Fund giants track property swaps

Reuters- Some of the world’s biggest property fund firms could eventually be tempted to trade property derivatives in a material way as long as the young market continues growing.

However, listed property firms such as real estate investment trust (REITs) could be a tougher nut to crack, leading industry figures at the Reuters Global Real Estate Summit said this week.

Matthias Danne, who sits on the board of DekaBank, Germany’s biggest operator of open-ended property funds, said he was interested in putting investor money to work quickly using property derivatives.

"I would use them if the market was liquid enough so I could invest my liquidity and I have a lot of that," Danne said.


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