Investors withdrew from the IA UK Direct Property sector in every month of 2019 with December's gating of the M&G Property Portfolio highlighting widespread concerns regarding fund liquidity profiles, and a growing proportion of assets now being allocated to vehicles in other sectors instead.
Almost £3.4bn was pulled from IA UK Direct Property funds over the course of 2019, according to FE fundinfo, without a single month of net inflows. The exodus from property funds, however, did not have the same impact on the IA Property Other sector, which pulled in £534m of net inflows over the course of 2019. Investment consultant at Fairview Investing Ben Yearsley explained that in September his firm completely exited the IA UK Direct Property sector in favour of exposure to two funds in the IA Property Other sector - Schroders Global Cities and BMO Property Growth & Income. He ...
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