Non-listed property funds need proper supervision, says watchdog
Thursday 12 July 2012
There are still serious problems at a number of non-listed property funds, the financial services watchdog AFM said on Thursday.
Not only are consumers still being misled about what they are buying into, but some funds are poorly managed and do not provide proper information to investors, the AFM said.
The AFM looked into 46 property funds between 2009 and 2011 and took action to force improvements 67 times. This included withdrawing a number of licences and making police reports, the AFM statement said, without giving further details.
The watchdog recommends further research is carried out into the possibility of placing unlisted property funds under its direct supervision.
Last November AFM executive Rene Maatman told the Financieele Dagblad around 25% of the 80 non-listed funds in its data bank were considered to be 'dubious'.