While old school real estate exchange traded funds may need a refreshing, the Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (SRVR) offers exposure to the future of real estate today.
The Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF is a strategy-driven ETF that aims to offer investors exposure to U.S. companies that generate the majority of their revenue from real estate operations in the data and infrastructure sectors. There are significant real estate demands associated with the 5G rollout, enhancing the 5G ETF status of the Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF.
What makes SRVR a compelling choice for real estate investors today is its exposure to industries that are usually underweighted in traditional ETFs dedicated to this sector.
SRVR is home to cell tower REITs, data center REITs, and similar facilities – these cell towers and data processing centers store the information and handle the orders that start the e-commerce process, making the fund a diverse play on some of the most important emerging technological themes.
Plenty of Perks to SRVR
Data and infrastructure real estate investment trusts (REITs) are pivotal pieces of the 5G puzzle. SRVR is the original fund explicitly dedicated to those REITs. With an expense ratio of 60 basis points, the ETF also offers dividends as a source of income to investors.
Real estate isn’t often viewed as a cyclical, yield-driven sector, but investors can harness technological advances and growth opportunities in the group with SRVR.
Owing to its deep exposure to the 5G rollout theme, SRVR is handily topping traditional real estate exchange traded funds again this year.
While they are still in the early stage of implementation, 5G networks will help power a meteoric rise in the Internet of Things technology, providing the infrastructure required to carry massive amounts of data, allowing for a smarter and more connected world.
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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.