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.
Even though real estate looks hassled, securities from this sector should remain an integral part of portfolios with a long-term horizon. Over the years, mutual funds from this category have continued to perform well. They offer a convenient method of investing in real estate because of low initial investment requirements and the advantage of professional management. Investors willing to hold long-term positions would do well to consider these funds as they add stability and bring steady returns to a portfolio.
Nuveen Real Estate Securities A (FREAX - Free Report) seeks growth of income and capital for the long run. FREAX invests the lion’s share of its assets in income generating securities of companies involved in the real estate industry. The fund aims to invest mainly in equity REITs, but may also invest in all the three types of REITs. Nuveen Real Estate Securities A has a three-year annualized return of 15.5%.
Jay Rosenberg is one of the portfolio managers of FREAX since May 2005.
VY Clarion Real Estate S (IVRSX - Free Report) invests a large chunk of its assets in common stocks of companies whose operations are related to the real estate domain and REITs. IVRSX seeks returns through high income and long-term capital appreciation. VY Clarion Real Estate S has a three-year annualized return of 15.5%.
IVRSX has an expense ratio of 0.96% as compared to the category average of 1.31%.
Fidelity Real Estate Investment Portfolio (FRESX - Free Report) seeks long-term appreciation of capital and income. FRESX invests a bulk of its assets in securities of companies, which are involved in the real estate sector. The fund invests both in U.S. and non-U.S. companies. Fidelity Real Estate Investment Portfolio has a three-year annualized return of 16.9%.
As of July 2016, FRESX held 52 issues with 7.3% of its assets invested in Simon Property Group Inc.
PIMCO Real Estate Real Return Strategy A (PETAX - Free Report) invests in real estate-linked derivatives and a basket of inflation-indexed securities to achieve its investment objective. PETAX seeks to provide maximum real return. The fund also invests in Fixed Income Instruments including bonds and debt instruments issued by domestic or foreign public and private sector entities. PIMCO Real Estate Real Return Strategy A has a three-year annualized return of 17.8%.
PETAX has an expense ratio of 1.14% as compared to the category average of 1.31%.
Image: Bigstock
4 Top-Rated Real Estate Mutual Funds to Buy
Even though real estate looks hassled, securities from this sector should remain an integral part of portfolios with a long-term horizon. Over the years, mutual funds from this category have continued to perform well. They offer a convenient method of investing in real estate because of low initial investment requirements and the advantage of professional management. Investors willing to hold long-term positions would do well to consider these funds as they add stability and bring steady returns to a portfolio.
Below we will share with you four best-rated 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.
Nuveen Real Estate Securities A (FREAX - Free Report) seeks growth of income and capital for the long run. FREAX invests the lion’s share of its assets in income generating securities of companies involved in the real estate industry. The fund aims to invest mainly in equity REITs, but may also invest in all the three types of REITs. Nuveen Real Estate Securities A has a three-year annualized return of 15.5%.
Jay Rosenberg is one of the portfolio managers of FREAX since May 2005.
VY Clarion Real Estate S (IVRSX - Free Report) invests a large chunk of its assets in common stocks of companies whose operations are related to the real estate domain and REITs. IVRSX seeks returns through high income and long-term capital appreciation. VY Clarion Real Estate S has a three-year annualized return of 15.5%.
IVRSX has an expense ratio of 0.96% as compared to the category average of 1.31%.
Fidelity Real Estate Investment Portfolio (FRESX - Free Report) seeks long-term appreciation of capital and income. FRESX invests a bulk of its assets in securities of companies, which are involved in the real estate sector. The fund invests both in U.S. and non-U.S. companies. Fidelity Real Estate Investment Portfolio has a three-year annualized return of 16.9%.
As of July 2016, FRESX held 52 issues with 7.3% of its assets invested in Simon Property Group Inc.
PIMCO Real Estate Real Return Strategy A (PETAX - Free Report) invests in real estate-linked derivatives and a basket of inflation-indexed securities to achieve its investment objective. PETAX seeks to provide maximum real return. The fund also invests in Fixed Income Instruments including bonds and debt instruments issued by domestic or foreign public and private sector entities. PIMCO Real Estate Real Return Strategy A has a three-year annualized return of 17.8%.
PETAX has an expense ratio of 1.14% as compared to the category average of 1.31%.
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 >>