Asset allocation model
REAL ESTATE

The real estate sector has grown over the past 50 years to become a very popular investment vehicle. Entry points vary, each with their own pros and cons, but real estate investment done well means investors can diversify their portfolios and profit no matter what their experience level. Rental property ownership is one way to begin investing in real estate; another is buying shares in a REIT (real estate investment trust) or joining a real estate investment group. Some investors buy property, quickly renovate, and flip it for a profit – while entertaining, as TV shows devoted to the subject can attest to, it’s not a great choice for investors without deep pockets. Real estate stocks are also available, many of which are REITs. Omega Healthcare owns nursing homes and assisted living facilities; Retail Opportunity Investments traffics in strip malls in densely populated, high-income areas; American Tower, which owns cellular towers, is uniquely positioned to capitalize on the impending 5G technology revolution. Real estate mutual funds can also be a good entry point, allowing investors access to a broad selection of offerings with minimal financial outlay.