Since 1994, there have been seven instances, including - TopicsExpress



          

Since 1994, there have been seven instances, including 5/21/13-6/11/13, where fears of rising interest rates caused REITs to decline by an average of 12%, according to Jonathan Litt, founder and CEO of LandandBuildings, a registered investment advisor specializing in publically traded real estate and real estate related securities. The current sell-off (5/21/13-6/11/13) has produced a decline of 11.54%, as measured by the FTSE NAREIT Equity REITs Index. In the previous six occurrences, average returns subsequent to the declines over the next 30 days, 90 days and 12 months were 6.8%, 9.2%, and 28.7%, respectively. The rationale for the strong rebound in returns is linked to the inflation hedge characteristics real estate has traditionally offered.
Posted on: Wed, 12 Jun 2013 20:10:50 +0000

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