Well for any investments , u need to do your homeworks , a way to reduce risks.
Once u understand more especially of undervalued concepts, risks could be reduced...WB buys abandoned homes in US cos he does his work home .
For those who do not know REITS, well they would say reits are risky after falling 27% in just 2 to 3 months. Some SREITS could fall 40% ? It could be volatile and yet not speculative .....u judge better
But when u think u know reits better, a 27% fall is not risky . intending to buy more....no right or wrong anyway
I talk more of the asset allocation model, which is to minimize risks cos diff asset classes tend to have certain weaknesses in certain time period........
Well if u do not understand Asset Allocation Model, then u tend to mix it with Speculations per se.
There are reasons to opt for one asset class over the other at diff time period for risk minimization hence improving returns ......quite universal practice. That may tie to links to the falls in reits cos one asset class tend to compete with another.......
If u are not aware of , u are speculating too......that reits performs well forever ........that is what u believe or state of denial