Recent volatility may be reminiscent of the period following Lehman Brothers' collapse in 2008, but Invesco Real Estate forecasts that real estate will not be affected in the same way and values will hold up better than three years ago.

The forecast is highlighted in the Invesco Real Estate Autumn House View, which argues that there are significant differences between 2008 and today, leading to optimism for 2012 and beyond.

Simon Redman, head of product management - Europe, Invesco Real Estate, commented: 'Real estate markets have offered good investment opportunities in the past, and we believe this looks set to continue in 2012. Stable income and the long-term gains possible from this sector can offer a potentially attractive way to diversify portfolios. We’ve seen a real appetite for real estate from institutional investors in the past year and believe it is a good alternative investment that can generate long term results.'

Invesco Real Estate has EUR 32.6 bn of assets under management globally, of which EUR 3.9 bn is managed across Europe.