IMA report increased property investment

The Investment Management Association (IMA) have reported an increased investment in property funds, now at the highest level since 2009.  This May saw a net of £491 million flow into the sector.

Jason Hollands, from Bestinvest, commented: "In our view this is an outcome of the desperate search for income."

He goes on the questions whether the forecasted returns of 12-14 per cent in the sector will survive beyond 2014 with potential interest rate rises and policy tightening bringing downward pressure.