An asset class that includes investments in commercial properties, apartment complexes, and retail space. Investing in real estate can help diversify the risk of an overall investment portfolio because it’s a very different type of investment from stocks and bonds. Real estate can also help protect an investment portfolio against inflation because real estate values tend to go up as inflation rises.
Ellevest Digital and Premium investment portfolios that include US Real Estate in the investment mix do so through real estate investment trusts (REITs) or REIT exchange-traded funds.
REITs allow investors to buy shares in real estate portfolios that receive income from a variety of properties. Rents are paid out as dividends. REITs provide income, inflation protection, and diversification benefits.