Have you heard about Real Estate Funds?

Real estate investment funds (FIIs) are a form of collective investment that aims to invest in real estate projects.

Real estate investment in Portugal offers alternatives to traditional direct investment. One of the alternatives is investment made through public limited companies or limited liability companies, which can be suitable for the different investor profiles and type of investment intended to be made.

Real Estate Investment Funds are part of the alternatives to consider.

FIIs are made up of a group of investors who invest money in a specific fund, which in turn uses these resources to invest in real estate. Investments can be in physical properties, such as commercial buildings, logistics warehouses, shopping centers, among others.

FII investors receive income from the rental of properties.

It is worth remembering that FIIs have some risks, such as market risk, credit risk or liquidity risk. Therefore, it is important to carry out a careful assessment of the funds before making investments and enlist the help of a professional specialized in the subject.

Investors should bear in mind that open-ended real estate funds, despite being an alternative to traditional financial investments, seeking to maximize investments in this sector, traditionally have less liquidity and an increased risk, compared to bank deposits, as they do not have a capital guarantee. or income.

According to the CMVM - Real Estate Market Commission, in March, the value under management of real estate investment funds, special real estate investment funds and real estate asset management funds reached 12,339.9 million euros, plus 0.5 % than in February. European Union countries were the destination for all investment made in real estate assets, with 47.9% of the open FII and FEII portfolio being invested in properties in the service sector.