REIT

nicolas_06

I guess for many people who sold in the past month or a bit before, the idea is that see as likely we go much lower within 1-2 years and they see the period as high risk and prefer to sleep without fear than trying to extract an extra 10-20% of perf. Please note this isn't an all or nothing approach. It might just be having a different portfolio overall with more International and more bonds. I did refine that strategy over the 2 past years as I became more uncomfortable with what I consider to be overvalued market (when we crossed the 5000 mark for SP500 basically). So my portfolio is about 40% US stocks, 20% Intl stocks, 25% bond and 15% alternatives (1/4 gold, 1/4 cryptos, 1/4 managed futures, 1/4 REIT). And just after April 2, I did but the dip a little. This worked well honestly.

gargeug

Yes. The REITs are having an effect out there but nobody calls them out on it. Mainly because it is all of our retirement money propping them up. Like some big circle of our current selves helping our later selves, but our later selves hurting our current selves. I don't think there is 1 group that can be singly to blame for the bulk of it. Older boomers who can't sell due to market, Airbnb owners, REIT rental investments. Each one of these is in single digit % owner ship of a city's housing stock, but add them all up and it starts to be a real %. The one single faction to blame is human nature. We can all see that someone has to lose, but none of us want to be the one to do it. That is the only reason we are in a gridlock and the only way it unsticks itself is if someone is forced to lose.

FreonJunkie96

Eliminate tech, resource extraction, banking/Financials, anything touched by PE, REIT’s I’m probably missing a few more, but it doesn’t leave you with much

BackgammonFella

I work in healthcare and a coworker was telling me about reports of a new illness of concern and had bought a few full face gas masks, a few full hazmat suits, and tons of surgical masks and latex gloves back in December of 2019. Meanwhile, I thought he was crazy and went heavy into a hotel REIT in February of 2020. The market is generally efficient, but the its not as efficient as people think. Retail traders and retail investors are generally not going to be successful trading, timing the market as a whole, or regularly changing investments… but, if you pay attention, have a good head on your shoulders, about once every ten years, your life experience and unique education will give you better insight on some kind of investment opportunity than the market on average. I have been buying XPS puts for January. Maybe I am just an arrogant fool biased by my own political beliefs, but I believe trump’s policies will lead to a massive recession. I am down thousands on them, but my confidence isn’t shaken. Again, maybe just arrogance, but, maybe this is my once-in-a-decade-fat-pitch where I have a clearer view of the economic impact of trump’s tariff policies than the market that is still finding demand at recent prices.

AtillaTheHyundai

I remember owning a REIT during the crash. lol

pmmesucculentpics

Because the value of the property is tied to rent price, not occupancy. That's why you see places offering months of free rent rather than just lowering prices. A lot of these outfits are contractually required to sell in 2-5 years and give their investors x profit. Usually 20%+. All the math is wonky and REIT luxury apartment operations are a Jenga tower right now.

Digital-Doc-777

If you do the math, at 5 to 10k a month to invest, we will max out a 401k and any IRA, therefore some needs to go into a brokerage account. Equity ETFs, such as VOO are tax efficient for this situation. If you buy and hold, you don't pay tax on the unrealized gains. Also, for what you do pay tax on, around half of it is tax favorable at the capital gains rate, and not ordinary income. For the record, I own mostly stock ETF, but also own crypto, REIT, MLPs, commodity (silver), and individual stock. My problem with giving this all to a financial advisor as while there are some good ones I am sure, there are many others just interested in collecting fees for AUM, and also selling annuities, and other high commission investments. Therefore, I prefer to be educated and handle this myself, and even enjoy it. However, I fully accept that not everyone was the DIY approach.

sashamv21

You may wanna consider checking if Highlands REIT allows secondary market transactions or if any brokerage firms facilitate private sales for non-traded REITs. Possbly reaching out to your retirement account custodian could help clarify liqudation alternatives, since some plans offer specific procedures for selling illiquid assets. Have you explred any potential redemption windows or alternative sale options through the REIT itself?

greytoc

How much equity do you actually own of this REIT? It looks like there is no market for the shares so you would have to do a private sale. I see that there was a mini-tender for shares - you could see if that's an option. The transaction costs may not make it worth it depending on what you mean by "small amount" so the other alternative is to simply abandon the shares.

Various_Couple_764

Anything in the roth you can sell at any time. As long as resulting money never leaves the roth account it is not taxed. After you sell the REIT you can use the money in the account to buy another fund like VOO

Fragrant_Tutor_7368

My account is at ATHs, had like 35% of my account in REIT and CELH (which never sold off). Sold those to buy the dip and everything recovered. 

nicolas_06

Overall I keep investing every month. But the portfolio is diversified and already was before. 40% US, 20% INTL, 25% bonds (total bon market + long term bonds), Alternatives (Gold, Crypto, managed futures, REIT). If really the market was to be quite bellow today (SP500 at say 4000 or bellow) I'd likely go to 80% stocks instead of 60%. At 3000-3500 I'd start using margin to have more than 100% exposure.

mrarfarf

Exactly what I was thinking. Best ETF Option: VanEck Office and Commercial REIT ETF (DESK) • What it is: DESK tracks the MarketVector™ US Listed Office and Commercial REITs Index, focusing specifically on U.S. office and commercial real estate REITs. It’s pretty much the only ETF out there zeroing in on office properties. • Why it fits: It’s got holdings like Boston Properties (BXP) and Vornado Realty Trust (VNO), giving you a straight shot at the office sector. Perfect if you think office real estate is cucked right now. • Heads-up: DESK is newish (launched in 2023), so its options market might be thin. Lower liquidity could mean wider spreads or trickier trades when buying puts. Check the options chain before diving in. Best REIT Options: Individual Office Heavyweights If liquidity’s your jam or you want a more direct play, individual office REITs might be the move. These guys have solid options markets and are all about commercial offices: • Boston Properties (BXP) • What it is: One of the biggest office REITs, with properties in major cities like Boston, New York, and San Francisco. • Why it works: It’s a broad play on urban office spaces—prime targets if you’re betting on a downturn. Plus, its options are liquid, so buying puts should be smooth. • Vornado Realty Trust (VNO) • What it is: A big NYC office landlord, owning a ton of commercial properties in Manhattan. • Why it works: If you think New York’s office scene is extra screwed, VNO’s your guy. Decent options liquidity here too. • SL Green Realty (SLG) • What it is: Another NYC office REIT, focused on Manhattan’s high-profile buildings. • Why it works: Like VNO, it’s a laser-focused bet on NYC offices. If Manhattan’s vacancy rates keep climbing, SLG puts could pay off. Options trade pretty actively.

Either-Interaction57

When the markets collapsed in early April I was kicking myself for not partially divesting. On the other hand I consoled myself that eventually the markets would correct. However, unlike 2008 I don't have the time horizon I once had. When the markets somewhat recovered this past week, I divested a large portion of my funds, both domestic and foreign because I don't think Trump is going to back away from his tariffs until the damage is done. I maintained small positions in precious metals & mining, REIT's and Health stock and short term bond funds. My plan is to purchase 3, 6 and 12 month CDs and build CD ladders for the near future and maintain cash in money market funds. Sure - I might miss out on some growth, but I will sleep better.

DazedPirate7595

That’s why I like VOO as an S&P 500 index fund. Seems to be diversified. I’m also likely to invest in a NASDAQ ETF for tech or something else that offers diversified exposure to Microsoft, NVDA type stocks. Maybe a little bit towards a stable REIT with consistent dividends. That’s what I’m feeling.

Thraex_Exile

REIT diversification is good in general, but I don’t know if it’s advisable in this context. If you believe in a sideways or recessed stock market, real estate is usually hit hard. Especially when we’re already dealing with inflated housing concerns.

nicolas_06

40% US stocks, 20% INTL. 25% bond (total bond market), 15% alternative (gold, REIT, managed futures, cryptos). For US, especially as I was considering SP500 to be overweighted in techs, I corrected for that.

Handsaretide

FWIW my trader friend made a compelling argument for McDonalds stock as a roundabout pseudo REIT They own an insane amount of land under all those restaurants

nicolas_06

Very simple, if I was sure that the investment I have would drop in value, but 100% sure and in a limited time frame, I would go on another investment (say short term bonds) and try to put it back after the storm. My 401K has several funds so that would be no issue. The problem through to be honest is that I don't have a crystal ball. For me within 2-3 years the market could be up or down 50% or anything in between. And just after it could go again up/down when I decide to come back. So because I don't know I have a different approach. I diversify. Today I have 40% US and corrected for the over exposure of tech stocks. I have 20% Intl, 25% bonds and 15% alternatives (gold, managed futures, REIT, cryptos). My portfolio didn't drop much to be honest because stuff like gold, INTL and even US stocks outside of tech didn't perform that bad. Today it is higher than at the beginning of the year.

No-Champion-2194

But over time, the dividends of the REIT will tend to increase by a low to mid single digit percentage, while the interest in a bank account will vary with interest rates and will not tend to increase over time; therefore, the dividends will soon be significantly more than the interest.

tothepointe

The underlying REIT will probably still be ok for awhile because rents are baked in. I made a lot of money on VICI (and MGP which got acquired by VICI) during the COVID recovery. Don't hold it anymore got out before the regime change. Also be aware that the concierge service has been dying for quite a while because guest just don't need it anymore.

nicolas_06

You basically did the market of having only 60% in stocks and 40% in bonds. I basically didn't lose anything neither with 40% US stocks (and correcting for the over exposure of tech stocks), 20% INTL stocks, 25% bonds and 15% alternatives (gold, managed futures, REIT, cryptos). I also brought a little bit extra near the bottom. Just remember one thing through. There inflation too. So a 3.25% bond fund is at best neutral, at worst, you pay tax on the interest at your marginal income rate and are actually losing money. 7-8% gross is the minimum over the long term if you want to cover inflation and then spend 3-4% on it to live from it. For the long term, I'd consider more a total bond market fund or even a long term corporate bonds fund so that you get 5-6% out of it. I would also try to have my bonds in my tax advantaged account (401K, IRA, HSA...) so that you don't pay taxes on interest each year at your marginal tax rate on it.

yoshiatsu

I'm not a tax expert. That said, US Treasury Bond/Bill yields are taxed as ordinary income (i.e. at your normal income tax bracket's rate) as are dividends from many foreign equities. REIT payments are also mostly taxed as ordinary income. Many US equities pay qualified dividends which are taxed at a lower rate. Municipal bonds are tax free (federally, which is all that matters for me b/c I reside in a state with no state income tax). Hence, I try to keep things paying qualified dividends and municipal bond funds in my taxable brokerage account and try to put bonds, foreign stocks/ETFs, and REITs in tax deferred or Roth accounts. Munis pay lower yields but you can compute the equivalent yield if you know your tax bracket.

seridos

You gain the leverage the REIT has on its assets. It's significantly less leveraged than individuals can leverage up to, but then you could leverage the stock to make it equivalent if you wanted, or take less leverage out on your house when you buy(if possible). And if you buy and pay it off over time(no HELOC), your leverage lowers over time. REITS tend to keep the leverage ratio pretty constant, where they find it optimal for their environment, mostly around 50-60%.

seridos

It's arguably much less risky than owning a single house. A single piece of realestate has TONS of unpriced risk, mostly due to concentration risk. Just spreading it out across many properties in a REIT greatly reduces that risk, moreso than any additional risk you might receive from the company as a whole.

cheddarben

eh. You are also paying for layers and layers of bureaucracy -- some of which you might have to participate in as a homeowner, but some you would not. I mean, neat. I don't think homeownership is a panacea, but to put 600k into a REIT with the expectation that it is a positive might be kind of a stretch.

TimeToSellNVDA

I looked into this hypothetical case recently, and have a couple of thoughts. 1. Most important, individual stocks of idiosyncratic risks. For example, your landlord does some dumb shady stuff and they are forced to have a fire-sale. You are going to lose out a lot. * It's much better to be diversified and remove idiosyncrasies. Invest in a residential REIT etf. 2. REIT dividends are taxed at a higher rate than regular stock dividends (for buy-and-hold investors). This may or may not matter to you, but something to consider. REITs do get tax benefits, so they should in theory be passing on the extra earnings to you, and so the net effect should be a wash. But if you are a high income earner, this matters. 3. If you plot the history of REIT dividends (not just residential but all US REITs) over 20 years, you will see that the net amount has actually not gone up much at all. It dipped in 2008 significantly, and has risen in the last couple of years. In the overall economy, the rents have remained stagnant, but each individuals experience is different. Overall, I think it's a sound-ish strategy, as long as you right-size your expectations. You should definitely diversify - either within residential as a whole, or at least within the region that you're renting.

Working-Active

MPW is a fairly safe bet and they will pay you a 6% dividend for waiting. They are a hospital REIT with 400 hospitals worldwide. They have had some tennant issues with their two largest tennants but have now worked this out and have replaced their tennants. Earnings call was moved forward a week (May 1st) which is another sign for good news.

namewithoutspaces

It seems like buying a put on the SK equity market is not a very close way of betting on the housing market. I'd find a homebuilder, bank, or something similar to a residential REIT, if you really want to express this view

Stitch426

My portfolio was set up with the tariffs in mind with international, utilities, a cell phone tower REIT, consumer staples, and the like. I also had some Mag 7 and other tech stocks with a lot of financial stocks. When tech is doing good, everything else is down and vice versa. I’ve just been selling what’s green on a tech rally and averaging down on the defensive stocks I want to keep long term through this clown show lol. Every now and then I’ll pick up a “defensive stock” after an earnings call when “defensive stocks” are already down. Picked up ERIE today. Did the same for FI as a tech stock that got hammered for their earnings call. If I have to hold these types of stocks for months or years, I’m okay with that. But I feel like I got in at a nice entry point and they won’t be dead in the water because tariffs bankrupt them. Most of my portfolio was geared to hold long term that I would be okay with taking it to retirement, but I’m having some fun with this volatility before going back into ETFs and dividend focus stocks.

musicandarts

Try O. It is an REIT in S&P. Checkout its returns in the last few weeks.

BarbellPadawan

What’s the best REIT ETF?

therealjerseytom

What kind of account? Taxable or tax-sheltered? Tax drag to consider with the former, e.g. with something like a REIT. Honestly you can keep it simple with like VOO and VXUS in whatever proportion you feel comfortable with. Or go get a simple model portfolio from iShares: https://www.ishares.com/us/resources/tools/core-builder#/?slider=5 Nobody has a crystal ball to predict where the markets will be decades from now. Pick what makes sense to you and that you can STICK TO. Jumping in and out is not the way.

mdh1119

Not sure what you mean by saying Wendy's is better than most REITs. Anyone who spends any amount of time here knows that Wendy's is an REIT.

Vegetable_Island6164

I put 200k into the markets just before the drop I had about 200k in cash I saved through lots of blood sweat and tears sitting in my high yield savings account for few years as I thought I’ll be buying a house. After a long search, Ended up not buying now so after the cash sitting on the sidelines for 3ish years I finally decided to invest literally a month before the big drop. I bought direct S&P500 stocks, some index dividend income ETFs, BDC and REIT ETFs crypto: bitcoin and solana. I’m down anything between 10 to 35%. Only bitcoin is up. Literally if I just waited another month this could have been a perfect “buy the dip” opportunity. I know timing the markets is impossible / should have DCA’d in probably.. but this has been really dumb and frustrating. Now my dream of buying a house/land somewhere is locked in the markets until it recovers which seems unlikely with the amount of nonsense this administration is doing daily (tariffs, lack of clarity on anything, now talks about firing J. Powell and the declining dollar index, tomorrow who knows) We’re not heading to recovery we’re headed towards more instability and potentially a recession / crumbling of the dollar as a reserve currency. Should I cut my losses and take money out? I do want to buy a place. Probably not in the US anymore. Need some encouragement and ideas Thanks for listening

room-nine

1. Commodities 2. Emerging Markets 3. Rest of World 4. Energy 5. REIT

Spl00ky

Might as well by a REIT ETF or a REIT stock

HatlessDuck

I remember reading a book once called How I lost money in real estate and how you can too In it, he talks about his REIT and has stories about the troubles this caused him.

Wild_Bunch_Founder

If you don’t want the public selling your units then just keep it private. Start a private REIT with your own funds and backers. See how well you do over a few years and if you establish a positive track record then you can always take it public or sell it off to a private equity fund or pension plan.

Unlucky-Clock5230

Another one I consider safe and high yielding is Hess mid stream. With AI it is all hands on deck for energy production and their financials are pretty darn good. Cube smart (storage facilities REIT) looks good, people hoard crap through thick and thin. I have a few BDCs paying high yields, of those MAIN is a solid performer

Terakahn

I don't have an answer. Safe havens are currently not behaving safely. See united health for example. Usually it's gold, utilities, REIT, consumer staples, treasuries, etc. I would say maybe focus on dividends but even that could take a tumble that might not balance out. There are always companies who outperform even in down markets. If you look for those companies you could do well. But most people here aren't going to invest in single stocks.

sleepyspar

Going by YTD REIT returns, yes.

increase-ban

VICI is my favorite REIT as well. If you are going long term, like at least 3-5 years out, I think longs will make a killing. It’s a really nice piece for a diversified portfolio imo.

Unlucky-Clock5230

It Is really weird for you to ask about VICI here, I would think it is the complete opposite of what WSB stands for. It was probably the only REIT that collected 100% of the rents in their portfolio during covid. That's how resilient that segment of The estate market is. They also have solid plans for long term expansion, and a world with plenty of opportunities. When all else fails, you can count on that income stream. I'm nearing retirement (God willing under 5 years). My current yield on invested is just shy of 6%. That is not bad for an income stream as secure as it is. Not exciting but reliable.

wallysta

Even before the current chaos, US stock prices have been very high for a while, so expected returns are very low over the next 10 years or so. I think fixed income might be a better bet at the moment compared to US equity for the medium term. Assets you might consider outside US stocks to add diversification US credit. - CLOs offer a range of risk tolerances. AAA - Equity, and all that has to happen is companies don't go broke. Preferred Shares - more like fixed income than common stock. ETFs available offering broad exposure. ExUS Developed Markets - There are lots of markets which are valued well below that of the US currently, and seem to have more stable & less erratic leadership. Will benefit from a devaluing USD. You don't need to pick and choose, ExUS ETFs are available on most markets Emerging Market Stocks - lower valued again compared to ExUS Developed and if the USD falls will have that tail wind Catastrophe Bonds - New ETF listing in the US soon which should offer uncorrelated returns to the overall market Emerging Market Bonds - Both USD and local currency, offer higher yields to developed market bonds, and will be helped by a falling USD. They offer better diversification because default in one country doesn't lead to defaults in others, like corporate bonds. Global Infrastructure / utility stock funds - Usually pay higher dividends and offer lower diversification to the market. REITs - Some REIT sub classes offer lower correlations to the market, healthcare and self storage are 2 examples I wouldn't use these to try and 'beat' the market, but they may offer diversification and a different return path beyond a traditional stock / bond portfolio

Savik519

I thought there was a REIT that dealt with cemetery real estate only. Anyone?

mytrailnameismaps

You can buy real estate through REIT ETFs like VNQ or VNQI.

Digital-Doc-777

Agreed. REIT are useful for a small portion of portfolio, and to dampen volatility. Definitely not all in to the exclusion of equity that better performance.

jginvest71

I have SPYD which is REIT and Utility heavy. Instead of going all in on a sector fund you could do something like that.

Edard_Flanders

I don’t know where you live, but real estate prices are not rising where I’m at in FL. They’re falling. REITS do not outperform the market and real estate prices are already pretty inflated. Give me the option between VTI and any REIT and I’m choosing VTI.

smashkraft

Bitcoin, if you have 100 hours to research. Or gold if you have 30 seconds to research. If you think both of those are bad, then buy a REIT. If you think REIT’s are bad, then go to masterworks and buy art.

greytoc

That's certainly one reason if your goal is income generation. I hold $O in my portfolio - REITs can be reasonable investments depending on the type of REIT and the REIT assets. If you are interested in understanding how a REIT like O generates it's dividends and it's risks - the NAREIT site has a lot of resources - [https://www.reit.com/what-reit](https://www.reit.com/what-reit) But to reiterate - if your goal is to diversify - you aren't really diversifying by investing into $O - $O is a decent REIT for diversifying real estate because it's a diversified REIT. But overall - you are likely increasing your exposure to US commercial real estate. If that's your goal - $O is a good choice. So - since VOO already gives you about 2% exposure to US real estate - figure out how much of your portfolio you want to increase in real estate and that's how you can decide if you want to invest into $O and the amount.

therealjerseytom

REIT's are an option. 7 to *20* percent annual return... good luck with that.

therealjerseytom

You could consider a REIT; they're ideal in tax-advantaged accounts. Something to remember is that how much you can save and contribute will make *vastly* more difference to your portfolio than the specifics of equity investment. For years. Like let's say you start with $1500, and maybe you hit your intended 9% growth for the year. If next year you can save more and put the full $7000 in, you increase your portfolio size by *hundreds* of percent. Assuming you do hit 8.5% annual yield, that investment return won't outpace your max contribution limit until you have over $80k invested. So I wouldn't sweat specifics of allocation; you will have years to watch how this evolves, and rebalancing or taking a different strategy is easy since there are no taxable events.

greytoc

What's your reasoning for increasing your real estate exposure? $O is part of the S&P 500 and so are a few other REITs. A real estate sector was added to the S&P 500 about 10 years ago. REITs are about 2% of the S&P 500. Bear in mind that a REIT like $O is sensitive to interest rates, so you there is a slight correlation between O and the 10 year treasury note. If you want better diversification - you can look at other asset classes like fixed income (bonds), mid/small caps, and also non-US equity.

GideonWainright

I think so.  That's one of the ones everyone talks about.  Maybe a swiss REIT?

Devincc

I would just make sure you don’t buy an REIT full of a bunch of crap. US real estate can be completely different than foreign

Daily-Trader-247

I am letting you make your own decisions and giving you some options. Currently you have a advisor who apparently is not doing what you want them to do. and most of the ones I mentioned (Oil ?, Mining ?, Business Development ?. REIT) ETFs are not overly represented in S&P Like All the ones in the QQQ Its up to you

xiongchiamiov

>maybe a ETF outside of the S&P, like Oil ?, Mining ?, Business Development ?. REIT ? All of those are represented in the S&P 500. It really feels like you're throwing out random investments without any strategy or investment philosophy behind them. >same overlap but get some dividends ? https://www.investopedia.com/terms/d/dividendirrelevance.asp

Daily-Trader-247

Sounds like a solid plan, but maybe some diversity though VOO and QQQ overlap a bunch maybe a ETF outside of the S&P, like Oil ?, Mining ?, Business Development ?. REIT ? or dividend ETF for some added flair or 90% VOO 10% JEPQ same overlap but get some dividends ?

Money_Star2489

**Deepseek Analysis of Likeliness:** 1. **Geopolitical Coordination & Treasury Market Stress**: The claim of Japan/China coordinating to dump Treasuries is speculative but not impossible. Both nations hold vast U.S. debt, and strategic selling could pressure yields, as described. However, such actions risk self-harm (devaluing their reserves) and lack clear historical precedent. The Fed’s intervention narrative is plausible—central banks often stabilize markets—but systemic "trust collapse" in the dollar is hyperbolic given its entrenched global role. 2. **Market Infrastructure & Liquidity Crises**: The infrastructure strain (e.g., $2T daily trades, platform delays) mirrors real-world fragility, akin to March 2020’s Treasury liquidity crunch. However, a full "back-office failure" causing market halts is extreme. High-volume stress tests systems, but post-trade mechanisms are designed for resilience. Margin calls from equity reversion to "fair value" (15-20x earnings) seem overstated—markets often correct without systemic collapse. 3. **Domestic Debt & REIT Risks**: Consumer debt bubbles and commercial real estate vulnerabilities are credible. Rising defaults (mortgages, credit cards) align with post-COVID economic strains. REITs’ leverage and illiquid assets are systemic risks, but contagion hinges on simultaneous shocks (job losses, fire sales). The link to tariffs accelerating this is tenuous—economic downturns typically have lagged, multifactorial causes. **Verdict**: The text blends valid vulnerabilities (debt, leverage, infrastructure stress) with speculative leaps (coordinated foreign selling, imminent dollar crisis). While risks are real, the narrative’s immediacy and causal chain lean toward sensationalism over near-term likeliness.

TracyM45

Restaurant's are always one food illness away from crashing. If you want to be in that space buy a REIT that owns the land restaurants rent

-Lorne-Malvo-

is this a publicly traded Real Estate/Mortgage REIT or private company? I'm guessing the latter?

Red_Bullion

You could do a large cap value fund like AVLV. Or overweight small/midcaps. These are even more volatile than VTI though. If you want to reduce drawdown risk it's pretty much more bonds. Or you could look at a REIT. They have some downsides but generally have low correlation to the rest of the market and so should reduce drawdown.

pnw_sunny

rarely does this work out. im guessing the rich people invest here because they have diverse investments and maybe this is funny money to them. before you jump 1) what is your risk tolerance, 2) what is your trust factor - do you get any audited reports, 3) what is your alternative - say TBills, investing in a public REIT etc etc. i'm pretty diverse and one of my throwaway investments concern a startup that is now at Series D funding - I have assumed I will never see the money again from this LLC

tree-molester

Short answer, likely haven’t matched S&P returns over those 40+ years. Had I you’d probably have read about me somewhere. However, my wife and I were able to retire in our late 50’s with almost 2 mil in assets. We were both making around $70k/yr when we did. My investments have been in and out of stocks over the years. Mostly out since I retired. Now I’m only shooting for a 5% return on our money that isn’t in state retirement fund (WI). With bonds and CD’s dipping below that threshold recently decided to move about 20% of funds back not stocks. With the recent selloff wish I’d left that cash at ~4.5% returns. Looking back, made the best investing decision in 1999 when I liquidated 90% of stock funds and put it into bond funds. Not only was I not losing money like everyone else there were positive returns on the bond funds. After about 2010 put a little back into stocks, but most was in inflation adjusted treasuries and REIT fund. Prior to 1999 was about 80% in funds that tried to match SP500. Had the other 20% in value funds. During the DotCom assent I played with about $20k and ended up with well over $100k in a matter of 2-3 years. That all went into education for our three kids. You could buy stock in Fart.com back then and do pretty well.

Old_Shoe5167

Although you already know the main US ones, VTI (total US market) is another popular US choice (you'd probably just want one of VTI/VOO/QQQ as the top holdings just repeat). After having one US ETF you'd like to stick to, the obvious choice is going world minus US. A popular one here is VXUS. It includes Europe as well as Emerging Markets so you don't need to buy that separately. With say VOO/VTI and VXUS you're pretty much good to go. After that, it really is up to personal preference and opinions. Some may say REIT (real estate), others may say commodities, some like to stick with stocks but look into small cap (VB/VSS for US/ex-US small cap etfs). Here's a good read with some sample allocations [https://www.bogleheads.org/wiki/Lazy\_portfolios](https://www.bogleheads.org/wiki/Lazy_portfolios) . Since you're only 19, I'd ignore bonds completely and start adding them later down the line, maybe in your 30s or 40s.

dscoZ

No worries. Honestly I have zero in gold but I do have about 5% in btc etf. And if you want exposure to real estate I would say opt for. REIT instead of the individual company’s stock. But I have limited knowledge on both of those and I’m a fairly conservative investor so you may hear differently from other people in this sub. 

TheFutureIsAFriend

O and SPG are relatively cheap. Blackstone seems overpriced. May REIT's are a thing? I mean, unemployed people aren't known for paying rent on time....

pnw_sunny

you are so very incorrect. maybe that shit flies in china or a socialist country. are you also opposed to foreign interests or "companies" from owning apartment buildings? what about hospitals or senior centers? some would say in many markets renters are better off when compared to owners. in your scenario, many projects would never be built. my advice to you - start a REIT with your like minded friend and deploy the strategy you describe.

Reventlov123

Not that I gave it a detailed look, but just from skimming CompuStat and the balance sheet... I think they have been "down" because their shareholders equity (and assets) went down by about 500M from EOY 2023 to 2024, and they lowered their dividend. They also paid off the same ~500M in debt, so that probably wasn't something fundamental about the company changing. It just scared people away. It actually looks like a fairly generic REIT, with maybe a bit of upside.

mooooner

su\*cide LINE  Lineage, Inc. (formerly Lineage Logistics) is the world's largest temperature-controlled warehouse real estate investment trust (REIT), owned by Bay Grove, LLC

ServerTechie

My rollover IRA does not get regular contributions and it’s hurting now. I sold all short term positions, on Monday if this decline keeps up I may sell some of the long term to take gains and lower cost basis. Best I think I can do for the cash ultrashort bond funds, REIT income fund, and large value income funds which are fairing better than most equity funds. Once the volatility dissipates, I’ll DCA chunks back into a more lucrative Nasdaq index where it belongs. My work 401K has limited choices, but at least it gets generous DCAing from me and my employer match. Personal Roth accounts, one is already under so I’ll just keep DCAing it, the other is a Nasdaq index from several years ago with awesome gains, but for now I’m strictly adding cash without investment.

EloquentMrE

Investing in a high quality REIT would also be beneficial. Im partial to SPG because it did well for me during the plague crash in 2020. Picked it up for under $50/share then and it basically went 4x ... the dividends are good too. It's a tier "A" REIT (more expensive) but sone of the tier "C" REITs can be affordable with a nice return they usually cover gas station and strip mall type real estate (stable income during a recession)

Unlucky-Clock5230

First and foremost, quality. Companies that are making money now and projected to keep on making money into the future. Add to that a commitment to pay dividends. Nothing talk louder than money, and a company that has been paying and growing dividends every year for at least 10 years is worthy of consideration. 10+ years is usually the point where the company gets dividend paying as part of their corporate identity, and they start managing their payouts so they are sustainable not only on good times but also on bad times as well. I'm watching VICI (casino REIT) to see if their price dips enough for the yield to grow to 6%. It may not sound like much but as a revenue stream from a company that grows their dividend every year, it would beat the 4% retirement withdrawal rate by 50%. VICI was the only real estate company that collected 100% of their rents during Covid. It takes a Trump to bankrupt a casino (which he did by the way).

Noble_Bastard

My REIT brethren. I got a nice win this week. The little REIT I was invested in not only paid out its quarterly dividend, but it announced it's being taken private, more than doubling my initial cost basis.

pnw_sunny

of course, it depends on your time horizon. i would say microsoft and quantum computing, they continue to printing money and have deep pockets for R&D. i would also say berkshire, but maybe wait until it corrects after Buffett dies, maybe EADS (euro aerospace) could be a play, and a random pick would be a healthcare REIT (maybe Healthpeak). just some random ideas,

skilliard7

- Korean stocks are really good, IMO. Not only are they very cheap(below book value, P/E of 8-9 on average), but they a lot of production in the US, and they can reroute their exports to the US to other global markets like Europe and Asia. - Microsoft is oversold. Businesses depend on their infrastructure to function, they aren't going anywhere. They also aren't really that impacted by tariffs. Big tech in general is oversold - WDC is oversold. There is no US based domestic competition that they need to worry about. Their competitor(Seagate) also produces drives overseas. - Small cap value is oversold, down 26% from ATH despite already being historically cheap before the election. - I own a farmland REIT that I cannot name because of rules surrounding microcaps. But it pays a 5.3% dividend yield on a monthly basis, and farmland historically has done well during recessions and stagflation.

TwoCrustyCorndogs

I'm gonna negotiate bottom barrel rent with whichever REIT looks closest to defaulting. 

tonufan

I have done well holding VICI in my Roth. It's a REIT that holds 30 year Vegas property leases. High dividend and low draw down. I expect it to return 10+% a year even if we go into a recession.

999forever

I was 100 percent equities then read too much boggleheads and also A Random Walk Down Wall Street and decided having everything in US mega cap would affect my sleep quality.  I’m about 30% US blended, 30% EXUS, 10% bonds (US/INTL) 15% REIT funds. Remainder in a MMF, some as an emergency fund and some to put back in. 

No_Ad3043

I picked Las Vegas as the most liveable city in America based on many factors. The affordable, friendly and "comp a local with unmatched hospitality" was driven out by wall street greed. You DJI bros like the REIT that bankrupted Caesars, Kerkorian, and every greedy taking pig that punishes the locals for giving you not enough of a taste of our economy can watch me laugh as that number dips below 20,000 with Trump's austerity measures. It needs to come around after all this going around.

Matty-Ice-Outdoors

Mix between big wedding coming up, gold climbing drastically, inflation, and incoming tariffs.  If a recession indeed comes to fruition. Having cash allows for a whole lot of buying power. I plan on picking up some land or extra vehicles. Perhaps getting a new house. I moved most of my IRA into REIT’s specifically for monthly dividends.  401k is what it is. Large Cap Companies and Bonds. Pension is secure. 

RJ5R

I know it's not entirely a popular opinion on this sub since this sub is geared more towards passive / portfolio investments But we like to own actual cash flowing real estate instead of owning shares in a REIT.

Ok_Willingness2174

Curious: why the “never” buy into self storage REIT? I’m not going to put all my money into one, but having as one asset / holding in portfolio, seems like offers decent returns if (maybe IF) got good management.

RJ5R

Not always recession play People scooped up storage places for cheap during GFC, this was discussed on bigger pockets where investors swooped in and bought places being sold off for pennies on the dollar. COuld have been from mismanagement, could have been owner selling to pay off other debts, could have been from collapse of customers, who knows. But that was an excellent opportunity to actually own them. I personally would never buy into a self storage REIT. To be flat out honest, I don't think anyone knows how the dynamics of this will play out. I am firmly in the camp of sitting tight in liquid (getting 4%-4.5%) while we see where things go. If shit does hit the fan, then you'll see right away what people are fleeing away from, and you can swoop in and buy

i-love-freesias

I was just researching some stocks this morning and buried in there somewhere I read that self storage is not good during a recession, but can’t remember the details.  I was also surprised, so it stuck in my mind.  I think I was reading about another REIT, and it was in the analysis.  It wasn’t the one you mentioned in your OP, though.

blah_blah_blah_78

Reit sounds like a good idea, could you please suggest some REIT ETFs or mutual funds?

adhdt5676

They’re so debt ridden too. I work in the material handling space and have invested in cold storage REIT’s. Only reason is that people always need food and it’s a very niche biz

therealjerseytom

From your other comment, the fact that you can recognize that you have personal bias re: the administration is a sign to pay attention to. Emotionally-driven decisions often pan out poorly. Good to have the awareness of these things! Or hell, just accept the fact that yes, there *will* be market downturns and recessions in the future. Could be now, could be long after Donald Trump is gone. At some point you *will* have a 20-30% downturn that will last months or years. The specific reasons don't even matter, it's more a question of what you choose to do with your investments knowing that downturns and recessions are a fact of life. Rationally knowing that fact, and having the emotional experience, are of course two different things. Did you overestimate your risk tolerance? Maybe. 🤷‍♂️ > I’m getting concerned about such a heavy investment of my take home (4k out of $7k a month) with possibility of layoffs. And yet you have *a year or two* of an emergency fund, no? That's what it's for, man; a life raft in case of something like losing a job. You did well having that sorted out already. And if you're getting married that's even better; easier to weather a storm with two paychecks rather than one. > My play currently is to keep the $4k a month DCA into the S&P and sing god bless America the whole way down Is there a reason you're 100% all-in on US equities? Would you sleep better at night if you put some of that monthly contribution towards international stocks? Some bond ETF's? REIT? Different asset classes perform differently or can be hedges against different scenarios. For example, maybe you think there's the possibility of a recession, and that interest rates will be cut as a result. Well in that case, long-term treasuries (e.g. TLT) could be a great hedge; their value goes *up* when interest rates go down. Ultimately, downturns / corrections / recessions / etc. do tend to (a) be short-lived, and (b) tremendous buying opportunities. The more you can stay the course the better. Or, again, figure out the risks for your current asset class allocation, and gameplan around things to hedge those risks.

Inner_Relationship28

Best time to buy when a company is down. It's a commercial office REIT with grade A properties. People are going back to the office now that jobs are down and they can be forced back to the office. Rate cuts will set them back in the right direction. What's your great all if you're so smart?

RS3RRL

REIT's and Pipeline/MLP companies have held up extremely well during this down trend. Owning boring dividend companies pays off.

-Lorne-Malvo-

"BXP is a good REIT BXP pays a nice dividend but has lost 9.64% year to date, lost 48.66% in 3 years, lost 36.14% in 5 years I swear I don't see how people come to believe losing money is a viable strategy lol.

escapefromelba

Have you factored in that US listed REIT dividends are subject to withholding tax for foreign investors which can be as high as 30%?

escapefromelba

Those REIT dividends are taxed as ordinary income so at your marginal rate. You'll be giving up a lot more in taxes than just paying capital gains when you take distributions from a total return portfolio.  

Terakahn

Im not sure if you're actively managing aside from full withdrawl but I just wanted to pass on some info. For what it's worth, I run a constant screen that filters for the following: Up YTD Above 20/50/200 MA Positive institutional transactions Over 1.5x relative volume Mid cap or larger ($2Bn+) Here's what it's returning with incredible consistency. Utilities, some energy, non commercial REIT. These make up the majority of the lists are very day. Down market, up market, Crab market. This is where money is rotating to right now. If you're already at your retirement goal then obviously ignore all of that though.

Inner_Relationship28

BXP is a good REIT with a good Div.

Noble_Bastard

Are you me? My 20% account REIT is up 30% from when I purchased it (which at the time was yielding just over 8%), now it's yielding closer to 6%.

Fragrant_Tutor_7368

I’m so happy 20% account is in a 6% yielding REIT that will probably be up tomorrow …again 

nicolas_06

We have no crystal ball. But what makes sense is to invest in what you are comfortable with. long term. Personally I prefer to be more diversified and didn't wait for the small correction we got to do it. My portfolio is overall 40% US stocks. 20% Intl stocks (worldwide, not just developed markets), 25% bonds and 15% alternatives (gold, REIT, managed futures, cryptos). This also depend a lot of when you will want to use the money. Is it in 5 years, 10 years, 20+ years ? The longer the timeframe the more stocks you can get.. But please don't got 100% US. US is a single country and thing like change in policy or political priorities can heavily impact the market. If you invest world wide, you drastically reduce the risk for 1 country by performance to destroy your portfolio. Is it the right time to change your allocation ? There isn't bad or good time. While timing the market is everything, people are very bad at timing the market anyway. So if you realize you don't have what it takes to be ok with you current allocation, just change it. And you don't have to go from 100% to 0% or to do it in one go.