Sector report: UK commercial property - treading a very fine line

Sector report: UK commercial property - treading a very fine line

clock • 6 min read

Managers must navigate a difficult path between maximising exposure to attractive illiquid property and accommodating liquidity needs. Edward Fane asks whether it is worth the risk

Investors' thirst for liquidity is nothing new. In John Maynard Keynes' The General Theory of Employment, Interest and Money, he bemoans the consequences of markets organised with a view to 'so-called liquidity'. The particular nature of open-ended property fund investment warrants consideration through this lens. The daily revaluation of liquid markets, Keynes writes, inevitably affects the behaviour of investors: "For there is no sense in building up a new enterprise at a cost greater than that at which a similar existing enterprise can be purchased; whilst there is an inducement to...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on UK

UK businesses to pay four times more for electricity than in 2020
UK

UK businesses to pay four times more for electricity than in 2020

Calls for Covid-style support for energy bills

clock 25 August 2022 • 1 min read
UK

IA Global sector enjoys record £934m sales in April

Reduced UK outflows

Sam Shaw
clock 06 June 2019 • 2 min read
UK

Dan Kemp: What UK investors can learn from the Champions League

Set new goals

Dan Kemp
clock 31 May 2019 • 3 min read