The Vision Thing
Last year was a tough one for the non-listed property fund industry. The credit crunch and its associated economic downturn has hit the performance of property funds and the industry is now looking at how to address the problems associated with falling valuations and the impact of gearing. In this article, we look at the factors that are contributing to the current situation and how these will influence the industry during the coming year.
In 2008, the non-listed property fund market experienced considerable fallout from the ongoing financial crisis, resulting in the industry spending the second half of the year coming to terms with a new investment landscape.
The non-listed property fund industry was affected by the same loss of debt that suddenly hit all financial markets. This, combined with a lack of confidence in the market, resulted in it coming to a halt as capital values started to fa