Control Issues: Investors Demand Greater Rights, Oversight and Accountability in Today’s Investment Environment
With ongoing global economic uncertainty and volatility, many investors are no longer content to merely be passengers in their investment vehicles. Rather, they have decided to move over to the driver's seat and start steering decisions about their investments. How can they effectively exercise more control, given their resources and knowledge base? While joint ventures with control rights offer one road to success, what other avenues exist?
In the aftermath of the global financial crisis, and with the benefit of 20/20 hindsight, many institutional investors expressed the need to be more actively involved in their investments. They took their losses, licked their wounds and looked for more control.
"There has been a notable shift by some of the larger and more sophisticated institutional investors toward more direct forms of real estate investment, such as club deals and joint ventures," says Nick Loup, CEO for