23 Sep 2020

The FCA have released a consultation this morning on measures to address the potential harms caused by a mismatch in liquidity in certain UK authorised funds that invest directly in property, for example offices, shops and warehouses. The deadline for response is 3rd November 2020.

Paul Richards, Managing Director of the Association of Real Estate Funds, said:

"We welcome the FCA's consultation which aims to better align the liquidity of fund units with that of the fund assets. Property funds can play an important role in helping savers achieve their long-term financial goals as part of a balanced investment portfolio.  Our industry has faced unprecedented circumstances in recent years which have seen funds suspended to protect investors. This consultation will offer a welcome opportunity to reflect on how these funds have functioned and where there is room for innovation to ensure that we continue to meet the needs of savers and investors. We look forward to working with the regulator on their proposals." 

Author

Jacqui Bungay

Jacqui Bungay

Head of Policy and Company Secretary, AREF

Jacqui is AREF’s Company Secretary and provides policy guidance and secretariat services to AREF’s Board and Management Committee as well as many of AREF's committees and working groups.

Jacqui joined AREF in 2014 after working for over 25 years in fund compliance, client relationships and administration in the trustee and depositary sector.