Saturday, May 11, 2013
Following on from the previous post inflation anticipating property bubbles are inflating everywhere
With central banks printing cash to boost moribund economies, according to this article investors in Asia wanting to hedge against rising prices are dumping gold and doubling down on property. "I have been saying for the last two years that REITs are a good inflation hedge," said Charlie Chan, one of the best-known hedge fund managers in Asia, who made a killing by betting on them in 2012. "They are easier to value, you get what you see and you own the building and if there is inflation, the building price will just go up," added Chan. "Yield-hungry investors are increasingly being squeezed out of the sovereign bond markets by central bankers everywhere," said David Baran, co-founder of hedge fund Symphony Financial Partners in Tokyo. "REITs are an increasingly compelling asset class."