Why have mutual funds increased exposure to REITs and InvITs?
A low interest rates regime, the positive outlook on rental yields post the COVID disruption and an efficient listing framework drew MFs to REITs and InvITs February 15, 2021 / 09:45 AM IST
Over the past few years, mutual funds (MF) have warmed up to investing in Real Estate Investment Trusts (REITs) and Infrastructure Investment Trust (InvITs). Data from ACE MF shows that equity, debt and even multi-asset funds have been investing a small portion of their portfolio – typically up to 10 percent – in these new asset classes.
With the recent public issue of Brookfield India REITs, currently there are five REITs and InvITs available in the exchanges.