Surevey: Empira Institutional Trends

Dear Readers

anyone with the aim of designing products optimally tailored to their clients should be quite familiar with their needs and requirements. As demonstrated by popularity of our investment products among institutional investors, we at Empira Group have good instincts for the interests of our core clientele.

Of course, that is no coincidence. We maintain a constant dialog with our investors. Many of our experts also understand the perspective of institutional investors from their own professional experience. And yet, systematically interviewing investors about pivotal investment trends as well as on the challenges on a regular basis is also critical.

We have therefore, for the second time now, conducted our broad survey of institutional investors in Germany entitled “Empira Institutional Trends.” The investment environment has seen drastic changes compared with last year’s survey: High inflation, the interest rate hike, the Ukraine war, and a looming energy crisis in Europe have taken the place of zero and negative interest rates coupled with pandemic concerns.

With this in mind, our survey found that most investors are remaining quite calm. The majority plans to hold their investment volumes in real estate (equity and debt) relatively stable or even increase them moderately. As for the debt field, it is notable that most investors are still rather skeptical about this investment instrument, and some are even unaware of it. This is unfortunate as they are missing out on a product category that presents an attractive risk/return profile, especially in challenging times. In other words, there is an ongoing need for efforts to inform and convince investors and to provide them with an attractive range of products. Develop-and-hold strategies, on the other hand, continue to enjoy widespread support. The fact that ESG criteria have meanwhile become essential to real estate investment no longer comes as a surprise.

Read about these insightful findings along with many others in the complete survey results. Happy reading!

Sincerely,

Lahcen Knapp
Chairman of the Board of Directors
Empira Group