Why Are REITS on the Rise?

The video discusses the classification of industries within major global equity benchmarks, focusing on the addition of real estate as a separate industry group. Traditionally classified with financials, real estate is now recognized for its unique qualities and growth in the public stock market. This change, effective in 2016, impacts portfolio management by introducing an 11th industry group. The video also highlights trends in real estate spin-offs, driven by high dividend yields and low interest rates, allowing companies like Sears to unlock value and raise capital.

What implications does the addition of an 11th industry group for REITs have for portfolio managers?

Evaluate responses using AI:

OFF

Discuss the historical context of real estate being classified with financials and the changes that have occurred.

Evaluate responses using AI:

OFF