ODIN Eiendom. Videokommentar trykk på bildet. Årskommentar 2015

ODIN Eiendom Videokommentar trykk på bildet Årskommentar 2015

Fondets portefølje

ODIN Eiendom C - desember 2015 Avkastning siste måned og hittil i år Fondet leverte siste måned en avkastning på 6,3 prosent. Referanseindeksens avkastning var 8,3 prosent. Hittil i år er fondets avkastning 28,3 prosent. Referanseindeksens avkastning er 38,0 prosent hittil i år. Kjøp og salg siste måned og hittil i år Vi har ikke gjort noen vesentlige endringer i porteføljen i Desamber. Hittil i år er de største endringene kjøp av i Balder, Sagax, Victoria Park og Hemfosa, samt salg av Norwegian Property, Citycon, Sponda, Castellum og Olav Thon. Bidragsytere siste måned og hittil i år De beste bidragsyterne siste måned var Balder og Sagax. De svakeste bidragsytere siste måned var Entra og Diös. Hittil i år er de beste bidragsyterne Balder og Sagax. De svakeste bidragsyterne hittil i år er Entra og Wallenstam.

ODIN Eiendom - desember 2015 Prising av fondet Fondet prises til 15,2 ganger neste 12 måneders resultater. Fondet gir en forventet direkteavkastning på 3,0 prosent. Målt mot bokført egenkapital prises fondet til 1,4 ganger. Selskapene i fondet har en gjennomsnittlig egenkapitalavkastning på 8,4 prosent. Prising av N/A - Carnegie Sweden Real Estate Markedet prises til 0,0 ganger neste 12 måneders resultater. Markedet gir en direkteavkastning på 0,0 prosent. Målt mot bokført egenkapital prises markedet til 0,0 ganger. Selskapene i Carnegie Sweden Real Estate har en gjennomsnittlig egenkapitalavkastning på 0,0 prosent. Makroøkonomi OECDs ledende indikatorer viser nå en endringstakt under trend for økonomiene i området de seneste månedene.

Finansmarkedene i 2015 Den globale veksten antas å bli 2,9 prosent i 2015, noe svakere enn 3,3 prosent året før. Veksten i Kina, India og Brasil var svakere i 2015 enn i 2014, mens eurosonen og Japan hadde høyere vekst enn året før. I USA var veksten på 2,4 prosent i 2015 nøyaktig det samme som i 2014. Også i aksjemarkedet har det vært store variasjoner. De brede britiske og amerikanske aksjeindeksene hadde en liten nedgang i 2015, mens flere europeiske børser steg mellom 5 og 10 prosent. Børsene i Kina var preget av store svingninger, med et spesielt bratt fall i sommer, men for året som helhet hadde Shanghai-børsen en oppgang på over 9 prosent. Oslo Børs steg med 6 prosent, til tross for at oljeprisen falt fra 67 til 37 USD pr. fat i løpet av året. Lange tyske og amerikanske renter steg marginalt i 2015. I mars startet den europeiske sentralbanken sitt program for kjøp av obligasjoner, såkalte kvantitative lettelser, med mål om å holde rentene nede og stimulere økonomien. Inflasjonen i eurosonen er imidlertid fortsatt godt under målet på 2 prosent. I USA, derimot, har økonomien lenge vært i bedring, og i desember kom omsider Federal Reserves lenge varslede renteøkning. Perioden med nullrentepolitikk i USA er dermed over. I Norge har sentralbanken kuttet styringsrenten to ganger, til 0,75 prosent, i 2015. Det er negative effekter av fallet i oljeprisen og nedgang i oljeinvesteringene som er bakgrunnen for rentekuttene, og det forventes at styringsrenten skal videre ned i 2016. Real GDP, annual percentage changes 2014 2015 2016 2017 World 3,3 2,9 3,3 3,6 United States 2,4 2,4 2,5 2,4 Euro Area 0,9 1,5 1,8 1,9 Japan -0,1 0,6 1 0,5 China 7,3 6,8 6,5 6,2 India 7,3 7,2 7,3 7,4 Brazil 0,2-3,1-1,2 1,8 Source: OECD Den norske kronen har svekket seg kraftig, og mens oljeindustrien sliter, har kronesvekkelsen bidratt positivt for eksportrettet norsk industri. Geopolitisk uro har preget året som gikk, blant annet gjennom konflikten mellom Russland og Ukraina, og ved Islamsk Stats fremmarsj i Midtøsten. Finansielle ubalanser i Kina har skapt frykt i finansmarkedene, men med unntak av det kraftige aksjefallet i sommer, har det så langt vært mer en oppbremsing enn et krakk. Oppbremsingen i Kina har imidlertid hatt stor negativ effekt på verdens råvare-markeder. I Europa ble Hellas og dets kreditorer endelig enige om en gjeldsavtale i juli, og et viktig fokus for EU etter det har vært den store flyktningestrømmen til Europa.

ODIN Eiendom i 2015 2015 ble nok et godt år for ODIN Eiendom. Avkastningen for året målt i NOK ble 28.3%. Av disse skyldes rundt 8% fordelaktige valutabevegelser da NOK svekket seg mot SEK og EUR gjennom året. De største bidragsyterene til avkastningen har vært Balder, Sagax og Wihlborgs. Verdiskapningen i selskapene har primært vært drevet av leieprisøkninger, ferdigstilte utviklingsprosjekter, fallende ledighet, oppkjøp og lavere finanskostnader. De lave rentene har også i 2015 bidratt til at fallende avkastningskrav og økt verdi på eiendommene. Dog har aksjekursene på børsnotert eiendom kun fulgt inntjeningsveksten, og i så måte har ikke aksjemarkedet tatt de lavere rentene innover seg. ODIN Eiendom hadde ved årsskiftet 74% av porteføljen investert i svenske papirer, mens henholdsvis 9% og 9% var investert i Norge og Finland. Gjennom året har de største endringene i fondet vært kjøp av aksjer i Balder, Sagax, Victoria Park og Hemfosa, mens vi har solgt aksjer i Norwegian Property, Citycon, Sponda, Castellum og Olav Thon. Vi leter etter følgende når vi investerer: 1. Stabil og økende inntjening per aksje 2. En fornuftig belåning, både i forhold til inntjening, kontantstrøm og eiendomsverdier 3. En fornuftig sammensetning av leietakere De skal være solide Vi foretrekker lang løpetid på kontraktene, men noe utskifting er likevel viktig for markedsjustering av leienivåene 4. En portefølje av eiendommer som ikke risikerer å bli stående tomme etter kontrakts utløp 5. En ledelse som er opptatt av å skape verdier gjennom å utvikle eiendommene 6. En lav pris på aksjen i forhold til inntjening, kontantstrøm og risiko. Selv om mandatet til ODIN Eiendom også inkluderer entreprenører og rene eiendomsutviklere, har vi besluttet og ikke å investere i disse, men kun fokusere på eiendomsbesitterene. Bakgrunnen for dette er hovedsakelig at vi oppfatter risikoen som lavere her, samtidig som prisingen fortsatt er attraktiv, og dagens rentescenario er fordelaktig.

ODIN Eiendom i 2015 ODIN Eiendom har som mål å gi en konkurransedyktig avkastning relativt til risikoen i selskapene vi investerer i. Generelle svingninger på børsen vil påvirke prisingen av porteføljen, men slik vi oppfatter det, er ofte disse svingningene vesentlig større enn hva verdien av porteføljen svinger. I slike tilfeller forsøker vi å utnytte svingninger til å rebalansere porteføljen.

Sterkt eiendomsmarked i 2015 Markedet for næringseiendom i Norden har vært sterkt også i 2015. Transaksjonsverdien er nesten på nivå med toppårene 2006 og 2007. Veksten i volumet fra 2014 til 2015 er drevet av det norske markedet. Det er spesielt Citycon sitt kjøp av kjøpesenterene til Sektor Gruppen som forklarer veksten. I følge Newsec har yieldene falt videre i de fleste store byene i Norden i 2015. Samtidig er utsiktene for leieprisoppgang positive både i kontor- og og kjøpesentermarkedet i årene fremover.

Fortsatt lave renter Lange renter er fortsatt lave i historisk målestokk. I Sverige og i Eurosonen har det var stabilt lave renter gjennom 2015, mens i Norge har nivået falt ytterligere. Lave renter er positivt for eiendom både fordi selskapene får lavere finansieringskostnader, og fordi da verdsettelsen av slike aktiva blir høyere. Med stadig lavere oljepris, har norsk økonomi fått større utfordringer. GDP veksten er ventet å være lavere enn i 2014, mens inflasjonen trolig kommer opp på bakgrunn av svekket valuta. Arbeidsledigheten er også ventet å stige. I Sverige er utsiktene langt lysere. GDP veksten er ventet å bli over 3% i 2016, høyeste siden 2010. Privat konsum er også ventet å utvikle seg positivt. Finsk økonomi har allerede vært svak i flere år, og selv om det er ventet noe forbedring, er det fortsatt til et lavt nivå.

ODIN Eiendom i 2016 Utsiktene for eiendomsmarkedet i 2016 er også positive. De vedvarende lave rentene vil bidra til fortsatt sterkt transaksjonsvolum i tiden fremover. I tillegg tror vi god vekst i svensk økonomi vil gi seg utslag i økt etterspørsel etter eiendom i de fleste segmenter. Utsiktene i Norge og Finland er mer utfordrende. Vekst i tilbudssiden i eiendomsmarkedet i Norden er relativt begrenset. Newsec forventer 0-2% vekst i bygging av kontorlokaler i hovedstedene. I sum tror vi at tilbud og etterspørsel-balansen vil gi god verdivekst i eiendomsmarkedet gjennom lavere ledighet og økte leienivåer. Vi forblir dermed positive til utviklingen av nordisk børsnotert eiendom også i 2016.

ODIN Eiendom i 2016 Vi tror at de selskapene som klarer å vise høyest vekst, kombinert med god avkastning på egenkapitalen, kombinert med moderat finansiell risiko, over tid vil være vinnere. Balder, Sagax og Wihlborgs scorer best på disse kriteriene, og er også de største posisjonene i fondet. Vi har også en betydelig andel av fondet investert i Hemfosa, som vi tror vi vise lignende egenskaper, dog har selskapet begrenset historikk da børsnotering fant sted for under to år siden.

Nøkkeltall og nyheter fra porteføljen - presentert på engelsk

Portfolio Return Last 5 years % (NOK) ODIN Eiendom C Index Historical Return % (NOK)* Last Month YTD 1 Y 3 Y 5 Y 10 Y Since inception Portfolio 6,27 28,25 28,25 29,27 17,20 13,43 17,22 Benchmark 8,30 37,98 37,98 34,35 18,78 12,81 14,60 Exess Return -2,03-9,73-9,73-5,07-1,58 0,62 2,62 * Returns for periods exceeding 12 months are annualized

Annual returns last 10 years

Pricing of the fund Company Weight Country Industry P/E (LTM)* P/E (NTM)* DivYield (LTM) DivYield (NTM) P/B ROE Hemfosa Fastigheter AB 9,5% Sweden Real Estate Management & 11,0 12,3 4,8 5,0 1,2 11,2 Fastighets Balder AB Class B 9,4% Sweden Real Estate Management & 23,0 20,7 0,0 0,0 1,8 8,0 Wihlborgs Fastigheter AB 9,1% Sweden Real Estate Management & 13,7 14,7 3,0 3,1 1,6 11,8 AB Sagax Class B 9,0% Sweden Real Estate Management & 19,8 16,3 1,4 1,7 2,5 12,5 Wallenstam AB Class B 4,6% Sweden Real Estate Management & 35,8 36,0 1,8 2,1 1,5 4,3 Atrium Ljungberg AB Class B 4,6% Sweden Real Estate Management & 19,6 18,6 2,7 2,9 1,4 6,9 Sponda Oyj 4,5% Finland Real Estate Management & 10,9 11,2 4,8 5,1 0,8 6,9 Olav Thon Eiendomsselskap 4,5% Norway Real Estate Management & 14,8 13,6 1,3 1,4 0,9 6,2 Fabege AB 4,5% Sweden Real Estate Management & 33,1 27,0 2,4 2,5 1,5 4,5 Technopolis Oyj 4,4% Finland Real Estate Management & 8,5 8,4 4,2 4,2 0,7 8,7 Topp 10 63,9% 15,5 15,3 2,5 2,7 1,3 8,5 ODIN Eiendom 16,1 15,2 2,7 3,0 1,4 8,4 * NTM = Next 12 months LTM = Last 12 months Adjusted earnings and fully diltuted number of shares

Current holdings

Share price performance*, year to date (Sorted by weight in portfolio) *) Share price performance for equities included in the benchmark. Equities not included in the benchmark are calculated from portfolio figures.

Contribution, year to date

Risk Statistics (NOK) 3 Years Portfolio Index Active share 0,50 Sharpe ratio 1) 2,09 Standard Deviation 2) 13,34 2,10 15,87 Portfolio Alpha 1,46 Beta 0,80 Tracking error 4,93 Information ratio -1,09 1) Sharpe Ratio uses Norway - 3 MT Bills as risk free rate. 2) Standard Deviation is based upon monthly volatility.

Pricing - Global Equities (MSCI World)

OECD Leading indicator Level above 100 indicates expanding activity in OECD area

The International Monetary Fund (IMF) Economic growth forecast

ODIN Eiendom - 31/12/2015 Security (Company) Currency Market Number of shares Market price Cost price Market value Unrealised gain (loss) Local currency NOK 1000 NOK 1000 NOK 1000 % of assets under management Atrium Ljungberg AB ser. B SEK Stockholm 298 706 131,70 31 591 41 177 9 585 4,5 Balder B SEK Stockholm 390 388 209,00 39 710 85 401 45 692 9,3 Castellum SEK Stockholm 311 934 120,70 33 075 39 409 6 334 4,3 Diös Fastigheter SEK Stockholm 602 991 61,25 26 549 38 658 12 109 4,2 Entra NOK Oslo 535 503 71,25 39 403 38 155-1 248 4,2 Fabege SEK Stockholm 277 324 140,10 20 702 40 668 19 966 4,4 Hemfosa Fastigheter SEK Stockholm 877 025 94,25 66 344 86 520 20 176 9,4 Hufvudstaden A SEK Stockholm 319 655 120,50 27 160 40 317 13 157 4,4 Klövern Pref SEK Stockholm 131 329 281,50 41 808 38 696-3 113 4,2 Kungsleden SEK Stockholm 627 404 60,75 30 449 39 895 9 446 4,3 Olav Thon Eiendomsselskap NOK Oslo 287 733 142,00 34 893 40 858 5 965 4,5 Sagax B SEK Stockholm 1 090 826 69,75 54 452 79 638 25 186 8,7 Sponda EUR Helsinki 1 089 390 3,94 34 901 41 330 6 429 4,5 Technopolis EUR Helsinki 1 128 737 3,73 37 312 40 540 3 229 4,4 Victoria Park B SEK Stockholm 1 052 786 15,10 14 009 16 639 2 631 1,8 Wallenstam B SEK Stockholm 587 212 68,40 42 153 42 041-112 4,6 Wihlborgs SEK Stockholm 461 662 171,00 54 819 82 631 27 812 9,0 Total Financials 629 329 832 572 203 243 90,7 Total portfolio 629 329 832 572 203 243 90,7

Investments - ODIN Eiendom

Atrium Ljungberg Company description: Atrium Ljungberg is one of Sweden s largest listed property companies. The focus is on owning, developing and managing properties, principally in the retail and office sectors. The ambition is to develop areas into full-service environments which are sustainable and attractive in the longer term. The company has around 1.1m square meters, of which around half is retail exposure Performance - last 5 years 200 180 160 140 120 100 80 60 40 20 0 des.10 des.11 des.12 des.13 des.14 des.15 Atrium Ljungberg AB Class B OMX VINX Benchmark Capped TR Why invested? Atrium Ljungberg AB Class B Real Estate Development We like the company s focus on being invested in all property segments in growth areas such as Uppsala. The company creates value both through having a larger overall property market share in its key areas, but also through extensive building activity. The company has low financial gearing compared to the sector average. In addition, the company pays a competitive dividend. Market Value (mill.) 16,708 Price 129.30 Price currency SEK Net debt (mill.) 11,903 Reporting currency SEK Enterprise Value (mill.) 28,611 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,623 2,018 1,836 2,364 2,313 2,107 2,146 EBIT (Operating Income) (mill.) - - - - - 1,344 1,387 Net Income (mill.) 916 905 1,031 1,108 645 1,925 812 Price/Earnings 21.8 9.8 14.5 8.0 24.1 18.9 18.0 Price/Book Value 1.3 1.0 1.2 1.1 1.4 1.3 1.3 EV/EBIT - - - - - 22.3 22.4 Return on Equity (%) 10.5 9.7 10.4 10.4 5.7 6.9 7.1 Dividend Yield (%) 1.8 3.3 3.0 3.2 2.7 2.8 3.0

Balder 800 Performance - last 5 years Company description: Fastighets AB Balder is a listed property company which shall meet the needs of different customer groups for premises and housing based on local support. Balder's real estate holdings are valued at SEK 39.9 billion at the end of September 2015 and are marketed through the Din Bostad and Balder brands. The company has around 2.1m square meters, of which around half is residental exposure 700 600 500 400 300 200 100 0 des.10 des.11 des.12 des.13 des.14 des.15 Fastighets Balder AB Class B OMX VINX Benchmark Capped TR Why invested? Fastighets Balder AB Class B Real Estate Development We like the company s exceptional growth and opportunistic strategy. The residental market is very positive at the moment as building activity is too low to offset population growth. The company has high financial gearing compared to the sector average, including preferance shares. Balder does not pay dividend, but as long as the company continue to invest in profitable growth, this is not a worry for us. Market Value (mill.) 32,697 Price 195.30 Price currency SEK Net debt (mill.) 21,922 Reporting currency SEK Enterprise Value (mill.) 54,619 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,379 1,536 1,715 1,944 2,600 2,705 5,259 EBIT (Operating Income) (mill.) - - - - - 2,224 3,204 Net Income (mill.) 1,338 812 1,162 1,738 3,128 2,746 1,474 Price/Earnings 5.0 4.4 5.7 6.7 8.8 21.7 19.5 Price/Book Value 1.1 0.6 0.8 1.1 1.4 1.7 1.5 EV/EBIT - - - - - 30.5 22.7 Return on Equity (%) 33.6 14.3 15.5 17.8 24.6 8.0 7.5 Dividend Yield (%) 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Castellum Company description: 250 200 Performance - last 5 years Castellums operations are concentrated to the attractive growth markets of Stockholm, Göteborg, Mälardalen, Östra Götaland and the Öresund region. The company grow along with the requirements of both new and existing customers and we actively participate in the development of cities and city neighbourhoods. The company has around 3.5m square meters, of which the majority is office properties 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Castellum AB OMX VINX Benchmark Capped TR Why invested? We like the company s value creation through building and acquiring properties with high vacancy, and utilizing its large customer base to enhance value. The company has medium financial gearing compared to the sector average. In addition, the company pays a competitive dividend. Castellum AB Real Estate Development Market Value (mill.) 20,520 Price 119.30 Price currency SEK Net debt (mill.) 18,399 Reporting currency SEK Enterprise Value (mill.) 38,919 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 2,760 2,919 3,073 3,253 3,321 3,295 3,431 EBIT (Operating Income) (mill.) - - - - - 2,116 2,209 Net Income (mill.) 1,964 711 1,473 1,707 1,211 1,902 1,518 Price/Earnings 12.7 8.5 21.4 7.6 18.6 13.2 12.6 Price/Book Value 1.5 1.2 1.3 1.3 1.5 1.3 1.3 EV/EBIT - - - - - 19.6 18.8 Return on Equity (%) 18.9 6.4 12.7 13.6 9.0 10.1 10.2 Dividend Yield (%) 3.8 4.2 4.0 3.9 3.5 4.0 4.3

Diös Fastigheter Company description: 250 200 Performance - last 5 years Diös has real estate holdings with a value of SEK 12 billion, making it northern Sweden's largest private real estate company. We operate in a stable market from Borlänge in the south to Luleå in the north. Its portfolio contains a diverse collection of properties in terms of price range and type, which allows Diös to be flexible to the clients' needs. The company has around 1.5m square meters, which is diversified through most property segments. Why invested? We like the company s growth and strong market position in the northern part of Sweden. The company has high financial gearing compared to the sector average, although it has been reduced to a more moderate level than earlier. In addition, the company pays a very competitive dividend. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Dioes Fastigheter AB Dioes Fastigheter AB OMX VINX Benchmark Capped TR Real Estate Development Market Value (mill.) 4,558 Price 61.00 Price currency SEK Net debt (mill.) 7,592 Reporting currency SEK Enterprise Value (mill.) 12,150 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 499 601 1,331 1,310 1,313 1,311 1,404 EBIT (Operating Income) (mill.) - - - - - 712 769 Net Income (mill.) 230 182 428 323 297 391 463 Price/Earnings 14.0 3.9 9.6 7.0 17.2 10.3 8.2 Price/Book Value 1.1 0.7 0.9 1.1 1.3 1.3 1.2 EV/EBIT - - - - - 18.1 16.5 Return on Equity (%) 17.2 8.6 14.7 10.2 9.0 12.5 14.8 Dividend Yield (%) 3.1 6.0 3.1 5.0 4.0 5.2 5.5

Entra Company description: 110 105 Performance - last 5 years Entra is one of Norway's leading real estate companies. The company is an industry leader in developing and managing energy efficient buildings. The portfolio consists of flexible and environmentally friendly, high-quality office buildings in central locations close to public transportation hubs. The company has around 1.2m square meters, of which the majority are office related. 100 95 90 85 80 des.10 des.11 des.12 des.13 des.14 des.15 Entra ASA OMX VINX Benchmark Capped TR Why invested? We like the company s long contracts with public tenants. This provides a higher visibility than most other real estate companies. We also believe there is earnings upside through cutting cost further. The company has low financial gearing compared to the sector average. In addition, the company pays a competitive dividend. Entra ASA Real Estate Development Market Value (mill.) 13,229 Price 72.00 Price currency NOK Net debt (mill.) 14,449 Reporting currency NOK Enterprise Value (mill.) 27,677 FX rate (NOK) 1.00 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,510 1,468 1,533 1,684 2,018 1,758 1,844 EBIT (Operating Income) (mill.) - - - - - 1,437 1,489 Net Income (mill.) 735 565 704 453 1,027 2,098 759 Price/Earnings - - - - 13.5 17.1 13.8 Price/Book Value - - - - 1.7 1.1 1.0 EV/EBIT - - - - - 18.3 18.0 Return on Equity (%) 11.1 8.0 9.3 5.8 11.0 6.2 7.5 Dividend Yield (%) - - - - 0.0 4.2 4.6

Fabege Company description: 300 250 Performance - last 5 years Fabege is a leading, listed property company with a principal focus on the development and management of proprietary properties in the Stockholm region. The property portfolio comprises 80 commercial properties and Fabege offers modern premises, mainly for use as offices but also for retail and other purposes. The company has around 1.1m square meters, of which the majority is office related. 200 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Fabege AB OMX VINX Benchmark Capped TR Why invested? We like the company s strong focus on the Stockholm region, and focus on growth areas such as Solna. We also like the company s value creation through expanding the portfolio through building activities. The company has medium financial gearing compared to the sector average. In addition, the company pays a moderate dividend. Fabege AB Real Estate Development Market Value (mill.) 92,969 Price 1056.00 Price currency SEK Net debt (mill.) 19,494 Reporting currency SEK Enterprise Value (mill.) 112,463 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 2,014 1,818 1,893 2,089 2,112 1,998 2,196 EBIT (Operating Income) (mill.) - - - - - 1,361 1,517 Net Income (mill.) 1,697 1,141-88 1,530 1,738 2,192 703 Price/Earnings 9.8 6.6-6.1 18.4 31.9 26.6 Price/Book Value 1.2 0.8 1.0 1.0 1.3 1.5 1.5 EV/EBIT - - - - - 32.1 29.4 Return on Equity (%) 16.0 9.9-0.8 12.8 13.2 4.6 5.5 Dividend Yield (%) 1.8 5.6 4.6 3.9 3.0 2.4 2.6

Hemfosa Company description: 250 200 Performance - last 5 years Hemfosa Fastigheter is a Swedish property company active in two principal areas of operation. Firstly, long-term management and development of primarily community service properties and, secondly, transaction of properties. Our approach enables the company to create a balanced property portfolio that generates stable and high yields, thus enabling it to develop and add value to even more properties.the company has around 2.5m square meters, of which the majority is office related. Why invested? We like the company s high growth, focus on long contracts with public tenants and transactin focus. The company has high financial gearing compared to the sector average, including preferance shares. In addition, the company pays a very competitive dividend. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Hemfosa Fastigheter AB Hemfosa Fastigheter AB OMX VINX Benchmark Capped TR Real Estate Development Market Value (mill.) 10,778 Price 82.00 Price currency SEK Net debt (mill.) 15,166 Reporting currency SEK Enterprise Value (mill.) 25,944 FX rate (NOK) 1.02 #N/A 2011 2012 2013 2014 2015E 2016E Sales (mill.) - 1,297 1,594 1,584 1,683 2,440 2,539 EBIT (Operating Income) (mill.) - - - - - 1,698 1,671 Net Income (mill.) - 667 923 231 964 1,851 1,034 Price/Earnings - - - - 28.0 9.8 10.9 Price/Book Value - - - - 1.6 1.1 1.1 EV/EBIT - - - - - 16.7 17.2 Return on Equity (%) - - 53.8 10.2 17.4 11.2 9.7 Dividend Yield (%) - - - - 0.0 5.4 5.7

Hufvudstaden Company description: 250 200 Performance - last 5 years Hufvudstaden provides office and retailing premises in prime locations in Stockholm and Gothenburg. The Company was founded in 1915 and is today one of Sweden's largest listed property companies and one of the strongest brands in the country in the property sector. The company has around 400k square meters, of which all is office and retail. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Hufvudstaden AB Class A OMX VINX Benchmark Capped TR Why invested? Hufvudstaden AB Class A Real Estate Development We like the company s prime property portfolio. Hufuvdstaden has properties in very attractive locations in Stockholm and Gothenburg, including the NK shopping centers in both cities. This provides lower risk, but one can also experience higher volatility in general rent levels. The company has very low financial gearing compared to the sector average, In addition, the company pays a moderate dividend. Market Value (mill.) 25,764 Price 118.60 Price currency SEK Net debt (mill.) 5,176 Reporting currency SEK Enterprise Value (mill.) 30,939 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,392 1,437 1,542 1,640 1,669 1,595 1,624 EBIT (Operating Income) (mill.) - - - - - 1,118 1,160 Net Income (mill.) 1,733 1,435 1,939 1,876 2,001 2,063 816 Price/Earnings 19.9 7.5 13.9 8.0 11.7 27.8 27.5 Price/Book Value 1.5 1.2 1.3 1.2 1.3 1.3 1.3 EV/EBIT - - - - - 27.7 26.5 Return on Equity (%) 15.9 12.0 14.7 12.9 12.5 4.9 4.8 Dividend Yield (%) 1.9 3.3 3.0 3.0 2.7 2.6 2.7

Klövern Company description: 250 200 Performance - last 5 years Klövern is a real estate company committed, with closeness and commitment, to offering customers efficient premises in selected growth regions. Our vision is to create environments for future enterprise. This requires active construction of city neighbourhoods, districts and other business clusters. The company has around 2.8m square meters, of which more than half is office related. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Klovern AB OMX VINX Benchmark Capped TR Why invested? We like the company s high growth, but we are not comfortable with the high financial leverage, which is among the highest in the real estate sector. We have therefore invested in the preferance shares, which gives a very comptitive dividend and significantly lower risk than the ordinary shares. Klovern AB Real Estate Development Market Value (mill.) 12,865 Price 8.90 Price currency SEK Net debt (mill.) 18,584 Reporting currency SEK Enterprise Value (mill.) 31,449 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,244 1,364 1,948 2,228 2,525 2,715 2,892 EBIT (Operating Income) (mill.) - - - - - 1,684 1,793 Net Income (mill.) 605 465 339 808 1,164 1,789 913 Price/Earnings 13.6 7.1 9.1 11.7 0.8 11.5 10.2 Price/Book Value 1.3 0.9 0.7 0.7 0.1 0.7 0.7 EV/EBIT - - - - - 20.1 18.8 Return on Equity (%) 14.0 10.1 5.9 11.6 13.5 6.5 7.2 Dividend Yield (%) 3.7 5.8 4.9 5.3 36.6 3.9 4.5

Kungsleden Company description: Kungsleden is one of Sweden s largest listed property companies focusing on long-term ownership, active management, improving and developing commercial properties in chosen growth regions. The cluster strategy, means that owning several properties within a defined area. The company has around 2.6m square meters, of which virtually all is office and logistics. Performance - last 5 years 200 180 160 140 120 100 80 60 40 20 0 des.10 des.11 des.12 des.13 des.14 des.15 Kungsleden AB OMX VINX Benchmark Capped TR Why invested? Kungsleden AB Real Estate Development We like the company s new strategy, which is much more focused on large property market share in defined growing areas. The company has moderate financial gearing compared to the sector average, even after loosing recent tax case. In addition, the company pays a competitive dividend. Market Value (mill.) 11,284 Price 62.00 Price currency SEK Net debt (mill.) 9,875 Reporting currency SEK Enterprise Value (mill.) 21,159 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 2,321 2,882 2,110 2,242 2,200 2,247 2,550 EBIT (Operating Income) (mill.) - - - - - 1,386 1,590 Net Income (mill.) 841 638 352 862-659 1,417 916 Price/Earnings 38.4 7.4-3.7 11.5 14.0 11.6 Price/Book Value 1.2 0.8 0.7 0.7 1.1 1.1 1.0 EV/EBIT - - - - - 19.9 17.3 Return on Equity (%) 11.7 8.5 4.6 10.7-7.5 7.6 8.7 Dividend Yield (%) 4.3 4.3 7.3 2.3 2.1 3.3 4.4

Olav Thon Eiendomsselskap 250 Performance - last 5 years Company description: Olav Thon Eiendomsselskap was founded in 1982 and listed in 1983. Focus has all the way been on shopping centers in Norway, but last year the company also expanded into Sweden. The company has around 1.5m square meters, of which most is retail, but also some office. 200 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Why invested? Olav Thon Eiendomsselskap ASA OMX VINX Benchmark Capped TR We like the excellent historic growth and strong return on investments. Although shopping centers face a challenging trend as online shopping is continuing to gain momentum. Through the financial crisis retail sales shown a resilient trend, hence, we are not too concerned with less optimistic outlook for Norwegian economy. The company has low financial gearing compared to the sector average. Dividend is quite low, but we are not concerned with this as cash flows are reinvested with healthy returns. Olav Thon Eiendomsselskap ASA Real Estate Development Market Value (mill.) 15,062 Price 141.50 Price currency NOK Net debt (mill.) 16,364 Reporting currency NOK Enterprise Value (mill.) 31,426 FX rate (NOK) 1.00 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 2,647 2,834 2,946 3,055 3,020 3,175 3,287 EBIT (Operating Income) (mill.) - - - - - 2,036 2,075 Net Income (mill.) 1,324 724 1,119 1,648 1,170 2,727 1,194 Price/Earnings 11.0 6.7 14.6 5.9 11.5 14.7 13.5 Price/Book Value 1.1 0.9 0.9 0.9 1.0 0.9 0.9 EV/EBIT - - - - - 14.7 14.2 Return on Equity (%) 15.0 7.4 10.5 13.6 8.7 6.2 6.3 Dividend Yield (%) 0.9 1.3 1.1 1.1 1.1 1.3 1.4

Sagax 400 Performance - last 5 years Company description: Sagax is a property company whose business concept is to invest in commercial properties, primarily in the warehouse and light industry segment. The company has around 1.8m square meters, of which more or less all is in the warehouse/logistic segment. 350 300 250 200 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Why invested? AB Sagax Class B OMX VINX Benchmark Capped TR We like the company s high growth, which has been among the best in the sector. Sagax also have long lease contracts providing good earnings visibility. Management has a great track-record, and has generated large values for many years. The company has high financial gearing compared to the sector average, including preference shares, but as this has been reduced lately, the company has also started to pay a small dividend. AB Sagax Class B Real Estate Development Market Value (mill.) 13,066 Price 70.25 Price currency SEK Net debt (mill.) 8,380 Reporting currency SEK Enterprise Value (mill.) 21,446 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 669 789 826 929 1,098 1,284 1,414 EBIT (Operating Income) (mill.) - - - - - 1,041 1,164 Net Income (mill.) 492 122 372 777 747 1,058 831 Price/Earnings - - - - 16.4 19.9 16.4 Price/Book Value - - - 1.1 1.7 2.5 2.2 EV/EBIT - - - - - 22.1 19.6 Return on Equity (%) 27.4 5.5 14.8 23.8 18.1 12.5 13.3 Dividend Yield (%) - - - 1.8 1.3 1.4 1.7

Sponda Company description: Sponda is a finnish property company established in 1991 by the Bank of Finland to take over the Finnish and foreign real estate properties held by the Skopbank Group together with its sizeable equity portfolio. The company has around 1.2m square meters, spread across several segments, but with office as the largest part. Performance - last 5 years 200 180 160 140 120 100 80 60 40 20 0 des.10 des.11 des.12 des.13 des.14 des.15 Sponda Oyj OMX VINX Benchmark Capped TR Why invested? Sponda has been going through a transformation, which has lasted several years already, where the goal is to be more focused on prime offices in and around Helsinki. As such, the Russian and logistics assets has to some extent been divested, although Sponda is not yet completed with the process. The company has moderate financial gearing compared to the sector average, even after loosing recent tax case. In addition, the company pays a very competitive dividend. Sponda Oyj Real Estate Development Market Value (mill.) 1,076 Price 3.80 Price currency EUR Net debt (mill.) 1,805 Reporting currency EUR Enterprise Value (mill.) 2,881 FX rate (NOK) 9.50 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 232 249 265 265 252 230 238 EBIT (Operating Income) (mill.) - - - - - 150 150 Net Income (mill.) 121 109 106 95 69 100 95 Price/Earnings 16.2 7.1 10.0 9.5 9.8 10.6 10.9 Price/Book Value 0.9 0.7 0.8 0.8 0.7 0.7 0.7 EV/EBIT - - - - - 17.7 17.8 Return on Equity (%) 10.4 9.3 9.0 7.6 5.2 6.9 6.5 Dividend Yield (%) 3.1 4.8 4.4 5.0 5.0 5.0 5.2.

Technopolis Company description: Technopolis provides the best addresses for companies to operate and succeed in five countries in the Nordic-Baltic region. The company develops, owns and operates a chain of 20 smart business parks that combine services with flexible and modern office space. The company has around 730m square meters, which is mostly business parks. Performance - last 5 years 200 180 160 140 120 100 80 60 40 20 0 des.10 des.11 des.12 des.13 des.14 des.15 Technopolis Oyj OMX VINX Benchmark Capped TR Why invested? The company has shown strong growth the last years. However, several equity issues have diluted shareholders, resulting is flat development in results on a per share basis. The company has high financial gearing compared to the sector average, but has been able to pay a competitive dividend. The share trades at a very low valuation, but we believe management needs to improve track record to achieve a higher pricing of the shares. Technopolis Oyj Real Estate Development Market Value (mill.) 387 Price 3.63 Price currency EUR Net debt (mill.) 868 Reporting currency EUR Enterprise Value (mill.) 1,254 FX rate (NOK) 9.50 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 83 94 107 127 166 169 169 EBIT (Operating Income) (mill.) - - - - - 87 89 Net Income (mill.) 23 47 26 26-16 42 51 Price/Earnings 16.3 4.7 9.0 17.9 11.9 8.1 8.1 Price/Book Value 0.9 0.7 0.8 0.8 0.8 0.7 0.7 EV/EBIT - - - - - 14.1 13.9 Return on Equity (%) 8.3 14.9 7.3 5.9-3.5 8.9 8.5 Dividend Yield (%) 3.7 5.1 5.1 4.1 2.7 4.4 4.4.

Victoria Park Company description: 250 200 Performance - last 5 years Victoria Park is a listed property company on the NASDAQ Stockholm Mid Cap focuses on residential properties, with the business areas of investment properties and lifestyle accommodation. With a longterm management of work and social responsibility for safer living Victoria Park create and process values in a growing residential property portfolio in growth areas in Sweden. The company has 708k square meters, purely residental. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Victoria Park AB Class B OMX VINX Benchmark Capped TR Why invested? The company has shown strong growth the last years. The residental market is very positive at the moment as building activity is too low to offset population growth. Victoria Park generates values also through refurbishing of apartments, yielding excellent returns. The company has high financial gearing compared to the sector average, including preference shares. Victoria Park AB Class B Real Estate Development Market Value (mill.) 3,615 Price 14.90 Price currency SEK Net debt (mill.) 3,826 Reporting currency SEK Enterprise Value (mill.) 7,441 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 133 26 247 130 299 621 755 EBIT (Operating Income) (mill.) - - - - - 273 339 Net Income (mill.) - 22-23 60 410 310 1,068 375 Price/Earnings - - - - - 25.9 19.2 Price/Book Value - - - - 0.9 1.3 1.1 EV/EBIT - - - - - 26.7 22.4 Return on Equity (%) -6.6-18.9 42.3 76.3 25.4 4.9 5.9 Dividend Yield (%) - - - - 0.0 1.0 1.4.

Wallenstam Company description: 300 250 Performance - last 5 years Wallenstam is a company that does more than just manage buildings. We work in close collaboration with cities to create safe, secure places and neighbourhoods that people love to live in, work in and visit. Wallenstam builds, develops and manages properties, mainly in Stockholm and Gothenburg. The company has around 1m square meters across several segments, of which residental is the largest part. 200 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Wallenstam AB Class B OMX VINX Benchmark Capped TR Why invested? The company has shown strong growth the last years. The residental market is very positive at the moment as building activity is too low to offset population growth. In addition Wallenstam has an interesting position within generation and trading of renewable energy. The company has low financial gearing compared to the sector average, and pays a small dividend. Wallenstam AB Class B Real Estate Development Market Value (mill.) 20,881 Price 68.35 Price currency SEK Net debt (mill.) 14,997 Reporting currency SEK Enterprise Value (mill.) 35,878 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,496 1,600 1,768 1,755 2,918 1,123 1,232 EBIT (Operating Income) (mill.) - - - - - 1,061 1,030 Net Income (mill.) 1,572 736 1,927 1,277 585 2,287 682 Price/Earnings 7.8 11.7 11.0 8.0 39.3 36.3 36.5 Price/Book Value 1.1 1.1 1.3 1.3 1.7 1.6 1.5 EV/EBIT - - - - - 36.2 38.1 Return on Equity (%) 17.2 7.3 17.4 10.3 4.5 4.3 4.1 Dividend Yield (%) 1.8 1.8 1.5 1.3 1.0 1.8 2.0.

Wihlborgs Company description: 250 200 Performance - last 5 years Wihlborgs' property portfolio consists of commerical properties in the Öresund region, located in Malmö, Helsingborg, Lund and Copenhagen. The property portfolio is constantly enhanced by acquisition, development and sale of properties. Since 2005 the Company has grown from 197 properties with a market value of 7.9 billion to 270 properties with a value of 26.7 billion as per 30 September 2015. The company has around 1.6m square meters, of which the vast majority is office and retail Why invested? We like the growth Wihlborgs has generated through acquisitions and development of properties in the challenging Scania region. Management has a strong track record which we expec to continue. The company has financial gearing a little bit above sector average, but pays a competive dividend. 150 100 50 0 des.10 des.11 des.12 des.13 des.14 des.15 Wihlborgs Fastigheter AB Wihlborgs Fastigheter AB OMX VINX Benchmark Capped TR Real Estate Development Market Value (mill.) 12,835 Price 167.00 Price currency SEK Net debt (mill.) 14,077 Reporting currency SEK Enterprise Value (mill.) 26,912 FX rate (NOK) 1.02 2010 2011 2012 2013 2014 2015E 2016E Sales (mill.) 1,297 1,458 1,654 1,913 2,124 1,951 2,021 EBIT (Operating Income) (mill.) - - - - - 1,396 1,439 Net Income (mill.) 922 665 823 1,063 395 1,517 790 Price/Earnings 10.5 8.2 12.9 7.0 30.4 13.5 14.4 Price/Book Value 1.5 1.3 1.4 1.3 1.6 1.6 1.5 EV/EBIT - - - - - 20.2 19.5 Return on Equity (%) 19.2 12.3 14.0 16.3 5.7 11.8 10.5 Dividend Yield (%) 3.5 3.8 3.7 3.5 3.0 3.0 3.1.

ODIN Eiendom - 31/12/2015 Security (Company) Currency Market Number of shares Market price Cost price Market value Unrealised gain (loss) Local currency NOK 1000 NOK 1000 NOK 1000 % of assets under management Atrium Ljungberg AB ser. B SEK Stockholm 298 706 131,70 31 591 41 177 4 546 4,5 Balder B SEK Stockholm 390 388 209,00 39 710 85 401 37 034 9,3 Castellum SEK Stockholm 311 934 120,70 33 075 39 409 1 606 4,3 Diös Fastigheter SEK Stockholm 602 991 61,25 26 549 38 658 6 924 4,2 Entra NOK Oslo 535 503 71,25 39 403 38 155-1 248 4,2 Fabege SEK Stockholm 277 324 140,10 20 702 40 668 14 429 4,4 Hemfosa Fastigheter SEK Stockholm 877 025 94,25 66 344 86 520 13 624 9,4 Hufvudstaden A SEK Stockholm 319 655 120,50 27 160 40 317 8 273 4,4 Klövern Pref SEK Stockholm 131 329 281,50 41 808 38 696-6 621 4,2 Kungsleden SEK Stockholm 627 404 60,75 30 449 39 895 5 012 4,3 Olav Thon Eiendomsselskap NOK Oslo 287 733 142,00 34 893 40 858 5 965 4,5 Sagax B SEK Stockholm 1 090 826 69,75 54 452 79 638 15 014 8,7 Sponda EUR Helsinki 1 089 390 3,94 34 901 41 330 1 473 4,5 Technopolis EUR Helsinki 1 128 737 3,73 37 312 40 540-1 699 4,4 Victoria Park B SEK Stockholm 1 052 786 15,10 14 009 16 639 1 797 1,8 Wallenstam B SEK Stockholm 587 212 68,40 42 153 42 041-1 214 4,6 Wihlborgs SEK Stockholm 461 662 171,00 54 819 82 631 17 126 9,0 Total Financials 629 329 832 572 122 039 90,7 Total portfolio 629 329 832 572 122 039 90,7

Investment Objective Long term value creation

Investment Philosophy Performance - prospects - price

Om ODIN Eiendom C På vegne av våre kunder, er ODIN en aktiv og ansvarsfull forvalter med fokus på langsiktig verdiskaping. ODIN Eiendom er et aksjefond som investerer i næringseiendom i det nordiske markedet. Alle investeringer skjer i børsnoterte selskaper som eier ulike typer eiendom, som kontorer, hoteller, kjøpesentre og lager. Typisk for eiendomsselskaper er forutsigbar, stabil og god inntjening. Gjennom aksjefondet ODIN Eiendom kan også du ta del i verdiskapingen som skjer i det nordiske eiendomsmarkedet. Fakta om fondet Etableringsdato 24/08/2000 Referanseindeks Carnegie Sweden Real Estate Basisvaluta NOK Forvaltningshonorar 2.00% Tegn./innløsningsgebyr 0.00% Minste tegningsbeløp 3,000 NOK ODIN Eiendom C er en andelsklasse av ODIN Eiendom. Klassen har en minstetegning på 3 000 kroner til 1 million kroner.

Om forvalter

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