German open-ended property funds recorded net outflows of around EUR 721 mln in November 2008, according to new figures from investment and asset management body BVI. This marks a sharp drop on October, when investors withdrew almost EUR 5.1 bn before a number of funds imposed a three-month halt on redemptions.

Funds which froze withdrawals at end-October attracted just under EUR 143 mln in capital in November, BVI said. The managers of these funds include Morgan Stanley Real Estate, Catella Real Estate, Axa Real Estate Investment Managers and Degi.

BVI said that open-ended property funds had proved a stable asset class in the financial crisis, attracting 4.8% more equity on average during the whole of 2008 compared with the year-earlier period. This was in sharp contrast to the marked declines seen among some other asset classes, BVI said.