Asset Management

Advisors Favour Real Estate Over Hedge Funds - Barclays Wealth Research

Stephen Harris 8 August 2007

Advisors Favour Real Estate Over Hedge Funds - Barclays Wealth Research

UK Independent Financial Advisors are more likely to recommend products linked to real estate than those linked to hedge funds or commodities, according to new research from Barclays Wealth. A recent poll of 180 IFAs revealed that only 5 per cent of respondents were likely to recommend a product tied to a hedge fund; a similar percentage would recommend products linked to soft commodities, such as oil, and just 7 per cent would recommend products linked to hard commodities, such as metals. But well over half of those polled said they would endorse a product linked to commercial or real estate property performance, either in the UK or overseas. The survey showed that UK commercial property was favoured by 16 per cent of the IFAs questioned, while 13 per cent would consider a product linked to UK residential property. Eleven per cent would recommend international commercial property while 9 per cent said they would advise clients to buy a product linked to international residential real estate. Government bonds were the next most popular option, recommended by 9 per cent of the advisors, followed by energy products and investments linked to corporate bonds.

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