As discussed in the report 'Unlisted funds, lessons from the crisis' for the Association of Real Estate Funds (AREF), the period of volatility revealed failings in both the traditional open and closed-ended funds model. There is an opportunity to create new types of fund vehicle blending the best characteristics of both;

Investors disillusioned by the failings of blind-pool funds have preferred to invest via separate accounts, joint ventures and club deals, however in many cases the vehicles incorporating fund features;

Regulatory and tax changes in the UK and elsewhere are creating new fund regimes and changing the attractiveness of others;

The decline in traditional life insurance products and defined benefits pension provision creates challenges but also opportunities for the real estate investment management industry.  The decline in traditional products is likely to be accelerated in the European Union by regulatory change in the form of Solvency II and IORP;

The globalisation of the sources of investment capital will gather pace over the next decade.