Understanding the risks in AIFs and PMS investments

Investing in real estate Alternative Investment Funds (AIFs) offers diversification, professional management, and access to institutional-grade assets, but comes with notable risks. Key lessons include the impact of high management and performance fees, illiquidity due to long lock-in periods, and the complexity of fund structures, which can obscure transparency and make due diligence challenging. The recent commission controversy highlights the importance of understanding fee structures and seeking professional guidance to avoid eroded returns and misaligned incentives. Ultimately, careful evaluation of risks, costs, and fund manager track records is essential before committing to real estate AIFs