With asset pricing at its peak and lower rent growth projections, many fund managers are projecting lower returns. : Private equity real estate funds have been enjoying robust fundraising in recent years that has resulted in record high levels of assets under management. Yet fund managers are bracing for more challenges ahead that could cause them to lower target yields. Globally, the private equity real estate industry reached $900 billion in assets under management as of June 2018, with a record number of funds actively raising capital, according to London-based research firm Preqin.