The proposed six month notice period on property fund withdrawals could force investors into a longer term view of property funds. However, one Financial Planner warned of the potential inheritance tax implications

The Financial Conduct Authority may require property fund investors to give 180 days notice of withdrawal in future.

Three property funds have been suspended from dealing due to ‘turbulent’ market conditions and another remains suspended from last year.

The Financial Conduct Authority is to consult on new rules to reduce the potential harm to investors holding funds invested in illiquid assets - such as property - “under stressed market conditions.”