| (1) | Based on average shares outstanding. |
| (2) | Shares issued at a 5% discount on a 5-day average market price from 3/31/2023 to 4/6/2023. |
| (3) | Total investment return does not reflect brokerage commissions. Dividends and distributions are assumed to be reinvested at the prices obtained under the Trust’s Dividend Reinvestment Plan. Net Asset Value (“NAV”) total return is calculated assuming reinvestment of distributions at NAV on the date of the distribution. |
| (4) | Asset Coverage per $1,000: Asset coverage per $1,000 of debt is calculated by subtracting the Trust’s liabilities and indebtedness not represented by senior securities from the Trust’s total assets, dividing the result by the aggregate amount of the Trust’s senior securities representing indebtedness then outstanding, and multiplying the result by 1,000. |
See notes to financial statements
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 23 | |
Notes to Financial Statements
Notes to Financial Statements
CBRE Global Real Estate Income Fund (the “Trust”) is a diversified,
closed-end
management investment company that was organized as a Delaware statutory trust on November 6, 2003 and registered with the Securities and Exchange Commission (“SEC”) under the Investment Company Act of 1940, as amended. The Trust is an investment company and accordingly follows the Investment Company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946 Financial Services-Investment Companies. CBRE Investment Management Listed Real Assets LLC (the “Adviser”) is the Trust’s investment adviser. The Adviser is a majority-owned subsidiary of CBRE Group, Inc. (“CBRE”) and is partially owned by its senior management team. The Trust commenced operations on February 18, 2004.
| | |
| 2 | | SIGNIFICANT ACCOUNTING POLICIES |
The following accounting policies are in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and are consistently followed by the Trust.
The net asset value of the common shares of the Trust will be computed based upon the value of the Trust’s portfolio securities and other assets. The Trust calculates net asset value per common share by subtracting the Trust’s liabilities (including accrued expenses, dividends payable and any borrowings of the Trust) and the liquidation value of any outstanding preferred shares from the Trust’s total assets (the value of the securities the Trust holds, plus cash and/or other assets, including dividends accrued but not yet received) and dividing the result by the total number of common shares of the Trust outstanding. Net asset value per common share will be determined as of the close of the regular trading session (usually 4:00 p.m., EST) on the New York Stock Exchange (“NYSE”) on each business day on which the NYSE is open for trading.
For purposes of determining the net asset value of the Trust, readily marketable portfolio assets (including common stock, preferred stock, and options) traded principally on an exchange, or on a similar regulated market reporting contemporaneous transaction prices, are valued, except as indicated below, at the last sale price for such assets on such principal markets on the business day on which such value is being determined. If there has been no sale on such day, the securities are valued at the mean of the closing bid and ask prices on such day. Foreign securities are valued based upon quotations from the primary market in which they are traded and are translated from the local currency into U.S. dollars using current exchange rates.
During the period that a forward foreign currency contract is open, changes in the value of the contract are recognized as unrealized appreciation or depreciation by marking to market such contract on a daily basis to reflect the market value of the contract at the end of each day’s trading. Securities and other assets for which market quotations are not readily available or for which the above valuation procedures are deemed not to reflect fair value are valued in a manner that is intended to reflect their fair value as determined in accordance with procedures approved by the Trust’s Board of Trustees (the “Board”).
Short-term securities which mature in more than 60 days are valued at current market quotations. Short-term securities, which mature in 60 days or less, are valued at amortized cost, which approximates market value.
U.S. GAAP provides guidance on fair value measurements. In accordance with the standard, fair value is defined as the price that the Trust would receive to sell an investment or pay to transfer a liability in a timely transaction with an independent buyer in the principal market, or in the absence of a principal market the most advantageous market for the investment or liability. It establishes a single definition of fair value, creates a three-tier hierarchy as a framework for measuring fair value based on inputs used to value the Trust’s investments, and requires additional disclosure about fair value.
For Level 1 inputs, the Trust uses unadjusted quoted prices in active markets for assets or liabilities with sufficient frequency and volume to provide pricing information as the most reliable evidence of fair value.
The Trust’s Level 2 valuation techniques include inputs other than quoted prices within Level 1 that are observable for an asset or liability, either directly or indirectly. Level 2 observable inputs may include quoted prices for similar assets and liabilities in active markets or quoted prices for identical or similar assets or liabilities in markets that are not active in which there are few transactions, the prices are not current, or price quotations vary substantially over time or among market participants. Inputs
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 25 | |
Notes to Financial Statements continued
that are observable for the asset or liability in Level 2 include such factors as interest rates, yield curves, prepayment spreads, credit risk, and default rates for similar liabilities.
For Level 3 valuation techniques, the Trust uses unobservable inputs that reflect assumptions market participants would be expected to use in pricing the asset or liability. Unobservable inputs are used to measure fair value to the extent that observable inputs are not available and are developed based on the best information available under the circumstances. In developing unobservable inputs, market participant assumptions are used if they are reasonably available without undue cost and effort.
The primary third-party pricing vendor for the Trust’s listed preferred stock investments is FT Interactive Data (“IDC”). When available, the Trust will obtain a closing exchange price to value the preferred stock investments and, in such instances, the investment will be classified as Level 1 since an unadjusted quoted price was utilized. When a closing price is not available for the listed preferred stock investments, IDC will produce an evaluated mean price (midpoint between the bid and the ask evaluation) and such investments will be classified as Level 2 since other observable inputs were used in the valuation. Factors used in the IDC evaluation include trading activity, the presence of a
two-sided
market, and other relevant market data.
Pursuant to the Trust’s fair value procedures noted previously, equity securities (including exchange traded securities and
open-end
regulated investment companies) and exchange traded derivatives (i.e. futures contracts and options) are generally categorized as Level 1 securities in the fair value hierarchy. Fixed income securities,
non-exchange
traded derivatives and money market instruments are generally categorized as Level 2 securities in the fair value hierarchy. Investments for which there are no such quotations, or for which quotations do not appear reliable, are valued at fair value as determined in accordance with procedures established by and under the general supervision of the Trustees. These valuations are typically categorized as Level 2 or Level 3 securities in the fair value hierarchy.
For the year ended December 31, 2023, there have been no significant changes to the Trust’s fair valuation methodology.
Foreign Currency Translation
The books and records of the Trust are maintained in U.S. dollars. Foreign currency amounts are translated into U.S. dollars on the following basis:
| (i) | market value of investment securities, other assets and liabilities – at the current rates of exchange; |
| (ii) | purchases and sales of investment securities, income and expenses – at the rate of exchange prevailing on the respective dates of such transactions. |
Although the net assets of the Trust are presented at the foreign exchange rates and market values at the close of each fiscal year, the Trust does not isolate that portion of the results of operations arising as a result of changes in the foreign exchange rates from the fluctuations arising from changes in the market prices of long-term securities held at the end of the fiscal year. Similarly, the Trust does not isolate the effect of changes in foreign exchange rates from the fluctuations arising from changes in the market prices of portfolio securities sold during the fiscal year. Accordingly, realized foreign currency gains or losses will be included in the reported net realized gains or losses on investment transactions.
Net realized gains or losses on foreign currency transactions represent net foreign exchange gains or losses from the holding of foreign currencies, currency gains or losses realized between the trade date and settlement date on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Trust’s books and the U.S. dollar equivalent amounts actually received or paid. Net unrealized currency gains or losses from valuing foreign currency denominated assets or liabilities (other than investments) at year end exchange rates are reflected as a component of net unrealized appreciation or depreciation on investments and foreign currencies.
Foreign security and currency transactions may involve certain considerations and risks not typically associated with those of domestic origin as a result of, among other factors, the possibility of political or economic instability, or the level of governmental supervision and regulation of foreign securities markets.
Forward Foreign Currency Contracts
The Trust may enter into forward foreign currency contracts in order to hedge its exposure to changes in foreign currency exchange rates on its foreign portfolio holdings to hedge certain Trust purchase and sales commitments denominated in foreign currencies and for investment purposes. A forward foreign currency contract is a commitment to purchase or sell a
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 26 | |
Notes to Financial Statements continued
foreign currency on a future date at a negotiated forward rate. The gain or loss arising from the difference between the original contracts and the closing of such contracts would be included in net realized gain or loss on foreign currency transactions.
Fluctuations in the value of open forward foreign currency contracts are recorded for financial reporting purposes as unrealized appreciation and depreciation by the Trust.
The Trust’s custodian will place and maintain cash not available for investment or other liquid assets in a separate account of the Trust having a value at least equal to the aggregate amount of the Trust’s commitments under forward foreign currency contracts entered into with respect to position hedges.
Risks may arise from the potential inability of a counterparty to meet the terms of a contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. The face or contract amount, in U.S. dollars, reflects the total exposure the Trust has in that particular currency contract. As of December 31, 2023, the Trust did not hold any forward foreign currency contracts.
The Trust may purchase or sell (write) options on securities and securities indices which are listed on a national securities exchange or in the
(“OTC”) market as a means of achieving additional return or of hedging the value of the Trust’s portfolio.
An option on a security is a contract that gives the holder of the option, in return for a premium, the right to buy from (in the case of a call) or sell to (in the case of a put) the writer of the option the security underlying the option at a specified exercise or “strike” price. The writer of an option on a security has an obligation upon exercise of the option to deliver the underlying security upon payment of the exercise price (in the case of a call) or to pay the exercise price upon delivery of the underlying security (in the case of a put).
There are several risks associated with transactions in options on securities. As the writer of a covered call option, the Trust forgoes, during the option’s life, the opportunity to profit from increases in the market value of the security covering the call option above the sum of the premium and the strike price of the call but has retained the risk of loss should the price of the underlying security decline. The writer of an option has no control over the time when it may be required to fulfill its obligation as writer of the option. Once an option writer has received an exercise notice, it cannot effect a closing purchase transaction in order to terminate its obligation under the option and must deliver the underlying security at the exercise price. As of December 31, 2023, the Trust did not hold any options contracts.
Securities Transactions and Investment Income
Securities transactions are recorded on a trade date basis. Realized gains and losses from securities transactions are recorded on the basis of identified cost. Dividend income is recorded on the
ex-dividend
date. Distributions received from investments in REITs are recorded as dividend income on
ex-dividend
date, subject to reclassification upon notice of the character of such distributions by the issuer. The portion of dividend attributable to the return of capital is recorded against the cost basis of the security. Withholding taxes on foreign dividends are recorded net of reclaimable amounts, at the time the related income is earned.
Non-cash
dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, including accretion of original issue discount, where applicable, and accretion of discount on short-term investments, is recorded on the accrual basis.
Dividends and Distributions to Shareholders
Dividends from net investment income, if any, are declared and paid on a monthly basis. Income dividends and capital gain distributions to common shareholders are recorded on the
ex-dividend
date. To the extent the Trust’s net realized capital gains, if any, can be offset by capital loss carryforwards, it is the policy of the Trust not to distribute such gains.
On August 5, 2008, the Trust acting in accordance with an exemptive order received from the SEC and with approval of the Board, adopted a managed distribution policy under which the Trust intends to make regular monthly cash distributions to common shareholders, stated in terms of a fixed amount per common share. This managed distribution policy permits the Trust to include long-term capital gains in its distribution as frequently as twelve times a year. In practice, the Board views this policy as a potential means of further supporting the market price of the Trust’s shares through the payment of a steady and predictable level of cash distributions to shareholders.
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 27 | |
Notes to Financial Statements continued
The current monthly distribution rate is $0.06 per share. The Trust continues to evaluate its monthly distribution policy in light of ongoing economic and market conditions and may change the amount of the monthly distributions in the future.
The preparation of financial statements, in conformity with U.S. GAAP, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting year. Actual results could differ from those estimates.
The effect of derivative instruments on the Trust’s Statement of Operations for the year ended December 31, 2023 was as follows:
Derivatives Not Accounted for as Hedging Instruments
| | | | |
| | | | |
| EQUITY RISK | | | | |
| Written options | | | ($70,908) | |
For the year ended December 31, 2023, the average
month-end
notional value of written options was $7,584,078.
Under normal market conditions, the Trust’s investments will be concentrated in income-producing common equity securities, preferred securities, convertible securities and
non-convertible
debt securities issued by companies deriving the majority of their revenue from the ownership, construction, financing, management and/or sale of commercial, industrial, and/or residential real estate. Values of the securities of such companies may fluctuate due to economic, legal, cultural, geopolitical or technological developments affecting various global real estate industries.
| | |
| 5 | | INVESTMENT MANAGEMENT AGREEMENT AND OTHER AGREEMENTS |
Pursuant to an investment management agreement between the Adviser and the Trust, the Adviser is responsible for the daily management of the Trust’s portfolio of investments, which includes buying and selling securities for the Trust, as well as investment research. The Trust pays for investment advisory services and facilities through a fee payable monthly in arrears at an annual rate equal to 0.85% of the average daily value of the Trust’s managed assets, which adds back the line of credit payable to net assets, plus certain direct and allocated expenses of the Adviser incurred on the Trust’s behalf. During the year ended December 31, 2023, the Trust incurred management fees of $9,471,638, of which $834,267 is payable as of
year-end.
The Trust has multiple service agreements with the Bank of New York Mellon (“BNYM”). Under the servicing agreements, BNYM will perform custodial, fund accounting, and certain administrative services for the Trust. As custodian, BNYM is responsible for the custody of the Trust’s assets. As administrator, BNYM is responsible for maintaining the books and records of the Trust’s securities and cash.
Computershare is the Trust’s transfer agent and as such is responsible for performing transfer agency services for the Trust.
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 28 | |
Notes to Financial Statements continued
For the year ended December 31, 2023, there were purchases and sales transactions (excluding short-term securities) of $563,262,933 and $635,204,120, respectively. These purchases and sales transaction amounts differ from the amounts disclosed on the Statement of Cash Flows primarily due to the
re-characterization
of dividends from ordinary income to return of capital and capital gain.
The Trust intends to elect to be, and qualify for treatment as, a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). A regulated investment company generally pays no federal income tax on the income and gains that it distributes. The Trust intends to meet the calendar year distribution requirements imposed by the Code to avoid the imposition of a 4% excise tax.
The Trust is required to evaluate tax positions taken or expected to be taken in the course of preparing the Trust’s tax returns to determine whether the tax positions are
“more-likely-than-not”
of being sustained by the applicable tax authority. Income tax and related interest and penalties would be recognized by the Trust as tax expense in the Statement of Operations if the tax positions were deemed to not meet the
more-likely-than-not
threshold. For the year ended December 31, 2023, the Trust did not incur any income tax, interest, or penalties. Management has analyzed the Trust’s tax positions taken on federal, state and local income tax returns for all open tax years (since inception) and has concluded that no provisions for federal, state and local income tax are required in the Trust’s financial statements.
The Trust distinguishes between dividends on a tax basis and on a financial reporting basis and only distributions in excess of tax basis earnings and profits are reported in the financial statements as a tax return of capital. Differences in the recognition or classification of income between the financial statements and tax earnings and profits which result in temporary over- distributions for financial statement purposes are classified as distributable earnings or accumulated losses in the composition of net assets on the Statement of Assets and Liabilities.
In order to present
paid-in
capital in excess of par and total distributable earnings /(Accumulated Loss) on the Statement of Assets and Liabilities that more closely represent their tax character, certain adjustments have been made to additional
paid-in
capital, and total distributable earnings. For the year ended December 31, 2023, the adjustments were to decrease additional
paid-in
capital by $348 and increase distributable earnings by $348 due to the difference in the treatment for book and tax purposes of certain items allocated for foreign partnership investments. Results of operations and net assets were not affected by these reclassifications.
At December 31, 2023, the Trust had no capital loss carryforwards.
Certain capital and qualified late year losses incurred after October 31 and within the current taxable year, are deemed to arise on the first business day of the Trust’s following taxable year. The Trust incurred no such losses during the year ended December 31, 2023.
The final determination of the source of the 2023 distributions for tax purposes will be made after the end of the Trust’s fiscal year and will be reported to shareholders in February 2024 on the Form
1099-DIV.
For the year ended December 31, 2023, the tax character of distributions paid, as reflected in the Statements of Changes in Net Assets, was $45,110,761 of ordinary income (including net short-term capital gains) and $40,406,311 of long-term capital gain (both reflected in the Statements of Changes in Net Assets as distributions from distributable earnings) and $11,052,258 of return of capital, respectively. For the year ended December 31, 2022, the tax character of distributions paid, as reflected in the Statements of Changes in Net Assets, was $24,667,447 of ordinary income (including net short-term capital gains) and $56,945,898 of long-term capital gain (both reflected in the Statements of Changes in Net Assets as distributions from distributable earnings), respectively.
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 29 | |
Notes to Financial Statements concluded
Information on the tax components of net assets as of December 31, 2023 is as follows:
| | | | | | | | | | | | | | | | |
Cost of
investments for
tax purposes | | Gross tax
unrealized
appreciation | | Gross tax
unrealized
depreciation | | Net tax
unrealized
depreciation on
investments | | Net tax
unrealized
depreciation
on foreign
currency | | Qualified late
year ordinary
losses | | Qualified post-
October capital
deferral | | Undistributed
ordinary
income | | Undistributed
long-term
Capital gains /
(accumulated
capital loss) |
| $1,264,436,327 | | $24,614,091 | | $(201,750,126) | | $(177,136,035) | | $(2,981) | | $0 | | $0 | | $0 | | $0 |
The Trust has access to a secured line of credit of up to $400,000,000 from BNYM for borrowing purposes. Borrowings under this arrangement bear interest at the Federal funds rate plus 75 basis points. At December 31, 2023, there were borrowings in the amount of $289,441,900 on the Trust’s line of credit.
The average daily amount of borrowings during the year ended December 31, 2023 was $329,130,959 with an average interest rate of 5.78%. The maximum amount outstanding for the year ended December 31, 2023 was $368,712,000. The Trust had borrowings under the line of credit for all 365 days during 2023.
During 2004, the Trust issued 101,000,000 shares of common stock at $15.00.
Effective March 9, 2023, shareholders of record were issued one right for every share owned of the Trust. These rights allowed holders to subscribe to additional Common Shares of the Trust at a rate of one share for every five rights. On April 14, 2023, the Trust issued 23,378,100 additional Common Shares at an offering price of $5.03 per share as a result of the rights offering. This price was calculated at a 5% discount on a
5-day
average market price from 3/31/2023 to 4/6/2023. The offering resulted in gross proceeds of $117,591,843, less $1,898,934 of offering expenses, for net proceeds of $115,692,909. The net asset value of the Trust decreased by $0.22 per share on the day the additional shares were issued due to the shares being issued below net asset value.
In connection with the Trust’s Dividend Reinvestment Plan (“DRIP”), the Trust issued no common shares for the year ended December 31, 2023 and the year ended December 31, 2022, respectively.
At December 31, 2023, the Trust had outstanding common shares of 139,968,594 with a par value of $0.001 per share. The Adviser owned none of the common shares outstanding as of December 31, 2023.
At December 31, 2023, the Trust had no shares of auction rate preferred securities outstanding.
The Trust enters into contracts that contain a variety of indemnifications. The Trust’s exposure under these arrangements is unknown. However, the Trust has not had prior claims or losses or current claims or losses pursuant to these contracts.
Events or transactions that occur after the balance sheet date but before the financial statements are issued are categorized as recognized or
non-recognized
for financial statement purposes. Since December 31, 2023, the Trust paid a distribution on January 31, 2024 of $0.06 per share for the month of January 2024.
No other notable events have occurred between
year-end
and the issuance of these financial statements.
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 30 | |
Report of Independent Registered Public Accounting Firm
Report of Independent Registered Public Accounting Firm
To the Shareholders and Board of Trustees CBRE Global Real Estate Income Fund:
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities of CBRE Global Real Estate Income Fund (the Trust), including the portfolio of investments, as of December 31, 2023, the related statements of operations and cash flows for the year then ended, the statements of changes in net assets for each of the years in the
two-year
period then ended, and the related notes (collectively, the financial statements) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Trust as of December 31, 2023, the results of its operations and its cash flows for the year then ended, the changes in its net assets for each of the years in the
two-year
period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.
These financial statements and financial highlights are the responsibility of the Trust’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Trust in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of December 31, 2023, by correspondence with the custodian. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.
We have served as the Trust’s auditor since 2014.
Philadelphia, Pennsylvania
February 28, 2024
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CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 32 | |
Supplemental Information
Supplemental Information (unaudited)
Federal Income Tax Information
Qualified dividend income of as much as $8,049,046 was received by the Trust through December 31, 2023. The Trust intends to designate the maximum amount of dividends that qualify for the reduced tax rate pursuant to the Jobs and Growth Tax Relief Reconciliation Act of 2003.
For corporate shareholders, 0.78% of ordinary income distributions for the year ended December 31, 2023 qualified for the corporate dividends-received deduction.
In February 2024, you will be advised on IRS Form 1099 DIV or substitute 1099 DIV as to the federal tax status of the distributions received by you in the calendar year 2023.
The Trust submitted its Annual CEO certification for 2023 to the New York Stock Exchange (“NYSE”) on November 8, 2023 stating that the CEO was not aware of any violation by the Trust of the NYSE’s corporate governance listing standards. In addition, the Trust had filed the required CEO/CFO certifications regarding the quality of the Trust’s public disclosure as exhibits to the Forms
N-CSR
and Forms
N-PORT
filed by the Trust over the past fiscal year. The Trust’s Form
N-CSR
and Form
N-PORT
filings are available on the Commission’s website at www.sec.gov.
Result of Shareholder Votes
The Annual Meeting of Shareholders of the Trust was held on October 11, 2023.
With regard to the election of the following Trustees of the Trust, the voting results were as follows:
| | | | | | | | |
| | | Number of shares in favor | | | Number of shares withheld | |
| T. Ritson Ferguson | | | 101,058,055.698 | | | | 2,850,197.523 | |
| Heidi Stam | | | 97,733,513.155 | | | | 6,174,740.066 | |
The other Trustees of the Trust whose terms did not expire in 2023 are John R. Bartholdson, Leslie E. Greis, and Asuka Nakahara.
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 34 | |
Supplemental Information (unaudited) continued
The Trustees of the CBRE Global Real Estate Income Fund and their principal occupations during the past five years:
| | | | | | | | | | |
| Name, address and age | | Term of office
and length of
time served(1) | | Title | | Principal occupations during the
past five years | | Number of
portfolios in the
Trust complex
overseen by
Trustee | | Other directorships held
by trustee |
| Trustees: | | | | | | | | | | |
555 East Lancaster Ave. Suite 120 Radnor, PA 19087 Age: 64 | | 3 years/ since inception | | Trustee | | Senior Fellow Wharton Real Estate Center (since 2022); Managing Director of TRF3 Advisors (since 2022); Independent Investment Committee Member of CBRE Investment Management Listed Real Assets LLC (since 2022); Vice Chairman (2021) and Chief Executive Officer and Co-Chief Investment Officer (1995-2020) of CBRE Investment Management Listed Real Assets LLC; Chief Executive Officer, Chief Investment Officer and Global Chief Investment Officer of CBRE Global Investors (2015-2019) | | 1 | | Templeton World Charity Foundation (since 2023); Duke Management Company (DUMAC) (since 2018) |
Asuka Nakahara 555 East Lancaster Ave. Suite 120 Radnor, PA 19087 Age: 68 | | 3 years/ since inception | | Trustee | | Associate Director of the Zell-Lurie Real Estate Center at the Wharton School, University of Pennsylvania (since 1999); Practice Professor of Real Estate at the Wharton School, University of Pennsylvania (since 1999); Partner of Triton Atlantic Partners (since 2009) | | 1 | | Incompass Labs (since 2022); Rice Management Company (2022-2023); Comcast Corporation (since 2017) |
John R. Bartholdson 555 East Lancaster Ave. Suite 120 Radnor, PA 19087 Age: 79 | | 3 years/ 19 1 ⁄2 years | | Trustee/ Audit Committee Financial Expert | | Senior Vice President, CFO and Treasurer, and a Director of Triumph Group, Inc. (1993-2007) (Retired) | | 1 | | Berwyn Cornerstone Fund, Berwyn Income Fund, and Berwyn Fund (2013-2016) |
Leslie E. Greis 555 East Lancaster Ave. Suite 120 Radnor, PA 19087 Age: 65 | | 3 years/ 5 years | | Trustee | | Founder and Managing Member of Perennial Capital Advisors, LLC (since 2003) | | 1 | | AIM Mutual, Inc. (2016), Kinefac Corporation (since 2009) |
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 35 | |
Supplemental Information (unaudited) continued
| | | | | | | | | | |
| Name, address and age | | Term of office
and length of
time served(1) | | Title | | Principal occupations during the
past five years | | Number of
portfolios in the
Trust complex
overseen by
Trustee | | Other directorships held
by trustee |
| Trustees: | | | | | | | | | | |
Heidi Stam 555 East Lancaster Ave. Suite 120 Radnor, PA 19087 Age 67 | | 3 years/ 4 years | | Trustee | | Managing Director and General Counsel, The Vanguard Group, Inc. (2005-2016) (Retired) | | 1 | | Bridge Builder Trust (since 2022); Edward Jones Money Market Fund (since 2022); Investor Advisory Committee, U.S. Securities and Exchange Commission (2017-2021); National Adjudicatory Council, FINRA (2017-2021) |
| (1) | Each Trustee is elected to serve a three-year term concurrent with the class of Trustees to which he or she belongs. Mr. Nakahara, as Class II Trustee, is currently serving a term expiring at the Trust’s 2024 annual meeting of shareholders. Ms. Greis, as Class III Trustee, is currently serving a term expiring at the Trust’s 2025 annual meeting of shareholders. Mr. Ferguson and Ms. Stam, as Class I Trustees, are currently serving a term expiring at the Trust’s 2026 annual meeting of shareholders. Mr. Bartholdson has informed the Board that he intends to retire from the Board upon the conclusion of his term and, therefore, will not stand for re-election at the 2025 annual meeting of shareholders. |
| (2) | Mr. Ferguson is deemed to be an interested person of the Trust as defined in the Investment Company Act of 1940 (the “1940 ACT”), as amended, due to his previous position with the Adviser, and his engagement as an external consultant to the Adviser, which began on January 1, 2022. |
The Officers of the CBRE Global Real Estate Income Fund and their principal occupations during the past five years:
| | | | |
| Name, Address, Age and Position(s) Held with Registrant Officers: | | Length of Time Served | | Principal Occupations During the Past Five Years and Other Affiliations |
Joseph P. Smith 555 East Lancaster Ave, Suite 120 Radnor, PA 19087 Age: 55 President and Chief Executive Officer | | Since 2022 1 | | Chief Investment Officer (since 2021) and Co-Chief Investment Officer (since 2011) of CBRE Investment Management Listed Real Assets LLC (formerly CBRE Clarion Securities LLC) |
Jonathan A. Blome 555 East Lancaster Ave, Suite 120 Radnor, PA 19087 Age: 46 Chief Financial Officer | | since 2006 | | Chief Operating Officer (since 2021) and Chief Financial Officer and Director of Operations (since 2011) of CBRE Investment Management Listed Real Assets LLC (formerly CBRE Clarion Securities LLC) |
Jeff Chang 555 East Lancaster Ave, Suite 120 Radnor, PA 19087 Age: 50 Chief Compliance Officer and Secretary | | since 2023 2 | | Chief Compliance Officer of CBRE Investment Management Listed Real Assets LLC (since 2023); Chief Compliance Officer of First Quadrant, LP (2012-2022) |
| 1 | Effective January 1, 2022, Mr. Smith assumed responsibilities as the President and Chief Executive Officer of the Trust; he maintains his role as Portfolio Manager of the Trust. |
| 2 | Effective January 1, 2023, Mr. Chang assumed responsibilities as the Chief Compliance Officer and Secretary of the Trust. |
| | | | | | |
CBRE Global Real Estate Income Fund | | Confidential & Proprietary | | | 36 | |
Supplemental Information (unaudited) continued
Board Considerations in Approving the Advisory Agreement
At a meeting of the Board held on December 1, 2023, the Board, including the Independent Trustees voting separately, approved the continuation of the investment management agreement (the “Advisory Agreement”) between the Adviser and the Trust through December 31, 2024. Overall, the Board concluded that the continuation of the Advisory Agreement was in the best interests of the Trust and consistent with the expectations of its shareholders. In determining to approve the continuation of the Advisory Agreement, the Board took into account a number of factors, in each case in the context of the specific facts and circumstances of the Trust and without assigning relative weight to any factor or identifying any factor as determinative. The Board considered materials provided in advance of and during the Meeting, as well as their interactions with, and information provided by, the Adviser throughout the year.
