Key Fund Facts
Baltic Horizon is the first public real estate fund listed on Nasdaq Tallinn exchange. Fund units were admitted to trading on 6 July 2016.
Baltic Horizon Fund units are also listed on Nasdaq Stockholm. The first trading day on Nasdaq Stockholm was on 23 December 2016. This was the first time when a security listed on Nasdaq Tallinn was dual-listed on Nasdaq Stockholm. Baltic Horizon is also the first AIF on the alternative investment funds list of Nasdaq Stockholm.
Baltic Horizon is managed by Northern Horizon Capital AS, a subsidiary of Northern Horizon group. Northern Horizon Capital AS is a licensed AIFM and is supervised by Estonian FSA.
Baltic Horizon aims to achieve a cost effective and comparable to Nordic peers TER (total expense ratio), which represents a total cost involved in managing the fund. Major component of fund management cost is the fund management fee, thus Management Company has imbedded into the Fund Rules a competitive and decreasing fee structure. Management fee is linked to the market capitalization of the tradable units:
- 1,5% from market cap for up to 50 mln EUR
- 1,25% from market cap for market cap between 50-100 mln EUR
- 1,00% from market cap for market cap between 100-200 mln EUR
- 0,75% from market cap for market cap between 200-300 mln EUR
- 0,50% from market cap for market above 300 mln EUR
The success fee is based on AFFO (adjusted funds from operations). The hurdle rate is 8% of AFFO from paid-in capital. The manager is entitled to 20% of the part exceeding the hurdle rate. The success fee is capped and floored at 0,4% from NAV per annum. Positive and negative success fee calculable annually accumulates perpetually. The success fee becomes payable not earlier than in 2020.
Auditor of the Fund
KPMG Baltics OÜ