What are the characteristics of real estate investment trust funds?

1. As a real estate, the liquidity is poor, and it is difficult for investors to convert it into cash in a short time. When investors are in urgent need of funds and want to realize the real estate, they often suffer losses. In contrast, real estate investment funds have strong liquidity, because most of the shares of real estate investment funds can be traded on the stock exchange like stocks, and investors can quickly convert their real estate investment fund assets into cash.

2. As the foundation of real estate industry investment fund, real estate has a strong function of maintaining and increasing value, which can well prevent the losses caused by inflation to asset owners. When prices continue to rise, the value of real estate will also rise. Moreover, due to the non-renewable land, the value of real estate will increase with time. The stock value of real estate investment funds based on real estate attributes will also rise. Therefore, the real estate industry investment fund is a good investment tool.

3. Different investment projects have different risks and different expected annualized returns. Through an effective investment portfolio, the investment risk can be controlled to a minimum. Real estate industry investment funds spread risks by investing funds in diversified property types, effectively ensuring investors' portfolio income. At the same time, because it is invested and managed by professionals, it overcomes the limitation of professional knowledge of personal finance.

1. Trust fund, also known as investment fund, is a collective investment model of "benefit sharing and risk sharing". It refers to a collective investment trust system that pools the unequal funds of most investors who are uncertain in society through contracts or companies, and issues fund bonds to form a certain scale of trust assets, and the income is distributed by specialized investment institutions according to the principle of asset portfolio. 2. A collective investment trust system in which investors share investment in proportion and bear corresponding risks.

Broadly speaking, funds are the collective name of institutional investors, including trust investment funds, unit trust funds, provident funds, insurance funds, retirement funds and funds of various foundations. Funds in the existing securities market, including closed-end funds and open-end funds, have the characteristics of income function and value-added potential. From the accounting point of view, funds refer to funds with specific purposes and uses. Because the investors of government agencies and institutions do not require investment returns and investment recovery, but require funds to be used for designated purposes in accordance with the law or the wishes of the investors, funds are formed.