Baron Real Estate Fund (BREFX)

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Fund Description

Baron Real Estate Fund invests in securities of real estate and real estate related companies of all sizes.


Fund Resources

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Latest Fact Sheets

Standard Fact Sheet

Expanded Fact Sheet - Institutional Shares

BREFX Performance as Yields Rose and Fell

Performance Attribution

Facts & Characteristics as of June 30, 2015

Inception Date December 31, 2009
Net Assets (All share classes combined) $1.92 billion
# of Equity Securities / % of Net Assets 45/98.1%
Turnover (3 Year Average) 22.66%
Median Market Cap $7.67 billion
Weighted Average Market Cap $15.19 billion
CUSIP 06828M702
Expense Ratio (as of FYE 12/14) 1.32%
EPS Growth (3-5 year forecast) 17.3%
Price/Earnings Ratio (trailing 12-month) 26.2
Price/Book Ratio 2.5
Price/Sales Ratio 2.3

Top Ten Holdings as of September 30, 2015

Holding Sector Percentage*
Hilton Worldwide Holdings, Inc. (HLT) is the largest hotelier by room count in the world with 4,318 hotels consisting of 713,883 rooms. The company consists of 12 brands from Embassy Suites to its flagship Hilton and Waldorf brands.
Consumer Discretionary 4.3%
Equinix, Inc. (EQIX) is a network neutral operator of state-of-the-art data centers across North America, Europe, and Asia-Pacific. It provides highly reliable facilities and offers low latency interconnection to and among business partners, networks, and cloud service providers, among others.
Financials 4.2%
Norwegian Cruise Line Holdings, Ltd. (NCLH) is a global cruise line operator with itineraries in North American, the Mediterranean, the Baltic, Central America, Bermuda, and the Caribbean. It is the smallest of the three big cruise lines, with 21 ships.
Consumer Discretionary 4.1%
MGM Resorts International (MGM) is a casino hospitality company with properties in Macau, Las Vegas, and regionally across the U.S.  80% of its business is in the U.S., while 20% is from Macau.
Consumer Discretionary 3.7%
CBRE Group, Inc. (CBG) is a leading commercial real estate services company with the number one market share in all of its major businesses.
Financials 3.7%
Jones Lang LaSalle, Inc. (JLL) is one of the world's largest providers of commercial real estate transaction, consulting, and investment management services through a network of more than 100 offices worldwide.
Financials 3.4%
Home Depot, Inc. (HD) is the largest home improvement retailer in the U.S., with 2,260 stores worldwide (1,977 U.S.).
Consumer Discretionary 3.1%
Hyatt Hotels Corp. (H) is a global hospitality company with 567 Hyatt-branded properties representing 155,265 keys. The company’s brands include Park Hyatt, Grand Hyatt, Hyatt Regency, Hyatt, Hyatt Place, and Hyatt Summerfield Suites.
Consumer Discretionary 3.0%
Strategic Hotels & Resorts, Inc. (BEE), a self-administered and self-managed real estate investment trust (REIT), engages in the ownership and asset management of upper upscale and luxury hotels in North America and Europe.
Financials 2.9%
Masonite International Corp.
Industrials 2.8%
Total 35.2%
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Portfolio Holdings as of September 30, 2015

Holding Sector Market Cap ($Bn) Percentage*
Hilton Worldwide Holdings, Inc. Consumer Discretionary $22.652 4.3%
Equinix, Inc. Financials $15.572 4.2%
Norwegian Cruise Line Holdings, Ltd. Consumer Discretionary $13.131 4.1%
CBRE Group, Inc. Financials $10.662 3.7%
MGM Resorts International Consumer Discretionary $10.389 3.7%
Jones Lang LaSalle, Inc. Financials $6.464 3.4%
Home Depot, Inc. Consumer Discretionary $148.301 3.1%
PRINCIPAL CASH Cash & Cash Equivalents - 3.0%
Hyatt Hotels Corp. Consumer Discretionary $6.740 3.0%
Strategic Hotels & Resorts, Inc. Financials $3.799 2.9%
Masonite International Corp. Industrials $1.837 2.8%
Brookfield Infrastructure Partners L.P. Utilities $6.018 2.7%
Diamond Resorts International, Inc. Consumer Discretionary $1.710 2.7%
Mohawk Industries, Inc. Consumer Discretionary $13.437 2.6%
Toll Brothers, Inc. Consumer Discretionary $6.035 2.6%
Wyndham Worldwide Corp. Consumer Discretionary $8.428 2.6%
Builders FirstSource, Inc. Industrials $1.377 2.5%
Royal Caribbean Cruises Ltd. Consumer Discretionary $19.595 2.5%
Capital Senior Living Corp. Health Care $0.592 2.5%
Kennedy-Wilson Holdings, Inc. Financials $2.503 2.2%
American Tower Corp. Financials $37.240 2.1%
Kennedy Wilson Europe Real Estate PLC Financials $2.337 2.1%
Brookfield Asset Management, Inc. Financials $30.985 2.0%
Forest City Enterprises, Inc. - Cl A Financials $5.223 2.0%
Howard Hughes Corp. Financials $4.557 2.0%
CaesarStone Sdot-Yam Ltd. Industrials $1.073 2.0%
Douglas Emmett, Inc. Financials $4.202 1.9%
Simon Property Group, Inc. Financials $56.846 1.9%
Alexandria Real Estate Equities, Inc. Financials $6.122 1.8%
SBA Communications Corp. Telecommunication Services $13.376 1.8%
ClubCorp Holdings, Inc. Consumer Discretionary $1.389 1.8%
Aena SA Industrials $16.552 1.8%
Starwood Hotels & Resorts Worldwide, Inc. Consumer Discretionary $11.327 1.7%
Lowe's Companies, Inc. Consumer Discretionary $63.767 1.7%
AvalonBay Communities, Inc. Financials $23.234 1.6%
General Growth Properties, Inc. Financials $23.001 1.5%
Boston Properties, Inc. Financials $18.183 1.4%
SL Green Realty Corp. Financials $10.919 1.4%
Summit Materials, Inc. Materials $1.865 1.4%
Armstrong World Industries, Inc. Industrials $2.640 1.1%
Brookdale Senior Living, Inc. Health Care $4.237 0.9%
Tower Bersama Infrastructure Tbk PT Telecommunication Services $2.145 0.9%
Sarana Menara Nusantara Tbk PT Telecommunication Services $2.779 0.9%
Zillow Group, Inc. - Cl. A Information Technology $4.875 0.7%
Zillow Group, Inc. - Cl. C Information Technology $4.875 0.5%
Total 100.0%
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Sector Breakdown as of September 30, 2015

Sector Sub-Industry Percentage*
Cash & Cash Equivalents
Consumer Discretionary
  • Hotels, Resorts & Cruise Lines 20.9%
  • Home Improvement Retail 4.8%
  • Casinos & Gaming 3.7%
  • Home Furnishings 2.6%
  • Homebuilding 2.6%
  • Leisure Facilities 1.8%
  • Real Estate Services^ 9.3%
  • Specialized REITs^ 8.1%
  • Office REITs^ 4.6%
  • Real Estate Operating Companies^ 4.1%
  • Retail REITs 3.4%
  • Hotel & Resort REITs 2.9%
  • Diversified Real Estate Activities 2.0%
  • Real Estate Development 2.0%
  • Residential REITs 1.7%
Health Care
  • Health Care Facilities 3.4%
  • Building Products 8.4%
  • Airport Services 1.8%
Information Technology
  • Internet Software & Services 1.2%
  • Construction Materials 1.4%
Telecommunication Services
  • Wireless Telecommunication Services 3.6%
  • Electric Utilities 2.7%
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Top Contributors & Detractors as of June 30, 2015

3 Months | 12 Months

3 Months

By Sub-Industry
Top Contributors Average Weight Contribution
Building Products 5.91% 1.17%
IT Consulting & Other Services^ 3.20% 0.28%
Leisure Facilities 1.16% 0.20%
Home Furnishings 2.91% 0.09%
Top Detractors Average Weight Contribution
Health Care Facilities 10.52% -0.79%
Hotels, Resorts & Cruise Lines 17.76% -0.74%
Office REITs^ 5.06% -0.64%
Casinos & Gaming 3.78% -0.63%
Retail REITs 3.10% -0.37%
By Holdings
Top Contributors Average Weight Contribution
Builders FirstSource, Inc. 1.94% 0.88%
Equinix, Inc. 3.20% 0.28%
CaesarStone Sdot-Yam Ltd. 1.79% 0.23%
ClubCorp Holdings, Inc. 1.16% 0.20%
Kennedy Wilson Europe Real Estate PLC 1.96% 0.18%
Top Detractors Average Weight Contribution
Brookdale Senior Living, Inc. 7.42% -0.61%
MGM Resorts International 2.92% -0.40%
Forest City Enterprises, Inc. 2.01% -0.28%
Hilton Worldwide Holdings, Inc. 3.88% -0.27%
Wyndham Worldwide Corp. 2.83% -0.26%

12 Months

By Sub-Industry
Top Contributors Average Weight Contribution
Hotels, Resorts & Cruise Lines 18.07% 2.20%
Home Improvement Retail 5.13% 2.00%
Real Estate Services 8.74% 1.39%
Home Furnishings 2.92% 1.06%
Building Products 3.21% 0.86%
Top Detractors Average Weight Contribution
Casinos & Gaming 4.50% -2.75%
Application Software 0.04% -0.25%
Internet Software & Services^ 0.20% -0.18%
Industrial REITs 0.70% -0.11%
Real Estate Development 1.64% -0.11%
By Holdings
Top Contributors Average Weight Contribution
Norwegian Cruise Line Holdings, Ltd. 2.31% 1.29%
Home Depot, Inc. 3.31% 1.26%
Jones Lang LaSalle, Inc. 3.36% 1.06%
Mohawk Industries, Inc. 2.92% 1.06%
Builders FirstSource, Inc. 1.25% 0.76%
Top Detractors Average Weight Contribution
Wynn Resorts Ltd. 1.48% -1.30%
Las Vegas Sands Corp. 1.28% -0.88%
MGM Resorts International 1.15% -0.38%
Extended Stay America, Inc. 0.49% -0.30%
Owens Corning 0.28% -0.30%
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Price/Book Ratio and Price/Sales Ratio are calculated using the Weighted Harmonic Average. Source: FactSet PA. Internal valuation metrics may differ.

*Top Ten Holdings, Portfolio Holdings and Sector breakdown based on net assets. Portfolio holdings may change over time. Positions smaller than 0.05% round to 0.0%. Portfolio holdings are subject to change over time.

Industry sector or sub-industry group levels are provided from the Global Industry Classification Standard ("GICS"), developed and exclusively owned by MSCI, Inc. ("MSCI") and Standard & Poor's Financial Services LLC ("S&P"), unless otherwise stated that they have been reclassified or classified by the Adviser. All GICS data is provided "as is" with no warranties.

^The Adviser has reclassified/classified certain securities in or out of this Sub-Industry. Such reclassifications/classifications are not supported by S&P or MSCI.
Top Contributors & Detractors Source: FactSet PA.

Definitions (provided by Baron Capital, Inc.): EPS Growth Rate (3-5 Year): indicates the long-term forecasted EPS growth of the companies in the portfolio, calculated using the weighted average of the available 3-to-5 year forecasted growth rates for each of the stocks in the portfolio provided by Factset Estimates. The EPS Growth rate does not forecast the Fund’s performance. Price/ Earnings Ratio (trailing 12-months): is a valuation ratio of a company’s current share price compared to its actual earnings per share over the last twelve months. Price/Book Ratio: is a ratio used to compare a company’s stock price to its tangible assets, and it is calculated by dividing the current closing price of the stock by the latest quarter’s book value per share. Price/Sales Ratio: is a valuation ratio of a stock’s price relative to its past performance. It represents the amount an investor is willing to pay for a dollar generated from a particular company’s operations. Price/Sales is calculated by dividing a stock’s current price by its revenue per share for the last 12 months. Weighted Harmonic Average: is a calculation that reduces the impact of extreme observation on the aggregate calculation by weighting them based on their size in the fund.

One year turnover information to the most recent quarter and average market cap (unweighted) is available upon request.