Episode 273: Going back to First Principals in a Brave New World

In this episode of the InsuranceAUM.com podcast, host Stewart Foley, CFA, sits down with Michael Acton, Managing Director and Head of Research and Strategy at AEW, to explore the evolving landscape of commercial real estate investing. As the industry navigates a post-pandemic world, rising interest rates, and a wave of loan maturities, Acton shares insights on how investors can return to first principles to identify opportunities amid uncertainty. He discusses the hybrid nature of real estate as an asset class, its role in portfolio diversification, and the impact of economic shifts on valuations.

 

Acton also provides a deep dive into key market trends, including the challenges facing office space, the resurgence of senior housing, and the opportunities arising from peak loan maturities. With a career spanning 35 years in real estate research and strategy, he offers a seasoned perspective on how investors—particularly insurance asset managers—can position themselves for success in today’s dynamic environment. Whether you’re a seasoned investor or new to the space, this episode delivers a valuable roadmap for navigating the complexities of commercial real estate.