Given private real estate’s distinct characteristics, we analyze the three factors behind an index’s price-tracking capability: differences between valuations and prices, any bias in the direction of those differences and the frequency of valuations.

Investors may well have expected a decline in real estate pricing and an increase in distressed opportunities due to the economic impact of 2020’s global lockdowns. But the hit to pricing was mostly negligible, and the flood of distressed assets never came.

A robust, reliable overview of the sector in changing and challenging times. MSCI began systematically estimating the size of professionally managed real estate investment markets in 2004.

Due to the illiquidity of private real estate, MSCI’s private real estate indexes are constructed on the basis of professionally sourced open market valuations.

For mainstream financial asset classes, investment performance measurement is based on transaction prices. In contrast, direct real estate is well known for being an illiquid and heterogeneous asset class, making the establishment of purely price-based indexes problematic. In order to overcome these obstacles, MSCI’s private real estate indexes are constructed on the basis of professionally sourced open market valuations, i.e., price estimates based on a set of market process assumptions...

The MSCI real estate market size report 2017 is now live. Discover the 2017 market size estimates and understand the main changes between 2016 and 2017 now. MSCI began systematically estimating the size of professionally managed real estate investment markets in 2004. These estimates are fundamental to the creation of the IPD Global Annual Property Index and a range of other multinational indexes and benchmarks, and they provide insights into the coverage of MSCI’s direct property...

MSCI began systematically estimating the size of professionally managed real estate investment markets in 2004. These estimates are fundamental to the creation of the IPD Global Annual Property Index and a range of other multinational indexes and benchmarks, and they provide insights into the coverage of MSCI’s direct property indexes. This paper sets out the 2015 market size estimates and explains the main changes between 2014 and 2015.