‘Panic’ Withdrawals Halt Four More U.K. Property Funds

  • Henderson, Columbia Threadneedle and Canada Life suspend funds
  • Aberdeen marks down value of U.K. property fund by 17%

Four more U.K. property funds froze withdrawals as investors sought to dump real estate holdings in the aftermath of Britain’s vote to leave the European Union.

Henderson Global Investors, Columbia Threadneedle Investments and Canada Life suspended trading in at least 5.7 billion pounds ($7.4 billion) of funds. Aberdeen Fund Managers Ltd. cut the value of a property fund by 17 percent and briefly halted redemptions so that investors who asked for their money back have time to reconsider.

“The problem with open-ended funds is you do start to have panic selling, so you really have no choice but to suspend the fund,” said Jason Hollands, managing director at investment firm Tilney Bestinvest. “There’s an inevitability to this now.”…

‘Panic’ Withdrawals Halt Four More U.K. Property Funds

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