Two index funds report data center weights of 11.8 and 4.2 percent
Here is a documents problem worth working through, because it eats more time than picking names does. Say the target weights for the base layer of a REIT sleeve are industrial 25, data centers 15, healthcare with a senior housing bias 15, residential 15, net lease 10, retail 10, and the remainder wherever the index puts it. Fund A's factsheet shows data centers at 11.8 percent. Fund B shows 4.2. Same broad US real estate mandate, similar size, expense ratios 12bp apart. Their industrial weights differ by 6 points as well. Specialized is 19 percent in one and 8 in the other, and neither document says what sits inside it. Healthcare is a single line in both, which says nothing about how much is medical office against senior housing operating structures. That leaves two routes. Index plus two satellite positions to push data centers and senior housing toward target, or eight individual names and no fund at all. The satellite route needs positions large enough to move an 11.8 or a 4.2 up to 15, which starts to look like single-name risk dressed as a tilt. The eight-name route means reading eight supplementals a quarter, which is doable, though it should be buying something. The piece that stays unresolved is whether those two factsheets actually disagree about weights or only about definitions.
