iREIT Daily

Will You Be Comfortable in Retirement?

Brad Thomas

467 postsApril 14, 2021

I keep seeing this ad on Yahoo Finance: “20 Questions to See if You’ll Retire Comfortable.” And while I’m not willing to actually click through it, I do want to address it regardless.

Hopefully, your answer to all those questions show you’re in the solid green. But there are significant chances that you’re not, particularly after 2020.

A poll from Impact Genome and The Associated Press-NORC Center for Public Affairs Research shows that 55% of Americans report they have similar financial standing today as a year ago.

But a whopping 15% say they’re worse off.

Not surprisingly, that’s especially pronounced among lower-income classes. In fact, it almost doubles to 29% there – a number that could get even worse from here considering fast-food restaurants’ latest announcements.

Namely, Chick-fil-A is partnering with robotic delivery service Kiwibot to try out an autonomous delivery service at a Santa Monica, California, location. And Taco Bell will be opening a digital-only ordering location in Times Square.

Those kinds of moves have been eliminating low-wage positions for years. And, rather like with mall woes, the shutdowns powerfully sped things up.

Even if you’re far from a minimum-wage or week-to-week worker, don’t think you won’t be affected. It’s not that easy to escape such societal shifts.

It never is.

On the plus-side for the U.S. situation, at least, are the levels of fear the Chinese government just injected into its tech companies. The power struggle that started last year came to a head this week as Beijing took intensified action against major money-maker Jack Ma with a record $2.8 billion fine on his Alibaba Group (BABA) for overstepping its private-market bounds.

The government also ordered an overhaul of the Alibaba-affiliated Ant Group and told 34 of the country’s largest companies – in no uncertain terms – to stay in line.

To that, Shen Meng, who is a director at Chanson & Co, a Beijing-based boutique investment bank, says:

“The days of reckless expansion and wild growth are gone forever [in China]. And from now on the development of these firms is likely going to be put under strict government control. That’s going to be the case in the foreseeable future. Companies will have to face the reality that they need to streamline their non-core businesses and reduce their influence across industries.”

Don’t expect the full effect of that action to manifest itself right away. But that could eventually mean more jobs returning to the West from here.

As it is, I see no reason to change my own retirement strategy from a primary focus on safe, stable, steady companies. Call them boring if you will, but that label tends to mean less government interference, which I’m more than happy to invest in.

None of this is to sway you away from international investing or even a few higher-risk opportunities. I’m just saying to allocate accordingly so that, when something like the Alibaba ruling happens, you’re not completely crushed.

The World According to Commercial Real Estate

It was just announced in the last 24 hours that a number of real estate investment trusts (REITs) earned high marks from the EPA and U.S. Department of Energy.

For instance, Digital Realty (DLR) was named Partner of the Year for the second year in a row for its sustainability efforts. Kilroy Realty (KRC) received that honor as well for the sixth consecutive time and eighth overall.

And Office Properties Income Trust (OPI)and Piedmont Office Realty Trust (PDM) were also recognized in that regard.

Meanwhile, companies are beginning to announce their first-quarter earnings reports and calls. I’m very much anticipating those dates considering how they’ll mark the first round of detailed reports we’ll be getting for 2021 REIT activity.

As for right now, here are The Daily REITBeat’s three updates for the day:

Summit Hotel Properties (INN) expanded its board by appointing Amina Belouizdad, who will begin on May 13. She will then become that governing body’s sixth independent member and eighth member overall.
Retail Value (RVI) sold the Noble Town Center in Jenkintown, Pennsylvania, for $14 million minus closing cost and prorations. It will use 90% of the net proceeds to repay mortgage debt and retain the rest for future purposes.
Moody’s published its findings that Public Storage (PSA) deserves to keep its A2 senior unsecured rating and A3 preferred stock standing. And S&P affirmed it’s A issuer credit and unsecured debt ratings along with its BBB+ preferred stock rating. Every single bit of that comes complete with stable outlooks.

Overall, our REIT universe is looking good!

(Source: The Daily REITBeat)

Happy Investing

Brad Thomas

467 posts

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Brad Thomas is Senior Research Analyst at iREIT and CEO of Wide Moat Research LLC. With over 30 years of real estate experience, he is also long-time Editor of Forbes Real Estate Investor, a monthly subscription-based newsletter that dives deep into the vast world of profitable properties, and since 2021, he has served as an adjunct professor at New York University.

Thomas has also been featured on or in Forbes magazine, Kiplinger's, U.S. News and World Report, Money, NPR, Institutional Investor, GlobeStreet, CNN, Newsmax, and Fox. And he was the #1 contributing analyst on Seeking Alpha in 2014, 2015, 2016, 2017, 2018, 2019, 2020 and 2021 based on both page views and number of followers.

Thomas is the recently-published author of The Intelligent REIT Investor Guide (2021), co-author of The Intelligent REIT Investor (2016), and he wrote The Trump Factor: Unlocking The Secrets Behind The Trump Empire (2016) - all available on Amazon.

Thomas received a bachelor of science in business/economics from Presbyterian College and is married with five wonderful kids.

Kimco Becomes More Dominant

REIT Mutual Fund	Symbol
Alpine Realty Income and Growth Fund	AIGYX, AIAGX
American Century Real Estate Fund	REAIX, REACX, AREEX, AREWX, ARYCX, AREDX
Real Estate Securities Fund	MRESX
AR Capital Real Estate Income Fund	ARIAX, ARICX, ARIPX
AssetMark Real Estate Securities Fund	AFREX
Aston/Harrison Street Real Estate Fund	AARIX, ARFCX
Baron Real Estate Fund	BREIX, BREFX
BlackRock Real Estate Securities	BIREX, BAREX, BCREX
Brookfield U.S. Listed Real Estate Fund	BRUAX, BRUCX, BRUIX, BRUYX
CGM Realty Fund	CGMRX
West Loop Realty Fund	REIIX, REIAX, REICX
Cohen & Steers Institutional Realty Shares	CSRIX
Cohen & Steers Realty Income Fund	CSEIX, CSDIX, CSBIX, CSCIX
Cohen & Steers Realty Shares	CSRSX
Columbia Real Estate Equity Fund	CREAX, CREIX, CRRVX, CRERX, CREEX, CRRFX, CREWX, CRECX, CREBX
Compass EMP REC Enhanced Volatility Weighted Fund	CWRAX, CWRIX, CWRTX, CWRCX
Davis Real Estate Fund	RPFRX, DREYX, DRECX, DREBX
Delaware Real Estate Investment Trust Portfolio II	DPRTX, DPRBX
Delaware Real Estate Investment Trust Portfolio	DPREX, DPRSX, DPRRX, DPRCX
DFA Real Estate Securities Portfolio	DFREX
Dunham Real Estate Stock Fund	DAREX, DNREX, DCREX
DWS RREEF Real Estate Securities Fund	RRRRX, RRREX, RRRAX, RRRSX, RRRBX, RRRCX
DWS RREEF Real Estate Securities Income Fund	REFAX, REFCX, REFIX, REFSX
Eaton Vance Real Estate Fund	EAREX, EIREX
EII Realty Securities Fund	EIIRX
Fidelity Advisor Real Estate Fund	FHEIX, FHEAX, FHETX, FHECX, FHEBX
Fidelity Advisor Real Estate Income Fund	FRIRX, FRIQX, FRINX, FRIOX
Fidelity Real Estate Income Fund	FRIFX
Fidelity Real Estate Investment Portfolio	FRESX
Fidelity Spartan Real Estate Index Fund	FSRNX, FRXIX, FSRVX
Fidelity Series Real Estate Equity Fund	FREDX, FREFX
Fidelity Series Real Estate Income Fund	FSREX, FSRWX
Forward Real Estate Long/Short Fund	KSRYX, FRLSX, FFSRX, KSRAX, KSRCX, KSRBX
Forward Real Estate Fund	FPREX, FFREX, KREAX, KRECX
Forward Select Income Fund	KIFYX, FSIMX, FFSLX, KIFAX, KIFBX, KIFCX
Franklin Real Estate Securities Fund	FREEX, FRLAX, FRRSX, FSERX
GMO Real Estate Fund	GMORX
Goldman Sachs Real Estate Securities Fund	GREIX, GRETX, GREAX, GRESX, GRERX, GREBX, GRECX
Great-West Real Estate Fund	MXREX
Heitman REIT Fund	OARTX, OBRTX
ING Real Estate Fund	CRARX, IREWX, IDROX, CLARX, CRWRX, CRCRX, CRBCX
INVESCO Real Estate Fund	REINX, IARFX, IARIX, IARYX, IARAX, IARRX, IARCX, AARBX
Ivy Real Estate Securities Fund	IRSAX, IREIX, IRSYX, IRSRX, IREEX, IRSCX, IRSBX
John Hancock Real Estate Securities Fund	JIREX
Johnson Realty Fund	JRLTX
J.P.Morgan Realty Income Fund	URTLX, JRIRX, URTAX, URTBX, URTCX
J.P. Morgan Security Capital U.S. Core Real Estate Securities Fund	CEEAX, CEERX, CEEFX, CEESX, CEECX
J.P. Morgan U.S. Real Estate Fund	SUSIX
Lazard U.S. Realty Equity Portfolio	LREIX, LREOX
Lazard U.S. Realty Income Portfolio	LRIIX, LRIOX
Manning & Napier Real Estate Series	MNRIX, MNREX
Morgan Stanley Institutional U.S. Real Estate Portfolio	MSUSX, MUSDX, MSULX, MURSX
Natixis AEW Real Estate Fund	NRFAX, NRFYX, NRFBX, NRFCX, NRFNX
Neuberger Berman Real Estate Fund	NBRIX, NBRFX, NREAX, NRERX, NRECX, NRREX
Nuveen Real Estate Securities Fund	FREAX, FARCX, FRSSX, FREBX, FRLCX, FREGX
Oppenheimer Real Estate Fund	OREAX, OREIX, OREYX, ORENX, OREBX, ORECX
PHOCAS Real Estate Fund	PHREX
PIMCO RealEstateRealReturn Strategy Fund	PRRSX, PETPX, PETAX, PETDX, PETCX, PETBX
Pioneer Real Estate Shares	PWREX, PYREX, PCREX, PBREX
Principal Real Estate Securities Fund	PIREX, PIRPX, PREPX, PRETX, PREJX, PRRAX, PRERX, PRENX, PRAEX, PRCEX, PRLEX
ProFunds Real Estate UltraSector ProFund	REPIX
Prudential Select Real Estate Fund	SREAX
Prudential U.S. Real Estate Fund	PJEAX, PJEZX, PJECX, PJEBX
REMS Real Estate Income 50/50 Portfolio	RREIX
REMS Real Estate Value-Opportunity Fund	HLRRX, HLPPX
Rydex Real Estate Fund	RYREX, RYHRX, RYCRX
SA Real Estate Securities Fund	SAREX
SEI Institutional Mgd Real Estate Fund	SETAX, SEIRX
Spirit of America Real Estate Income & Growth Fund	SOAAX
SSgA Clarion Real Estate Fund	SSREX
Stratton Real Estate Fund	STMDX
T.Rowe Price Real Estate Fund	TRREX, PAREX
TIAA-CREF Real Estate Securities Fund	TIREX, TRRPX, TRRSX, TCREX
Vanguard REIT Index Fund	VGSNX, VGRSX, VGSLX, VGSIX
Virtus Real Estate Securities Fund	PHRAX, PHRIX, PHRCX, PHRBX

REIT ETF	Symbol
Flex Shares	ASET
Wisdom Tree Global Ex-US	DRW
S&P 500 Equal Weight	EWRE
iShares FTSE Industrial/Office	FNIO
MSCI Real Estate Index	FREL
S&P REIT Index	FRI
First Trust S&P REIT	FRI
iShares Real Estate 50	FTY
Flexshares Global	GQRE
iShares Cohen & Streers	ICF
iShares International Developed RE	IFGL
iShares US RE	IYR
Premium Yield Equity REIT	KBWY
ETRACS Monthly Pay 2x Leverage	MORL
Market Vector Mortgage	MORT
iShares Global REIT	REET
iShares FTSE Mortgage	REM
iShares Residential	REZ
IQ US Real Estate Small Cap	ROOF
iShares FTSE NAREIT Retail	RTL
DOW Jones Global RE	RWO
SPDR Dow Jones	RWR
Schwab US REIT	SCHH
Super Dividend REIT	SRET
ProShares Ultra RE	URE
Vanguard REIT	VNQ
Vanguard Global ex-US	VNQI
iShares International Developed	WPS
Wilshire US REIT	WREI
Pacer Benchmark Data & Infrastructure RE	SRVR
Pacer Benchmark Industrial RE	INDS
Pacer Benchmark Retail RE	RTL
Hoya Capital Housing	HOMZ
NetLease Corporate RE	NETL

REIT Name	Ticker	Annual Increases/yr
Federal Realty	FRT	51
Universal Health Realty	UHT	33
National Retail Properties	NNN	29
Realty Income	O	27
Tanger Outlets	SKT	26
Urstadt Biddle	UBA	25
Essex Property Trust	ESS	25
W.P.Carey	WPC	22
National Health Investors	NHI	17
Equity Lifestyle	ELS	15
Digital Realty	DLR	15

Will You Be Comfortable in Retirement?

Brad Thomas

467 postsApril 14, 2021

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Will You Be Comfortable in Retirement?

467 postsApril 14, 2021

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