Aberdeen Standard Investments has suspended trading in its global real estate fund, following the ‘gating’ of a number of open-ended property funds in the UK.
Earlier today, the company froze its £1.7bn (€1.8bn) Standard Life Investments UK Real Estate Fund and its £1.1bn Aberdeen UK Property Fund.
In a subsequent statement, Aberdeen Standard said it had also gated its £550m ASI Global Real Estate Fund, due to “material uncertainty over valuations of certain physical assets”.
The fund invests in a mixture of direct assets and listed real estate companies globally.
“Currently, this specifically applies to the fund’s European assets, but this remains a rapidly evolving situation,” the company said.
“Therefore to protect the interests of customers and investors, we have additionally suspended dealing in the ASI Global Real Estate Fund.”
Columbia Threadneedle, Legal & General Investment Management, Aviva Investors, BMO, Kames Capital and Janus Henderson have ‘gated’ their funds due to uncertainty around real estate valuations. The M&G Property Portfolio was already suspended in December.
The moves are consistent with new rules that come into force in September that will force fund managers to suspend trading if there is “material uncertainty” about the valuation of at least 20% of fund portfolios.
