'While higher interest rates will put some pressure on the property sector over the coming months, the higher yields offered by the listed property counters should ensure that the property asset class outperforms cash and bonds on a one-year view.'

The report lauds property loan stock Hyprop, which has appreciated 6% this year, with a historic yield of 14.1%. Grayprop (property unit trusts) is up 4% on a historic yield of 13.6%.