In this event an adviser to pension funds ponders the exceptional opportunities and threats she faces as she considers adding real estate to the fund's portfolio for the very first time. While REITs are already owned by the fund, its trustees think that direct real estate investment could offer protection against the threat of inflation.
But the type of real estate carries a broad selection of different subclasses, including industrial, retail, office, hotel, and rental flats. Students must ascertain which of these sectors supplies the very best hedge against inflation, and the risks and returns of the asset class as a whole, in assessing the situation.
PUBLICATION DATE: July 08, 2011 PRODUCT #: CU156-HCB-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING