Demand for listed property picking up: AMP
The demand from retail investors for direct and listed property is slowly returning – a trend set by institutional investors in 2010.
According to AMP Capital's head of distribution – retail, Ben Harrop, property funds were increasingly being embraced by both platforms and dealer groups.
"AMP Capital saw institutional investors put around $5 billion into unlisted property throughout 2010 and there are clear indications that demand from retail investors is slowly picking up," Harrop said.
“[There is] demand coming back in for review of property funds, which are increasingly being added onto platforms and [Approved Product Lists] from dealer groups,” Harrop said.
Harrop said dealer group Count had added AMP Capital’s global property fund to its Approved Product List and that MLC/NAB and Westpac groups were adding a lot of property options to their menus.
“In the last 18 months to two years, there was a lot of aversion to risk, a lot of people moving into just cash, which was pretty safe, but as you know you don’t get any growth in cash, just interest,” Harrop added.
He said that property was one of the best performing asset classes in the pre global financial crisis period before it fell up to 70 per cent in some instances.
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