Back to top

Image: Bigstock


Read MoreHide Full Article

After performing well in 2017, rate-sensitive sectors like REIT took a beating this year given their higher sensitivity to rising interest rates. The speculation of speedy rate hikes and then the seventh interest rate hike since the financial crisis took a toll on the sector. The sluggish trading is likely to continue with further lift-offs expected this year and the coming years, dampening the appeal of the REITs ETF. However, REITs offer solid dividend payouts and excellent capital appreciation even in a turbulent market. In particular, the return of SCHH is highly dependent on the top firm, suggesting company-specific risk.

In-Depth Zacks Research for the Tickers Above

Normally $25 each - click below to receive one report FREE:

Schwab U.S. REIT ETF (SCHH) - free report >>

Published in