Investments in real estate funds are also increasingly disadvantaged. In the past 50 years, open-ended real estate funds have been considered safe, with virtually no losses for investors. The picture has turned in recent years. You may redeem shares in open-ended real estate funds currently and in the coming years with less freedom. Make a visit to https://meridianidhouses.com/ for a clearer picture on this matter.
What Does the Studies Show
According to a study by the rating agency Scope, the funds raised for the funds have already shrunk by more than half. The industry association found an even more drastic decrease in comparison to the first four months of 2013 and 2014: instead of $ 1.6 billion in the previous year, it is currently only $ 353 million. This corresponds to a decrease of 75%.
The reason is the ever-new reforms for open-ended real estate funds. Until now, as a shareholder, you have been able to return shares worth up to $ 30,000 at any time. In the meantime, you must hold the shares for at least 2 years, and there is also a 12-month notice period. This is a reaction to the fact that many investors wanted to sell their shares when the market collapsed. In short: with open-ended real estate funds, you would be far too inflexible in the future.
Real Estate Fund
With closed real estate funds, you even participate in real estate in an entrepreneurial way. The risk of bad investments is therefore high: you can