Since our last Analyst, the greatest change has been to our yield forecasts, which are now expected to decline further than previously expected in the next couple of years. We also envisage them staying at these low levels for longer. However, by 2019 we expect Western European yields to begin to tick up, as the yield gap over bonds diminishes. This will weigh on capital values towards the back-end of the forecast period, particularly in the Western European markets.
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