Falling interest rates have been a big theme all year on Wall Street and contributed to the resurgence of bonds, utilities and real estate investment trusts (REITs).
This week, the 10-Year Treasury Note Yield hit a new year-to-date low of 2.29 percent, sparking a strong rally in these favored asset classes.
The Vanguard REIT ETF (NYSE: VNQ) has gained 2.19 percent in the month of October and 16.61 percent so far in 2014. This ETF tracks 138 real estate stocks that include holdings in hotels, office space, retail, residential and other real property assets.
REITs are typically an interest-rate sensitive asset class because they derive greater profits when bond yields ...
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