Sector report: Why confidence is building in property funds

It seems an easy bubble to spot in hindsight. In the run up to the financial crisis, investors poured billions into bricks and mortar property funds as managers bought flagship properties at inflated prices. Despite warnings, sales were strong well into 2007. IMA data shows the sector drawing in more than £2bn in retail money that year. The ensuing pull-back by investors resulted in significant redemptions and tumbling fund values. The IMA Property sector fell 14.6% in 2007 and a further 30.1% the following year. Certain direct property funds are still nursing double-digit five-year l...