Generally speaking, REITs means that someone wants to buy a house and invest, but he has no money, so regular fund companies let people who can't afford it raise money together and invest in the real estate market where hundreds of millions or billions can participate, so that the investment threshold is lowered and everyone involved can enjoy the investment income.
Because housing is not speculation, the target of newly issued REITs funds is not houses, but infrastructure projects, such as industrial parks, highways, port storage and so on.
For example, if you invest in a highway, the main income is the toll.
You buy high-speed REITs, which is equivalent to contracting a short section of expressway; If you buy REITs in an industrial park, you are a small tenant and a tenant, and your income comes from rent, property fees and so on.
However, in addition to the dividends mentioned above, some of REITs' earnings are ups and downs.
Compared with general funds, REITs funds are more like stocks. Prices go up and down, and many people buy and sell, so buying at a low price and selling at a high price will make money, and vice versa. These two parts are isomorphic with the income of REITs fund.
Then how can I buy REITs funds without losing money? Learn these tricks, and you will not be far from making money!
1 REITs are: income mainly comes from rental income and real estate appreciation; Most of the proceeds will be used to pay dividends; REITs have high long-term returns, but it is still controversial whether they can diversify investment risks through REITs. Some people think so, others think not.
The charm of 3.3. REITs lie in: providing opportunities for small and medium-sized investors to invest in the lucrative real estate industry through the "collection" of funds; Professional managers will use the raised funds for real estate investment portfolio to spread the risk of real estate investment; The equity owned by investors can be transferred and has good liquidity.
4. REITs can be classified in many ways from different angles. The common classification methods are as follows: According to the organizational form, REITs can be divided into company type and contract type.
5. Corporate REITs are based on company law. The funds raised by issuing REITs shares are used to invest in real estate assets. REITs have independent legal personality, operate funds independently, and raise fund shares for unspecified investors. The holders of shares in the real estate investment trust fund eventually become shareholders of the company.