REIT stands for Real Estate Investment Trust. This is a type of company that receives a special tax advantage avoiding double taxation, as long as certain tests are met pertaining to the types of assets owned. Qualifying assets represent actual real estate or loans related to real estate. REITs can trade on the stock market just like regular c-corporations.
By qualifying as a REIT, a real estate related company can avoid double taxation by distributing to its shareholders at least 90% of their taxable income. In this way, REITs are very much like BDCs and MLPs in that these companies often pay a very high dividend.
Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes
only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners.
In no way should any content contained herein be interpreted to represent trading or investment advice.
None of the information contained herein constitutes a recommendation that any particular security, portfolio,
transaction, or investment strategy is suitable for any specific person. All viewers agree that under no
circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held
liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.