ECB Warns of Risks Posed By €1 Trillion Real Estate Funds
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Funds investing in commercial property pose a threat to financial stability after growing significantly over the last decade, according to the European Central Bank.
The net asset value of the real estate investment funds more than tripled to more than €1 trillion ($1.1 trillion) in the past 10 years, boosting their interdependence with property markets, the ECB said Monday in its Macroprudential Bulletin.