What is the history of REITs and their performance over time?

Real Estate Investment Trusts (REITs) were created in the United States in 1960 as a way for individuals to invest in incomeproducing real estate properties without having to own and manage the properties themselves. Since then, REITs have grown in popularity and are now available in many countries around the world.

Over the years, REITs have generally performed well, but like any investment, there have been periods of both growth and decline. From 1990 to 2020, the Nareit All Equity REITs Index (which tracks the performance of U.S. REITs) had an average annual return of 9.9%, outperforming the S&P 500 Index (which tracks the performance of U.S. stocks) with an average annual return of 9.2%. However, there have been periods where REITs have underperformed, such as during the global financial crisis of 2008.

It's worth noting that the performance of REITs can vary depending on the type of properties they invest in and the overall state of the real estate market. As with any investment, it's important to do your research and consider your own investment goals and risk tolerance before investing in REITs.