Dividend yields of Swiss real estate funds in 2022

With the change in the interest rate environment and the 50 basis point increase in the SNB policy rate, the environment for indirect real estate investments has changed. The SWIIT index of listed real estate funds plunged nearly 15% over the first 6 months of 2022. SIX-listed real estate stocks had a performance of -7% over the same period. After years of falling interest rates, falling discount rates and therefore increasing property valuations, the generated cash flow becomes now the main focus.