It is not just the open-ended funds which have taken a hit from the economic uncertainty riddling the property market.
The BMO Commercial Property Trust, a closed-ended investment vehicle, is currently trading at a 53 per cent discount, while Standard Life’s Investments Property Income and Schroder’s Real Estate Investment trusts are at an 18.5 and 28 per cent discount respectively.
Annabel Brodie-Smith, communications director of the Association of Investment Companies, said: “Clearly, the share prices of property investment companies will be affected by the current market sentiment.”
But Ms Brodie-Smith added that, unlike open-ended funds, investment companies’ shares were traded on the stock exchange so as long as the stock exchange was open, investors would be able to trade.
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