Real Estate Credit Investments Limited (LON:RECI)

Real Estate Credit Investments Limited is a Guernsey-based closed-ended investment company which primarily invests in real estate debt secured by commercial or residential properties. It operates in Western Europe, mainly in the United Kingdom, Germany, and France. It was founded in the year 2005, and its headquarters are situated in Saint Peter Port, Guernsey. It is listed on the London Stock Exchange since 2005. The objective of the company is to deliver a steady stream of quarterly dividend with least possible portfolio volatility, across all credit and economic cycles. This can be achieved via levered exposure to real estate credit investments. There are several forms of investments, but they are majorly in market bonds, such as CMBS (Commercial Mortgage Backed Securities) bonds, which are listed real estate debt securities, as well as in Self-Originated Deals, which are mainly the bilateral senior real estate bonds and loans. The sectors in which the investments are made include mixed use, retail, hotel, office, student accommodation, and services apartments etc.

The investment manager of Real Estate Credit Investments Limited is Cheyne Capital Management (UK) LLP, which is also the AIFM (Alternative Investment Fund Manager) of the Company. Cheyne was established in the year 2000, and is regulated and authorised by the FCA (Financial Conduct Authority). It acts as a responsible investment manager for the company and functions in alignment with the appropriate ESG (Environmental, Social, and Governance) policies. It is also a signatory to the UN Principles of Responsible Investment, and was one of the initial signatories to the Standards Board for Alternative Investments. With a skilled workforce of more than 30 dedicated investment professionals, it handles assets worth GBP 2.7 billion.

Real Estate Credit Investments Limited follows a well-defined framework of corporate governance and is a member of Association of Investment Companies (AIC). It complies with the 2019 AIC Code of corporate governance which covers all the mentioned principles of the UK Corporate Governance Code 2018. Additionally, the company also complies with the Guernsey Codes of Corporate Governance. It strives to promote the culture of integrity and accountability, and upholds its commitment towards financial transparency. Apart from fulfilling its corporate responsibilities, the company also tries to fulfil its social as well as environmental responsibilities. Even though the investment activities of the company have no direct impact on climate change, still RECI gives full importance to ESG principles, and its investment manager takes ESG factors into account while formulating all investment decisions using Building Research Establishment Environmental Assessment (BREEAM) ratings, to meet environment-friendly construction standards.