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September/October 2002
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Investing in real estate funds

It has been widely reported that real estate funds have outperformed other investments during the recent stock-market woes. Research by USA Today, Lipper, and CSI shows by how much. If an investor put $1,000 into real estate funds in March 2000 (the stock market’s peak), that investment would be worth $1,501 as of July 2002. That same $1,000 initial investment would total only $639 in a Standard & Poor’s 500 index fund or $211 in a Nasdaq 100 fund. Even government bond funds and investments in gold didn’t fare as well over that period, at $1,215 and $1,261 respectively.

Trying to get more people to participate in real estate investing, the National Association of Real Estate Investment Trusts has created a Web site to educate indi-vidual investors on REITs. The site, www.InvestInREITs.com, provides information about what real estate investment trusts are, how investing in REITs can benefit an investor and help diversify a portfolio, and how to go about investing in REITs. Visitors to the site can also use the Find-a-REIT search to locate funds that meet their specific investment goals.

Photo © Artville.

 

Buyers & sellers, visit www.texasrealestate.com.
REALTORS®, visit www.texasrealtors.com.