REIT Sector Performance - The REIT sector rebounded in November with a +1.02% return, narrowing the year-to-date negative total return to -2.55% for the average REIT [1] - REITs outperformed the broader market in November, exceeding the returns of the Dow Jones Industrial Average (+0.5%), S&P 500 (+0.2%), and NASDAQ (-1.4%) [1] - The Vanguard Real Estate ETF (VNQ) achieved a return of +2.42% in November, significantly outperforming the average REIT [1] - The spread between the 2026 FFO multiples of large cap REITs (16.2x) and small cap REITs (12.8x) widened, with investors paying 26.6% more for large cap REITs [1] Property Type Performance - In November, 9 out of 18 property types averaged positive returns, with a 33.18% total return spread between the best (Advertising +22.32%) and worst (Data Centers -10.86%) performing property types [5][6] - Year-to-date, Health Care (+30.53%) and Advertising (+24.67%) are the only property types with double-digit positive returns, while Office (-18.35%) and Data Centers (-13.93%) have seen significant declines [7][10] Market Capitalization Insights - Mid cap REITs averaged gains of +3.53%, while small cap REITs gained +3.38%, contrasting with large cap REITs which only gained +0.32% [3] - The average P/FFO for the REIT sector increased from 13.5x to 13.7x during November, with 50% of property types experiencing multiple expansion [7] Individual Security Highlights - OUTFRONT Media (OUT) led the sector with a +33.01% return in November after strong Q3 earnings and raised guidance [9] - Office Properties Income Trust (OPI) faced a significant decline of -54.53% in November, following its Chapter 11 bankruptcy filing, bringing its year-to-date total return to -98.25% [10] Dividend Yield Insights - High dividend yields are a key attraction for investors in the REIT sector, with many REITs trading below their NAV, resulting in attractive yields [14][15]

REIT Performance March was a tough month for REITs with a disappointing -4.92% total return. The REIT sector fell short of the Dow Jones Industrial Average (-4.1%), but saw smaller average losses than the S&P 500 (-5.6%) and NASDAQ (-8.1%). The market cap weighted Vanguard Real Estate ETF (VNQ) outperformed the average REIT in March (-2.58% vs. -4.92%) and has dramatically outperformed year-to-date (+2.69% vs. -3.36%). The spread between the 2025 FFO multiples of large cap REITs (18.1x) and small cap REITs ...