The long term outlook for investing in property still looks attractive to many investors who strongly believe in property as a basic requirement in their investment portfolio.
The worst decline for the property market in recent times came in the summer of 2008 and the market appears to slowly be recovering from its lows. The short term outlook may be slow for capital appreciation however the longer term may prove a different story.
The difficulty for most investors looking to directly invest in the investment property market as opposed to the “family home” is that the some of the best returns come from property that is prohibitively expensive to purchase.
We believe that investing in a property fund may be the best solution. Threadneedle’s
UK Property Trust offers clients access to physical commercial property within a daily dealing unit trust. The fund was launched in October 2007 and specialises in physical commercial property. The appeal for us is that the fund holds the physical asset rather than trades in property shares. This gives investors the chance to benefit from the investment teams extensive market expertise.
If you do decide that this investment sector is of interest, you should talk to us about how this type of investment will fit in with your investment strategy and the associated risks and potential rewards associated with it.