Glacier, Funds on Friday – Listed property: stress-tested and bearing up in a very tough market
After a strong start to 2019 when listed property soared 9.2% in January, hopes for a solid recovery for the sector have since been dampened. Recent company results have been disappointing, with growth in dividends slowing almost across the board, and indeed going backwards in some cases. However, on closer examination of the results to May 2019, it appears that the underlying physical property is bearing up in what is a very tough market. Negative company earnings and disappointing growth numbers are largely due to once-off and non-recurring issues, or capital items which are not reflective of the underlying property performance. Metope CEO Liliane Barnard gives her views.