Asset Allocation Model
An asset allocation model defines the strategic distribution of capital across property types, geographies, and risk profiles to optimize portfolio returns while managing exposure.
| Allocation Dimension | Framework |
| By property type | Office, retail, residential, industrial, hospitality |
| By geography | Markets, submarkets, countries |
| By risk/return | Core, core-plus, value-add, opportunistic |
| By strategy | Income, growth, balanced |
| By vintage | Stagger fund investments across years |
| By liquidity | Liquid (REITs) vs illiquid (direct) |
| Sample Institutional Allocation | Target % |
| Core stabilized | 45% |
| Core-plus | 25% |
| Value-add | 20% |
| Opportunistic | 10% |
| Geographic: Home market | 50% |
| Geographic: International | 50% |
| Rebalancing frequency | Quarterly or semi-annual review |
Related Terms
RERA licensed advisors
Free expert advice
Get property recommendations matched to your goals. No pressure. No commitment.