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Fastighetsbolagsstrategier på den svenska aktiemarknaden

Hofmann, Jesper LU and Lindquist, Fredrik LU (2016) VFT920 20152
Real Estate Science
Abstract
Property management companies on the Swedish stock market have long been very profitable and represented a good investment for shareholders. The purpose of this study is to determine and define the property-related strategies of listed Swedish property management companies – and how the choice of strategies affects the company's performance on the stock market. Furthermore, the analysis aims to investigate how investors should approach their selection of properties to create an optimal portfolio based on varying levels of return and risk.

The strategies identified in this study and used to describe stock development are; geographical diversification, diversification of property type, capital structure and opportunism. The study includes... (More)
Property management companies on the Swedish stock market have long been very profitable and represented a good investment for shareholders. The purpose of this study is to determine and define the property-related strategies of listed Swedish property management companies – and how the choice of strategies affects the company's performance on the stock market. Furthermore, the analysis aims to investigate how investors should approach their selection of properties to create an optimal portfolio based on varying levels of return and risk.

The strategies identified in this study and used to describe stock development are; geographical diversification, diversification of property type, capital structure and opportunism. The study includes data from the stock performance and annual reports of 14 listed Swedish property management companies from December 6th, 2007 to October 30th, 2015. The period is characterized by an upward economic trend with property stock values and property prices on the increase. Based on the compiled data, this study classifies the companies' strategies and employs a regression analysis to describe how the strategies affected stock market performance. Four of these companies were then interviewed to compare the compiled data against the qualitative analysis.

The study shows that property management companies with focus on development within a single geographical area are positively influenced in terms of stock market performance. Specialization in particular property types, however, has not been shown to influence stock market performance to any degree of importance. Although a specialized portfolio may have management benefits, the risk versus return ratio varies widely depending on the type of property. A high loan to value ratio leads to higher stock market development through the leverage ratio. An opportunism strategy has led to positive stock performance in some cases, but this is most likely due to the rising property values in a strong property market. Transaction-intensive companies demonstrate greater stock performance volatility.

From a return versus risk perspective, the optimal portfolio during the period between 2007 and 2015 contains 91% bonds, 6% property and 3% shares. The high proportion of bonds in the mix is due to this asset class having had a low volatility relative to returns compared to shares and property during this period. (Less)
Abstract (Swedish)
Fastighetsbolag på den svenska aktiemarknaden har under en lång tid varit mycket lönsamma och en god investering för aktieinvesterare. Syftet med denna undersökning är att avgöra och definiera vilka strategier svenska börsnoterade fastighetsbolag använder sig av, samt hur dessa val av strategier påverkar ett fastighetsbolags värdeutveckling på börsen. Ytterligare skall undersökningen ta reda på hur en investerare skall välja en optimal portfölj utifrån olika tillgångsklasser med avseende på avkastning och risk.

De strategier som studien har identifierat och använt som förklaring till börsutvecklingen är; geografisk diversifiering, diversifiering fastighetstyp, kapitalstruktur och opportunism genom transaktioner.

Studien innefattar... (More)
Fastighetsbolag på den svenska aktiemarknaden har under en lång tid varit mycket lönsamma och en god investering för aktieinvesterare. Syftet med denna undersökning är att avgöra och definiera vilka strategier svenska börsnoterade fastighetsbolag använder sig av, samt hur dessa val av strategier påverkar ett fastighetsbolags värdeutveckling på börsen. Ytterligare skall undersökningen ta reda på hur en investerare skall välja en optimal portfölj utifrån olika tillgångsklasser med avseende på avkastning och risk.

De strategier som studien har identifierat och använt som förklaring till börsutvecklingen är; geografisk diversifiering, diversifiering fastighetstyp, kapitalstruktur och opportunism genom transaktioner.

Studien innefattar data från 14 svenska börsnoterade fastighetsbolags årsredovisningar samt börsdata mellan perioden 2007-12-06 t.o.m. 2015-10-30. Perioden kännetecknas av en uppåtgående marknad på fastighetsaktier och fastighetspriser. Utifrån sammanställd data klassificeras bolagens strategier och en regressionsanalys genomförs för att beskriva hur strategierna påverkar börsutvecklingen. Fyra utvalda bolag har därefter intervjuats för att jämföra mot den kvalitativa dataanalysen.

Det har visat sig att börsutvecklingen påverkas positivt för fastighetsbolag som är geografiskt renodlade. Att vara specialiserad mot en viss fastighetstyp har inte visat sig ha någon betydelse för börsutvecklingen. En specialiserad portfölj kan däremot ha förvaltningsfördelar och beroende på fastighetstyp ges olika hög risk och avkastning. En hög belåningsgrad ger en högre börsutveckling genom hävstångseffekt. Opportunism som strategi har i vissa fall varit positivt men förmodligen beror detta på en stark prisutveckling på fastigheter. Transaktionsintensiva bolag har en större volatilitet på sin aktie.

Från de i arbetet genomförda intervjuerna har det visat sig att det finns ytterligare strategier och faktorer som kan påverka börsutvecklingen hos ett fastighetsbolag. Tillgången till fria aktier, utdelningar till aktieägare, substansvärde och kontinuerlig utveckling kan i stor grad påverka börsutvecklingen och bör utredas ytterligare.
Under perioden 2007-2015 utgörs den effektiva portföljen av 91 % obligationer, 6 % fastigheter och 3 % aktier. Ur avkastnings- kontra risk-perspektiv är detta den optimala portföljen att hålla under perioden. Den höga andelen obligationer beror på att denna tillgångsklass under perioden har en låg volatilitet i förhållande till avkastning, jämfört med aktier och fastigheter. (Less)
Please use this url to cite or link to this publication:
author
Hofmann, Jesper LU and Lindquist, Fredrik LU
supervisor
organization
alternative title
Strategies of Property Management Companies on the Swedish Stock Market
course
VFT920 20152
year
type
H3 - Professional qualifications (4 Years - )
subject
keywords
Portfolio Theory, Diversification, Real Estate Market, Company Strategies, Investment strategy Fastighetsmarknaden, Bolagsstrategier, Diversifiering, Portföljvalsteori, Investeringsstrategi
other publication id
ISRN/LUTVDG/TVLM/16/5354 SE
language
Swedish
id
8870669
date added to LUP
2016-04-05 10:44:22
date last changed
2016-04-05 10:44:22
@misc{8870669,
  abstract     = {Property management companies on the Swedish stock market have long been very profitable and represented a good investment for shareholders. The purpose of this study is to determine and define the property-related strategies of listed Swedish property management companies – and how the choice of strategies affects the company's performance on the stock market. Furthermore, the analysis aims to investigate how investors should approach their selection of properties to create an optimal portfolio based on varying levels of return and risk.

The strategies identified in this study and used to describe stock development are; geographical diversification, diversification of property type, capital structure and opportunism. The study includes data from the stock performance and annual reports of 14 listed Swedish property management companies from December 6th, 2007 to October 30th, 2015. The period is characterized by an upward economic trend with property stock values and property prices on the increase. Based on the compiled data, this study classifies the companies' strategies and employs a regression analysis to describe how the strategies affected stock market performance. Four of these companies were then interviewed to compare the compiled data against the qualitative analysis.

The study shows that property management companies with focus on development within a single geographical area are positively influenced in terms of stock market performance. Specialization in particular property types, however, has not been shown to influence stock market performance to any degree of importance. Although a specialized portfolio may have management benefits, the risk versus return ratio varies widely depending on the type of property. A high loan to value ratio leads to higher stock market development through the leverage ratio. An opportunism strategy has led to positive stock performance in some cases, but this is most likely due to the rising property values in a strong property market. Transaction-intensive companies demonstrate greater stock performance volatility.

From a return versus risk perspective, the optimal portfolio during the period between 2007 and 2015 contains 91% bonds, 6% property and 3% shares. The high proportion of bonds in the mix is due to this asset class having had a low volatility relative to returns compared to shares and property during this period.},
  author       = {Hofmann, Jesper and Lindquist, Fredrik},
  keyword      = {Portfolio Theory,Diversification,Real Estate Market,Company Strategies,Investment strategy Fastighetsmarknaden,Bolagsstrategier,Diversifiering,Portföljvalsteori,Investeringsstrategi},
  language     = {swe},
  note         = {Student Paper},
  title        = {Fastighetsbolagsstrategier på den svenska aktiemarknaden},
  year         = {2016},
}