Dividend logo

When building a portfolio, aside from returns, one of the biggest things investors look for is diversification.

We all know having a bunch of different asset classes that move in different directions is vital for lowering volatility and creating better returns. The standards for diversification have long been stocks and bonds. In recent years, commercial real estate through real estate investment trusts (REITs) has been adopted as portfolio diversifiers as well.

While a broad REIT fund works well on this front, investors may be doing themselves a disservice by just thinking broad. Like the saying goes, it’s all about “location, location, location.” After all, not all real estate is the same. It turns out, property type matters when looking for true non-correlated returns.

Check out our dedicated page on REITs here.

To read the Full Story, Go Premium or Log In

Popular Articles

Premium Photodune 514786 stock market diagram xs 300x212
News

The Wrap for February 22: Toned Down Trade Boosts Market

Despite being a shortened week – thanks to the President’s Day holiday – there was plenty of...

Premium Slowing%20earnings%20growth
News

Earnings Aren’t as Good as We Hoped

Given all the volatility that’s hit the market over the last few quarters, the last thing...

Premium Data%20center
News

Technology Giant With Strong Cash Flows Maintains Position on Best Dividend Stocks List

The technology sector is known for its fast growth, disruption and game-changing abilities. The...