Iman Brivanlou, managing director of Income Equities at TCW, has gone over the data. If the last 20 years are any indication, the REIT market will continue to perform, despite increasing interest rates. But, experts do have some concerns that could derail REIT growth. Iman Brivanlou, managing director of Income Equities at TCW, says that runway inflation and a policy error are among is top concerns.
"A policy error would torpedo the REIT space, as it would most assets, but to some extent REITs are more exposed to that because they rely so heavily on the financial markets. That would be a problem," Brivanlou tells GlobeSt.com.
Runaway inflation is also a concern. "I think the risk of that is low because it seems like the Fed is really on the job this time. Should they back off or should the NASDAQ fall another 15% and you start to get more dovish tones and inflation is not coming naturally under control, I think those things could result in higher than desired 10-Year Treasury.
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