Sector report: Fancy a slice of the property pie?

Property funds invest predominantly in one of two different ways: direct property funds buy and sell physical property, whereas property securities funds buy shares in companies which, themselves, invest into property of various types (e.g. commercial, residential, specialist). Some funds mix both approaches and these are known as hybrid funds. The IMA defines property funds as those which predominantly invest in property. In order to invest ‘predominantly' in property, funds should either: 1. Invest at least 60% of their assets directly in property 2. Invest at least 80% of their ass...