As
of December 31, 2012, M1’s securities portfolio was valued at $784,681,
approximately 16.36% of total assets. The portfolio is comprised of real estate
investment trusts allocating 25% in residential, 16% in office and industrial,
20% in mortgage, 28% in retail, 7% in student housing, and 4% in Vanguard REIT. Our three largest holdings were in the
following REITs: Realty Income, National
Retail and Annaly Capital. During the 4Q12,
we added to our positions in American Campus Communities, D.R. Horton,
Mack-Cali, Home Properties, Annaly, Realty Income and Vanguard REIT. We reduced our holdings in UDR. We initiated new positions in American
Capital, Boston Properties, KB Homes, Kimco, National Retail, and Toll Brothers.
Our securities portfolio performance
during the fourth quarter was -.77%; since inception our securities portfolio
has returned 11.88%.
