Latest news with #REITs
Globe and Mail
4 hours ago
- Business
- Globe and Mail
Top 5 Dividend ETFs For 2025
Want expert insights on REITs and BDCs? Join Colorado Wealth Management Fund's email list—widely regarded as the top REIT analyst on Seeking Alpha. Stay ahead of the market with exclusive updates! [ Sign Up Now ] These five dividend ETFs continue to offer low expense ratios, solid sector diversification, and reliable dividend income in 2025. For investors looking to build a durable equity income portfolio, these ETFs remain among the top choices. While they still leave out a few useful sectors (real estate, utilities), they make a strong starting point for long-term investors who want their portfolio to actually pay them. SCHD: Still a Favorite for Quality and Yield The Schwab U.S. Dividend Equity ETF (SCHD) remains one of the most popular dividend ETFs for good reason. With an expense ratio of just 0.06%, it provides exposure to high-quality U.S. companies with consistent dividend histories. SCHD leans heavily into consumer staples and industrials, while underweighting financials and avoiding real estate altogether. It's a great core holding for long-term investors, but those building a more balanced portfolio may want to add complementary exposure to sectors SCHD leaves out - like real estate, utilities, or floating-rate preferred shares. VYM: The Classic High-Yield Workhorse The Vanguard High Dividend Yield ETF (VYM) continues to be a strong option for income-focused investors. Also carrying a rock-bottom 0.06% expense ratio, VYM holds over 400 U.S. stocks with above-average dividend yields. It includes solid exposure to financials and energy - two sectors often underrepresented in other dividend-focused funds. VYM doesn't try to outsmart the market - it focuses on companies that actually pay. That's why it remains one of the most consistent picks in the dividend ETF space. It also makes a great pairing with SCHD for those who want both quality and yield in their portfolio. VIG: For Dividend Growth Enthusiasts The Vanguard Dividend Appreciation ETF (VIG) doesn't chase yield - it focuses on companies with a long history of increasing dividends. With a 0.06% expense ratio, VIG offers exposure to companies that tend to be more stable and less cyclical, but also leans heavily into the industrials sector. VIG skips real estate and carries minimal energy exposure, so it may not be ideal as a standalone holding. However, for investors looking to prioritize long-term dividend growth over raw yield, it makes a lot of sense - especially when paired with something more income-oriented like HDV or SCHD. DGRO: Balanced, Understated, Effective The iShares Core Dividend Growth ETF (DGRO) is often overlooked but deserves more attention. It blends dividend growth with moderate yield and includes meaningful exposure to financials and tech. The fund charges a slightly higher expense ratio of 0.08%, but it makes up for it with a well-diversified portfolio that avoids major concentration risk. DGRO doesn't swing for the fences, but it rarely strikes out either. For investors who want a middle-of-the-road fund that complements either high-yield or high-growth ETFs, DGRO is a great pick in 2025. HDV: High-Yield Defense When You Need It The iShares Core High Dividend ETF (HDV) is the most defensive option on this list. It focuses on companies with stable earnings and high dividend yields, and tends to lean into sectors like healthcare and consumer staples. Its expense ratio is 0.08%, and its yield remains one of the highest among the big-name dividend ETFs. HDV tends to underweight financials and avoids energy and real estate. That makes it a bit less well-rounded, but great for income investors who want lower beta and a strong defensive tilt. One Glaring Omission: Real Estate (Again) As with previous years, none of these five ETFs offers meaningful exposure to real estate. That's a recurring blind spot - and an easy one to fix. Investors can add a fund like the Vanguard Real Estate ETF (VNQ) or choose from individual REITs like (O), (NNN), or (WPC) to round out the portfolio. The yield from quality REITs also pairs well with the more defensive holdings in this group. It's important to note that we easily beat our benchmark from inception. That includes our choices or REITS, mREITS, BDCs, and preferred shares. Bonus Pick: Want Tech Exposure Without Giving Up Your Dignity? While none of the five ETFs above offer real exposure to big-name tech stocks, investors who want to stay connected to the modern economy can consider the Vanguard Information Technology ETF (VGT). It's not a dividend fund, but it includes (AAPL), (MSFT), (NVDA), (TSLA), and other heavyweights at a low cost (0.10% expense ratio). Adding VGT won't do a lot to boost your income via dividends, but it can add some long-term capital appreciation while helping you keep up with what the kids are doing. Final Thoughts The five core dividend ETFs - SCHD, VYM, VIG, DGRO, and HDV - continue to provide excellent foundations for income-oriented portfolios in 2025. They've stood the test of time with low fees, strong management, and reliable performance. You'll still need to plug a few holes (real estate, utilities, maybe preferred shares), but you're starting with a very solid base. Now go get your dividends. Join The REIT Forum by Colorado Wealth Management Fund, trusted by over 60,000 investors for expert analysis on REITs, BDCs, and preferred shares. This article was compiled by my assistant. If there are any mistakes, blame him - I certainly will. Disclosure: I currently have a position in O . I may frequently trade in the preferred shares of any mortgage REIT and occasionally in the common shares.
&w=3840&q=100)
Business Standard
a day ago
- Business
- Business Standard
Equity MF schemes may soon be allowed to dabble in gold and silver
While some view it as an opportunity for better diversification, others believe Sebi's proposal to allow equity MFs to invest in gold and silver could complicate fund comparisons Listen to This Article Equity mutual fund (MF) schemes may soon be allowed to dabble in gold and silver, if the market regulator's new categorisation framework is finalised. Some believe this will provide fund managers with greater flexibility to navigate market volatility during periods of uncertainty, while others argue the move could introduce complexities, particularly with respect to the comparison of scheme performance. Currently, equity schemes must mandatorily invest 65-80 per cent of the corpus in equities. The rest can be invested in a mix of equity, debt, and Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). In a consultation paper on
Yahoo
2 days ago
- Business
- Yahoo
Is EPR Properties the Smartest Investment You Can Make Today?
Key Points EPR Properties expects to deliver solid growth this year. The REIT offers a high-yielding dividend and trades at a low valuation. It has lots of growth potential over the longer term. 10 stocks we like better than EPR Properties › EPR Properties (NYSE: EPR) has quietly been a very winning investment. The real estate investment trust (REIT) has delivered a total return of roughly 1,800% since it went public in 1997. Its strong returns have continued over the past year, with its stock rallying about 35%. The REIT has certainly been a smart investment over the years. Here are some reasons why it remains a wise stock to buy today. Solid growth in 2025 EPR Properties is having a solid year. The experiential property REIT grew its funds from operations (FFO), as adjusted, by 5.3% during the first quarter. It benefited from contractual rent increases on long-term net leases, as well as a strong box office, which boosted the income of its theater properties. The company also invested in growing its experiential real estate portfolio. The REIT invested $263.9 million into new properties last year and another $37.7 million in the first quarter. It acquired properties in sale-leaseback transactions, which included an attraction property for $14.3 million in the first quarter. It has also been investing in experiential development and redevelopment projects. The REIT has lined up another $148 million of projects it expects to fund over the next two years. These include its first traditional golf property and several eat-and-play venues. These investments have it on track to grow its FFO as adjusted by 4.3% per share this year at the midpoint of its guidance range. EPR Properties' growing rental income has enabled it to steadily increase its monthly dividend. The REIT provided investors with a 3.5% dividend increase earlier this year. Solid value proposition EPR Properties' strong first-quarter results and positive outlook led it to boost its 2025 guidance. It now expects its FFO as adjusted to come in between $5.00 and $5.16 per share. This is up from its prior range of $4.94 to $5.14 per share. With its stock price recently below $60 a share, the REIT trades at less than 12 times its FFO. That's cheap for a net lease REIT. These REITs typically trade at around 15 times their FFO. The experiential property owner's low valuation is why it still offers such a high dividend yield even after its rally over the past year. At around 6%, the REIT's dividend yield is several times higher than the S&P 500's (around 1.2%). That high-yielding monthly dividend sits on a rock-solid foundation. At its current payment ($0.295 per share each month, or $3.54 annually), the REIT has a conservative payout ratio -- around 70% of its FFO as adjusted. This gives it a cushion and lets it retain cash to fund new investments. EPR also has a solid investment-grade balance sheet, which provides it with additional financial flexibility. More growth potential EPR Properties is currently limiting its annual investment volume to $200 million to $300 million. That's the level it can internally fund. It uses post-dividend free cash flow, asset sales, and balance sheet capacity within its current leverage level. At that investment rate, it can grow its FFO as adjusted by 3% to 4% per share each year. The REIT is currently holding back its investment volume due to a high cost of capital, caused by higher interest rates and a lower stock price. However, interest rates are now falling, and its stock price is rising. As a result, its cost of capital has started to improve. EPR Properties could now ramp up its investment volume if it finds additional accretive opportunities. This would enable it to grow its FFO per share faster. It should have plenty of future investment opportunities. EPR Properties estimates that the total addressable market for experiential real estate is over $100 billion. Its current portfolio is valued at around $7 billion, leaving it with considerable room to grow. A smart option if you want income with upside potential EPR Properties offers reliable income, solid growth potential, and trades at an attractive value, all underpinned by its unique focus on experiential real estate. Meanwhile, it has the potential to accelerate its growth rate as interest rates fall. These factors all point to EPR Properties being a very smart investment opportunity, particularly for investors seeking passive income and the potential to earn above-average total returns. Do the experts think EPR Properties is a buy right now? The Motley Fool's expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They've just revealed their to buy now — did EPR Properties make the list? When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor's total average return is up 1,048% vs. just 180% for the S&P — that is beating the market by 867.59%!* Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!* The 10 stocks that made the cut could produce monster returns in the coming years. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Matt DiLallo has positions in EPR Properties. The Motley Fool has positions in and recommends EPR Properties. The Motley Fool has a disclosure policy. Is EPR Properties the Smartest Investment You Can Make Today? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Economic Times
3 days ago
- Business
- Economic Times
India's investment trusts to expand debt fundraising as yields drop, analysts say
Debt fundraising by India's asset-backed investment trusts is expected to keep rising after exceeding $2 billion in the first half of 2025, as falling interest rates continue to fuel strong investor demand, analysts said. ADVERTISEMENT The real estate investment trusts (REIT) and infrastructure investment trusts (InvIT) raised over 178 billion rupees ($2.07 billion) in January-June, compared with 56 billion rupees in the same period last year, according to data aggregator Prime Database. "Bonds offer a lower cost of capital compared to traditional bank financing, especially for highly rated trusts with stable, long-term cash flows," Arka Mookerjee, partner at JSA Advocates and Solicitors, which provides legal advice to corporates. "The predictable income profiles of REITs and InvITs make them well-suited to debt financing, attracting institutional investors seeking yield-bearing, asset-backed instruments." Corporate bond yields have tumbled over the last few months, as the central bank infused liquidity and slashed interest rates by 100 basis points, while banks have lagged in lowering their lending rates. Embassy Office Parks REIT, IndiGrid Infrastructure Trust, Cube Highways Trust and Nexus Select Trust are among the firms that have tapped the bond market. Embassy REIT is planning another bond issue, Reuters reported last week, while others are also in early talks. ADVERTISEMENT Bonds typically have fewer restrictions than bank loans, allowing REITs to use the fund across multiple properties within the portfolio, said Lata Pillai, India senior managing director and head of capital markets, JLL, a global real estate services firm. The trusts, which need to disburse at least 90% of net distributable cash flows to unit holders, say cheaper funding allows them to provide better returns. ADVERTISEMENT Bond fundraising provides clarity to these trusts on planning their finances, while top credit ratings attract marquee investors such as mutual funds and insurers. "The AAA-rated structure gives greater credibility, visibility and better pricing," said Krishnan Iyer, chief executive officer at NDR InvIT, adding they also offer resilience to market volatility. ADVERTISEMENT With infrastructure and real estate sectors gaining momentum, investors see REITs and InvITs as a compelling blend of fixed-income stability and long-term growth, said Suresh Darak, founder of Bondbazaar, an online bond trading platform. ($1 = 86.1700 Indian rupees) ADVERTISEMENT (Reporting by Khushi Malhotra and Dharamraj Dhutia; Editing by Vijay Kishore)
Time of India
3 days ago
- Business
- Time of India
India's investment trusts to expand debt fundraising as yields drop, analysts say
Debt fundraising by India's asset-backed investment trusts is expected to keep rising after exceeding $2 billion in the first half of 2025, as falling interest rates continue to fuel strong investor demand, analysts said. The real estate investment trusts ( REIT ) and infrastructure investment trusts ( InvIT ) raised over 178 billion rupees ($2.07 billion) in January-June, compared with 56 billion rupees in the same period last year, according to data aggregator Prime Database. Explore courses from Top Institutes in Select a Course Category others Design Thinking MCA Data Science Management Others Data Science Leadership Product Management Artificial Intelligence MBA Project Management Digital Marketing Public Policy CXO Data Analytics Cybersecurity Healthcare Degree Technology Skills you'll gain: Duration: 16 Weeks Indian School of Business CERT - ISB Cybersecurity for Leaders Program India Starts on undefined Get Details "Bonds offer a lower cost of capital compared to traditional bank financing, especially for highly rated trusts with stable, long-term cash flows," Arka Mookerjee, partner at JSA Advocates and Solicitors, which provides legal advice to corporates. Bonds Corner Powered By Corporate bonds in India: From institutional stronghold to broader participation India's corporate bond market sees record growth in FY25. Issuance rises by 28%, signaling increased corporate capex. The overall bond market touches ₹226 lakh crore. Retail participation remains low, but accessibility improves with smaller investment sizes. Interest rates ease, making bonds attractive. Platforms like Jiraaf simplify bond investments. Corporate bonds offer a balanced risk-return profile. India bonds advance as traders build positions for another rate cut Rupee to track dollar recovery, bond market focused on rate cut bets IndusInd Bank to consider raising funds via long-term bonds India bonds flat, traders eye debt supply for cues Browse all Bonds News with "The predictable income profiles of REITs and InvITs make them well-suited to debt financing, attracting institutional investors seeking yield-bearing, asset-backed instruments." Corporate bond yields have tumbled over the last few months, as the central bank infused liquidity and slashed interest rates by 100 basis points, while banks have lagged in lowering their lending rates. Live Events Embassy Office Parks REIT, IndiGrid Infrastructure Trust, Cube Highways Trust and Nexus Select Trust are among the firms that have tapped the bond market . Embassy REIT is planning another bond issue, Reuters reported last week, while others are also in early talks. Bonds typically have fewer restrictions than bank loans, allowing REITs to use the fund across multiple properties within the portfolio, said Lata Pillai, India senior managing director and head of capital markets, JLL, a global real estate services firm. The trusts, which need to disburse at least 90% of net distributable cash flows to unit holders, say cheaper funding allows them to provide better returns. Bond fundraising provides clarity to these trusts on planning their finances, while top credit ratings attract marquee investors such as mutual funds and insurers. "The AAA-rated structure gives greater credibility, visibility and better pricing," said Krishnan Iyer, chief executive officer at NDR InvIT, adding they also offer resilience to market volatility. With infrastructure and real estate sectors gaining momentum, investors see REITs and InvITs as a compelling blend of fixed-income stability and long-term growth, said Suresh Darak, founder of Bondbazaar, an online bond trading platform. ($1 = 86.1700 Indian rupees)
