BMO Equal Weight REITs Index (ZRE-T)

We've had a decent run in REITs, so he'd be selling and not buying. Yes, lower interest rates will help REITs. He feels the market is expecting too many rate cuts from the central banks. He predicts a hard landing in the economy eventually which won't help REITs.

Great option for investors. Get exposure to smaller REIT's as well. Lowering interest rates also good. Good for long term investors. 

Up about 11% last 3 months. Basket of 22 REITs. Underperformed TSX since March 2020, but has started to move with most other dividend stocks. He's starting to warm up to areas of higher distributions like REITs. Yield's about 5%. 

Prefers US-focused ones, because of the relative strength of the US economy. Likes logistics, storage, seniors homes, US retail. 

Broad REIT that has exposure to apartment and office assets.
Good diversification.
Would prefer narrower exposure.
Would have to wait 6-12 for REITS to fall before buying.

Down 11.4% over the last 12 months. Underperformed the TSX since early days of the pandemic. Interest rates moving higher is not conducive for REITs to perform well. How healthy is they real estate market in Canada? Macro environment not favourable, especially in Canada. Still uncertainty ahead. Yield is 4.9%.

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. In a recovery scenario, there is a long term potential for good returns. You should look at a 3+ year horizon. It is not risk free. Unlock Premium - Try 5i Free

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. In the current state of REITs, ZRE is an equal weight ETF that reduces single company risk. A good choice for the sector today. Unlock Premium - Try 5i Free

XRE-T showed the experience of the REIT sector in a bad economy. Interest rates are going lower and lower. REITs are typically one of the last things to drop. When the baby gets thrown out with the bathwater, REITs go down also. The pullback last week is the first part of a short term trade you could do but it would not be for a long term hold.