The fund management arm of another major insurer has suspended trading in its property portfolio.
This time it is the turn of M&G, an investment wing of Prudential, which has stopped trading on its £4.4 billion UK property portfolio.
In a statement making the announcement, M&G commented: “Investor redemptions in the fund have risen markedly because of the high levels of uncertainty in the UK commercial property market since the outcome of the European Union referendum.”
The fund usually invests in 178 commercial property units across office, industrial and retail sectors and the suspension will be reviewed every 28 days with orders placed after 12:00 on July 04 not processed until the suspension is lifted.
Prudential has become the third major insurer to suspend trading in property funds this week following on from
Aviva suspending trading in its £1.8 billion UK property fund yesterday (see
article) and Standard Life stopping trading in its £2.9 billion fund on Monday.
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