Together with its group partners the savings banks and Landesbanken DekaBank has agreed upon a package of measures designed to secure the future of the Deka-ImmobilienFonds. Dr. Dietrich H. Hoppenstedt, Chair-man of the Board of Directors, and Axel Weber, Chairman of the Board of Management, outlined the cornerstones of the concept after the board meeting in Frankfurt on Wednesday.
DekaBank will itself take over without limitation the volume of share certificates in Deka-ImmobilienFonds that is necessary in order to secure a reliable and lasting guarantee of liquidity. In the press conference Weber declared: “We have achieved our prime objective, namely to secure the fund and to maintain its position on the market. DekaBank will safeguard liquidity by using its own resources. The performance will improve rapidly and substantially.” This is the precondition for convincing savings banks that they can once again include the fund in their asset portfolio and offer it to their customers.
Weber argued that Deka-ImmobilienFonds is a sound product with continuously stable results, as is shown by the current net rent return of 4.5 percent and a distribution of 4 percent that can be sustained in the future. In order to improve performance the portfolio will be optimised in the year to come and increases in the value of carefully selected properties will be realised. Moreover, DekaBank will itself rent office space in the Frankfurt ´Skyper´.
Hoppenstedt declared that DekaBank’s unlimited power to take fund shares into its own asset portfolio was for the market the strongest possible signal of trust. “Both group partners, the savings banks and Landesbanken, have promised their unqualified and unlimited support for DekaBank and its investment fund products,“ he said. “Our customers can rest assured, Deka funds are safe.”