After a first quarter that registered 27 fund closings and a record volume of $63.0 billion, it’s not a surprise that second-quarter fundraising experienced a significant drop-off. A total of 23 funds reported final closings during the April–June period, raising an aggregate of $19.1 billion. The total marked the lowest second quarter production since 2013, when fundraising totaled $18.2 billion.

In fact, the second quarter dollar total was just slightly above Blackstone’s first-quarter headline-grabbing record-setting total of $17.3 billion for its Blackstone Real Estate Partners IX. The second quarter volume was also below the average quarterly volume of $27.2 billion recorded during the eight quarters in 2017–2018.

However, despite the second-quarter slowdown, all indications are that real estate remains high on investors’ lists across the globe, as it continues to provide portfolio diversification, solid income and an attractive risk-return profile.