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What is a REIT?
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Description: This video talks about publicly traded Real Estate Investment Trusts (REITs). REITs are securities that trade like a stock on major exchanges. REITs own, and in most cases, operate income-producing real estate or related assets.
The majority of REITs share the following characteristics:
1. Liquidity: REITs may be a better choice for small and beginner investors looking to invest in real estate because it's easier to convert them into cash and you don't have to own or manage physical properties.
2. Required distribution: REITs are required to distribute a certain proportion of income to shareholders as dividends.
3. Low correlation with other financial assets: REITs are designed to be long-term investment and any potential returns are determined by the value and income potential of the real estate assets they represent.
Moomoo is a trading app offered by Moomoo Inc. In the U.S., investment products and services on moomoo are offered through Futu Inc. Futu Inc., Member FINRA/SIPC.
Investing involves risk and the potential to lose principal. Risks of the REITs are similar to those associated with direct ownership of real estate, such as changes in real estate values and property taxes, interest rates, cash flow of underlying real estate assets, supply and demand, and the management skill and creditworthiness of the issuer.
The information provided here is for general informational and educational purposes only and should not be considered an individualized recommendation or personalized investment advice.
The majority of REITs share the following characteristics:
1. Liquidity: REITs may be a better choice for small and beginner investors looking to invest in real estate because it's easier to convert them into cash and you don't have to own or manage physical properties.
2. Required distribution: REITs are required to distribute a certain proportion of income to shareholders as dividends.
3. Low correlation with other financial assets: REITs are designed to be long-term investment and any potential returns are determined by the value and income potential of the real estate assets they represent.
Moomoo is a trading app offered by Moomoo Inc. In the U.S., investment products and services on moomoo are offered through Futu Inc. Futu Inc., Member FINRA/SIPC.
Investing involves risk and the potential to lose principal. Risks of the REITs are similar to those associated with direct ownership of real estate, such as changes in real estate values and property taxes, interest rates, cash flow of underlying real estate assets, supply and demand, and the management skill and creditworthiness of the issuer.
The information provided here is for general informational and educational purposes only and should not be considered an individualized recommendation or personalized investment advice.
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