BNP IP: The case for listed real estate in a multi-asset-portfolio
In the search for yield, listed real estate stands out as an asset class that can play an important role in multi-asset portfolios. It can diversify returns, while offering some protection against inflation and interest rate rises. The listed offers investors access to commercial real estate without the illiquidity and administrative issues associated with direct ownership.09.06.2016 | 16:14 Uhr
In an update of their white paper published last year, BNP Paribas Investment Partners’ financial engineering and global listed real estate teams make the case for listed real estate, as a proxy for direct property investment, in multi-asset portfolios.
They demonstrate how listed real estate can:
• improve the risk/return profile of balanced portfolios
• offer similar risk and return characteristics to direct ownership
Research also shows that listed real estate offers opportunities to continue investing in the asset class despite the volatile start to 2016 in financial markets as real estate equities can be easily bought and sold despite increasingly uncertain market conditions
Please click here to read the note.