"Real estate has historically kept pace with inflation because landlords can raise rents as prices climb, passing cost increases directly to tenants. This mechanism makes REITs one of the more intuitive inflation hedges available to retirees who need income today, not just capital preservation tomorrow."
"The iShares Core U.S. REIT ETF is the foundational choice for retirees who want maximum diversification across property types without paying for active management. The fund carries $3.6 billion in assets and an expense ratio of just 8 basis points, making it one of the cheapest ways to own the entire investable U.S. REIT market."
"The portfolio spans every major property category. Top holdings include Welltower at 8.4%, Prologis at 7.8%, Equinix at 6.6%, Simon Property Group at 4.6%, and Realty Income at 4.4%, giving the fund simultaneous exposure to healthcare facilities, industrial logistics, data centers, retail, and net-lease properties."
Real estate has historically kept pace with inflation, allowing landlords to raise rents. This makes REITs a viable inflation hedge for retirees needing income. With the Consumer Price Index at 327.5 and 10-year Treasury yields at 4.3%, fixed income alone may not suffice for living costs. Real estate ETFs generating 3% or more in dividends, alongside property appreciation, offer solutions. Notable funds include a broad-market core REIT fund, a residential and healthcare-focused alternative, and a research-enhanced strategy from Columbia targeting higher yields.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]