Reits are real estate investment trusts. Simply put, it is to raise a sum of money from investors and then invest in a property. After the future real estate generates income, it will be distributed to investors after deducting relevant expenses.

Can reits funds be held for a long time?

Can be held for a long time. Reits fund mainly invests in real estate, such as expressways, industrial parks, warehousing and logistics, and urban public facilities. The income of these properties is generally stable, and the dividends received by investors are also stable under normal circumstances. Therefore, for investors who want to obtain long-term stable income, they can choose to hold reits funds for a long time to obtain their stable dividends.

However, investors should pay attention to one thing before buying. Long-term holding is just a way of investing in reits. If investors want to buy reits funds, they need to know the real fluctuation of reits funds. For example, if investors buy reits funds at a high level, even if the dividend is stable, it is equivalent to a low level. In the face of short-term fluctuations in the market, the pressure of high-level buyers is much greater than that of low-level buyers.

Generally speaking, reits funds do have the risk of fluctuation in the short term, but as long as it does not affect the operation of real estate, office buildings are still rented and highways are still open, dividends will rise steadily in the long run. Of course, rising steadily does not mean that there is no risk, but the risk is quite small, and investors need to be prepared for losses before buying.