Assets Under Management (AUM) is a fundamental metric for real estate fund and asset managers, shaping their track records and informing investor decisions. Yet, the lack of a consistent AUM calculation across the industry has long posed challenges.
In May 2023, INREV, ANREV, NCREIF, and PREA collaborated to develop a global definition for AUM. This new methodology focuses on fair value, leverage treatment, external holdings, and undrawn investor commitments (‘dry powder’)—providing a clear, consistent way to measure AUM worldwide.
In our latest IQ blog, we speak with Andrew Muscat, Global Head of Investor Accounting and Finance at LaSalle Investment Management, about his role in the global task force that shaped the new definition. Read the full IQ blog below.