The difference between public REITs and ordinary public funds. As an investor, I believe that everyone is familiar with common stock funds, bond funds, currency funds, etc., and may have already purchased them.
So, what is the difference between public REITs and ordinary public funds?
In fact, public REITs are also a type of public funds, but they are somewhat different from other public fund products in terms of investment targets, issuance pricing and market fluctuations.
Pay attention to the investment targets of public REITs. In terms of investment targets, REITs are funds that are limited to investing mainly in real estate.
The infrastructure for this pilot includes warehousing and logistics, toll roads, information networks, industrial parks, etc., excluding residential and commercial real estate.
Simply put, infrastructure public REITs allow investors to participate in large-scale infrastructure projects with less capital, thereby sharing the basic income and asset appreciation of the project.
The responsibilities of fund managers have also changed. In addition, unlike ordinary public funds that focus on secondary market transactions, public REITs require fund managers to participate in the primary market and actively perform the daily operation and management responsibilities of the project in order to obtain better results.
s return.
In other words, after investors subscribe for REITs shares, the fund manager will supervise and manage the projects they invest on their behalf, so that the project can be better operated and the income can be realized.