The fund, which was inherited when it acquired Credit score Suisse, has important publicity to a number of the weakest sectors.
Greater than 80% of the corporate’s 1.9 billion Swiss francs ($2.2 billion) of belongings are workplace properties, with the US and Germany being its largest markets, based on UBS.
this UBS The banking group mentioned in a press release on Thursday that it determined to liquidate the fund as a result of excellent redemption requests meant it must promote its most liquid belongings at beneath their long-term intrinsic worth.
The priority is sweeping actual property funds. As traders demand their a reimbursement, fund managers are pressured to promote their finest belongings at minimize costs, weakening their portfolios within the course of.
Within the first six months, the market worth of the fund’s belongings fell by 12%. CS Actual Property Fund Worldwide has misplaced 31% of its worth in 2023 in comparison with the earlier yr.
