Crunch conditions wreaking havoc on UK property securities vehicles

UK property securities funds are reporting disastrous credit crunch fallout with some losing almost ...

UK property securities funds are reporting disastrous credit crunch fallout with some losing almost half their value over the last year. The funds were seen as less risky than direct property vehicles as they have equity-like liquidity. But bricks and mortar portfolios have lost less money than UK-focused property securities vehicles since the crunch took hold. New Star's bricks and mortar UK Property fund reports a 21.5% loss to 7 July for example. Meanwhile, Aberdeen Property Share, with 83% UK exposure, is down 43.19% over the period according to Morningstar. Aberdeen analyst ...