REITs and the Rally of 2014

Geoff Considine

*+-There have been a number of surprises for investors in 2014.  Bonds have markedly out-performed stocks for the year-to-date.  The S&P500 is up 2.4% since the start of 2014, as compared to the Barclays Aggregate Bond Index, which is up by 3.5%.  Even more striking, the iShares 20+ Year Treasury Bond ETF (TLT) is up… Read More


The Yield Paradox

Geoff Considine

*+-I have been struggling to understand a problem that I am going to refer to as the ‘yield paradox.’  Yields for individual asset classes look low.  The 10-year Treasury bond is yielding about 1.9%, and 30-year Treasury bonds are yielding a similarly paltry 3%.  The S&P 500 is yielding 2.1%, which is very low by… Read More


What Are the Core Asset Classes for Income Portfolios?

Geoff Considine

*+-In a recent post, I presented a list of the ‘core asset classes’ that investors need in order to build portfolios that fully exploit available diversification opportunities.  That article focused on portfolios designed for total return potential, the combined return from price appreciation and income generated by the assets in the portfolio.  For investors focusing… Read More


Sector Watch: Retail REITs

Geoff Considine

*+-Real Estate Investment Trusts (REITs) are companies that own and, typically, manage real estate investments to generate income.  REITs may also invest in mortgage securities (these are called mortgage REITs or mREITs).  REITs may specialize in specific types of properties.  The Folio Investing Retail REIT Folio holds equal-weight allocations to the largest publicly-listed REITs that… Read More