We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
3 Must-Have Real Estate Mutual Funds for a Steady Portfolio
Read MoreHide Full Article
Mutual funds are the cheapest and most convenient option for investors looking to park their money in the real estate sector. This category of funds offers solid protection against inflation. Adding funds from the real-estate sector generally provides stability to a portfolio. This is because volatility in property prices is far less than the extent experienced by stocks. Adding such funds to a widely diversified portfolio would increase returns while significantly reducing the associated risk.
Fidelity Real Estate Income Fund (FRIFX - Free Report) aims for higher-than-average income, while capital growth stands as a secondary objective. The fund invests the majority of its assets in preferred and common stocks of REITs, debt securities of real estate entities, and commercial and other mortgage-backed securities. FRIFX has three-year annualized returns of 9.3%.
FRIFX carries an expense ratio of 0.73% compared with the category average of 1.08%.
TIAA-CREF Real Estate Securities Fund Retirement Class (TRRSX - Free Report) seeks maximum total returns over the long run through growth of capital and current income. TRRSX invests a large chunk of its assets in companies primarily involved in operations related to the real estate domain. The fund may invest a maximum of 15% of its assets in securities issued by foreign entities. TRRSX has three-year annualized returns of 15.5%.
As of the end of July 2021, TRRSX held 71 issues, with 6.62% of its assets invested in American Tower Corp.
Manning & Napier Real Estate Series Class S (MNREX - Free Report) aims for high current income and long-term capital growth by investing primarily in companies in the real estate industry. The fund invests at least 80% of assets in securities of companies that are directly engaged in the real estate industry as well as in industries serving or related to the real estate industry. MNREX has three-year annualized returns of 12.3%.
Elizabeth H. Mallette is one of the fund managers of MNREX since 2013.
Image: Bigstock
3 Must-Have Real Estate Mutual Funds for a Steady Portfolio
Mutual funds are the cheapest and most convenient option for investors looking to park their money in the real estate sector. This category of funds offers solid protection against inflation. Adding funds from the real-estate sector generally provides stability to a portfolio. This is because volatility in property prices is far less than the extent experienced by stocks. Adding such funds to a widely diversified portfolio would increase returns while significantly reducing the associated risk.
Below we share with you three top-ranked real estate mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of funds.
Fidelity Real Estate Income Fund (FRIFX - Free Report) aims for higher-than-average income, while capital growth stands as a secondary objective. The fund invests the majority of its assets in preferred and common stocks of REITs, debt securities of real estate entities, and commercial and other mortgage-backed securities. FRIFX has three-year annualized returns of 9.3%.
FRIFX carries an expense ratio of 0.73% compared with the category average of 1.08%.
TIAA-CREF Real Estate Securities Fund Retirement Class (TRRSX - Free Report) seeks maximum total returns over the long run through growth of capital and current income. TRRSX invests a large chunk of its assets in companies primarily involved in operations related to the real estate domain. The fund may invest a maximum of 15% of its assets in securities issued by foreign entities. TRRSX has three-year annualized returns of 15.5%.
As of the end of July 2021, TRRSX held 71 issues, with 6.62% of its assets invested in American Tower Corp.
Manning & Napier Real Estate Series Class S (MNREX - Free Report) aims for high current income and long-term capital growth by investing primarily in companies in the real estate industry. The fund invests at least 80% of assets in securities of companies that are directly engaged in the real estate industry as well as in industries serving or related to the real estate industry. MNREX has three-year annualized returns of 12.3%.
Elizabeth H. Mallette is one of the fund managers of MNREX since 2013.
To view the Zacks Rank and past performance of all real estate funds, investors can click here to see the complete list of funds.
Want key mutual fund info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>