Lack of liquidity reserves, devaluations and distressed sales led to significant turbulence in the industry during the financial crisis. An end is not here yet and could pose risks even in the medium term. One fundamental reform of open real estate funds is also approaching. The short-term ability to sell a plant in open-ended real estate funds might be drastically limited. Alarmingly, the current reviews of open real estate funds by the rating agency scope work also.
23 were devalued by 29 analysed Fund. Scope open warns of an industry consolidation, owing to which might lead to the liquidation of open real estate funds. Therefore, it remains open whether the success of open real estate funds against this background 2010 continues in the second quarter. Also closed-end funds enjoyed rising popularity. The industry could collect 844,3 million euro in the first quarter of 2010. 64 percent or 542,5 million were invested in closed-end real estate funds, EUR 326,7 million in closed-end Germany real estate funds.
This corresponds to an increase of 277 percent compared to the first quarter 2009 and confirmed the strong trend towards to closed-end real estate funds. This is likely to be against the background of the current issues around on the open real estate funds Further strengthen the trend because not the market risks of open real estate funds are closed-end real estate funds due to their long-term and strategic nature. Lone leader in the energy funds are solar Fund. Here could 2010 around 75 million euros will be raised in the first quarter, which corresponds to about 97 percent of all energy fund. The general trend in the fund industry targets even at the beginning of the year 2010 on substance, sustainability and risk diversification. Under the impression of the financial market crisis and the current euro irritation, these investment criteria are likely to remain even in the medium term highly relevant.