Cura Wealth Advisors has reduced its stake in Apollo Commercial Real Estate Finance (NYSE: ARI) by selling 386,000 shares, valued at approximately $4.02 million based on first-quarter averages. This transaction, disclosed in a May 8 SEC filing, brings Cura’s remaining ARI holdings to 437,233 shares, worth $4.62 million, now constituting 2.07% of its 13F reportable assets under management.
This strategic reduction reflects a cautious approach towards commercial real estate exposure amid ongoing pressures from rising interest rates and refinancing uncertainties. Despite a 16% increase in ARI shares over the past year, the stock has significantly underperformed compared to the S&P 500, which gained around 30%. Cura’s decision to trim its position suggests a shift in risk appetite, even as ARI reported stable earnings with no realized investment losses during the quarter.
Investors should note that while the sale indicates a repositioning rather than a complete exit, it highlights the cautious sentiment surrounding mortgage REITs in a challenging macroeconomic environment.
Source: nasdaq.com