Last month,the second best performing exchange traded fund (ETF) was iShares Cohen And Steers Realty Majors (ICF), with a 14.9% return. It has come in second for the past three months with 22% in returns.
This is a higher risk fund with concentration in few stocks. Holdings have higher than average price-earnings, price-book and other valuations. As of December 31, ICF owned 30 REITs and the funds top ten names made up 60% of total net assets. At the end of ’06 Simon Property Group (SPG) was the top holding, reports Nancy Gondo in Investor’s Business Daily. Vornado Realty Trust (VNO) is the second largest holding with Equity Office Properties Trust (EOP) coming in third. Analysts for the past year said the ETF was unattractive and overvalued, were they wrong?
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.