any MSCI ESG Research materials may include MSCI Inc., clients of MSCI or suppliers to MSCI, and may also purchase research or other products
or services from MSCI ESG Research. MSCI ESG Research materials, including materials utilized in any MSCI ESG Indexes or other products, have not been submitted to, nor received approval from, the United States Securities and Exchange Commission or any other
regulatory body.
Any use of or access to products, services or information of MSCI requires a license from MSCI. MSCI, Barra, RiskMetrics, IPD and other MSCI brands and product names are the trademarks, service marks, or registered trademarks of MSCI or its subsidiaries in the United
States and other jurisdictions. The Global Industry Classification Standard (GICS) was developed by and is the exclusive property of MSCI and Standard & Poor’s. “Global Industry Classification Standard (GICS)” is a service mark of MSCI and Standard & Poor’s.
Privacy notice: For information about how MSCI collects and uses personal data, please refer to our Privacy Notice at https://www.msci.com/privacy-pledge.

63