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  5. FIE: Two questions, Most Reits have not performed well in the last year,I hold Riocan and it seems to have done worse than most. [iShares Canadian Financial Monthly Income ETF]
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Investment Q&A

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Q: Two questions,
Most Reits have not performed well in the last year,I hold Riocan and it seems to have done worse than most. I want some exposure to real estate going forward-Would it be a good idea to switch to another Reit at this time?If so,any suggestions?

FIE has done well for me,but has high management fee's. Would it be prudent to switch to something a little safer with lower fee's,like CPD or? Thankyou
Asked by Steve on January 30, 2024
5i Research Answer:

We would be quite comfortable swapping REI.UN for DIR.UN to move into the industrial sector. We would also be fine with residential real estate CAR.UN but it does have a premium valuation and hence a lower yield. FIE is quite different than CPD. It only has exposure to 20% preferreds, and CPD is essentially all preferreds. Considering the market and rate outlook, we would be fine keeping FIE. Fees are high, but performance has been solid for an income fund.