All information about real estate investment funds in Egypt 2023

All information about real estate investment funds in Egypt 2023
Real estate investment

Real estate investment funds are considered one of the new investment tools that have been launched in the Egyptian market in recent years. These funds aim to attract investments in the real estate sector by collecting funds from investors and reinvesting them in different real estate projects.

The idea of real estate investment funds is to collect money from investors and invest it in various real estate projects, such as residential projects, commercial offices, commercial centers, hotels, hospitals, etc., and the resulting profits are distributed to the investors at a specific percentage agreed upon by the funds with the investors.

Any person, banking entity, investment institution, or insurance company can buy units in real estate investment funds. This is done by subscribing to the fund during the subscription period, and investors can sell their units in the funds at any time during the trading period.

Real estate investment funds in Egypt are subject to oversight and supervision by the Financial Regulatory Authority, and strict conditions and standards are set for investment in real estate projects to ensure the protection of investors’ rights and achieve the best returns for them.

The most important real estate investment funds in Egypt

Real estate investment funds are considered one of the latest financial tools used in the real estate sector, which have achieved great successes in many global countries, and have become one of the most important means of investment for individuals and companies wishing to obtain high financial returns from real estate.

The use of real estate funds has begun in Egypt recently, as many real estate and financial companies are working to launch various real estate investment funds to meet the needs of investors, and the most important of these funds available in the Egyptian arena are:

Egyptian Real Estate Investment Fund

The Egyptian Real Estate Investment Fund is the first real estate investment fund in Egypt, and it operates under the supervision of the Financial Supervision Authority. It aims to provide investment opportunities for all clients wishing to invest in real estate, whether they are institutions, individuals, or even legal persons.

The size of the fund is considered one of the most important features that make you want to invest in it, as it amounts to 2.5 billion pounds, divided into 250 million documents worth 10 pounds per document, and work is underway to increase the size of the fund to reach 10 billion pounds.

Egypt Real Estate Investment Fund 1

Misr Real Estate Investment Fund 1 is considered the latest real estate investment fund established in Egypt. It was established in cooperation between Banque du Caire, Misr Insurance Holding Company, and Allianz Insurance Company. The fund aims to invest in commercial assets with periodic returns.

One of the most important features of the fund is that it provides the opportunity to achieve good returns for investors, and it also works to distribute risks on the real estate properties owned by the fund. The Duke of Misr Real Estate Investment 1 is part of a series of real estate investment funds that the Banque du Caire intends to launch during the coming period.

The bank's target capital for the fund is 500 million pounds, and this was approved by the Financial Regulatory Authority. About 360 million pounds were subscribed to the first issuance of the fund through a group of local and foreign financial institutions.

Sovereign Fund of Egypt

The Sovereign Fund of Egypt works to develop untapped assets and resources, by establishing partnerships with the private sector with the aim of achieving sustainable development goals through safe investment for future generations.

Egypt's Sovereign Fund allows for huge investment partnerships on a group of unused assets, by supporting the government's role in implementing structural reforms, which inevitably leads to increased economic growth in all sectors. The Sovereign Fund has a number of branches, namely:

1. Egypt Sub-Fund for Financial Services and Digital Transformation.

2. Egypt Sub-Fund for Utilities and Infrastructure.

3. Egypt Sub-Fund for Health Services and Pharmaceutical Industries.

4. Egypt Sub-Fund for Tourism, Real Estate Investment and Antiquities Development.

Nile Real Estate Equity Fund

It is one of the funds traded on the Egyptian Stock Exchange that invests in stocks related to the real estate sector in Egypt. The fund aims to achieve attractive returns for investors by diversifying the investment portfolio well and achieving long-term capital growth.

The Nile Real Estate Equity Fund is managed by Naya Investment Company, which is one of the most prominent investment companies in Egypt. The fund is financed by collecting investor funds and investing them in stocks related to the real estate sector in Egypt.

The Nile Real Estate Equity Fund is distinguished by the diversity of its investment portfolio, as it invests in various companies such as real estate development companies, construction and contracting companies, and real estate services companies. The fund is also distinguished by its ability to achieve profitable returns for investors in the long term.