Real Estate Stocks are an important part of the category of Resource Stocks, sometimes called “Hard Asset” Stocks. They were down slightly in the second quarter of 2013. Foreign real estate was down more for the quarter because the U.S. Dollar strengthened against foreign currencies.
- Vanguard REIT ETF (VNQ) was down 1.6% during the second quarter, but still up 9.08% for the past year and still averaging 8.11% for the last 5 years.
- Vanguard Global ex-U.S. Real Estate ETF (VNQI) was down 6.72% during the second quarter, but still averaging 18.29% for the past year.
We still recommend a healthy allocation to publicly traded real estate investment trusts.
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David John Marotta is the Founder and President of Marotta Wealth Management. He played for the State Department chess team at age 11, graduated from Stanford, taught Computer and Information Science, and still loves math and strategy games. In addition to his financial writing, David is a co-author of The Haunting of Bob Cratchit.
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Austin Fey is a Wealth Manager at Marotta Wealth Management, specializing in charitable giving and asset allocations. She is a regular contributor to our Marotta On Money articles, often giving advice to those just getting started in finance.