LGIM's Crossley: Hybrid property model could become 'blueprint' for illiquid open-ended funds

Potential for other asset managers to follow

Valeria Martinez
clock • 5 min read

Legal & General Investment Management’s hybrid approach to property investment has the potential to become a blueprint for open-ended funds investing in other illiquid assets, UK wholesale boss James Crossley has argued.

Many once mighty open-ended property funds, such as M&G's Property Portfolio, have closed in recent years after being forced to limit redemptions on several occasions, raising questions about the future of the sector and sparking greater regulatory scrutiny.  On Wednesday (10 April), shareholders of L&G UK Property fund, or PAIF, are set to vote on proposed changes to shift from a direct property focus to a hybrid model that includes indirect property holdings through REITs.  Some experts have said the move is likely to put a spotlight on the hybrid approach to property investment, wi...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Alternatives

Is there sufficient demand for private assets to meet supply?

Is there sufficient demand for private assets to meet supply?

Several recent fund launches

Chris Newlands
clock 17 May 2024 • 6 min read
Investment Week Private Markets Summit in pictures

Investment Week Private Markets Summit in pictures

Residential event in May

Katrina Lloyd
clock 16 May 2024 • 1 min read
Semi-liquid funds pose Consumer Duty challenges for wealth managers as barriers to entry subside

Semi-liquid funds pose Consumer Duty challenges for wealth managers as barriers to entry subside

Questions around investor suitability

Valeria Martinez
clock 16 May 2024 • 2 min read
Trustpilot