Why I’ve gone cold on ASX REITs
ASX real estate investment trusts (REITs) have had a tough year in 2020 so far. Formerly favoured for their income potential, REITs were among the hardest hit sector in the coronavirus-induced market crash in March.
Take the Vanguard Australian Property Index ETF(ASX: VAP) – an exchange-traded fund that tracks the REIT sector on the ASX. VAP units fell almost 50% in value between 31 February and 23 March this year. That compares very unfavourably against the broader S&P/ASX 200 Index (ASX: …
