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Getting Ready For The REIT Sector Transition With Two New ETFs

Benzinga.com
0 Comments| October 8, 2015

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State Street Corp (NYSE: STT)'s State Street Global Advisors (SSgA), the third-largest U.S. issuer of exchange-traded funds, added to its already expansive lineup of sector ETFs Thursday with the debuts of the Financial Services Select Sector SPDR Fund (NYSE: XLFS) and the Real Estate Select Sector SPDR Fund (NYSE: XLRE).

SSgA introduced the new ETFs ahead of real estate becoming the eleventh Global Industry Classification Standard (GICS) sector. That change is scheduled to occur after markets close on August 31, 2016. In November 2014, S&P Dow Jones Indices and MSCI, two of the largest providers of indices for use with ETFs, announced real estate – previously included as part of the financial services group – would become its own sector.

Changes Ahead

“Feedback from the annual GICS structural review confirmed that Real Estate is now viewed as a distinct asset class and is increasingly being incorporated separately into the strategic asset allocation of asset owners,” said Remy Briand, managing director and global head of equity research ...

/www.benzinga.com/trading-ideas/long-ideas/15/10/5899059/getting-ready-for-the-reit-sector-transition-with-two-new-etf alt=Getting Ready For The REIT Sector Transition With Two New ETFs>Full story available on Benzinga.com

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