If interest rates continue to decrease, are REIT's a good investment strategy compared to dividend stocks for income investing? Please rank your top 5 REIT's. REITs, being a highly leveraged segment of the market and an area that benefits from increased economic activity, we believe will benefit with lower rates.
With rates at relatively high levels, investors were less incentivized to buy REITs or high dividend paying stocks, causing their valuations to be depressed, however, as rates decline, investors seeking yield can look towards the REIT space.
For REITs, we like: DIR.UN, CAR.UN, GRT.UN, IIP.UN, and CHP.UN. (5iResearch)