Acorn Life Property

The Global Property Fund invests primarily in property-related assets and in underlying funds that invest in listed property assets or directly in unlisted property such as physical buildings. It may also hold smaller amounts of cash and derivatives to help meet its investment objectives. The fund is not limited to any one country or region.

The Global Property Fund is potentially suitable for investors willing to accept a medium-high level of risk in exchange for the prospect of higher expected capital growth over the medium to long term. The fund recommends an investment horizon of at least 7 years. Investors should be comfortable with the value of the fund rising and falling, sometimes significantly.

The Global Property Fund gains property exposure in more than one way, including through listed property equities and through unlisted physical property holdings held by underlying funds. This mixed approach can broaden the range of property investments in the portfolio. It may also help the fund diversify across different types of property assets.

The main risks highlighted for the Global Property Fund are market risk, currency risk and liquidity risk. Market risk means the value of investments can go up or down with market conditions; currency risk means exchange-rate movements can affect returns when investments are held in different currencies; liquidity risk means some assets may be harder to sell quickly without affecting price. Capital is not secure and investors may get back less than they originally invested.

The Global Property Fund may appeal to investors who want to broaden their allocation to property investment and gain greater diversification. Because it has no geographical restrictions, it can invest across different regions as well as across listed and unlisted property assets. That wider spread may help reduce reliance on any single property market, although it does not remove investment risk.