By James Phillipps

LONDON (Citywire) - Uncertain where to invest your money in these turbulent times? You can do worse than listen to the experts.

One To Buy

The Standard Life Investments Property Income Trust (Slipit) has endured a torrid 12 months, but with a 10.2 percent yield, Wise Investments director Tony Yarrow says investors are being overcompensated and should consider buying.

Slipit, along with the rest of the direct property sector, has suffered badly from the downturn in the commercial property market.

The trust has seen its share price slide by 40.5 percent year on year, while its discount has widened to 37.1 percent. However, Yarrow points out that over the same period the underlying commercial property market has only fallen by 17 percent, reflecting the indiscriminate nature of the recent sell-off.

Yarrow says: ‘It has been a baby and bathwater market, with the good thrown out with the bad, but we believe that Slipit has a very strong management team.

‘As the market increasingly moves back to being more discriminatory, it will realise that there are companies in each sector that will survive and prosper longer-term.'

Although reticent to call the bottom of the commercial property market, Yarrow notes redemptions from unit trusts have stabilised and retail money is starting to trickle back into the asset class.  Continued...