Reitway Review - Edition 7

    Market Overview

    The global REIT market is up 27.89% in dollar terms during the 1-year period ending 31 January 2015. The return generated by this asset class has far outpaced the performance of Global Equities and Global Bonds during the corresponding period.

    REITs have responded positively to the Fed’s consistency in its plan to end its bond-buying program while keeping interest rates low. International events like Russia’s aggression towards the Ukraine added volatility in 2014, but had little impact on REIT fundamentals. The strong performance by Global REITs has ultimately been driven by significant distribution increases, on the back of a growing global economy and low interest rates.