Property - a snapshot

Direct property investments usually involve the purchase of ‘bricks and mortar’ e.g. the family home.

Direct property investments can also include larger assets such as office blocks or shopping malls. These are typically out of the reach of individuals due to the size and scale of the investment required.

Alternatively, property investors can opt for listed property securities (i.e. shares or units) to gain exposure to the property market. This offers investors enhanced liquidity compared with direct property and boosts diversification.

The main property sectors in Australia are commercial, residential, retail, industrial and office. There are numerous additional sectors available overseas.

Property is an important asset class which can assist in diversifying a portfolio.

Like shares, listed property trusts offer returns from capital growth and depending on the type of property, income from rentals. Similarly, units in property trusts can also experience short-term volatility.

Keep in mind

• The various property sectors tend to perform differently to one another, and to other asset classes such as fixed interest or shares. This makes it a good diversification tool.
• Like shares, property is affected by macro economic variables such as interest rates, economic growth, and supply and demand.

Why choose AMP Capital

AMP Capital has been successfully managing property assets for over 45 years and has earned a strong reputation as a market leader. We are one of Australia’s largest property managers, with over A$11 billion in property-specific funds under management*.

Our size, reach and expertise gives us access to deal flow and off-market deals, joint ventures and superior market intelligence.

Our depth of experience means we offer clients access to a full spectrum of specialist property investments and services including domestic and international direct and listed property; property development; property management; and leasing.

*As at 31 December 2005.

 

The information on this website does not take into account an investor's personal objectives, needs or financial situation. We suggest investors consider professional financial advice before investing.