Instead, you can look for great asset
classes like REITs, small - cap value stocks and emerging markets stocks.
Not exact matches
However, even with these recent changes in allocation, I would still
like to see some additional asset
classes beyond ETFs, such as commodities and
REITs.
It may be somewhat useful to make comparisons to that period of time to see how certain interest rate sensitive asset
classes such as junk bonds,
REITs, dividend - paying stocks or bonds performed, but my guess is that particular environment doesn't do a great job of showing investors what a typical rising rate scenario would look
like (assuming there is such a thing).
Do you hold any other asset
classes like bonds or
REIT's, or is it just VTSAX and 3 months cash in checking account?
Of course, they can invest in these asset
classes separately or in packages
like mutual funds, MLPs,
REITS or ETF's, etc..
But we are now in a situation where
REITs have had a nice run and just
like when any other asset
class has a nice run, investors look for the big pullback.
And this is why sometimes a company
like a
REIT focused on retail (or a variety of asset
classes) may be overextended, struggling to focus on every real estate dynamic at once.
The more the sector has small wins or big wins
like that, the more people get comfortable with it as an asset
class,» says Chris Czarnecki, CEO of private residential
REIT Broadtree Residential.