Love of the Didgeridoo, or Higher Yields, Attracts Cross-Border Capital Back to Oz
Investment & Pension Funds Europe reports: With its relatively higher yields (averaging 8.3 percent during the second quarter) and solid economic trends, Australia has reemerged as a top cross-border capital destination for investors squeezed out of competitive first-tier markets around the world.
Investment & Pensions Europe recently cited data aggregated by Real Capital Analytics and featured in the mid-year review edition of its Global Capital Trends report to state that the Australian market has seen cross-border acquisitions spike to nearly $4.0 billion in 2011—accounting for 42% of total Australian acquisition activity during the same period—and dispositions fall as well. Australia, once a favorite of global players, saw its level of cross-border inflows plunge during the downturn as investors pulled their capital back to domestic, familiar markets.
The report also stated that Melbourne, the second-largest city in Australia, has attracted the largest share (over 50 percent) of cross-border capital, with investors’ strongest focus on retail and office properties. It also discovered that the three global zones – the Americas, Asia Pacific, and EMEA – each accounted for a similar share of cross-border sales into Australia the past 12 months.
View the full article on Investment & Pension Funds Europe: Love of the Didgeridoo, or Higher Yields, Attracts Cross-Border Capital Back to Oz
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Posted by: Nina Turner