The turnaround in interest rates in Switzerland had far-reaching consequences for listed real estate funds here. While the SXI Real Estate® Funds Broad Index ("SWIIT Index") rose by a good 5 per cent last year, the relative performance of the individual funds to the index ranged between 11 and -30 per cent. This range of around 41 per cent is well above the average of the past 16 years. This is 24 per cent and was only exceeded in the pandemic year 2020 (see chart 1).
Chart 1: Range and standard deviation of listed funds compared to SWIIT Index