eToro introduces REIT smart portfolio
Online broker eToro launches REIT smart portfolio, which consists of Real Estate Investment Trust (REIT) companies.
Such companies provide investors with the benefits of owning property without having to own the land outright. These benefits include earning income through dividends and maintaining an investment that keeps up with inflation. If a company qualifies as a REIT, is taxed at a lower rate than a traditional company and therefore investors are entitled to a higher amount of the company’s revenue as a dividend.
Investment in these companies is also a good way to diversify one’s holdings which can help lower the volatility of your portfolio during times of economic downturns.
This Smart Portfolio allocates capital to U.S.-based companies that are involved in the ownership, operation, and financing of income-generating real estate such as shopping malls, office blocks, health care, cell towers, and data centers among others.
The minimum investment amount for this Smart Portfolio is $500.
eToro has been expanding its list of smart portfolios lately. In June, eToro launched its Global Logistics Smart Portfolio. This is a fully allocated thematic investment portfolio that is focused on logistics stocks.
Through this Smart Portfolio, investors can gain exposure to a range of top shipping businesses including AP Moeller-Maersk, Danaos, ZIM Integrated Shipping Services, Kuehne & Nagel, and Golden Ocean Group, as well as a selection of other companies that play a key role in supply chains such as air, rail, and road transportation companies, couriers and postal services companies, logistics companies, and last-mile delivery companies.