Rob Tetrault, BA, JD, MBA, CIMArtis Real Estate Investment TrustAX.UN.TOPAST TOP PICKSep 21, 2018

Diversified across type and geography. Recent announcement would see it effectively sold at 44% discount to integral value. Distribution moving from monthly to quarterly, and much lower. Definitely avoid.

Going private at zero premium, will be delisted temporarily. Market's giving it a big thumbs down. Structure will be peculiar. Small company, not a lot of institutional investment. Doesn't see prospects for a better offer.

Diversified with office, retail, industrial in both Canada and US. Institutional investors tend not to like diversified REITs. Over their skis on the balance sheet, so forced to sell assets and a lot of the best ones. Has become more of an office REIT in challenged markets.

When REITs come back into favour, this won't be leading the parade. Best move on and deploy capital into one of the other suggestions from today.

In transition, difficult to analyze. Not really covering its distribution. Investors hoping dividend won't be cut.

Has a rate reset spread at 330 basis points, and pays a dividend yield of 15%. Something happened to the dividend last August. Doesn't know this name well. They are selling some retail assets to add stability to the stock.

In the midst of trying to decide on its strategy. Strategic review. Outcome uncertain. Challenging market in which to sell non-trophy real estate. Show-me on execution. Higher risk.

He'd own HR.UN over this one.

Their office holdings will be in a tough spot, but their industrial ones are doing very well and will continue to. NAV is $14-15, but shares are only at $6. So, management will have to work hard to prove to investors that there's a lot more value here. Don't buy until you see that plan.

Fell on hard times. Repositioning. Cut distribution. Exposure to office and retail. Leverage is too high, needing refinancing at higher levels. There's another chance of a downdraft in equity markets, so you want high quality.

Turnaround situation that got caught in a rising interest rate environment. Still likes it and is buying for new clients. Essentially, a creeping takeover. More upside than downside. Don't sell now, lots of positive catalysts.

Tempting. You'd get a yield of about 8% until the end of September, and 7.25% after that unless they call it back.  You could buy a 5-year GIC in a registered account, no risk, and a yield of 5.32%. Or buy a laddered group of preferreds with about 6%.

Pretty indebted, not the best credit rating, fairly illiquid. If he's going to take the risk, he really wants the reward. He doesn't love either, but the AX.UN common shares with a yield of 8.34% are a better bet right now.

It is reflecting a lot of REIT's with the squeeze on returns. You should look at companies that are defensive. He would pass on Artis but has a couple of others to look at. For real estate in general he likes shopping centres, but stay away from residential.

Most unloved asset class. Don't throw in the towel. 1/3 of business is owned by insiders. Immense pressure to be privatized, which often carries a 20-30% premium to share price. He's dollar-cost averaged down.