Fund houses have moved to reassure investors they have enough of a cash buffer to meet investor redemptions, in the wake of the suspension of dealing in the M&G Property Portfolio fund on Wednesday (4 December).
M&G said it would shutter its £2.5bn open-ended property fund following "unusually high and sustained outflows", which data from Morningstar estimates at £950m in the year to 30 November. It also blamed "Brexit-related political uncertainty and ongoing structural shifts in the UK retail sector" for the move. Its AUM has declined by more than a quarter since the start of the year, from £3.5bn, data from FE Fundinfo shows. The episode has sparked fears of a knock-on effect similar to that seen after the Brexit referendum in 2016, which saw a number of property funds gate. However, as...
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