Irt equity report final

Analysts: Matt Errico, Julio Escalona & Aaron Mederos | USF Student Managed Investment Fund 1

Industry: FinancialSector: Residential REITProperty Type: Multi-Family Apartments

AMEX: IRTAvg Daily Volume: 71,224Market Cap: $300 M

Properties Owned: 30Avg Rent/Unit: $827Total Units: 8,769Occupancy: 92.7%

Price: $ 9.38Trailing P/E: 49Historical Average: 72Forward P/E: 22Dividend Yield: 7.7%

Intrinsic Value: $ 13.5Margin of Safety: 44%Target Price: $ 17.4Annual Return: 21%

Investment Thesis• There is a fundamental shift in the real estate industry as more

consumers are seeking multi-family properties over purchasing a new home. Millennials have less desire to purchase a home and start a family early in life. They are also staying in school for longer, accumulating a greater amount of debt, and desire a shorter commute to work. These factors are the key catalysts behind a greater demand for multi-family units. IRT is a pure-play on multi-family.

• The firm investments in properties located in secondary markets that have the potential for rental and occupancy growth. IRT’s properties are located in attractive secondary markets (Houston, Louisville, Little Rock, Tuscan, Phoenix). These areas are less competitive areas than primary markets, which gives the firm prudent property acquisition opportunities.

• It can continue to acquire new properties that fit its current property portfolio. IRT is a small player in the multi-family REIT industry. It has an opportunity to create greater value by expanding its multi-family property portfolio. Without considering value-creating property acquisitions, we estimate IRTs’ stock is 44% undervalued.

• Rental vacancy and available units for rent has decreased, which enables rent per unit price growth. There are positive demand/supply trends that indicate increasing demand for multi-family units and decreasing supply; the combination of which will drive rent price appreciation.

Price Performance (Since Aug/13)

Company Overview: Independence Realty Trust (IRT) is a Real Estate Investment Trust (REIT) that invests in multi-family properties located in secondary markets. Some key property locations include Oklahoma, Arizona, Kentucky and Tennessee. The firm acquires properties in areas with rental and occupancy growth potential. The firm has seen strong growth in Funds from Operations (FFO), Net Operating Income (NOI) and Net Asset Value (NAV).

Estimates

Key Statistics Recommendation: BUYApril 23, 2015

14 15E 16E

FFO 0.85$ 0.98$ 1.07$

AFFO 0.66$ 0.81$ 0.90$

Dividend 0.72$ 0.88$ 0.97$

NOI Margin 52.4% 55.0% 56.0%

Cap Rate 3.74% 7.04% 7.26%

Independence Realty Trust Equity Report | USF Student Managed Investment Fund 2

Investment PhilosophyThe stock is under followed and the lack of information available creates a buying opportunity. Many investors and firms have chased the high yields and low risks offered by large REITs. IRT is a small cap stock that is only covered by a few analysts. The fund has an opportunity to enter at an attractive price with most of the downside already priced in.

Real Estate Portfolio

IRT currently owns and operates 30 properties located in 15 states. It has 8,769 units under management.

The firm has a weighted average occupancy rate of 92.8% and an average rent per unit of $827.

It has 5 properties with a monthly rent of over $1,000; Iron Rock Ranch (Austin, TX), Arbors at the Reservoir (Ridgeland, MS), Kings Landing (Creve Coeur, MO), Belle Creek Apartments (Henderson, CO) and the Carrington Apartments (Little Rock, AR).

Property Name City State Occupancy Units Rent/Unit

Carrington Little Rock AR 90.1% 202 1,000$ Stonebridge at the Ranch Little Rock AR 95.0% 260 906$ Tresa at Arrowhead Phoenix AZ 96.1% 360 828$ Centrepoint Apartments Tucson AZ 91.6% 320 833$ Belle Creek Apartments Henderson CO 96.3% 162 1,024$ Crestmont Marietta GA 96.5% 228 737$ Cumberland Smyrna GA 95.5% 222 711$ Reserve at Eagle Ridge Waukegan IL 91.6% 370 942$ Runaway Bay Indianapolis IN 95.8% 192 916$ Berkshire Square Indianapolis IN 91.2% 354 572$ Prospect Park Louisville KY 89.9% 310 812$ Brookside Louisville KY 95.1% 309 705$ Jamestown Louisville KY 92.4% 310 871$ Meadows Louisville KY 92.5% 310 728$ Oxmoor Louisville KY 90.3% 310 910$ Kings Landing Creve Coeur MO 89.7% 152 1,493$ The Crossings Jackson MS 83.8% 432 778$ Arbors at the Reservoir Ridgeland MS 95.3% 170 1,062$ Lenox Place Raleigh NC 92.5% 268 900$ Columbus Property Groveport OH 99.2% 240 804$ Windrush Edmond OK 95.0% 160 783$ Heritage Park Oklahoma OK 88.3% 453 636$ Raindance Oklahoma OK 92.7% 504 527$ Augusta Oklahoma OK 93.4% 197 683$ Invitational Oklahoma OK 91.6% 344 686$ Walnut Hill Cordova TN 92.8% 360 919$ Stonebridge Crossing Cordova TN 91.2% 500 900$ Copper Mill Austin TX 94.7% 320 812$ Iron Rock Ranch Austin TX 96.0% 250 1,179$ Heritage Trace Newport News VA 87.5% 200 695$

total / avg 15 92.7% 8,769 827$ Independence Realty Trust

20142014201420112014

20142014201420142014

20142014201320142014

Date Acq

2011

20142014201120112011201120112014201220132014201420142014

Analysts: Matt Errico, Julio Escalona & Aaron Mederos 3

Equity Report | April 23, 2015 | AMEX: IRT

Real Estate PortfolioThe firm generates 20% of its revenue from Kentucky, the highest out of its real estate portfolio.

Two other states generate a significant amount of revenue; Oklahoma (14%) and Tennessee (11%).

One market with high growth potential is Arizona, which only accounts for 8% of its revenue. IRT is positioned to capitalize on strong multi-family market fundamentals in Arizona.

The firm generates 7% of its revenue from Texas. Although oil prices have fallen and Texas is a major oil state, a recent IRT study shows that most of its renters in that region are not employed in the oil industry.

Other states that account for over 5% of revenue are Arkansas (6%) and Mississippi (7%).

Multi - Family Industry Drivers

Millennials have flocked to secondary cities such as Houston, Louisville, Oklahoma, Austin, and Phoenix among others. This directly aligns with IRT’s business model. It invests in properties located in these key markets that attract millennials and some of the younger generation-x.

The shift away from the 5 largest cities (primary markets) is driven by price levels at all time highs that eat away at earnings for people in the early stages of their career.

Apartments located in secondary markets allow consumers to enjoy the benefits of a big city atmosphere while also paying a reasonable price.



Multi - Family Industry Drivers

With the exception of the home ownership mania from 2000-2006, renter occupied units have steadily increased since 1965 and the homeownership rate has fluctuated between 63%-65%. This is indicative of a fundamental shift within the real estate industry. There is lacking desire for consumer’s to own a home coupled with an increasing demand for renting units. We attribute this to a multitude of factors shown in the next pages. One factor is shown below. It depicts the robust growth in student loan debt outstanding, which represents a large and growing financial burden. This does not have a direct impact on the housing market, but we believe it is a contributing factor to why millennials will not purchase a home once they graduate from college.



Multi - Family Industry DriversIncreasing student loan debt is not the only reason millennials are not rushing to purchase a new home post college graduation.

The percent married among 25-34 year olds has gradually decreased since the 1980’s. The millennial generation is at all time lows in marriage levels among non-college graduates (below 40%) and college graduates (below 50%). With less people marrying at an early age there are less families starting at a young age. Fewer families correlates to decreasing home ownership demand.

The average age of mothers giving birth is another contributing factor to families beginning later in life and the millennial population not needing a home at a young age. Currently, among college degree holders the average age at first birth is 28, while advanced degree woman do not give birth until 31-32 years old.

Overall, we expect that people starting families later in life will decrease the demand for homeownership and favor the rental market.



City AnalysisIRT operates in markets with favorable demographic compositions. Relative to national averages, these markets offer more renters with a greater ability to meet rental payments.

Greater Multi-Family Demand

Affordable Offerings

Favorable Demographics

There are some cases like Marietta, GA., and Henderson, CO., where this percentage came well below the median; this is due to a higher rate of home ownership compared to existing apartments in those cities or a high income area like in Colorado.

Renters

Rent ContractOur calculation of the median contract rent for IRT properties came below the national average. We think that this figure is in range with management’s strategy of positioning sub-markets where rents are more affordable to the population but at the same time support strong occupancy rates, positive prospects for rental growth, and minimum new multi-family construction in the future.

The median age of the resident for the cities where these properties are present is in the mid-twenties to mid-thirties range. This indicates a positive outlook for IRT since millennials are more inclined to rent, homeownership is at a low level compared to historical numbers and in general the uncertainty surrounding the single-family housing market has kept home ownership low.

Demographics



Economic Factors

Healthier Economic Environment

Higher Incomes

IRT’s properties are located in favorable economic environments as represented by lower unemployment rates. Exceptions include properties in Missouri and Illinois where unemployment came higher than the national rate.

Another metric that was incorporated in our analysis was the average of residents below the poverty level for those cities. The national average for this metric is 14.5%; IRT locations show much more favorable poverty statistics, which is evidence of economic strength and make these locations more attractive for renters. Exceptions include Texas, Virginia and North Carolina.

Median household income in IRT’s markets is higher than the national figure. This is another encouraging metric for IRT and continues to accentuate management’s strategy.

The Oklahoma portfolio purchased in 2013 shows a high percentage of renters with high income, a low unemployment rate within the area and high rent prices. Kentucky is another area where IRT acquired four properties in 2014; the cities where these properties are located shows unemployment rates below the nation and a high percentage of renters as well.

Economy

New Markets



The REITs in our comparable valuation study, are substantially larger and more mature than IRT. Analyzing the comparable firms shows IRT has reached an inflection point. As it grows into a mature REIT, we expect its’ multiples to trade closer to its peers, which will unlock significant returns for shareholders.

IRTs’ yield of 7.6% is the highest among those companies compared, which tends to be a characteristic of smaller REITs. IRT is a very compelling income producing investment, as our analysis indicates it is substantially capable of covering and growing its dividend. Market participants currently underestimate the robustness of IRT’s dividend payment capabilities and the potential for growth.

As the holdings IRT has acquired at the end of 2014 mature and the purchase and depreciation affects on margins roll off, we expect margin expansion. The firm will benefit from rising margins and higher valuation multiples as it matures and leverages its established operations.

IRT’s debt/equity ratio is in line with industry average. Given the firm’s favorable fundamental business outlook and the nature of its steady rent-earning operations, IRT’s capital structure is sound and is capable of sustaining greater accommodations for future growth.

Comparable Valuation Study

Independence Realty Trust

Associated Estates Realty

American Assets Trust

Apartment Investment & Management

AvalonBay Communities

Equity Residential UDR Inc Camden

Property TrustEssex

Property TrustIndustry (REITs)

Sector (Financials)

IRT AEC AAT AIV AVB EQR UDR CPT ESS Avg / Tot AverageMarket Cap ($ in M) $298 $1,400 $1,790 $5,880 $22,220 $27,380 $8,430 $6,590 $14,530 $88,518 n/aRevenue ($ in M) $49 $194 $256 $952 $1,810 $2,610 $811 $858 $997 $8,537 n/aStock Price $9.39 $24.22 $41.19 $37.60 $168.25 $75.27 $32.56 $76.04 $223.13 n/a n/aTrailing P/E 49.4 9.7 81.0 18.1 32.3 45.5 55.2 23.3 108.3 46.7 16.8Forward P/E 20.0 16.6 22.2 16.1 21.1 20.5 18.8 15.8 21.4 19.1 n/aP / B 1.2 2.2 2.4 5.6 2.5 2.6 3.1 2.3 2.4 1.8 3.1P / S 4.1 7.2 9.5 5.5 13.2 10.5 10.4 7.7 14.5 12.1 5.8P / NAV 1.11 1.4 1.7 1.5 2.3 1.6 1.8 1.4 2.1 1.72 n/aP / NOI 11.6 11.5 10.6 9.6 20.2 15.8 15.9 8.7 23.0 14.43 n/aP / FFO 16.3 4.1 20.3 6.7 16.1 19.0 16.3 12.5 30.4 15.67 n/aEV / EBITDA 12.9 18.4 19.2 19.7 23.8 22.89 25.39 19.08 30.42 22.37 n/aDivident Yield 7.6% 3.3% 2.2% 2.8% 2.8% 2.7% 3.3% 3.5% 2.5% 3.4% 1.8%

ROA 0.7% 10.0% 1.2% 4.9% 4.2% 2.8% 1.1% 2.7% 2.1% 2.7% 3.1%ROE 1.8% 24.2% 3.1% 30.9% 7.3% 6.0% 5.3% 10.7% 3.3% 5.7% 21.9%ROI 2.7% 10.5% 4.3% 8.5% 4.5% 5.8% 5.8% 5.4% 1.7% 2.9% 0.8%

NOI MARGIN 52.4% 62.4% 64.9% 62.1% 65.2% 66.2% 65.5% 88.5% 63.3% 67.3% n/aFFO MARGIN 37.3% 176% 34% 89.4% 82.0% 55.2% 63.9% 61.5% 47.9% 76% n/aGross Margin 49% 62% 74% 61% 65% 66% 66.2% 66.2% 66.2% 65.9% 4.8%Operating Margin 17% 19% 32% 27% 26% 35% 14.8% 28.9% 28.4% 44.3% 44.6%Net Profit Margin 6% 74% 8% 31% 39% 24% 19.0% 34.0% 12.3% 34.6% 36.3%EBITDA Margin 49% 120% 58% 56% 63% 72% 59.6% 56.2% 64.5% 68.6% n/a

Interest Coverage 1.35 6.57 1.59 1.21 1.36 2.43 1.01 2.15 1.82 2.27 16.27Fixed Assets Turnover 0.12 0.14 0.15 0.16 0.11 0.10 0.14 0.17 0.14 0.14 n/aDebt / Assets 0.61 0.43 0.50 0.51 0.40 0.39 0.43 0.37 0.42 0.43 n/aDebt / Equity 1.57 1.20 1.45 4.00 0.70 0.50 1.33 0.97 0.82 1.37 n/a

Comparables Spreadsheet



Valuation

2015 2016 2017 2018 Terminal ValueNet Income 0.52$ 0.61$ 0.70$ 0.79$ 14.01$ Depreciation 0.47$ 0.46$ 0.46$ 0.46$ Gain on Property Sales -‐$ -‐$ -‐$ -‐$ Funds from Operations (FFO) 0.98$ 1.07$ 1.16$ 1.25$

FFO 0.98$ 1.07$ 1.16$ 1.25$ Capital Expenditures (Renovations) 0.17-‐$ 0.17-‐$ 0.18-‐$ 0.18-‐$ Adjusted Funds from Operations (AFFO) 0.81$ 0.90$ 0.98$ 1.07$

Intrinsic Value $13.55Margin of Safety 44% Shares Out

31,890Cap Rate 7.64%

Funds From Operations (FFO)

10.64% 9.64% 8.64% 7.64% 7.64% 7.64% 7.64%13.26$ 11.75$ 12.15$ 12.56$ 12.99$ 12.99$ 12.99$ 12.99$ 13.51$ 11.92$ 12.32$ 12.74$ 13.18$ 13.18$ 13.18$ 13.18$ 13.76$ 12.09$ 12.49$ 12.92$ 13.36$ 13.36$ 13.36$ 13.36$ 14.01$ 12.25$ 12.67$ 13.10$ 13.55$ 13.55$ 13.55$ 13.55$ 14.26$ 12.42$ 12.84$ 13.28$ 13.73$ 13.73$ 13.73$ 13.73$ 14.51$ 12.59$ 13.01$ 13.46$ 13.92$ 13.92$ 13.92$ 13.92$ 14.76$ 12.75$ 13.19$ 13.64$ 14.11$ 14.11$ 14.11$ 14.11$

Bear 31% Base 44% Bull 50%

AFFO Intrinsic Value Scenario Analysis

Term

inal Value

Cap Rate (Discount Rate)

Margin of Safety

As a REIT, IRT reports funds from operations (FFO), and we value IRT based on adjusted FFO (AFFO). AFFO takes into consideration maintenance CAPEX, as cash is used to maintain its existing properties and adds back depreciation expense since it is a non cash expense. The model uses an exit capitalization rate of 7.64% as the discount rate to uncover its intrinsic value. A weighted average cost of capital was also calculated which equaled 4.57% and can be seen in the appendix section on page 14. We believe an exit capitalization rate is a more accurate metric to discount future cash flows of REITs since it is indicative of the return an investor can expect from the properties IRT operates in 2018 and onward. Even without modeling for acquisitions the firms will still see strong FFO and AFFO growth from improving operations, occupancy growth, rent per unit increasing and strong fundamentals in the multi-family industry. The factors lead to an intrinsic value of $13.55, which implies the stock is 44% undervalued.



Valuation

2012 2013 2014 2015 2016 2017 2018Value of Properties 153,565$ 190,096$ 689,112$ 709,785$ 731,079$ 753,011$ 775,602$ Indebtness 92,413$ 103,303$ 400,509$ 400,509$ 400,509$ 400,509$ 400,509$ Shares Out 275 5,331 21,533 31,890 31,890 31,890 31,890 Net Asset Value 61,152$ 86,793$ 288,603$ 309,276$ 330,570$ 352,502$ 375,093$ growth 42% 233% 7% 7% 7% 6%

NAV / Share 9.70$ 10.37$ 11.05$ 11.76$ Price / NAV Multiple 1.1 1.3 1.4 1.5

IRT Stock Price 10.75$ 12.96$ 14.92$ 17.64$ Return w/o Div 14.5% 21% 15% 18%

Net Asset Value

Net operating income is a key measure for REIT’s as it enables the calculation of a capitalization rate and the ability to display how the profitability of The firms’ properties. We expect the firm to see significant margin improvements from its legacy properties closer to its peers (67%). Another contributing factor is increasing occupancy and rent per unit rates. These factors attribute an exit capitalization rate of 7.6% as its portfolio of properties reach a more mature state. We discount the NOI multiple from its peer group average of 14 because of its above average capital structure, but increase the multiple over our investment horizon with improving business fundamentals.

Net asset value is another important measure for REITs as it shows the value of its properties and punishes it for having a significant amount of debt. As the firm generates both bottom and top-line growth coupled with a more favorable capital structure it will trade at a price to NAV multiple similar to its peer group of 1.7.

2012 2013 2014 2015 2016 2017 2018Rental Income 14,849$ 17,843$ 44,834$ 82,733$ 86,313$ 89,495$ 93,075$ Tenant Reimbursement Income 818$ 943$ 1,924$ 3,550$ 3,704$ 3,841$ 3,994$ Other Income 962$ 1,157$ 2,445$ 4,512$ 4,707$ 4,881$ 5,076$

Total Revenue 16,629$ 19,943$ 49,203$ 90,795$ 94,724$ 98,216$ 102,145$

Property ExpensesProperty Operating Expenses 8,066$ 9,429$ 23,427$ 40,858$ 41,678$ 42,233$ 42,901$

Net Operating Income 8,563$ 10,514$ 25,776$ 49,937$ 53,045$ 55,983$ 59,244$ NOI Margin 51% 53% 52% 55% 56% 57% 58%

Property Value 141,282$ 190,096$ 689,112$ 709,785$ 731,079$ 753,011$ 775,602$

Capitalization Rate 6.06% 5.53% 3.74% 7.04% 7.26% 7.43% 7.64%

NOI / Share 0.33$ 0.81$ 1.57$ 1.66$ 1.76$ 1.86$

Stock Price 7.71$ 9.26$ 12.53$ 14.97$ 16.33$ 17.28$

NOI Multiple 23.4 11.5 8.0 9.0 9.3 9.3

Net Operating Income



Valuation Using three different P/E multiple models we gauge the probable returns of IRT over our investment time horizon.

Assuming a constant multiple and base case earnings growth with no further acquisitions of properties, we expect a total annualized return of 21%.

A bull case scenario involves further acquisitions to fuel growth, which we expect to be accompanied by a lower multiple as margins contract with acquisition expenses. If management executes on strategic acquisitions successfully, we expect total annualized return of approximately 39%. Our assumptions are expressed on the Bull Case Appendix on pages 16 and 17.

Our analysis suggests that IRT offers a favorable risk/reward investment, with a bear case total annualized return of 5% excluding dividends.

The substantial upside and limited downside reflects the strong trends in the multi-family market. IRT is a pure-play on this mega trend.

2015 2016 2017 2018EPS 0.52$ 0.61$ 0.70$ 0.79$ P/E Multiple 22 22 22 22Price 11.37$ 13.44$ 15.33$ 17.43$ Annualized Return 21%



Price / Earnings Model

Price / Earnings Model (Bull Case)

Price / Earnings Model (Bear Case)

0.49$ 0.59$ 0.69$ 0.79$ 0.99$ 1.19$ 1.39$ 19.0 9.36$ 11.26$ 13.16$ 15.06$ 18.86$ 22.66$ 26.46$ 20.0 9.85$ 11.85$ 13.85$ 15.85$ 19.85$ 23.85$ 27.85$ 21.0 10.34$ 12.44$ 14.54$ 16.64$ 20.84$ 25.04$ 29.24$ 22.0 10.83$ 13.03$ 15.23$ 17.43$ 21.83$ 26.23$ 30.63$ 23.0 11.33$ 13.63$ 15.93$ 18.23$ 22.83$ 27.43$ 32.03$ 24.0 11.82$ 14.22$ 16.62$ 19.02$ 23.82$ 28.62$ 33.42$ 25.0 12.31$ 14.81$ 17.31$ 19.81$ 24.81$ 29.81$ 34.81$

Bear 14% Base 21% Bull 36%

P/E Price Target Scenario Analysis for 2018

P/E Multip

le

EPS

Annual Return



Scott F. Schaeffer is chairman of the board of directors. He is also the CEO and president of RAIT Financial Trust. He previously served as RAIT’s COO from 2008-09, and co-president, co-COO from 2006-08. Mr. Schaeffer’s 26 years of experience in real estate, specifically in acquisition and financing of multifamily properties, is an ideal fit for IRT. He holds a Bachelor of Science in Commerce from Rider University.

Farrell M. Ender has been President of IRT since August 2014, President of Independence Realty Advisors, LLC, IRT’s advisor, since April 2013, and Senior VP of RAIT from 2007 to Dec 2014. He has always been linked to the real estate industry and has a vast experience working on large investment deals from $300 million to well over $1 billion. From 1999 to 2002 he held various positions at Wachovia/Maher Partners, The Staubach Company and Toll Brothers. Mr. Ender holds a BBA with a major in finance from James Madison University.

James J. Sebra has been the company’s CFO since May 2012 and treasurer since 2011. He has served as CFO and treasurer of RAIT since May 2012 and vp-finance and chief accounting officer from 2007-12. He joined RAIT when Taberna Realty Finance Trust was acquired. He was Taberna’s VP and CAO from 2005 until 2006. He has also worked at public accounting firm KPMG LLP. Mr. Sebra holds a Bachelor in Accounting from Saint Joseph’s University and a MBA from Villanova.

RAIT Financial Trust is another REIT and IRT’s largest stockholder, owning 23% of shares outstanding. Management is the same for both REITs since RAIT still owns a large percentage of IRT. The business was acquired by RAIT in January 2011 and later taken public in 2013. RAIT is largely a multi-strategy business, lending, owning and managing commercial real estate and IRT’s portfolio is externally managed by RAIT.

We see this relationship as an advantage for both companies as IRT benefits from RAIT’s expertise, relationships in the industry, and access to capital. RAIT gains from ownership on a separately traded pure-play on multi-family markets.

In the latest earnings call management announced that they will not purchase properties from RAIT; we like this move and think that it helps mitigate any conflict of interest that can arise from management crossover.

Management

RAIT Financial Trust Partnership



Appendix - Income Statement

2012 2013 2014 2015 2016 2017 2018Revenue:

Rental Income $ 14,849 $ 17,843 $ 44,834 82,733$ 86,313$ 89,495$ 93,075$ Tenant Reimbursement Income $ 818 $ 943 $ 1,924 3,550$ 3,704$ 3,841$ 3,994$ Other Income $ 962 $ 1,157 $ 2,445 4,512$ 4,707$ 4,881$ 5,076$

Total Revenue $ 16,629 $ 19,943 $ 49,203 90,795$ 94,724$ 98,216$ 102,145$ Expenses:

Property Operating Expenses $ 8,066 $ 9,429 $ 23,427 40,858$ 41,678$ 42,233$ 42,901$ General & Administrative Expenses $ 968 $ 648 $ 1,137 1,816$ 1,894$ 1,964$ 2,043$ Asset Management Fees $ 240 $ 272 $ 1,736 3,203$ 3,342$ 3,465$ 3,604$ Acquisition expenses $ 157 $ 248 $ 1,842 -‐$ -‐$ -‐$ -‐$ Depreciation & Amortization $ 3,466 $ 4,413 $ 12,520 14,848$ 14,741$ 14,741$ 14,741$

Total expenses $ 12,897 $ 15,010 $ 40,662 60,726$ 61,656$ 62,403$ 63,288$ EBIT $ 3,732 $ 4,933 $ 8,541 30,069$ 33,068$ 35,813$ 38,856$

Interest expense -‐$ 3,305 -‐$ 3,659 -‐$ 8,496 -‐$ 13,584 -‐$ 13,584 -‐$ 13,584 -‐$ 13,584 Gains (losses) on assets $ -‐ $ -‐ $ 2,882 -‐$ -‐$ -‐$ -‐$ Interest income $ -‐ $ -‐ $ 17 -‐$ -‐$ -‐$ -‐$

Net income (loss) $ 427 $ 1,274 $ 2,944 16,485$ 19,484$ 22,228$ 25,272$ Prefferred Shares -‐$ 15 -‐$ 10 $ -‐ -‐$ -‐$ -‐$ -‐$ Non-‐controlling interests -‐$ 535 -‐$ 649 -‐$ 4 -‐$ -‐$ -‐$ -‐$

Net income (loss) -‐$ 123 $ 615 $ 2,940 16,485$ 19,484$ 22,228$ 25,272$ Diluted EPS -‐$ 0.45 $ 0.12 $ 0.14 0.52$ 0.61$ 0.70$ 0.79$ Diluted Shares Out 275 5,331 21,533 31,890 31,890 31,890 31,890

Core FFO 0.95$ 0.72$ 0.98$ 1.07$ 1.16$ 1.25$ Dividends / Share 0.62$ 0.72$ 0.88$ 0.97$ 1.04$ 1.13$ Payout Ratio (vs FFO) 65% 100% 90% 90% 90% 90%

Income Statement ($ in thousands)

2012 2013 2014 2015 2016 2017 2018Revenue Growth

Rental Income 20.2% 151.3% 84.5% 4.3% 3.7% 4.0%Tenant Reimbursement Income 15.3% 104.0% 84.5% 4.3% 3.7% 4.0%Other Income 20.3% 111.3% 84.5% 4.3% 3.7% 4.0%

Top Line Revenue Growth 19.9% 146.7% 84.5% 4.3% 3.7% 4.0%Expenses:

Property Operating Expenses 48.5% 47.3% 47.6% 45.0% 44.0% 43.0% 42.0%General & Administrative Expenses 5.8% 3.2% 2.3% 2.0% 2.0% 2.0% 2.0%Asset Management Fees 1.4% 1.4% 3.5% 3.5% 3.5% 3.5% 3.5%Acquisition expenses 0.9% 1.2% 3.7% 0.0% 0.0% 0.0% 0.0%Depreciation & Amortization 20.8% 22.1% 25.4% 16.4% 15.6% 15.0% 14.4%

Total expenses 77.6% 75.3% 82.6% 66.9% 65.1% 63.5% 62.0%EBIT 22.4% 24.7% 17.4% 33.1% 34.9% 36.5% 38.0%

Interest expense 0.0% -‐3.5% -‐2.1% -‐3.4% -‐3.4% -‐3.4% -‐3.4%Gains (losses) on assets 0.0% 0.0% 5.9% 0.0% 0.0% 0.0% 0.0%Interest income 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

Net income (loss) 2.6% 6.4% 6.0% 18.2% 20.6% 22.6% 24.7%Prefferred Shares -‐0.1% -‐0.1% 0.0% 0.0% 0.0% 0.0% 0.0%Non-‐controlling interests -‐3.2% -‐3.3% 0.0% 0.0% 0.0% 0.0% 0.0%

Net income (loss) -‐0.7% 3.1% 6.0% 18.2% 20.6% 22.6% 24.7%

Common Size Income Statement



Appendix - Balance Sheet

2012 2013 2014 2015 2016 2017 2018Assets:

Net Investments in Real Estate 141,282$ $ 174,321 $ 665,736 671,561$ 678,114$ 685,305$ 693,155$ Cash and cash equivalents 2,533$ $ 3,334 $ 14,763 24,311$ 22,685$ 21,096$ 19,711$ Restricted cash 1,150$ $ 1,122 $ 5,206 $ -‐ $ -‐ $ -‐ $ -‐ Accounts receivable & other assets 345$ $ 1,731 $ 2,270 4,189$ 4,370$ 4,531$ 4,712$ Intangible assets 274$ $ 517 $ 3,251 $ 3,251 $ 3,251 $ 3,251 $ 3,251 Deferred costs 613$ $ 846 $ 2,924 $ 2,924 $ 2,924 $ 2,924 $ 2,924

Total Assets 146,197$ $ 181,871 $ 694,150 706,236$ 711,344$ 717,108$ 723,753$ Liabilities:

Indebtedness 92,413$ $ 103,303 $ 400,509 $ 400,509 $ 400,509 $ 400,509 $ 400,509 Revolving Credit Facility $ 18,392 $ 18,392 $ 18,392 $ 18,392 $ 18,392 Accounts Payable & Accrued Expenses 1,986$ $ 2,374 $ 8,353 15,414$ 16,081$ 16,674$ 17,341$ Accrued interest payable 32$ $ 63 $ 49 90$ 94$ 98$ 102$ Dividends payable 499$ $ 515 $ 1,982 -‐$ -‐$ -‐$ -‐$ Other liabilities 416$ $ 708 $ 1,831 3,379$ 3,525$ 3,655$ 3,801$

Total Liabilities 95,346$ $ 106,963 $ 431,116 437,784$ 438,601$ 439,327$ 440,145$ Stockholder's Equity 50,851$ $ 74,908 $ 263,034 268,452$ 272,743$ 277,780$ 283,609$ Total Liabilities & Equity 146,197$ $ 181,871 $ 694,150 706,236$ 711,344$ 717,108$ 723,753$

Balance Sheet ($ in thousands)

Appendix - WACC Calculation

Unlevered Beta 0.25Debt 400,509$ Equity 251,273$ Levered Beta 0.65Tax Rate 0%MRP 6.04%Risk FR (10yr) 1.96%Cost of Equity 5.88%Cost of Debt 3.76%WACC 4.57%



Appendix - Cash Flow Statement

2012 2013 2014 2015 2016 2017 2018Cash flows from Operating Activities:Net income (loss) $ 427 $ 1,274 $ 2,944 16,485$ 19,484$ 22,228$ 25,272$ Adjustments to Cash Flow from Operating Activities:Depreciation and amortization $ 3,466 $ 4,413 $ 12,520 14,848$ 14,741$ 14,741$ 14,741$ Amortization of deferred financing costs & premium on indebtedness, net $ 121 $ 83 -‐$ 660 -‐$ -‐$ -‐$ -‐$ Share based compensation $ 77 $ 206 -‐$ -‐$ -‐$ -‐$ (Gain) loss on assets $ -‐ $ -‐ -‐$ 2,882 -‐$ -‐$ -‐$ -‐$ Changes in assets and liabilities:Accounts receivable and other assets $ 240 -‐$ 89 $ 764 1,919-‐$ 181-‐$ 161-‐$ 181-‐$ Accounts payable and accrued expenses $ 132 $ 210 $ 2,670 7,061$ 667$ 593$ 667$ Accrued interest payable $ 32 $ 31 -‐$ 14 41$ 4$ 3$ 4$ Other liabilities $ 66 $ 19 $ 176 1,548$ 146$ 130$ 146$ Cash flow from operating activities $ 4,484 $ 6,018 $ 15,724 38,065$ 34,860$ 37,534$ 40,649$ Cash flows from investing activities:Acquisition of real estate properties -‐$ 15,781 -‐$ 36,822 -‐$ 299,881 -‐$ -‐$ -‐$ -‐$ Capital expenditures -‐$ 1,148 -‐$ 1,445 -‐$ 4,158 5,395-‐$ 5,557-‐$ 5,724-‐$ 5,896-‐$ (Increase) decrease in restricted cash $ 1 $ 28 -‐$ 3,298 5,206$ -‐$ -‐$ -‐$ Cash flow from investing activities -‐$ 16,928 -‐$ 38,239 -‐$ 307,337 189-‐$ 5,557-‐$ 5,724-‐$ 5,896-‐$ Cash flows from financing activities:Proceeds from issuance of preferred stock $ 100 $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ Proceeds from issuance of common stock $ 3,193 $ 31,153 $ 189,587 -‐$ -‐$ -‐$ -‐$ Proceeds from issuance of non-‐controlling interests $ 3,500 $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ Proceeds from Secured Credit Facility & mortgage indebtedness $ 10,238 $ 10,940 $ 154,650 -‐$ -‐$ -‐$ -‐$ Secured Credit Facility & mortgage principal repayments $ -‐ -‐$ 222 -‐$ 26,001 -‐$ -‐$ -‐$ -‐$ Redemption of preferred shares $ -‐ -‐$ 137 $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ (Payments) reimbursements for deferred financing costs $ 7 -‐$ 418 -‐$ 89 Distributions on preferred stock -‐$ 15 -‐$ 10 $ -‐ $ -‐ $ -‐ $ -‐ $ -‐ Distributions on common stock -‐$ 149 -‐$ 2,979 -‐$ 14,978 28,200-‐$ 30,802-‐$ 33,272-‐$ 36,012-‐$ Distributions to non-‐controlling interests -‐$ 3,004 -‐$ 1,805 -‐$ 127 -‐$ 127 -‐$ 127 -‐$ 127 -‐$ 127 Cash flow from financing activities $ 13,870 $ 33,022 $ 303,042 28,327-‐$ 30,929-‐$ 33,399-‐$ 36,139-‐$ Net change in cash and cash equivalents $ 1,426 $ 801 $ 11,429 9,548$ 1,626-‐$ 1,589-‐$ 1,386-‐$ Cash and cash equivalents at the beginning of the period $ 1,107 $ 2,533 $ 3,334 14,763$ 24,311$ 22,685$ 21,096$ Cash and cash equivalents at the end of the period $ 2,533 $ 3,334 $ 14,763 24,311$ 22,685$ 21,096$ 19,711$

Cash Flows ($ in thousands)



Appendix - Bull Case Income Statement

2012 2013 2014 2015 2016 2017 2018Revenue:Rental Income -‐ Legacy $ 14,849 $ 17,843 $ 44,834 86,180$ 91,105$ 95,209$ 100,133$ Rental Income -‐ Acquisitions $ -‐ $ -‐ $ -‐ 12,000$ 23,500$ 26,750$ 31,500$ Tenant Reimbursement Income $ 818 $ 943 $ 1,924 4,213$ 4,918$ 5,234$ 5,649$ Other Income $ 962 $ 1,157 $ 2,445 5,354$ 6,250$ 6,651$ 7,179$

Total Revenue $ 16,629 $ 19,943 $ 49,203 107,748$ 125,773$ 133,843$ 144,461$ Expenses:Property Operating Expenses $ 8,066 $ 9,429 $ 23,427 44,177$ 50,309$ 52,199$ 54,895$ General & Administrative Expenses $ 968 $ 648 $ 1,137 2,155$ 2,515$ 2,677$ 2,889$ Asset Management Fees $ 240 $ 272 $ 1,736 3,771$ 4,402$ 4,685$ 5,056$ Acquisition Expenses $ 157 $ 248 $ 1,842 4,034$ 4,709$ 5,011$ 5,408$ Depreciation & Amortization $ 3,466 $ 4,413 $ 12,520 14,848$ 17,332$ 18,445$ 19,908$

Total Expenses $ 12,897 $ 15,010 $ 40,662 68,985$ 79,268$ 83,016$ 88,156$ EBIT $ 3,732 $ 4,933 $ 8,541 38,763$ 46,505$ 50,828$ 56,304$ Interest expense -‐$ 3,305 -‐$ 3,659 -‐$ 8,496 -‐$ 13,584 -‐$ 13,584 -‐$ 13,584 -‐$ 13,584 Gains (losses) on assets $ -‐ $ -‐ $ 2,882 -‐$ -‐$ -‐$ -‐$ Interest income $ -‐ $ -‐ $ 17 -‐$ -‐$ -‐$ -‐$

Net income (loss) $ 427 $ 1,274 $ 2,944 25,179$ 32,921$ 37,244$ 42,720$ Prefferred Shares -‐$ 15 -‐$ 10 $ -‐ -‐$ -‐$ -‐$ -‐$ Non-‐controlling interests -‐$ 535 -‐$ 649 -‐$ 4 -‐$ -‐$ -‐$ -‐$ Net income (loss) -‐$ 123 $ 615 $ 2,940 25,179$ 32,921$ 37,244$ 42,720$ Diluted EPS -‐$ 0.45 $ 0.12 $ 0.14 0.79$ 1.03$ 1.17$ 1.34$

Diluted Shares Out 275 5,331 21,533 31,890 31,890 31,890 31,890Core FFO 0.95$ 0.72$ 1.13$ 1.43$ 1.59$ 1.79$

Dividends / Share 0.62$ 0.72$ 1.02$ 1.29$ 1.43$ 1.61$ Payout Ratio (to FFO) 65% 100% 90% 90% 90% 90%

Net Operating Income 8,563$ 10,514$ 25,776$ 63,571$ 75,464$ 81,645$ 89,566$ NOI Margin 51.5% 52.7% 52.4% 59.0% 60.0% 61.0% 62.0%

Income Statement ($ in thousands)Bull Case w/ Acquiring more Properties



Appendix - Bull Case Common Size Income Statement

2012 2013 2014 2015 2016 2017 2018Revenue:Rental Income -‐ Legacy 20.2% 151.3% 92.2% 5.7% 4.5% 5.2%Rental Income -‐ Acquisitions 95.8% 13.8% 17.8%Tenant Reimbursement Income 15.3% 104.0% 119.0% 16.7% 6.4% 7.9%Other Income 20.3% 111.3% 119.0% 16.7% 6.4% 7.9%

Total Revenue 19.9% 146.7% 119.0% 16.7% 6.4% 7.9%Expenses:Property Operating Expenses 48.5% 47.3% 47.6% 41.0% 40.0% 39.0% 38.0%General & Administrative Expenses 5.8% 3.2% 2.3% 2.0% 2.0% 2.0% 2.0%Asset Management Fees 1.4% 1.4% 3.5% 3.5% 3.5% 3.5% 3.5%Acquisition expenses 0.9% 1.2% 3.7% 3.7% 3.7% 3.7% 3.7%Depreciation and amortization 20.8% 22.1% 25.4% 13.8% 13.8% 13.8% 13.8%

Total Expenses 77.6% 75.3% 82.6% 64.0% 63.0% 62.0% 61.0%EBIT 22.4% 24.7% 17.4% 36.0% 37.0% 38.0% 39.0%Interest expense 0.0% -‐3.5% -‐2.1% -‐3.4% -‐3.4% -‐3.4% -‐3.4%Gains (losses) on assets 0.0% 0.0% 5.9% 0.0% 0.0% 0.0% 0.0%Interest income 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

Net income (loss) 2.6% 6.4% 6.0% 23.4% 26.2% 27.8% 29.6%Prefferred Shares -‐0.1% -‐0.1% 0.0% 0.0% 0.0% 0.0% 0.0%Non-‐controlling interests -‐3.2% -‐3.3% 0.0% 0.0% 0.0% 0.0% 0.0%Net income (loss) -‐0.7% 3.1% 6.0% 23.4% 26.2% 27.8% 29.6%

Common Size Bull Case Income Statement



Appendix - Properties

Source: Company Filings



Property Nam

eCity

Statebear

basebull

Units

Rent/Unit

bearbase

bullbear

basebull

CarringtonLittle Rock

AR88.1%

90.1%93.1%

2021,000

$ 1,035

$ 1,040

$ 1,050

$ 2,210,288

$ 2,271,385

$ 2,369,581

$ Stonebridge at the Ranch

Little RockAR

93.0%95.0%

98.0%260

906$

938$

942$

951$

2,720,859$

2,792,799$

2,908,695$

Tresa at Arrowhead

PhoenixAZ

94.1%96.1%

99.1%360

828$

857$

861$

869$

3,483,727$

3,574,957$

3,722,006$

Centrepoint Apartments

TucsonAZ

89.6%91.6%

94.6%320

833$

862$

866$

875$

2,966,365$

3,047,229$

3,177,289$

Belle Creek Apartments

HendersonCO

94.3%96.3%

99.3%162

1,024$

1,060$

1,065$

1,075$

1,942,890$

1,993,682$

2,075,557$

Crestmont

Marietta

GA94.5%

96.5%99.5%

228737

$ 763

$ 766

$ 774

$ 1,972,222

$ 2,023,691

$ 2,106,667

$ Cum

berlandSm

yrnaGA

93.5%95.5%

98.5%222

711$

736$

739$

747$

1,832,972$

1,881,224$

1,958,977$

Reserve at Eagle RidgeWaukegan

IL89.6%

91.6%94.6%

370942

$ 975

$ 980

$ 989

$ 3,878,665

$ 3,984,398

$ 4,154,457

$ Runaw

ay BayIndianapolis

IN93.8%

95.8%98.8%

192916

$ 948

$ 953

$ 962

$ 2,048,902

$ 2,102,697

$ 2,189,395

$ Berkshire Square

IndianapolisIN

89.2%91.2%

94.2%354

572$

592$

595$

601$

2,243,292$

2,304,670$

2,403,371$

Prospect ParkLouisville

KY87.9%

89.9%92.9%

310812

$ 840

$ 844

$ 853

$ 2,748,073

$ 2,824,178

$ 2,946,483

$ Brookside

LouisvilleKY

93.1%95.1%

98.1%309

705$

730$

733$

740$

2,518,946$

2,585,489$

2,692,695$

Jamestow

nLouisville

KY90.4%

92.4%95.4%

310871

$ 901

$ 906

$ 915

$ 3,031,586

$ 3,113,626

$ 3,245,628

$ Meadow

sLouisville

KY90.5%

92.5%95.5%

310728

$ 753

$ 757

$ 764

$ 2,536,666

$ 2,605,250

$ 2,715,607

$ Oxm

oorLouisville

KY88.3%

90.3%93.3%

310910

$ 942

$ 946

$ 956

$ 3,093,751

$ 3,179,109

$ 3,316,311

$ Kings Landing

Creve CoeurMO

87.7%89.7%

92.7%152

1,493$

1,545$

1,553$

1,568$

2,471,864$

2,540,449$

2,650,658$

The CrossingsJackson

MS

81.8%83.8%

86.8%432

778$

805$

809$

817$

3,414,587$

3,514,973$

3,675,815$

Arbors at the ReservoirRidgeland

MS

93.3%95.3%

98.3%170

1,062$

1,099$

1,104$

1,115$

2,092,072$

2,147,242$

2,236,132$

Lenox PlaceRaleigh

NC

90.5%92.5%

95.5%268

900$

932$

936$

945$

2,711,112$

2,784,413$

2,902,360$

Columbus Property

GroveportOH

97.2%99.2%

99.8%240

804$

832$

836$

844$

2,329,459$

2,388,876$

2,426,433$

Windrush

Edmond

OK

93.0%95.0%

98.0%160

783$

810$

814$

822$

1,447,059$

1,485,320$

1,546,957$

Heritage ParkOklahom

aOK

86.3%88.3%

91.3%453

636$

658$

661$

668$

3,088,074$

3,174,904$

3,314,337$

RaindanceOklahom

aOK

90.7%92.7%

95.7%504

527$

545$

548$

553$

2,992,058$

3,072,808$

3,202,754$

AugustaOklahom

aOK

91.4%93.4%

96.4%197

683$

707$

710$

717$

1,527,407$

1,568,370$

1,634,310$

InvitationalOklahom

aOK

89.6%91.6%

94.6%344

686$

710$

713$

720$

2,626,105$

2,697,694$

2,812,835$

Walnut Hill

CordovaTN

90.8%92.8%

95.8%360

919$

951$

956$

965$

3,731,002$

3,831,604$

3,993,503$

Stonebridge CrossingCordova

TN89.2%

91.2%94.2%

500900

$ 932

$ 936

$ 945

$ 4,985,388

$ 5,121,792

$ 5,341,140

$ Copper M

illAustin

TX92.7%

94.7%97.7%

320812

$ 840

$ 844

$ 853

$ 2,991,626

$ 3,070,935

$ 3,198,682

$ Iron Rock Ranch

AustinTX

94.0%96.0%

99.0%250

1,179$

1,220$

1,226$

1,238$

3,441,147$

3,531,341$

3,676,712$

Heritage TraceNew

port New

sVA

85.5%87.5%

90.5%200

695$

719$

723$

730$

1,476,055$

1,517,880$

1,585,017$

Independence Realty Total90.7%

92.7%95.7%

8,769

826.59$

80,554,219$

82,732,981$

86,180,367$

20142014201120142011

20142014201420142014

20142013201420142014

20142014201420142014

20112011201420122013

20142014201120112011

Date AcqOccupancy

Annual RevenueRent / U

nit2015

Appendix - Revenue Estimate Abstract for Current Property Portfolio



2014 Carrington Little Rock AR 14,235$ 4.0% 8/1/24 Fixed2011 Tresa at Arrowhead Phoenix AZ 27,500$ 2.4% 4/28/21 Floating2011 Centrepoint Apartments Tucson AZ 17,600$ 3.7% 1/1/19 Fixed2011 Belle Creek Apartments Henderson CO 10,575$ 2.4% 4/28/21 Floating2011 Crestmont Marietta GA 6,612$ 5.7% 5/1/21 Fixed2011 Cumberland Smyrna GA 6,759$ 5.7% 5/1/21 Fixed2014 Reserve at Eagle Ridge Waukegan IL 18,850$ 4.7% 3/1/24 Fixed2012 Runaway Bay Indianapolis IN 10,033$ 3.6% 11/1/22 Fixed2013 Berkshire Square Indianapolis IN 8,612$ 4.4% 1/1/21 Fixed2014 Prospect Park Louisville KY 9,230$ 3.6% 1/1/25 Fixed2014 Brookside Louisville KY 13,455$ 3.6% 1/1/25 Fixed2014 Jamestown Louisville KY 22,880$ 3.6% 1/1/25 Fixed2014 Meadows Louisville KY 24,245$ 3.6% 1/1/25 Fixed2014 Oxmoor Louisville KY 35,815$ 3.6% 1/1/25 Fixed2014 Kings Landing Creve Coeur MO 21,200$ 4.0% 6/1/22 Fixed2013 The Crossings Jackson MS 15,313$ 3.9% 6/1/24 Fixed2014 Arbors at the Reservoir Ridgeland MS 13,150$ 4.0% 8/1/24 Fixed2014 Lenox Place Raleigh NC 15,991$ 3.7% 11/1/21 Fixed

OKC Portfolio OK 46,471$ 2.8% 4/1/16 Fixed2014 Walnut Hill Cordova TN 18,650$ 3.4% 10/1/21 Fixed2014 Stonebridge Crossing Cordova TN 19,370$ 3.4% 1/1/22 Fixed2011 Copper Mill Austin TX 7,200$ 5.7% 5/1/21 Fixed2011 Heritage Trace Newport News VA 5,388$ 5.7% 5/1/21 Fixed

Secured Credit Facility 18,392$ 2.7% 10/25/16 Floating

Date Acq Property (Apartment) Name City State Principal Interest Rate Maturity Date Fixed / Floating

Appendix - Revenue Estimate Abstract for Legacy Properties

Note: IRT’s loan for its purchase of the OKC properties is due in 2016. We did not forecast this payment in the model. This is because there are multiple ways the firm can pay the amount outstanding; including, issuing more shares, paying some of it in 2015 and the remaining in 2016 as well as received more money from its revolving credit facility (fixed at a 2.7% interest rate). All of these are acceptable options and we expect management to choose the one that benefits its shareholder’s the most.



Analyst Biographies

Matt Errico has a tremendous work ethic and is a very determined and dedicated individual. Throughout his life, he has overcome many obstacles, such as a knee injury in high school football that put him on crutches for over three months. While attending community college in New Jersey, he worked over 40 hours a week as a construction supervisor to pay for his education. After transferring to USF, he had to quickly adjust to a large university and to living in an entirely new environment. These factors give him the strength, courage, and ability to overcome any difficulties he will face. In addition to being a very detail-oriented person, Errico has strong fundamental analysis, financial modeling, and leadership skills. These experiences have not only helped him learn and grow, but also enable him to function in high stress and fast-paced environments. Contact Info: Email: [email protected] LinkedIn: https://www.linkedin.com/in/matthewerrico

Julio Escalona is a finance major who is in his senior year at USF. Escalona is a native of Cuba, and lived there until his late 20s. Escalona lived in Spain for one year before relocating to the Tampa Bay area. Even though there are not financial markets in Cuba, Escalona has always been fascinated with the world of investments. Now a United States citizen and the first person in his family to attend college, Escalona will graduate in 2015. He plans to continue his education by pursuing a master’s degree and CFA certification. He hopes his educational pursuits might inspire his young daughter.Contact Info: Email: [email protected] LinkedIn: https://www.linkedin.com/pub/julio-escalona/82/9b3/517

Aaron Mederos’ fascination with financial markets developed after he experienced the consequences of a reflexive credit and asset bubble cycle in 2008-09. Curiosity about the cause of such events inspired his intellectual development. Mederos started following markets after high school and opened a personal account in 2014. He views acceptance of uncertainty and the development of a continually adapting, unbiased process as keys to successful participation in capital markets. He is optimistic that a Darwinian process will lead to greater accountability and incentive shifts on Wall Street, create a healthier economy, and grow investors’ wealth. He is a finance major who aspires to be at the forefront of that evolutionary process of better investment management and greater accountability to the average investor. He expects to graduate by Fall 2015.Contact Info: Email: [email protected] LinkedIn: https://www.linkedin.com/in/aaronmederosch

Documents

Irt equity report final