Real Estate Investment Trusts

Real Estate Investment Trusts (REITs) are companies that own or finance income-producing real estate across a range of property sectors.  REITs offer investors the benefits of real estate investment along with the ease and advantages of investing without the management and maintenance. REITs have historically provided investors dividend-based income, competitive market performance, transparency, liquidity, inflation protection and portfolio diversification.

Most REITs have a straightforward business model: The REIT leases space and collects rents on the properties, then distributes that income as dividends to shareholders. Mortgage REITs don't own real estate, but finance real estate, instead. These REITs earn income from the interest on their investments.