Hello readers, Have you ever had a thought about what could smart investment choice? And how to get a better ROI on your invested money? So here is the answer The REIT. Now What is REIT? so REIT stands for a Real estate investment trust. This makes it possible for private owners, without having to purchase, maintain, or fund the property themselves, to collect dividends from real estate investments.
REITs encourage anyone through the buying of individual business securities or through a mutual fund or exchange-traded fund (ETF), to invest in portfolios of real estate investments the same way they invest in other sectors. Without necessarily needing to go out and purchase, maintain or fund land, the owners of a REIT receive a share of the profits earned by real estate investment.
A real estate investment trust (REIT) is a corporation that maintains, manages, or funds real estate that produces revenue. REITs, modeled after mutual funds, pool the money of multiple investors. This makes it possible for private owners, without having to purchase, maintain, or fund the property themselves, to collect dividends from real estate investments.
REITs invest in most types of real estate stock, including apartment complexes, mobile towers, data centers, hospitals, medical facilities, offices, warehouses, and shopping centers.
Many REITs are publicly exchanged on major securities markets, and during the trading day, investors will acquire and sell them like stocks.
Embassy Office Parks, India's first listed REIT, has gained 50% since listing in March 2019 as against a 10% gain in the Nifty Realty Index and a 5% return of the benchmark Nifty 50.
This was all about What is REIT and why you should choose it as a smart investment option. To invest contact us (CLICK HERE)
Source – Investopedia, LiveMint, Groww