Investors Pull €10 Billion in a Year From Europe Property Funds Amid Watchdog Concerns
- Valuation declines may not have been fully priced in: ECB
- Commercial property prices may decline further, ECB says
La Defense in Paris.
Photographer: Zula Zabikowska/BloombergThis article is for subscribers only.
Retail investors pulled €10.2 billion ($11.1 billion) from euro-denominated real estate funds in the year through April amid warnings that falling valuations could create liquidity pressures for the products.
The redemptions mark a huge turnaround from the preceding 12 months, when the funds attracted inflows of almost €2 billion, data compiled by Morningstar show. Total net assets held by the open-ended and exchange-traded property products fell below €163 billion last month, the lowest level since August 2019.