Rates – Page 2 – Real Estate Investment Trusts

December 23, 2014

Neuberger Berman Fund Manager Says Higher Interest Rates Should be Good Sign for REITs

Steve Shigekawa, managing director at Neuberger Berman, joined REIT.com for a video interview at REITWorld 2014: NAREIT’s Annual Convention for All Things REIT at the Atlanta Marriott Marquis.

Shigekawa noted that the biggest surprise for the REIT industry during 2014 has been the decline in interest rates.

“At the beginning of the year, the 10-year Treasury note was 3 percent. At the time, the consensus view was that interest rates would go higher, which would be a headwind for the REIT market. What we’ve actually seen is the opposite,” he observed.

News

November 12, 2014

JP Morgan Analyst Sees Adjustment Period for REITs When Rates Rise

Mark Streeter, managing director at JP Morgan Chase, joined REIT.com for a video interview at REITWorld 2014: NAREIT’s Annual Convention for All Things REIT at the Atlanta Marriott Marquis.

Streeter said he is keeping an eye on interest rates heading into 2015 when they are projected to rise. He pointed out that announcements of shifts in monetary policy have created volatility in the REIT market, most recently in 2013 when the Federal Reserve announced its plans for tapering.

News

July 11, 2014

Real Estate Fund Manager Readying for Rising Interest Rates

Matt Werner, portfolio manager at Chilton Capital Management, joined REIT.com for a video interview during REITWeek 2014: NAREIT’s Investor Forum, held in New York.

In January, Chilton launched the Chilton Realty Income & Growth Fund, which invests in equity REITs and other real estate-related entities. Werner said the fund operates a “top-down process” that considers geographic regions, property types, fundamentals and demographic trends. The information is then entered into Chilton’s proprietary earnings models, which then builds a target price, Werner explained.

News

June 17, 2014

Dynex Capital CEO Expects Interest Rates to Remain Low

Byron Boston, president, CEO and co-chief investment officer of Dynex Capital, Inc. (NYSE: DX), joined REIT.com for a CEO Spotlight video interview during REITWeek 2014: NAREIT’s Investor Forum, held in New York.

Boston was asked to explain the investment philosophy behind the mortgage REIT.

“Our overall philosophy is one of executing a simple strategy with a keen eye on managing our overall risk exposure,” he explained.

News

June 11, 2014

Portfolio Manager Sees Sustained Period of Low Interest Rates and Supply

Scott Crowe, global portfolio manager at Resource Real Estate, joined REIT.com for a video interview during REITWeek 2014: NAREIT’s Investor Forum, held in New York.

Crowe was asked about the impact of the slow economic recovery on asset allocation and where investors are most focused right now. Crowe explained that a slow pace of recovery is actually good for real estate because it means that interest rates are going to stay low “and there are not enough animal spirits to really start development.”

News