These Trusts which will be able to invest
in both commercial and residential property were
launched in the UK in January 2007. They
have the advantage that the rental income paid to
the trust and any capital gain on the properties will
be free of tax. Tax will be paid on dividends in the
normal way.
Risk warnings:
• Property is a matter of the
valuer’s opinion
• It may not be possible to sell
the property easily to redeem units, this could result
in a delay in obtaining the proceeds.
• Investment in property is subject
to supply and demand and other market influences,
as a result of this property prices can fall as well
as rise in value
• Changes in rental income could
also reflect on the value of the fund
