Property as an asset

Reits are at heart merely a more tax-efficient way of owning property together with other investors. It does not mean the underlying asset itself – whether residential or commercial property in the UK or elsewhere – will perform miracles come January 1st, 2007. The danger, therefore, for the industry is another scandal based on a herd instinct, resulting in too much money chasing poorly performing assets and a future “told you so” waiting in the wings. Most clients are probably overweight in residential property right now given how prices have surged in the past decade – those with seem...