UK & US CRE ETF performance ahead of global universe

A quick look into 5 LSE listed real estate ETFs confirms Europe’s performance excl the UK is lagging behind due to unresolved economic and political issues.

Europe

Over a 3-year horizon the iShares FTSE/EPRA European fund (IPRP) has exhibited a correlation of 82% with the UK EPRA index,¬†while the iShare FTSE EPRA UK fund (IUKP) has shown a close correlation of 85%. Europe’s fiscal austerity and tight credit conditions continue to add stress on the listed real estate sector with the latest casualty German property company IVG facing insolvency.

UK property H1 2013: What do the agents say?

More insight is given by several agents reporting on Q2 2013 real estate investment performance such as JLL http://www.joneslanglasalle.eu/EMEA/EN-GB/Pages/EuropeanOfficePropertyClock.aspx

CBRE Q2 2013 commentary on the UK market:

http://www.cbreglobalinvestors.com/research/publications/Documents/Market%20Commentary/Q2%202013%20UK%20Quarterly%20Market%20Commentary_white%20paper%20format.pdf

London’s advantages as a global city in Europe (views by CBRE)

http://portal.cbre.eu/portal/page/portal/RRP/ResearchReportPublicFiles/CENTRAL_LONDON_VP_THE_LONDON_PARADOX_JUNE_2013.pdf

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