A
mutual fund is managed professionally and reflects performance of bonds, stocks
and many different securities. Mutual fund shares can be purchased just like
stocks of companies. The value of shares is calculated every day on the net
asset value of the funds.
Real estate mutual funds require investment from securities from over the world. Investments in mutual funds vary from real estate bonds to real estate securities. This fund also offers an opportunity to purchase investment properties as alternatives.
Real estate mutual funds require investment from securities from over the world. Investments in mutual funds vary from real estate bonds to real estate securities. This fund also offers an opportunity to purchase investment properties as alternatives.
FIDELITY INTERNATIONAL REAL ESTATE FUND
This fund is intended to be a buy and hold investment which offers a long term growth. Investment is done in real estate securities that are based out of US and relocation of realestate investments is carried out in various regions. $397 million has been accumulated in net assets. This fund has a net expense ratio of 1.38%.
VALIC COMPANY I GLOBAL REAL ESTATE
Though not renowned, this fund certainly falls among global real estate mutual funds. The fund is advised and offered through the Variable Annuity Life Insurance Company. The sub advisors of this fund are Goldman Sachs Asset Management and Invesco Advisers. This fund has 42% investment in US real estate stocks. The prime focus is one the smaller large cap and medium cap companies. This fund’s turnover is 41%.
THIRD AVENUE REAL ESTATE VALUE FUND
This fund is the global real estate investment fund for investors who have plenty of money to put in as investment. This fund falls under the giant category with more than $3 billion assets. The management staff is high profile and fairly consistent. This fund has been designed for just the institutional real estate investors with the minimum investment amount being $100,000.
This fund features an interesting portfolio. 75% of investment is in REIT securities or real estate. 17% of the investment has been held as cash. The fund is associated with consumer cyclical, basic materials equities and financial services.
DFA INTERNATIONAL REAL ESTATE SECURITIES PORTFOLIo
This fund focuses on non US real estate investments. With $3.3 billion assets, this fund is hugely popular. A net expense ratio of 028% is carried by this fund. This is below the average of the real estate stock globally. Stock selection is done by the fund managers with a market capitalization.
No aggressive approach is employed by this mutual fund and it is good at picking up stocks from successful and large real estate companies from around the world thus offering its shareholders efficient returns on the investments made.
Strong and stable, this fund doesn’t win any points for the best returns offered on real estate investments made. This fund is apt for real estate investors who love long term investments and wish to gain clarity in the underlying philosophies of investments. The DFA International Real Estate Securities Portfolio has beta of 0.85 against the best fit index and a Sharpe ratio of 0.73. For the period of August 2015, the DFA International Real Estate Securities Portfolio had a 12 month yield of 6.28%.
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