Question

TRUE OR FALSE The preferred method for pension funds to invest in commercial real estate is...

TRUE OR FALSE

The preferred method for pension funds to invest in commercial real estate is through the purchase of shares of publicly traded REITs.

Homework Answers

Answer #1

The preferred method for pension funds to invest in commercial real estate is through the purchase of shares of publicly traded REITs.

TRUE

Publicly traded REITs offer several benefits to the investors such as liquidity, periodic income through dividend, etc. So, REITs are the preferred method for pension funds to invest in commercial real estate.

Investing in commercial real estates through traditional method is not feasible because of the liquidity issue and huge investment requirements.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Consistently the investment target of pension funds, publicly traded real estate companies, and real estate funds,...
Consistently the investment target of pension funds, publicly traded real estate companies, and real estate funds, large commercial properties valued well over $10 million are often referred to as: A.segmented property. B.investment-grade property. C.speculative-grade property. D.immobile property.
The most common source of equity in commercial real estate is from A. REITS B. Pension...
The most common source of equity in commercial real estate is from A. REITS B. Pension Funds C. High Net Worth Individuals D. Sovereign Wealth Funds Contingencies in real estate contracts allow for buyers/borrowers to A. Perform due diligence without the risk of losing their deposit as long as they don't let the contingency period expire B. Negotiate the best terms C. Default on the contract D. Perform market research to help increase the appraised value Loan Servicing usually pays...
1. REITs are stocks True False 3. REIT shares can be bought by any investor, just...
1. REITs are stocks True False 3. REIT shares can be bought by any investor, just like any share of stock True False 4. What does REIT stand for? Regulated Earnings Investment Total Real Estate Income Tax Real Estate Investment Trust Real Earnings Investment Trust 2. REITs are fixed income securities True False
True or False questions: 1. A Persian rug would generally be considered a fixture. 2. In...
True or False questions: 1. A Persian rug would generally be considered a fixture. 2. In real estate, we value income from a real estate property as an annuity. 3. In Oakland, California, the price-to-rent for homes & apartments is 38.5. This indicates that it is a good idea to consider investing in a real estate property (buy a house, for example) now. 4. REITs must pay out all taxable income as dividends. 5. With a remainder the grantor conveys...
Generally, the interest rate on the commercial real estate loans originated by Dime Community Bancshares is...
Generally, the interest rate on the commercial real estate loans originated by Dime Community Bancshares is equal to the 5-year Federal Home Loan Bank of New York advance rate. TRUE OR FALSE?
Insurance companies typically invest large amounts of excess funds from premiums or make long-term loans, particularly...
Insurance companies typically invest large amounts of excess funds from premiums or make long-term loans, particularly to businesses in the form of 1.commercial real estate loans. 2.car loans. 3.premium loans. 4.high-risk securities 5.funds to banking institutions.
Which of the following is not true about property rights? The basic rights are use, transfer,...
Which of the following is not true about property rights? The basic rights are use, transfer, and exclude. When renting out an apartment the landlord gives up the right to exclude. Differences in the size and quality of the rights in a bundle lead to different values. Air rights can be traded. Which of the following is true about real estate pricing? Real estate prices are always the same as the value of the real estate. Real estate prices are...
31) Most individuals have little opportunity to invest in venture capital funds because this investment segment...
31) Most individuals have little opportunity to invest in venture capital funds because this investment segment of the capital markets is restricted to “accredited investors”. True or False? 32) Entrepreneurs must be very cautious about using the resources of another company to build the ideas and intellectual property of their future venture. If a venture capitalist does not trust that the founder owns the intellectual property behind the venture, they will be unlikely to invest in the venture. True or...
The primary determinant of currency exchange rates is the volume of exports and imports. True False...
The primary determinant of currency exchange rates is the volume of exports and imports. True False Flag this Question Question 102 pts The purchase of U.S. real estate from foreign sources would create a supply of a foreign currency. True False
A recent inheritance from your late uncle’s estate has provided you with funds available for investment....
A recent inheritance from your late uncle’s estate has provided you with funds available for investment. You have been provided with the following information for three stocks: Stocks X, Y, and Z.               Stock Expected Return Standard Deviation Beta X 8.00% 15% 0.5 Y 9.50% 15% 0.9 Z 13.50% 15% 1.4 The returns on the three stocks are positively correlated, but they are not perfectly correlated. (I.e., each of the correlation coefficients is between 0 and 1.0.) There are two diversified...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT