Breakfast Briefing

Property can provide pension funds with the stable long-term returns they need, but struggle to find, in the current low-yield environment. Continental European real estate market is set to keep changing, not least as Irish investors mull the implications of the UK voting to exit the European Union and persisting loose monetary policy. In this briefing, Gil Bar of Aviva Investors and Oliver Kelly of LCP Ireland will explore what this asset class can offer Irish schemes.

 

Continental European long lease property seeks to meet the existing and ever growing demand for lower risk income producing euro denominated, European real estate assets. The ability to deliver secure, long-term and inflation linked cash flows by investing in a diversified portfolio of core real estate with rental revenue from institutional-grade tenants is a key benefit. By exploiting the bond like characteristics of real estate, and diversifying their holding across countries, markets and sectors, we believe this can reduce investment risk and generate reliable long-term yields that they need to continue paying liabilities.