How quickly can shares be sold?
You can apply to cash-in your client’s investment in retail share/unit classes on any UK business day and, under normal circumstances, the deal will be settled on a standard T+4 basis.
Institutional class redemptions only deal on the first day of a calendar quarter with a notice period. (Note that while retail classes are deemed non-complex for MiFID II, institutional classes are deemed complex because of the redemption restrictions). Please contact us for more information.
In unusual market conditions, there may be a delay in withdrawing money if properties need to be sold. However, liquidity of residential property is typically much higher than commercial property due to far smaller unit values and the greater number of transactions that take place in the residential market. To further reduce this risk, the fund aims to hold 10% to 15% of assets in cash and other liquid assets and has a steady stream of rental income that can be used to meet redemptions in the short term. The fund buys properties outright with cash and does not use gearing, so there’s no debt to be serviced by the cash held by the fund.