Stock price when the opinion was issued
And REITs outside Canada? Always a good choice if you want broad exposure to Canadian real estate. CAP REIT is the biggest holding, which he really likes, as well as H&R and Riocan REIT (also likes it). However, XRE is concentrated in these names, so you may be better off picking specific names that offer better growth. To answer: Outside Canada, you can look at VNQ and IRR in the U.S. that covers the U.S. REIT market. The US REIT market has more specialized sectors, like towers and data centres.
Challenging to own REITs in Canada. The 5-year return is slightly negative, even including dividends. Some names in it make sense, some don't. Cumulative inflation has hurt REI.UN, the second-largest holding. Softness in Canadian economy.
5- and 10-year yields are moving higher, and REITs are very sensitive to higher rates because of their debt. REITs might make sense in a stronger economy, with rates moving down.
Hasn’t owned this for a while, because it is dominated by 2 companies, RioCan (REI.UN-T) and H&R Real Estate (HR.UN-T). He tends to be careful on any kind of ETF that has 20% or more of one company, you might as well just buy the stock. The emphasis of RioCan is really on Canadian shopping centres, and he doesn’t expect much to happen on the shopping centre side. Prefers the iShares Dow Jones Real Estate (IYR-N) which has a really nice array of properties, and it is spread out all over the US.