What is the return of REITs fund?

Compared with foreign countries, domestic REITs fund has a vast scale, which is a kind of fund specialized in investing in the real estate industry. With the rise of domestic REITs funds, investors' interest in such funds is also increasing. Many people want to buy real estate investment trusts, but they are worried about the income.

What is the return of REITs fund?

The returns of most REITs funds are between 3% and 5%, and those with high personal returns can reach 10% or even higher. In fact, the income of REITs funds is also related to the market environment. When the environment is good, most of them will rise, but if the environment is not very good, most REITs funds will lose money. After all, this is also a wealth management product, and it will not break even after all.

Under general market conditions, the returns of REITs funds are higher than those of money market funds and bond funds, but lower than those of equity funds and hybrid funds. The key to the yield of REITs lies in the profitability of the underlying assets, which is less affected by the equity market. The income of REITs fund mainly comes from the value-added income of basic assets and compulsory dividends.

Because REITs are standardized financial products traded in the open market, they are called real estate investment trusts. The raised funds are mainly invested in real estate such as office buildings and highways, and then the proceeds of these assets will be distributed to fund holders regularly in the future.

The biggest advantage of REITs is growth+stable cash flow. Growth is divided into two aspects, one is the growth of profit and cash flow. For example, with the improvement of the level of economic development, startups are scrambling to come to your office building in this park, and the rent will rise, which is the profit or income of Reits; Second, the growth of assets itself is the growth of the value of real estate itself.

Generally speaking, the investment direction and target of REITs funds are very reliable, but it does not mean that every REITs fund can help investors make money. REITs fund belongs to the fund after all, which is risky and may lose money.

If you plan to buy REITs funds, you can buy them on-site or off-site, just saying that you need to open a stock account to buy them on-site.