64.321 — Activities of Open-ended Property Funds

Property funds are investments in commercial property, for example, offices, factories, warehouses and retail space. Customers make investments, which are pooled together and used to purchase a range of assets, invested in two ways: - directly in commercial property - indirectly, by buying shares in property companies or other property funds This subclass includes property unit trusts: Property unit trusts have an open-ended share capital structure and hold, manage and maintain real estate portfolios (which could consist of a single property), for investment purposes (for renting to tenants), but could also be used to hold property for development or under construction. Units in these vehicles are typically traded through the fund manager and are not traded on a stock exchange.