Creating a new path for renters to become homeowners
According to the 2021 census, the number of households renting in England and Wales has more than doubled in the last two decades, highlighting the massive growth of "generation rent". Currently, there are 5 million households that are privately renting, as home ownership rates continue to decline.
By approaching what we believe is largely a market-based problem with a market-based solution, we believe there is an opportunity for institutional investors to invest at-scale in UK residential property via a fundamentally defensive strategy which prioritises diversification. The strategy aims to protect investor returns from higher inflation and, by its very nature, the product addresses a fundamental societal need familiar to anyone who has invested in, or just lived in, the UK - the difficulties faced by "reluctant-renters" desiring to become owner occupiers.
In this short video, Adrian Jones -Lead Portfolio Manager Infrastructure, Debt and Home Equity, Allianz Global Investors, explains why investing in residential property is an attractive proposition for investors and how institutional investors could hold the keys to the UK home ownership crisis.
Disclaimer
For professional investors only. Home Equity Income and Residential Property investments are highly illiquid and designed for professional investors pursuing a long-term investment strategy only. This is a marketing communication. Please refer to the legal and regulatory documentation of Home Equity Income Fund (the "Fund") before making any final investment decisions.
Target return assumptions may be based on the investment team's experience with predecessor funds, market participants and other stakeholders of the industry. Actual returns from an investment in the portfolio over any given time horizon may vary significantly from the target return assumptions. Future performance is subject to taxation which depends on the personal situation of each investor and which may change in the future. To the extent we express any prognoses or expectations in this document or to make any forward-looking statements, these statements may involve risks . Investments in the Fund entail a high degree of risk and no assurance can be given that the investment objectives will be achieved or that investors will receive a return on their capital. Please refer to Fund legal documentation for a full description of General and Specific Risk Factors.
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