WEALTH MANAGEMENT: Investing in SCPI in 2021
In a context shaped by the health crisis, SCPI investment in 2021 has naturally raised questions among high-net-worth investors. However, despite the Covid-19 pandemic, French and European real estate investment trusts (SCPI) demonstrated strong resilience, delivering an average return of 4.18% in 2020. This confirms their role as a key component of high-end real estate investment strategies, in Paris and internationally.
Stable performance of SCPI in 2021
By the third quarter of 2021, SCPI maintained their momentum, posting an average return of 4.20%. Most real estate sectors delivered returns above 4%, except for hospitality, which was more heavily impacted by travel restrictions.
SCPI returns by real estate sector
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Office SCPI: average return of 4.12%
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Specialized SCPI: around 4.12%
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Retail SCPI: 4.16%
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Diversified SCPI: strong performance at 4.86%
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Residential and logistics SCPI: top performers, with returns close to 6%
Diversification: a key success factor
Investing in diversified SCPI, both geographically and sector-wise, is essential to reduce risk and enhance long-term performance. European exposure is particularly attractive for investors seeking tax efficiency and stability.
Is SCPI investment still relevant in 2021?
Absolutely. With over 50 years of history, SCPI have proven their adaptability. Younger SCPI, in particular, offer promising opportunities as they can build portfolios aligned with current market trends such as logistics, healthcare and sustainable real estate.
For any further information, do not hesitate to contact one of our wealth advisers on 01 45 03 80 96.
