For investors seeking momentum, Nuveen Short-Term REIT ETF (NURE - Free Report) is probably on radar now. The fund just hit a 52-week high, and is up 18.9% from its 52-week low price of $23.90 per share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
NURE in Focus
This product provides exposure to U.S. real estate investment trusts (REITs) with short-term lease agreements, which may exhibit less price sensitivity to interest rate changes than REITs with longer-term lease agreements. It has key holdings in apartment buildings, hotels, self-storage facilities and manufactured home properties, which typically have shorter lease durations than REITs that invest in other sectors. The ETF charges investors 35 basis points a year in fees (see: all the Real Estate ETFs here).
Why the Move?
The real estate corner of the broad market has been an area to watch lately given the Fed’s dovish stance that has returned the lure for the rate-sensitive stocks. Additionally, the still-to-materialize U.S.-China trade deal, global growth concerns, geopolitical tensions and Brexit issues are making investors jittery, raising the appeal for these stocks. This is because these often act as a safe haven in times of market turbulence and concurrently offer higher returns due to their outsized yields.
More Gains Ahead?
It seems that NURE might remain strong given a higher weighted alpha of 15.90% and a low risk as depicted by the 20-day volatility of 8.81%. As a result, there is definitely still some promise for investors, who want to ride on this surging ETF a little further.
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