2 Dec 2020 | Press Releases
The 14th annual edition of the Association of the Luxembourg Fund Industry (ALFI) Real Estate Investment Funds Survey showcases the resilience and growth of the real estate investment sector in Luxembourg.
The 14th annual edition of the Association of the Luxembourg Fund Industry (ALFI) Real Estate Investment Funds Survey showcases the resilience and growth of the real estate investment sector in Luxembourg. It reveals that the industry saw assets under management of regulated REIFs increase by 7.22% compared to last year, bringing total assets under management to EUR 88.2 billion. This builds on the 17.7% growth in AuM for real estate funds seen in the 2019 survey.
Marc-André Bechet, Deputy Director General of ALFI, commented: “2020 marks yet another outstanding year for the real estate asset class. With 449 vehicles surveyed (the highest ever), the 14th ALFI REIF Survey continues to provide a mature view of this market segment and the tendencies that, year on year, impact the industry. It can now be safely confirmed that the launch of the RAIF regime and the revamping of the Partnership regimes in Luxembourg were a recipe for success and perfectly answered the needs of the market and investors.”
Francisco Da Cunha, Partner and Real Estate Tax Leader at Deloitte and Co-Chair of the ALFI REIF Survey working group, added: “With the majority of REIFs investing in Europe and promoted by EU investors, the survey provides clear evidence that Luxembourg funds are the mainstream solution to set up and manage EU Real Estate investment strategies. The success, however, spans further into other geographical areas, which can be witnessed by the increase of REIFs that are investing in North America, for example.”
Other topics and findings of the research were:
Francisco Da Cunha, adding comments around the pandemic, stated that: “The ALFI REIF Survey attempted to provide an initial outlook of the impact on the REIF industry arising from Covid-19. Whilst the results may seem promising (e.g. out of the whole 449 funds surveyed, only one fund temporarily suspended in 2020, 11 funds admitted to having had large redemptions in 2020, 11 funds surveyed indicated that redemptions were temporarily suspended and 4 funds activated deferred redemptions/gates) ALFI will keep monitoring the effects of this global crisis.”
Download the ALFI Real Estate Investment Funds Survey 2020.
Download the press release.
Download the photo of Francisco Da Cunha, Catherine Gauthier, Marc-André Bechet ©ALFI.
For more information, please contact:
Senior Communications Manager, ALFI
Tel: +352 22 30 26 – 48
Notes to editors:
The Association of the Luxembourg Fund Industry (ALFI) represents the face and voice of the Luxembourg asset management and investment fund community. The Association is committed to the development of the Luxembourg fund industry by striving to create new business opportunities, and through the exchange of information and knowledge.
Created in 1988, the Association today represents over 1,500 Luxembourg-domiciled investment funds, asset management companies and a wide range of businesses that serve the sector. These include depositary banks, fund administrators, transfer agents, distributors, legal firms, consultants, tax advisory firms, auditors and accountants, specialist IT and communication companies. Luxembourg is the largest fund domicile in Europe and a worldwide leader in cross-border distribution of funds. Luxembourg-domiciled investment funds are distributed in more than 70 countries around the world. For further information, do not hesitate to consult www.alfi.lu.
 AuM and growth rate sourced from the CSSF, only in relation to regulated fund vehicles