There are four major reasons, he reports, why REITs will outperform the Russell 2000 and S&P 500 over the next six months: Interest model is calling for a 1/2 point drop in rates;
large cap equities have too much speculation premium in them and are due for a correction; REITs make up 14 % of the Russell 2000, and small cap issues are expected to outperform
large cap for the remainder of the year; and the defensive nature of REITs puts them at an advantage under
certain market conditions.